How to Win a Cultivation License in Ohio

Simple - order my book "The Marijuana Business Licensing Guide". Just kidding, well, not really. But for the rest of you, there are some snags you need to be aware of. Ohio does not have a formal application to fill out - it simply takes broad strokes and requires the applicant to provide most of the answers in five sections comprising 115 pages. To most people, this is daunting, but break the task up into the components they ask for, and it will be a much easier project.

One critical issue is "Identifiable" and "Non-Identifiable" information. The final submitted copy may have reference identifiers in the body, BUT IT MUST NOT MAKE MENTION OF ANY IDENTIFIABLE PERSON, PLACE OR THING - THAT'S A DEDUCTION OF UP TO TEN POINTS. Speak about "Cultivation Facility A" rather than the grow you set up in Michigan. Be careful of identifiers, as this application is fiercely competitive, so losing points on something you've been warned about in advance is unnecessary.  

Let's examine the particular sections to see where the highlights are.  The first section, the business plan, requires a “business model”. You have 15 pages allotted to speak about business experience, and your business model. Highlight your cultivation techniques, YOUR ABILITY TO PROVIDE A STEADY AND UNITERRUPTED FLOW OF MEDICAL CANNABIS BECAUSE OF THE DESIGN OF YOUR FACILITY, and your growing techniques.

The next section, the Operations Plan allows for a thirty page narrative on your operations plan.  There are the standard questions on your experience in cultivation, but one of the most closely graded parts of this section will be product time and production schedule, because the state wants to see medical marijuana patients able to obtain their medicine in the shortest period of time possible.   Work with your vendors or contractors to come up with the tightest schedule possible, and hold their feet to the fire. For standard operating procedures, highlight specific areas such as sanitation, storage, etc. - don't waste space giving the seven steps to disinfecting - a view from 30,000 feet is a better approach.

The quality assurance section is allotted 30 pages, with a maximum of thirty points. Any bells going off in your head right now? There should be. You need to show a solid seed to sale thought process, and just don't copy the information from your software vendor's website because that's what most people will do. Think outside of the box - speak about anti-diversion training, and really focus on recall procedures. Anyone looks like a hero when everything is going well, but the real heroes are those that keep their head in an emergency like a recall situation where lives, product and jobs are all on the line.

The security plan should be placed in the hands of experts. Remember - it must be tailored to your facility, so don't go with a one size fits all boilerplate plan. The people scoring the application will recognize this, and will give you a lower score than someone who speaks to details about the technology, power backups, separate systems, when passwords are changed, etc.

The financial plan is not a large point production, but it also is a danger warning. You need to convince the regulators that you understand the operating expenses and revenues associated with operating a cultivation center. When you prepare your pro forma statements, call the local electric company and find out exactly what their rates are for different seasons, and factor this in to show due diligence. Make sure any budget you present demonstrates a solid cushion for delays in construction, cost overruns, employee salaries while conducting training, etc.

Remember - the state has given you an outline, so you have no excuse for not addressing each part. The devil, however is in the details. Don't forget to proof, reproof, and then proof it one final time. Read the instructions for delivering the document and the required CD's. Stick to your game plan, and don't leave any questions unanswered, because I promise you your competition won't.