Your Guide to Cannabis Licensing in Washington State

The Evergreen State’s legal cannabis market is predicted to reach $3.34 billion by 2030, with an annual growth rate of 14.4% from 2024 to 2030. Every cannabis business operating within the state must have a Washington state marijuana license — and that makes a Washington cannabis license a hot commodity!

A Washington cannabis license includes production, processing and sales. The Washington State Liquor and Cannabis Board (LCB) is not currently accepting new license applications, except from those who have already registered under the Social Equity Program. The only way to get a Washington cannabis license (as of publication) is to buy it from a current license holder. If a seller is located, the LCB will then review the buyer’s criminal history and require proof of a minimum of six months of Washington state residency before approving the transfer.

Next, the existing owner’s license for a cannabis processor, producer or retailer endorsement must be assumed. This process requires a Business License Application and a Cannabis Addendum, as well as a first round of fees for state endorsement:

• Cannabis Producer: $250
• Cannabis Processor: $250
• Cannabis Retailer: $250
• Medical Cannabis: $0
• Cannabis Infused Edibles Processor: $895 (must have a valid Processor endorsement)
• Cannabis Research: $250
• Cannabis Transportation: $250
• Change in Owners/Officers/Location: $75

How to Open a Dispensary in Washington

If purchasing an existing cannabis license in Washington isn’t possible, the next best thing is to prepare for the application process before it reopens. Probably the most important factor when considering how to open a dispensary in Washington is the cost to obtain a license and how are you going to recoup your investment.

The marijuana business license Washington fees are:

• Producer: $1,480 for a new license; $1,200 for the annual renewal
• Processor: $1,480 for a new license; $1,200 for the annual renewal
• Retailer: $1,230 for a new license; $1,200 for the annual renewal
• Research: $1,480 for a new license; $1,200 for the annual renewal
• Transportation: $1,480 for a new license; $1,200 for the annual renewal

Once funding is identified, the business needs to be registered with the Washington Secretary of State’s Office. It’s also wise to research local rules, as each city and county has its own zoning laws and permit requirements.

Additionally, potential cannabis businesses must provide an insurance certificate when applying for a Washington state marijuana license. This insurance policy must be in the applicant’s name and specifically highlight the type of business to be owned, as well as carry a minimum coverage of $1 million.

Supplementary requirements for applicants:

• Must be 21 years of age or older.
• Must have lawfully resided in the state for at least six months before submitting an application.
• Must submit a Personal Criminal History form and have fingerprints taken upon LCB request.
• An individual or married couple may not be a “true party of interest” in more than five retail cannabis licenses, nor may an individual or married couple be a “true party of interest” in both a cannabis retail license and a cannabis producer or processor license.

Typically the Washington cannabis licenses application process is:

1. Apply for the necessary license through the LCB.
2. A Licensing Specialist will be assigned to your case and review your application.
3. If approved, a billing statement with payment instructions will be sent
4. Upon receipt of payment, an approval letter will be forwarded, which also acts as a temporary 30-day license.

Fee and description sheets are available in English, Korean and Spanish.

Staying in Canna Compliance in Washington State

Successfully operating a cannabis business in Washington State means following strict rules and regulations set by the LCB. Staying compliant is essential to maintain a Washington marijuana business license and a solid reputation in the community.

Some of the compliance requirements include:

• clear product labeling that indicates ingredients, potency and required warning labels
• established internal audits and protocols to stay current on regulatory changes
• detailed records of inventory, sales and financial transactions
• installed and working surveillance cameras, access controls and alarm systems
• regular updates to security protocols
• procedures for quick responses to compliance concerns and inquiries

More information can be found on the Washington cannabis licensing FAQ page.

Connect with the Washington State Cannabis Community

We’re coming back to our original stomping ground in 2025! CannaCon West will be in Vancouver on Oct. 3-4 at the Clark County Event Center in Ridgefield, Wash.

CannaCon is the nation’s leading business-to-business cannabis conference and the perfect place to get advice on starting or maintaining a canna business, network with industry professionals, learn how to raise funding and more.

The goal of CannaCon is to grow the cannabis industry by educating cannabis business owners on all things related to cannabis and hemp. CannaCon trade shows feature an exhibit hall with canna businesses from around the country, as well as seminars delivered by industry experts. Mark your calendar and register to attend CannaCon West in Vancouver!