Posts in medical cannabis
Your Pathway to a California Cannabis License
Your Pathway to a California Cannabis License

Since cannabis became a thing in the US, thanks to its medicinal benefits, California legalized it on two fronts. All of which is evident considering, it became legal for its therapeutic uses in 1996 and recreational in 2016, making California the first state in the US to legalize medical cannabis under the auspices of the Compassionate Use Act of 1996 (Proposition 215).

The Breakthrough of Cannabis in California

November 2016 signaled a step in the right direction, as Californian voters made their voices heard through their votes. Because of that, the Adult Use of Marijuana Act (Proposition 64) became law, and the recreational use of cannabis was born. Engineered by the recreational legalization of cannabis following the local governments (city and county), adults can freely grow, consume, or transport marijuana for personal use.

Unlike those seeking the plant for consumption, persons willing to sell, grow, distribute, or manufacture cannabis commercially must get their businesses registered, comply with regulations, as well as apply for permits.

California Cannabis Market

Three years today (2017) signaled a step in the right direction for cannabis use in the state of Califonia. California’s regulatory regime declared that all purchases of cannabis in the state must be conducted with a cannabis card (for medicinal users). Although this law has since been applicable, it hasn’t affected the sales of cannabis for recreational uses, making the demand for cannabis continually hitting record heights.

Cannabis Licensing in California

January 1st, 2018, signaled a step in the right direction for Cannapreneurs. The Cannabis licenses initiative finally saw the light of day and are available to those involved in trading cannabis commercially. Like the cannabis licenses, this same year (2018) saw the inception of two new cannabis tax laws. They include the cultivation tax on all harvested cannabis, making an entry into the market, and a 15% excise tax levied on the purchase of cannabis and cannabis products.

With that said, it should be worthy to note that the state’s three licensing authorities have issued over 10,000 commercial cannabis licenses this year (2020) alone. Notably to cannabis businesses throughout the state of California.

Getting a Cannabis License in California

Are you seeking to get a retail Cannabis License in California? Enclosed below is a guide to help ease your way around the whole process.

1.    Get a Work Plan

The first step to acquiring a cannabis retail license in California is all about putting together a master plan for the entire project. Luckily, most Cannapreneurs or prospective cannabis retailers have all the factors of production, so they should be good to go. However, those starting up with little or nothing but for an idea, there is hope as well.

2.    Create a Site And Facilities Plan

Setting up a facility plan is the core of your project. Cannabis stores reside in designated zones since the local government controls the number of retailers for each zone. With that in mind, you must consider the potential for future growth before purchasing land. Remember, you may begin the business as a retailer with plans of expanding in manufacturing or distribution in the future.

3.    Design a Business Plan

In getting a dispensary license in California, creating a detailed and winning business plan is critical. Remember, regulators will hardly approve of a business plan that will not succeed. So prepare for yourself a list representing your business and how you intern on taking the company to the next level. 

4.    Get Approval From Supporting State Agency(s)

Before getting approval from the local and state governments, get some from both the DTFA, which stands for the Department of Tax and Fee Administration, in collaboration with the SOS (Secretary of State). Based on the nature of land development involved, you will likely need approval from CalFire, the State Water Resources Control Board (SWRCB), or better still, the Department of Fish and Wildlife (CDFW). However, before getting any of the approvals mentioned above, you’d need to form a legal entity through the California Secretary of State. What this means is you need to identify which business entity you would like to venture into

  • Limited Liability Corporation (LLC)

  • For-Profit Corporation (S-Corp, C-Corp)

  • Mutual Benefit Nonprofit Corporation (MBNPC)

5.    Get Local Approvals

Considering 58 counties sandwiched with 482 incorporated cities and 540 different local governments to match, all come with various hurdles to cross. Applying for a “discretionary” conditional land use permit (CUP) from the Planning Department is the first step towards local approval. Once taken care of alongside the additional certifications and environmental assessments, then you are steps away from acquiring the cannabis retail license in California.

6.    Acquire State Cannabis Licenses

By this stage, you must obtain everything required to gain state approval. However, you’d be obliged to submit certain documents. They include Security Plan, Seller’s Permit, Local Approvals, Surety Bond ($5,000), Business Entity Formation, Neighborhood Context Map, Live Scan Background Check, Property or Lease Agreement, Premises (Site/Facilities) Plan, Business and Operations Plan as well as the Labor Peace Agreement (>20 employees)

Final Note

Getting a retail cannabis license in California isn’t just a walk in the park. All cannabis licenses come with an agreement to track inventory to stay up-to-date, and report submittals to state officials. However, and with a little guidance from the tips above, then you should be good to go and, of course, get your cannabis retail license with some ease.

For Cannabis Business Licensing help, call at We help cannabis business owners navigate the complex world of State and Local Cannabis Regulations while helping to develop and grow your business in the right direction. CAP can assist with projects large or small. Whether you’re looking for full-service state and local cannabis licensing or other services such as Cannabis Pro Forma, Cannabis Business Plan, Cannabis Business SOP, and Cannabis Investor Presentation development, we have you covered.

 

CANNABIS COMPLIANCE IN THE STATE OF CALIFORNIA
CANNABIS COMPLIANCE IN THE STATE OF CALIFORNIA

The moment cannabis became legal in a wide array of states including California for medical and recreational uses; Cannapreneurs as well as cannabis investors knew the game was changing. This change meant certain laws were enacted to govern and of course, ensure a level playing field for everyone in the industry.

Cannabis Compliance

The moment you’ve been granted a cannabis license in California to retail cannabis, means you are officially a member of the world’s largest legal cannabis trade. Being handed the opportunity to sell cannabis legally in this state or any other state in the US is a lifetime opportunity. This means, you now have the right to retail, distribute, and of course dispense cannabis.

All of which must be done in compliance with every Californian law and regulation applicable. Taking to mind the aforementioned tip, it should be worthy to note that, the moment the license is obtained, your ability to stay compliant with the laws and regulations shouldn’t be neglected. Operating contrary to this is tantamount to losing the license you worked so hard to gain.

California Cannabis Compliance Guide

With that in mind, enclosed below are some of the key California cannabis compliance aspects you’d need to know.

Documentation And Reconciliation of Inventory Requirements

The state of California requires that all legal cannabis retailers record and maintain detailed inventory records. Meaning you must reconcile your inventory physically, along site your internal records at least once every 2 weeks.

 

Customer Verification as well as Daily Purchase Limits

When it comes to cannabis compliance in California, nothing is for granted. All of which is evident considering you must verify your client's identities and their ages. This must be done to ensure you aren’t dealing minors, because doing so may place you at the wrong side of the law. Like the laws stipulates, Adult-use customers must be 21 or older and must present a valid identification document.

Medical patients or caregivers on the other hand must be 18 or older and must equally present a valid identification document. Unlike Adult-use customers, Medical patients or caregivers must present a recommendation from a certified physician.

Always Track and Trace All Reporting Requirements

Tagged as “seed to sale” reporting, track and trace reporting is a key cannabis compliance aspect in California. This method of cannabis compliance gives access to the state to monitor the cultivation, processing, transportation, and sales of every cannabis plant. With the aid of Metrc (MED Marijuana Inventory Tracking System), the whole process is made easy and stress-free.

Metrc Reporting

Once you’ve successfully created and had your account setup in Metrc, then you can either report your daily activities manually or automatically. With manual reporting, you’d be required to log in daily into your Metrc account. Specifically at the end of every business day, to input and or record all data from the different transactions carried out. With automated reporting, you’d have to use certain cannabis-related retail software solutions.

Most of which must be integrated with Metrc, to synchronize all data from your store's transactions so they can occur in real-time.

Compiling Reports With No Internet

Should you be faced with situations of this magnitude, which made you lose access to Metrc for daily reporting, endeavor to compile a detailed record of all of the data. When that is done, make sure it is backlogged into Metrc within three days of restored connectivity.

Final Note

Making it big in the legal cannabis trade isn’t all about venturing into the industry with a lot of capital. While capital is essential and tagged as the lifeblood of every business, your ability to make it big in the legal cannabis trade in California depends solely on how much you comply with the laws governing the cannabis trade within the state. Do that and you’d be thrilled with the outcome.

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For Cannabis Business Licensing help, call at . We help cannabis business owners navigate the complex world of State and Local Cannabis Regulations while helping to develop and grow your business in the right direction. CAP can assist with projects large or small. Whether you’re looking for full-service state and local cannabis licensing or other services such as Cannabis Pro Forma, Cannabis Business Plan, Cannabis Business SOP, and Cannabis Investor Presentation development, we have you covered.

California to Open More Medicinal Cannabis Stores
California to Open More Medicinal Cannabis Stores
 
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Assembly Member Ting brought new life back into a bill that will require California cities that voted for Proposition 64 to open medical cannabis stores. Assembly Member Ting stopped AB-1356 during the last legislative session after the League of California Cities opposed the bill. The bill is scheduled for a third vote in the Assembly. 

An analysis of the legislation indicates that 76% of Californian cities ban medical storefronts as well as 69% of the counties. Assembly Member Ting believes that the legislation will help curb the black market and promote access to medical cannabis products.

The number of medical cannabis stores that a city will be required to open will be based on the active number of liquor store licenses in the city. The amended bill reduced the number of medical cannabis permits that a city must offer from 25% of liquor store licenses to 16.6%. If the number results in a ratio greater than one than the city can limit the number of stores to one for every 15,000 residents in the city.

Cities that obtained a ballot vote on cannabis businesses on or after January 1, 2017 are exempt from this requirement. The bill also allows a city to reduce the number of required medical cannabis stores if a majority of voters support a ballot measure that contains an ordinance limiting medical cannabis dispensaries in the next upcoming election.


For Cannabis Business Licensing help, call at . We help cannabis business owners navigate the complex world of State and Local Cannabis Regulations while helping to develop and grow your business in the right direction. CAP can assist with projects large or small. Whether you’re looking for full-service state and local cannabis licensing or other services such as Cannabis Pro Forma, Cannabis Business Plan, Cannabis Business SOP, and Cannabis Investor Presentation development, we have you covered.

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Chula Vista to Accept Cannabis License Applications
Chula Vista to Accept Cannabis License Applications
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The City of Chula Vista has adopted local laws that authorize licensed cannabis retail, manufacturing, testing, distribution, and cultivation businesses to operate in Chula Vista.

Updates

  • For your information, the City of Chula Vista anticipates opening another Application Period for manufacturing, distribution, cultivation, and testing laboratories in late February or early March 2020. The city is also exploring the possibility of a reduced application fee for those who have previously submitted a substantially similar application with the City of Chula Vista.

  • On January 15, 2019, the City Council set the tax rate for cultivation at $15 per square foot of canopy and 7% of gross receipts on all other cannabis businesses.

Cannabis License Applications

Previous Updates:

Update on Phase I Application Process (January 22, 2020)

Chula Vista has recently begun to issue Notice of Decision letters. Applicants receiving Notice of Decision letters have the right to appeal to the City Manager in accordance with Chula Vista Municipal Code section 5.19.050.A.6. The city will post a list of applicants that have been approved to move on to Phase II of the application process in the coming weeks.


For Cannabis Business Licensing help, call at . We help cannabis business owners navigate the complex world of State and Local Cannabis Regulations while helping to develop and grow your business in the right direction. CAP can assist with projects large or small. Whether you’re looking for full-service state and local cannabis licensing or other services such as Cannabis Pro Forma, Cannabis Business Plan, Cannabis Business SOP, and Cannabis Investor Presentation development, we have you covered.

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Requirements for California Cannabis Packaging | 2020
Requirements for California Cannabis Packaging | 2020
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The California cannabis regulations require that all product packaging be

• child resistant

• tamper evident

• resealable (if the product has multiple uses).

Packaging for edibles must not only be opaque, but industry manufacturers are forbidden from showing the image of what the edible looks like in order to avoid appealing to children.

In addition, the labeling on the cannabis package may not:

• be attractive to children.

• make health claims.

• use the word “organic,” in violation of federal and state laws.

• use a California county name unless 100% of the cannabis was grown in that county.

It must carry the aforementioned California government warnings — the California Cannabis warning and, if the product contains one of the 900 chemicals currently on the Prop. 65 list, a Prop. 65 warning. Finally, every layer of the packaging must carry what is known, in properly cosmic lingo, as the Universal Symbol — a triangle with the silhouette of a cannabis leaf and an exclamation point.


For Cannabis Business Licensing help, call at . We help cannabis business owners navigate the complex world of State and Local Cannabis Regulations while helping to develop and grow your business in the right direction. CAP can assist with projects large or small. Whether you’re looking for full-service state and local cannabis licensing or other services such as Cannabis Pro Forma, Cannabis Business Plan, Cannabis Business SOP, and Cannabis Investor Presentation development, we have you covered.

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3 States Voting on Cannabis This November
3 States Voting on Cannabis This November
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New Jersey, Mississippi, and South Dakota will all have cannabis measures on the November 2020 ballot.


New Jersey

Announced in December, residents of New Jersey will be voting on a constitutional amendment to legalize recreational marijuana. This ballot initiative was made possible by New Jersey's Senate and its Assembly, voting 24-16 and 49-24, respectively, to allow the state's residents to decide the future business of cannabis in the state. The question that'll be appearing on New Jerseyans ballots: Do you approve amending the Constitution to legalize a controlled form of marijuana called "cannabis"? New Jersey’s medical cannabis program would oversee and regulate the cannabis market. A municipality may pass a local ordinance to charge a local tax on cannabis products.

Last March, New Jersey lawmakers had agreed on a number of legalization aspects, including taxation. However, a proposal was ultimately thwarted by some lawmakers pushing for an expungement clause.

Mississippi

The state of Mississippi will be voting on medicinal marijuana this fall. A little over 86,000 signatures were required to get Initiative Measure 65 on the ballot, but nearly 106,000 signatures of the more than 214,000 signatures submitted were deemed valid. The question on the ballot will read, “Should Mississippi allow qualified patients with debilitating medical conditions, as certified by Mississippi licensed physicians, to use medical marijuana?” If approved, Measure 65 would allow Mississippi to create a medical marijuana program that would treat patients with a "debilitating medical condition." Initially, there would be about 20 conditions listed as qualifying, such as cancer and Parkinson's disease, albeit the Mississippi Department of Health would be allowed to add to the list of debilitating medical conditions if it sees fit.

South Dakota

The State of South Dakota is going to become the first ever to vote on both medicinal and recreational use cannabis initiatives in the same election. Similar to Mississippi, South Dakota has not legalized any form of cannabis use or sales. The first ballot initiative is Measure 26, which would create a medical marijuana program in South Dakota that would be overseen by the Department of Health. Individuals would need to have a debilitating medical condition to qualify for a medical cannabis prescription from a licensed physician. South Dakotans will also be voting on Constitutional Amendment A, which would legalize recreational marijuana in the state, and tax adult-use sales at 15%. Additionally, it would require the South Dakota Legislature to create and pass regulations for medical marijuana and hemp programs by no later than April 1, 2022. Since no other states has attempted to pass a dual legalization measure before, stay tuned to see how this all unfolds in cannabis history.


For Cannabis Business Licensing help, call at . We help cannabis business owners navigate the complex world of State and Local Cannabis Regulations while helping to develop and grow your business in the right direction. CAP can assist with projects large or small. Whether you’re looking for full-service state and local cannabis licensing or other services such as Cannabis Pro Forma, Cannabis Business Plan, Cannabis Business SOP, and Cannabis Investor Presentation development, we have you covered.

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Hawaii Decriminalizes Cannabis
Hawaii Decriminalizes Cannabis
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Hawaii has become the 26th state to decriminalize the possession of cannabis. Currently, the state allows medicinal marijuana sales and now possession, and it is still not legal recreationally. The new measure came into effect on January 11th, 2020. Residents possessing 3 grams of cannabis or less may be punishable by fine.

Based on the fact that Hawaii already allows travelers to purchase cannabis, there are definitely some exciting possibilities for the new year. With so many bills currently up for consideration, and a fair amount of support for cannabis in both the House and the Senate. 2020 could bring a lot of change for the industry based on some of these proposals, as a total of 21 new measures have been introduced. “The last one went through the House and the Senate with no reservations,” said Rep. Richard Creagan, who co-sponsored both bills currently introduced to the House. “So, I hope the governor will be able to change his perceptions on the bill this time.”

Other bills introduced in the Hawaii House allow people to distribute cuttings of cannabis, legalize the selling cannabis seeds,  and another proposes legal edible sales for those inside the state.

The Senate bills focus more on legalization and sculpting the future of the Hawaiin cannabis industry. These bills plan on expanding the amount of allowed cannabis and measures to push toward full recreational adult-use.


For Cannabis Business Licensing help, call at . We help cannabis business owners navigate the complex world of State and Local Cannabis Regulations while helping to develop and grow your business in the right direction. CAP can assist with projects large or small. Whether you’re looking for full-service state and local cannabis licensing or other services such as Cannabis Pro Forma, Cannabis Business Plan, Cannabis Business SOP, and Cannabis Investor Presentation development, we have you covered.

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More Cannabis Consumption Lounges Coming To Colorado in 2020
More Cannabis Consumption Lounges Coming To Colorado in 2020
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Gov. Jared Polis signed two measures that would expand Colorado’s cannabis industry in 2020. Colorado voters can now determine if they want cannabis “hospitality” businesses that allow on-site consumption in their city or county. These businesses, such as marijuana cafes, lounges and tasting rooms, can begin applying for licenses in 2020. Another new frontier that can now be legally explored in the new year is medical marijuana delivery businesses. Medical marijuana delivery businesses may ramp up as early as 2020, but recreational may begin in 2021.


For Cannabis Business Licensing help, call at . We help cannabis business owners navigate the complex world of State and Local Cannabis Regulations while helping to develop and grow your business in the right direction. CAP can assist with projects large or small. Whether you’re looking for full-service state and local cannabis licensing or other services such as Cannabis Pro Forma, Cannabis Business Plan, Cannabis Business SOP, and Cannabis Investor Presentation development, we have you covered.

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