Upcoming Cannabis Licensing Opportunities in 2025
Upcoming Cannabis Licensing Opportunities in 2025
It has been a milestone year for the cannabis industry. Four new programs were launched, and one state legalized medical cannabis this year, with the possibility of more to come in 2025. Looking ahead into 2025, we’ll see Upcoming Cannabis Licensing Opportunities in at least 7 states.
The state of Maryland legalized adult-use cannabis in 2022, through Legislative bills, S.B. 516, cross-filed as H.B. 556, which provides a regulatory framework for the cultivation, production, and sale of adult-use marijuana. Access to cannabis is through state-licensed businesses that are allowed to grow, manufacture and sell medical cannabis. Maryland awarded 205 licenses across the micro and standard grower, processor, and dispensary categories. The two lotteries conducted collectively represent the maximum number of licenses the MCA was authorized to award for the first round. The MCA is required to conduct extensive outreach prior to the next application round, and announce any application round 60 calendar days prior to the beginning of the 30 day calendar day application period. At this time, the MCA does not have a date for the beginning of the second round, and will evaluate the first round awards prior to the announcement of the next round dates.
- Second round lottery application process: dates TBD
- Limited licenses: 25 grow, 25 processor, 120 dispensary, 10 incubator, and 15 on-site consumption licenses.
The Minnesota cannabis program allows for both adult use and medical cannabis. Twin bills, H.F. 100 and S.F 73, were signed into law by the Governor of Minnesota. The bills legalize and regulate the adult-use marijuana market. A newly formed Office of Cannabis Management will be tasked to regulate and license cannabis businesses. Bill SF4782, signed into law on May 24, 2024, made changes to the cannabis legalization bill that passed last spring. Minnesota’s application process for licenses is currently closed. The lottery to award the pre-approval licenses was canceled, and the application process for social equity and standard licenses is expected to open in spring of 2025.
- Competitive merit-based process: dates TBD, anticipated in Q2 of 2025
- Limited licenses – 100 Mezzobusiness, 100 Cultivator, 24 Manufacturer, 150 Retailer licenses (half reserved for Social Equity).
The state of Missouri legalized adult-use cannabis in 2022, through a Ballot measure, Amendment 3, which established a lottery selection process that will award Missouri cannabis licenses and certificates to be distributed equally to each congressional district. Access to cannabis will be through state licensed businesses that are allowed to grow, manufacture and sell adult-use cannabis. Missouri has held two out of three licensing rounds, one in 2023 and one in 2024. A third licensing round is anticipated in 2025, but a date for the application process has not yet been announced. Missouri will award 48 microbusiness licenses in the next lottery, following the application process.
- Lottery application process anticipated by Q3 of 2025
- Limited licenses – 16 microbusiness dispensary and 32 microbusiness wholesale.
Medical cannabis was on the ballot in Nebraska for the November 2024 election, and voters overwhelming supported the measures, legalizing Medical Cannabis. The initiative enacts the Nebraska Medical Cannabis Regulation Act. The act legalizes the possession, manufacture, distribution, delivery, and dispensing of marijuana for medical purposes. It establishes the Nebraska Medical Cannabis Commission to regulate and provide the necessary registration for the medical marijuana program. The commission would consist of at least three members but no more than five. The three Nebraska Liquor Control Commission members would be ex officio members of the new commission. The governor would appoint two additional members subject to approval by the state legislature to serve six-year terms on the commission. The commission would be charged with establishing criteria and registration processes. License types are to be established by the commission no later than July 1, 2025.
- Applications anticipated in Q3 of 2025
- Limited licenses – pending regulations
The state of Ohio legalized adult-use cannabis through ballot initiative, Issue 2, allowing for controlled and regulated sales and use of adult-use cannabis. The law provides a regulatory framework for cultivating, producing, and selling adult-use marijuana. Within nine months of the effective date of the law, if the license applicant is in compliance with the regulations, medical licenses will have the opportunity to convert to dual-use. Following twenty-four (24) months from the first date of issuance of an adult use operator license, the division of cannabis control shall review the number of adult-use cannabis operator licenses on a biannual basis and may authorize additional licenses.
- Competitive merit-based process expected: Application process for new applicants is TBD.
- Limited licenses: per Issue 2 (if no changes to legislation), 40 grow and 50 dispensary licenses
The state of Rhode Island legalized recreational cannabis for ages 21 or over, in 2022. There are currently six dispensaries in Rhode Island (as of July 2023); these dispensaries offer both recreational and medical cannabis. The new law also allows up to 24 new retail licenses to be distributed in six zones statewide.
- Timeline TBD – expected in early 2025
- Limited licenses: 22 dispensary licenses
The U.S Virgin Islands (USVI) legalized medical and adult-use cannabis in 2022, allowing for controlled and regulated sales and use of cannabis. In 2024, USVI completed the rules and regulations governing its marijuana program, providing a regulatory framework for cultivating, producing, and selling adult-use marijuana.
- Competitive merit-based process: dates TBD
- Limited licenses: 40 cultivation, 17 dispensary, no limit on manufacturing
Are you interested in obtaining a cannabis business license in one of these states? Call us to speak with an industry expert at 602-290-9424.
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