If you are wondering how to open a dispensary in Georgia, you’re not alone. With the legalization of low-THC medical cannabis oil, the state is witnessing a fast-growing demand for dispensaries.
However, opening a dispensary in Georgia requires strict compliance with licensing regulations, business planning, funding, and adherence to state laws.
This guide walks you through every step you need to know — from applying for a license to business planning, compliance, costs, and ongoing operations.
Why Open a Dispensary in Georgia?
Georgia legalized the sale of low-THC cannabis oil (≤5% THC) in 2019 under the Georgia’s Hope Act (House Bill 324). Legal dispensary sales officially began in April 2023, and the market has been growing ever since.
- Over 27,000 registered patients are currently part of Georgia’s Low-THC Oil Registry.
- The Georgia Access to Medical Cannabis Commission (GMCC) estimates $90 million in sales within the first year of operations.
- For every 10,000 new registered patients, the GMCC approves additional dispensary licenses.
This indicates a steady increase in patient demand, making now the perfect time to learn how to open a dispensary in Georgia.
Entrepreneurs entering the cannabis space in Georgia have the advantage of joining an emerging, less saturated market compared to states like California or Colorado.
Types of Dispensary Licenses in Georgia
Georgia is unique compared to other states because it only offers one type of dispensary license:
- Dispensing License – Allows licensees to purchase cannabis oil from licensed production facilities and sell to registered patients in Georgia’s Low-THC Oil Program.
Unlike states with multiple license types (retail, hybrid, delivery), Georgia’s market is narrowly focused, which makes compliance critical.
How to Apply for a Georgia Dispensary License
If you’re researching how to open a dispensary in Georgia, the first major step is securing a Dispensing License from the GMCC. Here’s the process:
Steps to Get a Dispensary License in Georgia:
- Obtain Eligibility – Applicants must hold a Class 1 or Class 2 Production License before applying.
- Download & Complete the Dispensing License Application Form from the GMCC.
- Prepare Required Documentation, including:
- Government-issued ID
- Business permits and entity registration
- Criminal history background check
- Tax compliance certificate
- Fingerprint and E-Verify affidavit
- Affidavit of lawful presence
- Detailed facility information (site plan, security systems, operating procedures)
- Owners’ information (5%+ controlling interest)
- Pay Application Fees – Must be paid by business check only.
- Submit Application – Send completed forms and supporting documents to:
Georgia Access to Medical Cannabis Commission
7 Martin Luther King Jr. Drive Suite 146, Atlanta, GA 30334 - Wait for GMCC Review – The Commission only opens licensing during designated application periods.
👉 Note: As of now, Georgia is not accepting new applications, but it is expected that more licenses will open as patient demand grows.
Costs of Opening a Dispensary in Georgia
Opening a dispensary in Georgia requires significant investment. Costs include:
Licensing Fees
- Application Fee: $5,000
- Dispensing License Fee (by county tier):
- Tier 1 – $15,000
- Tier 2 – $20,000
- Tier 3 – $25,000
- Tier 4 – $30,000
Real Estate Costs
- High-traffic Georgia retail space can cost up to $100,000 annually in rent.
- Renovations, design, and security upgrades can add $30,000–$50,000.
Inventory & Operational Costs
- Cannabis oil inventory varies by supplier and size of dispensary.
- Business equipment (POS systems, barcode scanners, dispensary scales) – approx. $25,000.
- Security surveillance, alarms, and storage – $50,000–$75,000 annually.
- Attorney retainers and compliance consulting – up to $50,000 yearly.
Human Capital Costs
- Dispensary Manager salary – approx. $52,000/year.
- Entry-level staff salary – approx. $23,000/year.
- Training programs & HR costs – additional $10,000–$20,000.
Business Planning for a Georgia Dispensary
A comprehensive business plan is essential for success and often required during the licensing process.
Key Elements of a Dispensary Business Plan:
- Executive Summary – Company vision, mission, ownership, and location.
- Company Overview – Value proposition, compliance with Georgia cannabis laws.
- Market Analysis – Georgia’s patient registry growth, competition, and pricing strategy.
- Marketing Strategy – How to reach patients effectively through digital and community outreach.
- Compliance & Security Plan – Standard Operating Procedures (SOPs), inventory management, site layout, and theft prevention.
- Financial Analysis – Revenue projections, startup vs. recurring costs, and long-term ROI.
Where Can You Open a Dispensary in Georgia?
State law allows dispensaries in most retail zones, but restrictions apply:
- Cannot operate within 1,000 feet of schools, daycare centers, or religious institutions.
- Cannot be located near another existing dispensary.
- Must comply with zoning and municipal business permitting.
Dispensing license holders are allowed up to six dispensary locations across Georgia.
Do You Need Insurance for a Georgia Dispensary?
Although Georgia law does not mandate insurance, it is highly recommended. Common policies include:
- General Liability Insurance – Covers accidents on-site.
- Product Liability Insurance – Protects against claims related to cannabis oil.
- Commercial Property Insurance – Covers fire, natural disasters, theft.
- Crime Insurance – Protects against burglary and robbery.
- Workers’ Compensation Insurance – Covers employee injury or illness.
Funding Options for Opening a Dispensary in Georgia
Because cannabis is federally illegal, most banks will not offer loans. Alternatives include:
- Self-funding (personal savings)
- Friends & family loans
- Private investors & equity funding
- Cannabis industry brokers who connect entrepreneurs with investors
Does Georgia Have a Social Equity Program?
Unlike states such as Illinois or New York, Georgia does not currently offer a cannabis social equity program.
Taxes for Georgia Dispensaries
Under the Georgia’s Hope Act (HB 324), dispensaries must pay:
- 4% state sales tax
- Additional local sales tax (up to 9% total) depending on jurisdiction
FAQs on How to Open a Dispensary in Georgia
Q1. Can I open a recreational dispensary in Georgia?
No. Georgia only permits medical cannabis in the form of low-THC oil (≤5% THC). Recreational marijuana remains illegal.
Q2. Do I need to be a Georgia resident to open a dispensary?
Yes. Applicants must comply with Georgia residency and business registration requirements.
Q3. How many dispensary licenses are available in Georgia?
Licenses are tied to patient demand. For every 10,000 registered patients, the GMCC approves new licenses.
Q4. Can I apply for multiple dispensary locations?
Yes. A license holder can operate up to six dispensary locations in Georgia.
Q5. What products can Georgia dispensaries sell?
Dispensaries can only sell low-THC cannabis oil, not flower, edibles, or smokable cannabis.
Q6. How long does it take to get approved?
The GMCC does not publish exact timelines. Processing depends on the application period, completeness of documents, and patient demand growth.
Q7. Is insurance mandatory for Georgia dispensaries?
No, but it is strongly recommended to protect against theft, liability, and natural disasters.