Cannabis Industry Opportunities
Arizona
Proposition 207, also known as the Smart and Safe Act, legalized adult recreational marijuana use in Arizona. Adults 21 and older can possess up to 1 ounce (28g) of marijuana and grow up to 6 plants per household (or up to 12 plants in households with two or more adults).
The Arizona Department of Health Services set regulations for retail sales by June 1, 2021. Marijuana sales are subject to state and local sales taxes plus an additional 16% excise tax, with revenue benefiting state agencies, highways, community colleges, and public safety departments.
Application fees include a non-refundable $25,000 fee for establishments and testing facilities, with a $5,000 annual renewal fee. Additional manufacturing or cultivation sites require an extra $2,500 fee.
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As of October 2019, Arizona had 205,104 qualified patients licensed to purchase medical marijuana from state-licensed nonprofit dispensaries. Sales grew by 42% in 2018, with 61 tons of marijuana sold, generating approximately $400 million in revenue. Sales of edible products and other concentrated forms grew by 55%, while dried flower sales increased by 40%.
If you are just starting your marijuana business, the best next step is to create a Business Plan to educate your team and prepare for the marijuana business license application process.
If you are ready to apply for a Marijuana Business License in Arizona, please contact us or call our offices to set up an appointment. You can also explore other state opportunities or fill out our Contact Form to discuss strategies such as investment or partnership opportunities.