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How to Start a Recreational Marijuana Business in Arizona

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Voters approved the Marijuana Legalization Initiative (a.k.a Proposition 207), which legalizes the use and possession of recreational (adult-use) marijuana in the state of Arizona.

The initiative makes the Arizona Department of Health Services (DHS) responsible for adopting rules to regulate and license the following recreational marijuana businesses:

  • Retail Stores (Dispensaries)
  • Cultivation Facilities
  • Manufacturing Facilities (Oils, Drinks, Food, Lotions, etc.)

The DHS will begin accepting license applications from existing nonprofit medical marijuana dispensaries that want to operate as recreational facilities from January 19 to March 9, 2021. They are required to issue those licenses within 60 days. Lawmakers then have until April 5, 2021 to establish regulations for the state’s adult-use marijuana industry to open up licensing to everyone else.

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What can you do right now?

The state will begin accepting licensing applications in April, 2021 so you need to be well-prepared to hit the ground running and be ahead of your competition.

If you start preparing when the state announces details, you’ll probably be too late – we see it happen all the time, especially in Arizona where competition is extremely high. We typically work with clients anywhere from 6 months to 2 years ahead of a licensing period because there’s so much to do.

Below is a quick list of the bigger things you should start working on right away if you’re actually serious about starting a recreational marijuana business in Arizona.

1. Learn everything you need to know, do, and prepare.

Now is when you need to know what to do, what to expect, and how much it’s going to cost in order to get ahead of your competition. You can spend the next 6 months reading through all the legal documents and hopefully figure it out perfectly so you can then get started. Or you can save yourself a bunch of time, hassle, and wasted money by letting us show you everything via a Starter Package.

2. Figure out what business type is best.

You should know what type of marijuana business will be a good fit for you, your partners, your budget, and skill set. So many clients start out wanting one business and realize another is actually a better fit for them. Did you know there’s upwards of 10 different types of marijuana businesses available to you? Get this wrong and you may have to start all over from square one.

3. See how much money you need.

Most people completely underestimate how much it costs to actually start a recreational marijuana business. But they also underestimate how much money it can make. The How to Start a Recreational Marijuana Business in Arizona package goes over typical budget scenarios for every type of business so you can understand real-world costs for this, including staffing positions and salaries.

4. Find a compliant business location.

Without a location, you won’t be able to have a recreational marijuana business – period. You’ll need this in order to apply for any license – you can’t apply and then find a location. It’s a rookie mistake that will torpedo your chances of success. Start working on this right now because a location is the make-or-break item for so many clients. This is why it’s extensively covered in the Starter Packages. Competition, costs, and everything associated with getting a location are extremely difficult and only get worse and more expensive the closer you get to the licensing period – so do not wait on this!

Get Started In 10 Minutes

You’ll be starting your dream business in under 10 minutes with our easy-to-follow Starter Packages.

Some of the things included:

  • Step-by-step instructions.
  • How much $$ you need.
  • How to be 100% legal.
  • How to find a location.
  • Funding types available.
  • Rookie mistakes to avoid.



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