cannabis licensing

Learn about the process of obtaining cannabis licenses for cultivation, manufacturing, and retail across different jurisdictions.

Modern New Mexico cannabis lounge interior design with compliant layout
Cannabis Business Plans and Strategies, Cannabis Consulting, Cannabis Facility Design, Cannabis Licensing & Applications, New Mexico, Recreational

Open a Cannabis Lounge in New Mexico: Licensing & Compliance Guide

New Mexico’s Cannabis Regulation Act (2021) explicitly authorizes On-Site Consumption Area licenses (often called “consumption lounge” permits) under the NM Cannabis Control Division (CCD). The CCD issues two types of permits: Type I (non-smoking, edibles/vapor) and Type II (smoking allowed). A consumption area license lets a venue legally serve non-infused snacks/beverages and allow consumption of cannabis products by patrons age 21+. These can be standalone lounges or add-ons to other licensees (e.g. a dispensary or restaurant that obtains a consumption license).

Modern cannabis lounge interior design with comfortable seating and stylish decor
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U.S. Virgin Islands Cannabis Consumption Lounge Getting Started Guide

The U.S. Virgin Islands legalized adult-use cannabis in 2023, and its regulators have explicitly created consumption lounge permits. Under the Virgin Islands Cannabis Regulatory Advisory Board’s rules (approved April 2024), a qualified operator can obtain an Adult-Use Lounge Permit. This permit allows on-site cannabis consumption by adults 21+ in a designated area. Unlike many states, the USVI permits both smoking and non-smoking lounges, provided you choose the correct permit type.

Modern interior design of a Nevada cannabis lounge with stylish seating and ventilation features
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Nevada Cannabis Lounge License Guide: What You Need to Know

Nevada has enthusiastically embraced consumption lounges. In 2021, Governor Sisolak signed AB 341 authorizing the Nevada Cannabis Compliance Board (CCB) to license cannabis consumption lounges. After extensive stakeholder work, the CCB approved final regulations in late 2023. Lounges are split into two types: Retail Lounges (operated by licensed dispensaries or microbusinesses) and Independent Lounges (standalone sites).

Man smoking cannabis at a Missouri-style private lounge
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Are Missouri Cannabis Lounges Legal? Here’s What Entrepreneurs Need to Know

Missouri’s adult-use legalization (Amendment 3, 2022) did not establish any state license for cannabis lounges. Consequently, there is no state-regulated consumption lounge for recreational cannabis at this time. Instead, an underground network of private, membership-only clubs has emerged.

Interior of a modern cannabis lounge similar to potential Minnesota cannabis events.
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Hosting a Minnesota Cannabis Lounge Event: Tips For Success

Minnesota’s adult-use cannabis law (2023) does not create a permanent lounge license, but it allows temporary consumption events via a Cannabis Event Organizer license for up to four-day events (like festivals) where licensed retailers can sell cannabis and patrons may consume on-site. A licensed event organizer must obtain local approval and permits for each event.

Interior of a modern Michigan cannabis lounge with seating and ventilation systems
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Michigan Consumption Lounge Licenses: What You Need to Know

Michigan law explicitly recognizes and licenses cannabis “Designated Consumption Establishments.” These are commercial venues where adults 21+ can legally consume cannabis products on-site. The Michigan Marijuana Regulatory Agency (MRA) issues Consumption Lounge Licenses to qualified entities. Pursuant to state rules (MRTMA and R 420.21(3)), any person or business that allows on-site cannabis use in exchange for a fee or membership must hold this license.

Interior of a modern Maryland cannabis lounge designed for safe on-site cannabis use.
Cannabis Business Plans and Strategies, Cannabis Consulting, Cannabis Facility Design, Cannabis Licensing & Applications, Cannabis Operations and Optimization, Laws and Regulations, Recreational, United States

Maryland Cannabis Lounge Laws: What’s Coming and How to Prepare

Maryland’s adult-use cannabis law (July 2023) authorizes on-site consumption lounges, but the regulations are still developing. The 2023 Cannabis Reform Act created “On-Site Consumption Lounge” licenses, akin to food-service venues, where cannabis can be consumed on premises. However, the Legislature has directed the Cannabis Administration (MCA) to delay issuing these licenses until local zoning is ready and the new rules are promulgated.

Modern interior of an Alaska cannabis lounge with ambient lighting and comfortable seating.
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Alaska Cannabis Lounge Licensing: A Comprehensive Guide for Operators and Investors

Alaska has emerged as a pioneer in permitting on-site cannabis consumption, authorizing licensed retail marijuana stores to add consumption lounge endorsements. As an Alaska cannabis consultant, we at Catalyst BC know the rules inside out. This article walks you through the entire process of applying for and obtaining an Alaska cannabis lounge license (officially an onsite consumption endorsement for a retail store).

A cannabis company representative demonstrates various cannabis products to a dispensary owner inside a retail store, highlighting different Cannabis Distribution Channels including Retail Cannabis Sales, Online Cannabis Sales, and Cannabis Dispensary Partnerships.
Cannabis Business Plans and Strategies, Cannabis Consulting, Cannabis Operations and Optimization, Laws and Regulations, Recreational

Cannabis Distribution Channels: Choosing the Best Sales Strategy For Your Business

A successful cannabis business must carefully select its Cannabis Distribution Channels to maximize market reach and profitability. These channels determine how your product reaches consumers and include various strategies such as retail storefronts, dispensary partnerships, and online sales. Transitioning smoothly between these options requires understanding each channel’s nuances and aligning them with your business goals.

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