What is an Oklahoma marijuana bond?
An Oklahoma medical marijuana bond is a licensure requirement for applicants that want to run commercial medical marijuana-related establishments. The Oklahoma Medical Marijuana Authority requires various marijuana businesses to obtain a $100,000 surety bond – renewed annually.
- Medical marijuana growers: Businesses that legally grow marijuana for medical purposes and can sell to licensed processors and dispensaries
- Medical marijuana processors: Businesses that can legally process marijuana for medical purposes and sell it to licensed dispensaries and other processors
- Medical marijuana dispensaries: Businesses licensed to sell medical marijuana and medical marijuana products to the following license holders: patients, caregivers, researchers, and parents or legal guardians named on a minor patient’s license
- Medical marijuana researchers: An entity allowed to possess marijuana for human and plant research purposes only
- Medical marijuana transporters: Approved growers, processors, laboratories, dispensaries, researchers, and educators that wish to transport medical marijuana legally
The surety bond ensures the marijuana establishment pays the state any penalties incurred while operating. The bond may also cover the cost of disposing of marijuana products, unused marijuana, hazardous materials, and waste.
Get Your Oklahoma Marijuana Bond:
- The Oklahoma Medical Marijuana Authority requires marijuana-related businesses to obtain a $100,000 surety bond.
- The surety bond ensures that the marijuana establishment pays the state any penalties incurred while operating.
- The bond may cover the cost of disposing of marijuana products, unused marijuana, hazardous materials, and waste.
- You could pay as low as 1% of the total bond amount if you have excellent financial credentials.
How do Oklahoma medical marijuana bonds work?
Oklahoma marijuana bonds are three-party agreements between the following:
- Principal: The marijuana business license applicant
- Obligee: The Oklahoma State Department of Health
- Surety: The company that issues and backs the bond
The surety bond guarantees the obligee that the principal will fulfill their obligations after becoming licensed to operate legally in the state. If the principal fails to abide by the bond’s terms and conditions, the obligee may file a claim against the bond.
The principal may resolve the claim immediately. If they don’t, the surety will investigate and then settle the claim, if necessary, by paying the obligee the money owed. The principal must then reimburse the surety in full.
How much do marijuana bonds cost in OK?
You will pay a small percentage of the surety bond requirement for your license type. Your rate may depend on your credit score and personal and business financial statements. The lower your risk (e.g., higher credit score), the lower your premium rate. You could pay as low as 1% of the bond amount if you have excellent financial credentials. So if you need a $100,000 bond, you may only have to pay around $1,000 annually.
Eligibility Requirements for Oklahoma Medical Marijuana Licenses
- Applicants must be at least 25 years old and Oklahoma residents (if individual applicants).
- Entities must show that Oklahoma residents hold at least 75% of ownership.
- Entities must also be registered to conduct business in Oklahoma.
- Owners and officers must provide background checks and can’t have any type of felony conviction in the last five years.
- Applicants must submit a copy of the Oklahoma Secretary of State’s certificate of good standing document (unless the applicant is a general partnership or sole proprietorship).
- Dispensaries must prove that they aren’t located within 1,000 feet of any school entrances.
- Every owner must supply an Affidavit of Lawful Presence Form and supporting documents if not a U.S. citizen.
- The license application fee for processors, dispensaries, and growers is $2,500.
- Separate licenses are required for each business location.
Apply for your business license on the Oklahoma Medical Marijuana Authority website. You can use the Commercial License Application Checklist to ensure you have everything you need to apply successfully.
Get Your Oklahoma Cannabis Bond
ZipBonds is certified to provide Oklahoma marijuana bonds. Start the application process by clicking the button below. ZipBonds offers the fastest and most secure option for getting bonded. Our all-digital platform is intuitive and straightforward. If you have any questions along the way, call 888-435-4191, and we can walk you through the process.
Founders Ryan Swalve and Zach Mefferd formed the vision for ZipBonds.com when they realized how overly complicated it was to help clients place surety. The frustration of being unable to incorporate the technology they’d used in other insurance-focused projects left them thinking “there has to be a better way.”
Fast forward a couple of years, and that better way is the impetus of everything we do at ZipBonds. We constantly look for innovative ways to improve the bonding process for our clients and agents. Our team comprises individuals who understand all angles of surety – for companies, agencies, and individuals. Incorporating everyone’s point of view to improve the process while simultaneously integrating cutting-edge technology is what sets our business apart.