It is no shock that Ontario’s cannabis market has been a vivid spot the place personal leisure shops are thriving. In actual fact, reviews present the province noticed a important increase in cannabis gross sales from the bodily retailer rollout in April. Initially capped at 25, Ontario’s authorities final week introduced its plans to simply accept the second allocation of cannabis retail retailer authorizations this fall – 50 to be actual – by amending the Ontario Regulation 468/18.
So what does the modification imply? The new regulation overrides the primary lottery course of initialized by the AGCO in January 2019 to not solely raise retailer allocation limits but additionally implement pre-qualification controls for lottery individuals. Additionally, these on the waitlist from the earlier lottery course of are eligible to use.
Learn how to Apply for a Hashish Retail License within the AGCO Lottery
Now that the AGCO is open for enterprise, it is time to get to work. In case you are fascinated with opening a cannabis dispensary in Ontario, hold studying for a fast overview of what it’s best to know in regards to the upcoming AGCO lottery.
What number of operator licenses and retailer authorizations can be awarded?
Within the subsequent licensing spherical, 50 operator licenses and retailer authorizations can be awarded throughout Ontario, divided throughout 5 areas and First Nation land. 42 can be allotted to the next areas: (7) East, (6) GTA, (13) Toronto, (11) West with the North Area having (5) particular cities to allocate to. The remaining eight (8) retailer areas are to be allotted on First Nation land.
What pre-qualification standards do lottery candidates want to satisfy?
Should you’ve determined that you’ve a future in Ontario’s burgeoning cannabis retail market, first you may should take part within the AGCO’s lottery course of to win a license. The next are must-haves to pre-qualify.
- Affirmation from a financial institution or credit score union that the applicant has the monetary capability to acquire $250,00zero in Money or Money Equivalents (e.g. bonds, different short-term investments)
- Affirmation from a financial institution or credit score union that the applicant can receive a Standby Letter of Credit score for $50,00zero inside 5 enterprise days of being notified of their choice by the Registrar
- Affirmation that the applicant has secured an acceptable retail area, together with its handle, which can be obtainable to them for working a cannabis retail retailer no later than October 2019
What’s the AGCO’s timeline for the second allocation of cannabis retail retailer authorizations?
These are thrilling instances in Ontario. With all that that you must bear in mind it is crucial that you simply hold you up with the method and vital deadlines. The AGCO shared the next crucial dates for lottery candidates to recollect.
- To take part within the lottery, candidates should submit an expression of curiosity between August 7, 2019, at 12:01 a.m. and August 9 at 8:00 p.m.
- The draw will happen on August 20, 2019, and the AGCO intends to publish the outcomes of the lottery, together with the chosen retailer areas, on its web site inside 24 hours of the lottery draw
Separate from the lottery course of, on July 31, 2019, at 9:00 a.m., the AGCO will start accepting purposes from any applicant who has obtained Band Council approval to function a retailer on its First Nations reserve. Eight such retailer authorizations can be obtainable on a first-come, first-served foundation.
When will the second wave of cannabis retail shops open within the province?
As soon as you’ve got obtained a license, you may have to maneuver quick. In line with the AGCO timeline, it’s anticipated that shops will start to open in October 2019, as they grow to be prepared. If chosen, you may must discover a cannabis retail POS associate you possibly can depend on, and Cova has a confirmed observe file. In actual fact, Cova helped 22 Ontario cannabis retailers launch their retailer in time, avoiding hefty fines.
Because of our important market share, Cova has gained recognition as the usual for cannabis retail. That mentioned, we’re nicely established to associate with the rising success of the following technology of cannabis retailers. Request a demo at this time!