How to Start a Marijuana Delivery Service in Washington D.C.

Medical and recreational marijuana were both legalized November of 2014 in the District of Columbia. The cap for the numbers of dispensaries, delivery services, and other cannabis businesses has already been reached, unfortunately, meaning D.C. is not currently taking applications for new cannabis businesses.

In case the application window does open again, it is still a good idea to be informed of how to open a marijuana delivery business in the District of Columbia. Keep reading for some useful information for getting started.

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    When was cannabis made legal
    When was cannabis made legal – Image powered by Marijuana.com

    Legalization of medical and recreational cannabis in Washington D.C. passed on November 4, 2014, when Initiative 71 was passed by overwhelming majority. There are currently a total of three dispensaries and five cultivation centers that are operating. They were the ones to receive the first licenses for cultivation and selling marijuana. Since then, new applications have not been accepted.

    The Department of Health regulates and monitors the licensing and operations of these businesses.

    How many marijuana businesses are there in the state

    The District of Columbia only accepted applications for dispensaries for a short amount of time in the 2013-2014 period. Applications are no longer being accepted. When they were, however, only three dispensaries were allowed to run their businesses in D.C. They are still in operation, and so far no new application window has been announced.

    How much money is there in the delivery market

    How much money is there in the delivery market
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    There are approximately 100,000 people who regularly purchase or use marijuana within the legal limits of the D.C. law. The Department of Health Regulation and Licensing also asserts that 5,219 residents of D.C. are registered as medical marijuana patients.

    Because each of the 100,000 customers spends around $1,000 annually on marijuana and marijuana-related products, the business is worth around $100,000,000. That is quite good for such a small place.

    Delivery Owner requirements

    For all intents and purposes, a delivery business does not directly distribute marijuana. Technically, customers are paying for legal products and get marijuana for “free,” rather than paying for the delivery service itself. Therefore, people who want to own a delivery service must own the business that customers can buy the marijuana from and delivery the product without an extra delivery fee.

    Unfortunately, the window of application for any kind of cannabis business has been closed. If it opens again, you should note that local authorities have full control to decide they do not want cannabis businesses in their area or to take away licenses from an existing marijuana business. If able to apply for a license, be sure to have a financial and business plan before submitting your application, as it will be required in the process.

    Financial requirements for delivery business

    Financial requirements for delivery business
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    The registration fee every year costs $10,000, and the one-time application processing fee costs $5,000. If your dispensary were to have its own growing operation on site, you would have to pay another $10,000.

    Other fees also apply, such as registration (annual) for employees ($75), managers ($150), or directors, members, officers, incorporators, or agents ($200). To run delivery services from a dispensary, a transport permit will be required – that costs just $25.

    License requirements

    Delivery business owners need to apply for a transportation license as well as all the other licensing requirements. Even following these rules, however, it is currently impossible to get licensed. Hopefully in the future licensing will be once again allowed.

    How much does a marijuana delivery in Washington D.C. make?

    Marijuana delivery services in Washington DC are not separate businesses, however, nationwide dispensaries can easily make anywhere from $50,000 a year up to millions.

    Timeframe

    Timeframe
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    Because it takes time to acquire the necessary licenses and raise capital. starting a cannabis business can easily take more than a year. However, Washington DC is not currently accepting new applications for business so the process will take even longer.

    Looking to start a marijuana delivery business in Washington D.C.? Get help from one of these consulting companies.

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