1. Understand regulatory and legal requirements. Do market research.

Research the laws and regulations governing the medical use of cannabis to learn more about the regulatory requirements for obtaining a license. The Oklahoma Medical Marijuana Authority (OMMA) is the regulatory agency for Oklahoma’s medical marijuana program.

Oklahoma Cannabis Legalization

Oklahoma Question 788, the Medical Oklahoma Cannabis Market Legalization Initiative, was placed on the Oklahoma ballot as an initiated state law on June 26, 2018. The referendum ultimately passed 57% to 43%, making Oklahoma the 30th US state to legalize medical use of cannabis. OMMA is responsible for processing applications for commercial and patient licenses, providing customer service to licensees and applicants, facilitating the rulemaking process based on state laws, enforcing the regulations, and more.

Oklahoma Cannabis Market

2. Decide the type of cannabis business. Choose a location. Check local zoning regulations.

Cannabis Licenses Types available in Oklahoma

In 2022, Oklahoma imposed a two-year moratorium on the issuance of new cultivation, processing and dispensary licenses, beginning August 26, 2022, and House Bill 2095, which was signed into law in May 2023, extends the licensing moratorium until August 1. 2026.

Cannabis Delivery in Oklahoma

Per Section 442:10-5-16(c) of the Oklahoma Medical Marijuana Regulations, no commercial licensee shall allow for or provide the delivery of medical marijuana or medical marijuana products to licensed patients or caregivers.

3. Develop a solid cannabis business plan. Secure financing.

Application requirements include a business plan demonstrating a likelihood of success and sufficient business ability and experience on the part of the applicant. A typical cannabis business plan outline includes sections such as Executive Summary, Market Overview, Sales Strategy, Operating Plan, Organizational Structure (+ Diversity Plan) and Financial Plan.

4. Prepare the required documents. Submit applications. Pay fees.

An applicant and each true party of interest in an applicant shall provide information in a form and manner as prescribed by the Authority, which may include, but is not limited to the following:

• A list of all owners and principal officers of the business applicant and supporting documentation, including, but not limited to: certificate of incorporation, bylaws, articles of organization, operating agreement, certificate of limited partnership, resolution of a board of directors, or other similar documents;
• A certificate of good standing from the Oklahoma Secretary of State issued within 30 days of submission of the application;
• Official documentation from the Secretary of State establishing the applicant’s trade name;
• An electronic copy or digital image in color of a sales tax permit issued by the Oklahoma Tax Commission;
• An Affidavit of Lawful Presence for each owner;
• If a licensed dispensary or grower, proof that the location of the facility is at least 1,000 feet from a public or private school;
• Documents establishing the applicant; and the members, managers, and board members if applicable; and 75% of the commercial applicant’s ownership interests are Oklahoma residents as required in the Oklahoma Medical Marijuana and Patient Protection Act;
• A certificate of compliance on a form prescribed or otherwise authorized by the Authority that is issued by the political subdivision where the licensed premises is to be located;
• All Certificate(s) of Occupancy, Final Inspection Report(s), and Site Plan(s), issued from or approved by the organization, political subdivision, office, or individual responsible for enforcing the requirements of all building and fire codes adopted by the Oklahoma Uniform Building Code Commission;
• Accreditation documentation, including documentation of enrollment in analyte specific proficiency testing results, showing applicants meet the requirements stated in the Regulations;
• Security plan as required under the Regulations;
• If a licensed grower, processor or transporter has added or is seeking to add a publicly traded company as an owner, additional documentation to show the grower, processor, or transporter applicants meet the requirements stated in the Regulations;
• A list of all chemicals a processor will utilize to process marijuana; Safety data sheets for every chemical a processor will utilize to process marijuana; and
• A bond or attestation as required under the Regulations.

5. Final approval. Obtain the required licenses.

Once approved, the license will come in the form of a licensed certificate and the business must comply with 63 OK Stat § 420 (2022) and the Oklahoma Administrative Code (OAC) 310:681. It is also necessary to register with the The Oklahoma Bureau of Narcotics and Dangerous Drugs upon obtaining a license from OMMA (63 O.S. §§ 2-101 & 2-302) as required by law before any medical marijuana or marijuana products can be present in business.

6. Register your business as an employer and a tax payer.

7. Keep track of your ongoing compliance requirements.

Physical security measures, good production practices, packaging, labelling, transport and reporting requirements, taxes and more.

Oklahoma Cannabis Taxes

SQ 788 authorized a 7% excise tax on retail sales of medical marijuana and medical marijuana products – sales from dispensaries to patients. Retail medical marijuana sales are subject to state and local sales tax, too.

Main steps in short

• Understand regulatory and legal requirements. Do market research.
• Decide the type of cannabis business. Choose a location. Check local zoning regulations.
• Develop a solid business plan. Secure financing.
• Prepare the required documents. Submit applications. Pay fees.
• Final approval. Obtain the required licenses.
• Register your business as an employer and a tax payer.
• Keep track of your ongoing compliance requirements.

Cannabis Dispensary Business Plan Sample, Oklahoma