Cannabis stores in Ontario are finally accepting customers, as retailers are opening stores one after another in an attempt to make up for the time lost since the start of April.
Cannabis retailers in Ontario are finally on the verge of making millions as they started taking in customers in the last couple days.
Prior to that, many of them had hefty fines to pay as they were late to the opening date which was set for April 1st.
So far, only one license owner has lost his rights as he didn’t fill out all obligations for the lottery, and his license has been passed onto the replacement winner.
More than half late to open
As we’ve mentioned before – the Alcohol and Gaming Commission of Ontario has decided and announced the launch of retail sales a couple of months ago, and all retailers were expected to make the date.
If not, they would have to pay late-fines, which many of them did. Altogether, 12 of 25 retail stores in Ontario were late to open, an astonishing 45%.
That left the open question of whether they should’ve been fined at all, as many retailers feel they’ve been given too little time.
The AGCO says it’s drawing down credit from 12 retailers that aren’t open yet, according to the agreement these retailers signed when applying for the “cannabis lottery“.
Two other retailers were also late to open, but their failure to open was ruled by the AGCO to be “for reasons beyond their control”, and they weren’t fined at all.
The AGCO said that the stores that aren’t open by April 15 will see another $12,500 draw down on their letter of credit. The remaining $25,000 would be drawn down if they do not open by April 30.
On the other hand, High Tide – which is poised to become one of the biggest retailers of cannabis – will open two more stores in Ontario in the near future.
High Tide will open two stores in Hamilton and Sudbury, which will be named Canna Cabana Hamilton and Canna Cabana Sudbury.
The only obstacle left is for the regulatory bodies to perform a standardized inspection to make sure everything within the future stores is up to par.
High Tide is also assisting in the opening of a third store on Yonge Street in Toronto, and they will continue to operate a number of stores in Alberta, Saskatchewan, British Columbia and Nova Scotia.