Oklahoma Marijuana Bond

For businesses looking to work within the commercial medical marijuana industry in Oklahoma, obtaining a surety bond is one part of the licensing process that cannot be ignored. It is mandatory in many cases, proving to the state and its residents that you are operating within the law and that your responsibilities are adequately met. With this in mind, here we will look at how to obtain a marijuana surety bond in Oklahoma so both new and existing businesses can operate legally. Read on to learn more.

What Is a Cannabis/Marijuana Surety Bond in Oklahoma?

 A cannabis or marijuana surety bond in Oklahoma city is a type of financial guarantee required by the state for businesses operating within the legal marijuana industry. It acts as a safeguard for the state ( the obligee) and its residents, ensuring that licensed marijuana-related businesses adhere to all applicable laws, regulations, and requirements.

The surety bond guarantees that monetary penalties the licensee incurs during operations are paid, also covering any costs associated with the disposal of unused marijuana, marijuana products, hazardous materials, or other waste. In addition, it is checked and verified by OMMA when you apply for a new license, and when you renew a license after April 20,2023, which is when the new law came into effect.

Who Needs This Surety Bond?

 Whatever your existing or intended role within the medical marijuana industry, ensuring that your business is fully licensed is crucial to your businesses success and ability to operate within the law. Below we look at who currently requires a surety bond in order to apply to be a licensed grower.

Grow Operations

In the case of medical marijuana growers, a surety bond for at least $50,000 per cultivation license is required, however, if you can prove that the licensee has owned the licensed premises for at least 5 years, then you can be exempted. Read this article for more information on the marijuana grower license in Oklahoma.

How to Get a Cannabis Surety Bond in OK

Here at Lance Surety, we have more than 20 years of experience in bonding in all industries across in all 50 states, and we’re well placed to offer you our experience and knowledge in obtaining a medical marijuana bond. Below, we outline the main things to be aware of when applying for a surety bond in Oklahoma state.
 

1. Identify the Bond Amount — In the case of medical marijuana growers in Oklahoma, the bond amount will be $50,000. Remember, you will only need to pay a premium which will be in a percentage of this amount. 
2. Get a Bond Quote — Contact us today for a fast and free quote. We will contact you if we are unable to provide a quote instantly online.
3. Application and Underwriting — Apply for the bond and ensure you provide all the relevant paperwork and credentials to meet the bond requirements. We will evaluate the business's financial stability and creditworthiness during the underwriting process.
4. Bond Issuance — Once the underwriting process is complete,application is approved, and the premium paid, we will issue the cannabis surety bond.
5. File the Bond — Submit the bond to the Oklahoma Medical Marijuana Authority or the relevant licensing agency as part of the license application process.
    

How Much Does It Cost to Get a Medical Marijuana Bond in OK?

Currently, the bond amount to grow medical marijuana is $50,000. However, your business will only pay a premium on this amount, meaning the costs will be tied to your business's financial strength and credit score. Typically, surety bond costs are calculated as a percentage of the bond amount. For example, with a bond amount of $50,000 and a 3% rate, the bond premium would be $1,500 (3% of $50,000).