Missouri Microbusiness License: Round 2 Overview
Missouri’s second microbusiness cannabis license application round closed on April 29, 2024, and a lottery was held on June 4, 2024, to determine which applicants were awarded a license. There were a total of 2,083 applications: 734 for microbusiness wholesale and 1,349 for microbusiness dispensary licenses.
In this round, there were a total of 33 microbusiness wholesale and 24 microbusiness dispensary licenses awarded to applicants across the eight districts.
If you applied or won a microbusiness license in Missouri’s second round, here’s what you need to know.
What is a Microbusiness License in Missouri?
Microbusiness licenses are available to applicants from marginalized or underrepresented groups. To qualify, applicants need to meet at least one of the following criteria:
- Have a net worth under $250,000 and income below 250% of the federal poverty level.
- Be a service-disabled veteran.
- Be a non-violent marijuana offender or immediate family member with such a history (excluding DUI or selling to minors).
- Be a resident of an area with over 30% below the poverty level or unemployment rates 50% higher than the state average.
- Have graduated from or lived in a ZIP code of an unaccredited school district for three of the past five years.
Those who met the criteria and any other general qualification requirements were able to apply for either a microbusiness dispensary or microbusiness wholesale facility.
Microbusiness Dispensaries
Microbusiness dispensaries can acquire, process, package, store, transport, and deliver cannabis and cannabis products, sell to other microbusinesses, qualified patients, caregivers, adult-use consumers, and testing facilities, and produce pre-rolls.
Microbusiness Wholesalers
Microbusiness wholesalers can acquire, cultivate, process, store, manufacture, and package cannabis products, transport and deliver them to other microbusinesses and testing facilities, and cultivate up to 250 flowering marijuana plants. They can also produce pre-rolls and infused pre-rolls, but need compliant cannabis manufacturing equipment.
Check out our Missouri cannabis licensing page for more info!
Round 2 Lottery Draw from July 2024
If you applied for a Missouri microbusiness license in the second application window held between April 15 and April 29, 2024, your application would have been featured in the lottery draw held on June 4, 2024.
The lottery system is used to give all applicants an equal opportunity to be awarded a license in round 2.
The applicants’ identities were not considered in the lottery draw, and each person or entity was allowed to submit only one application per lottery round. Those not chosen can reapply in the next application round taking place in 2025. Applicants selected in the lottery draw should have been notified by email using the contact details provided in their application.
Whether or not you were awarded a license, there are some next-steps you should be aware of.
What to Do After Winning a Microbusiness License
If your application was selected in the lottery draw, congratulations! This is the first step in becoming a Missouri cannabis business owner. But before you’re allowed to ‘open shop’, there’s some important prep work that you’ll need to handle.
Applicants who were successful in the Missouri microbusiness license application lottery need to begin operating within two years of the lottery draw. This involves working through the ‘post-licensing process’ which will ensure that you’re prepared to operate following a comprehensive “commencement inspection.”
Make sure to submit a request for a commencement inspection when you expect your site to be ready for operation within the next 30 days. This request needs to include a number of supporting plans and documents:
- Facility blueprints showing the intended use of all spaces and compliance with physical security requirements.
- Site operating procedures (SOPs) demonstrating regulatory compliance.
- Documentation of completed training for the statewide track and trace system.
- Proof of compliance with all federal, state, and local requirements for the facility.
Creating and compiling all of these documents and plans is one of the most challenging aspects of the post-licensing process. Documents such as SOPs are typically very long and detailed, typically requiring professional assistance.
Once all of your plans and documents are in order and submitted, you’ll need to prepare for the inspection itself.
Preparing for the Commencement Inspection
There are three key milestones you’ll need to reach while preparing for your commencement inspection.
Milestone #1: Demonstrating Compliance
The purpose of the commencement inspection is to ensure that the microbusiness wholesale or dispensary site is compliant with all of the Missouri Department of Health and Senior Services’ (MDHSS) regulations. During this inspection, you may be asked questions about your site, operations, and various details about your plans.
Milestone #2: What to do After the Inspection
You will pass the inspection if your site and documents are compliant, and the MDHSS determines your site will be ready to open within 30 days of the inspection. If the MDHSS feels that you aren’t ready to begin operating after the inspection, you will need to make the necessary revisions to your site, plans, and documents, and submit another commencement inspection request. This can be a large delay resulting in missed profit.
Milestone #3: Written Approval
Before you can open your doors or begin operating as a microbusiness wholesaler or a microbusiness dispensary, you need to receive written approval from the MDHSS. Written approval will only be given to those who pass the commencement inspection.
Unsuccessful Applicant Next Steps: Refund or Reapply
Unfortunately, not everyone who applied will have received a license. If your Missouri microbusiness license application didn’t get selected, there are a couple of options to consider, like requesting a refund.
Applicants not selected in the lottery can request a refund for the $1,500 application fee. Refunds can be requested online starting 31 days after the lottery date. However, you’ll only be able to get a refund if your application was complete and met all eligibility requirements. Keep in mind that refund requests must be made within six months of the lottery.
Alternatively, you can apply for a Missouri microbusiness license again during the third application window opening in 2025. Applications will NOT be automatically added to the next lottery if you do not request a refund. Those who want to reapply will have to do so with a new Missouri microbusiness license application during the designated window.
Why Work with CannDelta
CannDelta’s team of licensing and compliance efforts can guide you through the Missouri micro dispensary and cannabis wholesale license post-licensing process and get your site up and running before your competitors. Our team will handle all of the paperwork and ensure you pass your commencement inspection with ease.
Timing is a huge factor in Missouri’s cannabis industry. Capitalizing on this young market will drastically increase your ROI. Not only will you start seeing profits quickly, but you’ll also benefit from the increased profits due to Missouri’s ‘early-market’ price point of cannabis products, which is 57.2% higher than the national average. Cannabis lottery winners in Missouri will be ahead of their competition by completing the post-licensing process sooner rather than later.
Frequently Asked Questions
How can I get a Cannabis Microbusiness License in Missouri?
You can get a cannabis microbusiness license in Missouri by applying during an open application round, or by purchasing ownership of an existing license. To apply for a microbusiness license, the applicant will need to meet the unique application requirements and ensure they submit their application before the application window closes. Missouri issues applications following a lottery drawing. The lottery is used to ensure everyone has a fair chance at obtaining a license. Those that don’t win can request a refund.
How do I Start a Cannabis Business in Missouri?
In order to start a cannabis business in Missouri, you will need a cannabis business license. An individual or business entity can get a license by converting their medical license to an adult-use license, applying for a microbusiness cannabis wholesale license or microbusiness cannabis dispensary license, or by purchasing one of the aforementioned microbusiness licenses. Once you obtain a license, you will need to make sure your operation is compliant with Missouri’s regulations and cannabis laws. For cannabis lottery winners in Missouri, you will need to go through the post-licensing process and pass your commencement inspection before you can start your business.
Can I Get a Refund if I didn’t Win a Cannabis License in Missouri?
Yes! You can apply for a refund of your $1,500 application fee if you do not get awarded a license in Missouri’s microbusiness application rounds. Refunds can be requested online starting 31 days after the lottery date, but only if the application was complete and met all eligibility requirements. Refund requests must be made within six months of the lottery.
How Difficult is it to get a Microbusiness License in Missouri?
Getting a microbusiness license in Missouri can be challenging since there are specific eligibility requirements and there is no guarantee you will win the application lottery. The application process can also be time consuming and typically requires professional assistance. Purchasing a microbusiness license ensures you get one, but it still involves eligibility requirements and can be costly.
What can I do with a Cannabis Microbusiness License in Missouri?
With a cannabis microbusiness license in Missouri you can start a micro dispensary or wholesale facility. Here’s what you can do with these licenses:
Microbusiness Dispensaries
- Acquire, process, package, store, transport, and deliver cannabis products.
- Sell to other microbusinesses, qualified patients, caregivers, adult-use consumers, and testing facilities.
- Produce pre-rolls.
Microbusiness Wholesalers
- Acquire, cultivate, process, store, manufacture, and package cannabis products.
- Transport and deliver to other microbusinesses and testing facilities.
- Cultivate up to 250 flowering marijuana plants.
- Produce pre-rolls and infused pre-rolls with compliant manufacturing equipment.