Frequently Asked Questions
Below are some of the most frequently asked questions that we receive from potential clients. We’ll continue to add to this as time goes on.
Beginning Licensee Questions
Not so fast! While the property might be conveniently located, that doesn’t mean that it will meet all the requirements set forth by the city, county or state regulations. The state requires you to be, at minimum, 600 feet from a school. Many Californian cities and counties have stricter requirements, which may include churches, parks and alcohol establishments.
While we cannot give you an exact number, we can tell you that it typically ranges from $500,000 to millions of dollars. There are many variables such as the cost of permits locally, pricing for obtaining a property, proof of capitalization requirements from local regulations and much more. We recommend setting up a hour consultation with us to get a better idea. You can view our pricing plans here or get started and fill out a Client Questionnaire here.
The type of license you need will depend on your business and what capabilities you desire. California state cannabis regulations limit the different types of licenses that one person may hold.
The Act does not specifically limit the number of licenses a person may hold of a particular license type. However, the Act does limit the types of licenses a person may hold at one time.
Cannabis Agencies and Laws
Below are some of the most frequently asked questions that we receive from potential clients. We’ll continue to add to this as time goes on.
BCC
The Bureau of Cannabis Control is opening registration for annual licenses, although right now they are only issuing temporary licenses. The Bureau recommends interested parties contact their local government regarding the rules and requirements applicable to medical cannabis activities in that city or county.
What was passed by the legislature in late 2015 was essentially only the skeleton of regulations. Throughout 2017 the Bureau drafted the detailed regulations. We will be influencing these regulations for all of our clients to make sure that we do our best to get reasonable rules for all cannabis businesses.
MCRSA
MCRSA stands for the ‘Medical Cannabis Regulation and Safety Act’ and it is a trio of bills that were passed by the California legislature in late 2015. These bills have laid the groundwork to the beginning of black and white regulation in California. It will become effective January 1, 2018 and the details of the regulations are being crafted by the state as you read this.
There are a total of 12 license types available under MCRSA. It’s important to note that not all of them can be mixed together according to the regulations. For example, a Type 8 testing lab cannot also hold the Type 3 cultivation license. Click here for a list of licenses and which can be mixed together.
AUMA / Prop 64
Prop 64 is a new Californian law that was voted yes in the November 2016 elections. It allows for the legal recreational adult use of cannabis. AUMA is the colloquial name, standing for “Adult Use Marijuana Act”.
Prop 64 (aka AUMA) passed in California on November 8, 2016. Effective immediately every adult 21+ years old is legally allowed to posses 1 ounce of flowers and up to 8 grams of concentrate. They can also grow 6 plants at their home. That said, licensing for recreational businesses in California is not expected to happen until 2019.
AUMA mirrors MCRSA in many ways, though they aren’t completely identical. They do, however, have almost all of the same license types with the exception of the microbusiness license and type 5 cultivation (biggest size available). You will be able to go for dispensary, cultivation, manufacturing, distribution, testing, transportor and microbusiness license types.
Recreational vs Medical
These are the questions that are more fundamentally based between the difference between Medical Cannabis vs Recreational Cannabis.
Recreational Cannabis
Prop 64 is a new Californian law that was voted yes in the November 2016 elections. It allows for the legal recreational adult use of cannabis. AUMA is the colloquial name, standing for “Adult Use Marijuana Act”.
Prop 64 (aka AUMA) passed in California on November 8, 2016. Effective immediately every adult 21+ years old is legally allowed to posses 1 ounce of flowers and up to 8 grams of concentrate. They can also grow 6 plants at their home. That said, licensing for recreational businesses in California is not expected to happen until 2019.
AUMA mirrors MCRSA in many ways, though they aren’t completely identical. They do, however, have almost all of the same license types with the exception of the microbusiness license and type 5 cultivation (biggest size available). You will be able to go for dispensary, cultivation, manufacturing, distribution, testing, transportor and microbusiness license types.
Medical Cannabis
No. A qualified patient who cultivates, possesses, processes, or transports medical marijuana exclusively for his or her personal medical use is not required to get a license. Primary caregivers who provide care to five or fewer medical cannabis patients are also not required to be licensed if they are compliant with the Act.
The Bureau is still in the early stages of development and won’t be accepting applications for licenses until 2018. However, there are some cities and counties that are already accepting and selecting applicants. We just so happen to have a list of where and what that we give to our clients.
The Act establishes a dual licensing system between local cities and counties and the State. Businesses will be required to obtain a city, county, or city and county license, permit, or other authorization, before a business can apply for a state license.
If a local jurisdiction bans all or a specific form of medical cannabis business, then, under the Act, a business is not allowed to operate in that jurisdiction.
Miscellaneous Questions
These are the questions that are more fundamentally based between the difference between Medical Cannabis vs Recreational Cannabis.
Criminality
According to the Act, the Bureau may deny a license to an applicant who has been convicted of an offense that is substantially related to the qualifications, functions, or duties of the business or profession for which the application is made.
Cannabis & Alcohol
The Act establishes a dual licensing system between local cities and counties and the State. Businesses will be required to obtain a city, county, or city and county license, permit, or other authorization, before a business can apply for a state license.
A person who holds an alcoholic beverage retail license may not hold a medical cannabis license.
What was passed by the legislature in late 2015 was essentially only the skeleton of regulations. Throughout 2017 the Bureau will be drafting the detailed regulations. We will be influencing these regulations for all of our clients to make sure that we do our best to get reasonable rules for all cannabis businesses.