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Arizona Marijuana Dispensary Application 2021

Arizona Marijuana Establishment License Application

Applications for Marijuana Establishments

Applications for Marijuana Establishments have been released by the Arizona Department of Health Services.  The applications are deceptively small. They are only a few pages long, but the requirements for the license make it out of reach for all but the wealthy.  Here is what is required:

  • Financial statement of $500,000
  • Affidavit of zoning
  • Affidavit of real estate ownership
  • affidavit of Principal Officers & Board Members


Want to Get a Dispensary License in Arizona in 2021

Arizona Marijuana Dispensary Application

It’s almost election day for Arizonians! Less than a month away from voting on the Smart and Safe Arizona Act, you should consider starting your plan to enter the recrational cannabis business in Arizona.

After the Smart and Safe Arizona’s initiative to legalize commercial recreational Marijuana in Arizona gathered 420,000 signatures, almost twice the number required to make the ballot, chances are Arizona joins the current 12 states in the United States to allow adult use of cannabis business.

Here is what you need to know about the initiative if you are one of the many interested in opening a marijuana dispensary in what is projected to become a multimillionaire market in Arizona.

Smart and Safe Arizona Act legalizes the use of marijuana for adults of 21 years of age or older, allowing the possession of Marijuana up to 1 ounce with no more than 5 grams of marijuana concentrate.

  • Further, it allows up to six plants in a locked location and with no public view cultivated per home, with no more than 12 plants in homes with at least 2 adults.
  • This legalization also means marijuana’s production, consumption, and distribution would be subject to regulation, taxation and local ordinance.
  • The Department of Health Services, which regulates the state’s medical marijuana program is designated as the regulatory authority to govern and oversee the commercial adult-use of marijuana establishments and facilities, notwithstanding the content of this Act.
Listen to our PodCast Cannabis Legalization News or Watch the YouTube titled Arizona Cannabis Lawyer for related information.

RELATED POST: How to Open a Cannabis Dispensary in Arizona

RELATED POST: Arizona Cannabis Lawyer

Want an Arizona Marijuana Establishment?

Arizona Marijuana Legalization Initiative



There are important points to take into consideration when applying for a marijuana license in Arizona:

How are the Dispensary Licenses issued in AZ?

The Regulatory Authority will only issue two Marijuana Establishment License per county as long as it does not contain a non profit medical marijuana dispensary, if it contains one registered non profit medical marijuana dispensary, it will only issue one.

The issuance of the licence should be done by random selection according to the rules adopted by the Department. At least 60 days prior to the selection it should be publicized on its official website and other means of distribution looking to reach all the interested parties. 

The licenses will be valid for two years. After it expires the applicants will have to renew their licences and pay the renewal fees. 

What is an Early Applicant in AZ Marijuana?

An early applicant is any entity seeking to operate a marijuana establishment in a county with less than two registered nonprofit medical marijuana dispensaries, or a non-profit medical marijuana dispensary registered and in good standing with the department that wishes to obtain an establishment license.

The early applications will be accepted from January 19th, 2021 to March 9th, 2021, no later than 60 days after the application is received the Department must issue a marijuana establishment license to the qualified early applicants. 

What is a Dual License in Arizona? 

A Dual License is defined as an entity that holds both a non profit medical marijuana dispensary and a marijuana establishment licence. Meaning existing Medical Marijuana Dispensaries are allowed to apply as an “early applicant” for the Establishment License. 


 What types of marijuana licences are available in AZ? 

The Smart and Safe Arizona Act differs with other state’s regulations, regarding marijuana dispensary licenses in multiple aspects, for example, it only establishes two types of licenses available:

  • The Marijuana establishment license, that authorizes to have a single retail location to sell, a single off site location to cultivate, process and produce and a single off site location to manufacture and package marijuana, the last two are not authorized to sell Marijuana in any manufacturing or cultivating location. The department of Health Services will issue no more than one marijuana establishment license for every ten pharmacies
  • The Marijuana testing facilities license authorizes the analysis and monitoring of the potency of the product and testing for any harmful contaminant in the marijuana. Not limited to private entities, the Department of Health Services could function as a testing facility as well.


What about the On-site consumption license?

Unlike states like Illinois and Alaska, this law does not contemplate a license for on-site consumption. Also, since we are discussing subjects not contemplated in the law, delivery of marijuana understood as transportation of marijuana to a consumer at a location other than the designated retail location, is considered unlawful, until the Department of Health Services regulates this subject matter, which is directed to adopt regulations for home delivery by 2025.

What rules do I have to follow once I have my license?

In order to operate a Marijuana establishment, a set of rules must be followed. if not, each violation could be up to $1,000

  • Sufficient security of the establishments and facilities;
  • Proper safety of the cultivation, processing and manufacturing process by the establishments; and
  • Appropriate tracking, testing, labeling and packaging of marijuana within the regulations established in the law.


What about taxes?

Marijuana would be subject to sales tax rate of 5.6%, plus 16% excise tax. The money from the excise tax would be used to fund the Department of Health Services and the department of Public Safety to ensure the implementation of the law.

The remaining would be distributed among community college districts, fire and police departments and other grants or programs that support public health.

What other things should I know about the Smart and Safe Arizona initiative?

  • The Smart and Safe Arizona initiative specifies violations for adults over 21 caught with more than 1 ounce but less than 2.5 ounces guilty of a petty offense and minors caught with less than an ounce to be sanctioned with a $100 fine on first offense and drug counseling. 
  • The act explicitly does not allow marijuana use in public places such as parks or restaurants and does not allow driving, flying or boating while impaired to even the slightest degree by marijuana. 
  • Also, It does not inhibit the rights of the employer to demand for drug-free workplaces or to implement policies restricting the use of marijuana for its workers or job applicants.


Don’t miss out on our Marijuana Legalization Map where you can browse the current status of laws in every state in the United States and see all our posts on each of them.

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Want an Arizona Marijuana Establishment?

How to open a dispensary in New Jersey

How to open a dispensary in New Jersey

How to get a dispensary license in New Jersey? That's the question you should ask yourself if you're thinking about opening a dispensary in New Jersey. In order to obtain a dispensary license, you’d need to comply with requirements established by the new law on the...

Thomas Howard

Thomas Howard

Cannabis Lawyer

Thomas Howard has been in business for years and can help yours navigate towards more profitable waters.

316 SW Washington Street, Suite 1A
Peoria, Illinois 61602

Phone: (309) 740-4033 || Email:  [email protected]

150 S. Wacker Drive, Suite 2400,
Chicago IL, 60606 USA

Phone: 312-741-1009 || Email:  [email protected]

316 SW Washington Street, Suite 1A
Peoria, Illinois 61602

Phone: (309) 740-4033 || Email:  [email protected]

150 S. Wacker Drive, Suite 2400,
Chicago IL, 60606 USA

Phone: 312-741-1009 || Email:  [email protected]

cannabis industry lawyer

316 SW Washington St,Peoria,
IL 61602, USA
Call Us (309) 740-4033 || e-Mail Us [email protected]
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