Louisiana Marijuana Pharmacy Permit Bond
What is a Louisiana Marijuana Pharmacy Permit Bond?
This will also serve as the license applicant’s financial capacity to properly operate a marijuana pharmacy.
This surety bond is pursuant to Section 2447 of the Marijuana Pharmacy.
Who is required to get a Louisiana Marijuana Pharmacy Permit Bond?
Any person seeking to obtain a marijuana pharmacy license in the State of Louisiana.
A marijuana pharmacy is an area within a facility where marijuana is stored, dispensed, and sold. If a facility does not offer any products or services other than marijuana and/or related supplies, the entire facility is considered a marijuana pharmacy.
A marijuana pharmacy owner, on the other hand, is a person with an ownership interest in a marijuana pharmacy.
A person cannot be classified as a marijuana pharmacy owner if the said person’s investment interest in a publicly-held company does not exceed 5% of the total ownership or interest rights in such pharmacy, and if such person does not participate directly or indirectly in the control, management, or operation of the pharmacy.
How does a Louisiana Marijuana Pharmacy Permit Bond work?
There are 3 key parties to this bond:
Principal – Marijuana pharmacy license applicant
Obligee – Louisiana Board of Pharmacy
Surety – Surety bond provider
The Obligee is the party who is requiring this bond while the Principal is the party that must obtain this bond and is responsible for fulfilling the obligations of the bond. The Surety will serve as the Principal’s financial guarantor. Both the Principal and the Surety are responsible for the default of the former.
If the Principal fails to fulfill any of the bonded obligations, the Obligee can recover its financial losses through a bond claim.
The Surety will pay the Obligee on behalf of the Principal; however, the Principal must repay the Surety soon after.
How much does a Louisiana Marijuana Pharmacy Permit Bond cost?
The Louisiana Board of Pharmacy will determine the bond amount. The minimum bond amount is $100,000.
The license applicant’s bond premium will be a small percentage of the bond amount—depending on the license applicant’s credit score. For those who have excellent credit scores, the bond premium will only be 1% of the bond amount.
The Louisiana Board of Pharmacy can reduce the amount of marijuana pharmacy has achieved the following milestones:
- The marijuana pharmacy is fully operational and able to commence and has begun dispensing of marijuana as provided in this Subchapter
- The marijuana pharmacy remained operational and without substantial interruption and any violation of law or regulation for 1 year
- The pharmacy remained operational and without substantial interruption and any violation of law or regulation for a second one year period
How to get a Louisiana Marijuana Pharmacy Permit Bond
The first step is to apply for this bond HERE.
We will immediately process your application as soon as we have received it. An underwriter will then evaluate the following:
- Your financial strength
- Your job/business performance history
- Your credit score
Once the pre-qualification process is fulfilled, we will execute the bond and send it to you.