The medical Cannabis laws and regulations that have been recently proposed for the states can be a major buzzkill for many small business owners and entrepreneurs. This is because as previously thought, it is not quite possible for just any business or individual to set up a marijuana business in the state. The cannabis laws is very strict and one thing that has really put off individuals from opening their own business is the costs involved.
Under the cannabis law, to be able to set up a cannabis business, individuals must have at least $500,000. they must pay a non refundable application fee of $5000, have assets worth over $400,000 and pay a permit fee of $30,000. In addition, they must be able to renew their permits every year for $25,000. Different fees apply for cultivation centres, but the overall amount needed is almost similar. This rule was very important to keep only serious players in the game. Now, only those entrepreneurs and business which are well capitalized can submit their applications and see if they are eligible to open their own businesses. However, applicants will be required to undergo several background checks before they can obtain licenses and permits and run their marijuana businesses.