Do you see a path towards licensees obtaining licenses for venues that sell cannabis and alcohol?

We don't see this happening anytime in the future. It's quite clear in murda that the Cannabis Control Board isn't going to allow organizations to have cannabis and alcohol within the same facility.

Can you be a liquor license applicant and apply for a cannabis license?

Yes, but you wouldn't be able to operate those two businesses within the same space. You wouldn't be able able to have either business sell the respective product.

Can social equity applicants that have been convicted opt out of the grant program and still gain access?

As of now given the regulations of the Cannabis Control Board they will not be able to opt-out. They will need to locate their businesses in the Dasny (Fund created for leasing cannabis facilities) applicant will be required to be in whatever space is laid out. In regards to the other conditional licenses available under Merta there will be a long list of benefits and priorities available to these social equity applicants including application review. We don't suggest you opt-out.

What are the benefits of New York cannabis social equity applicants?

1. Get 50% of licenses 2. Reduced or waived license fee's 3. Low interest loans for businesses 4. Won't have a right to property when they apply only a plan

Will hydro carbon extraction be allowed in New York?

Yes, whether you can get the conditional processor license is a different question depending on if you meet select criteria however. The hydro carbon extraction certification will require that you demonstrate that you are using best practices to not harm the environment. See the rules related to the conditional processor license or contact us at info@cannabislicenseexperts.com

What are the requirements and limitations for out of state investors and residency requirements?

According to Merta all cannabis sold in New York must be grown and processed in the state. Moving cannabis between state as well as those residency issues is something known as the dormant inner state commerce clause. This is a clause in the constitution to regulate everything being moved in-between states. It becomes not dormant if issues arise with residency violations or out of state investors. There are not residency requirements in New York. Once your business is incorporated in the state of New York a majority of your partners should remain in New York. These regulations are very complicated and you should reach out to us for more information at info@cannabislicenseexperts.com

How does fractional ownership of a cannabis business work in New York?

You must own at least 51% of the cannabis business as a Social Equity Applicant to apply in that format for early acceptance. We would want to review your situation personally so please contact us at info@cannabislicenseexperts.com. The power dynamic of the company is can be very intriguing depending on the share distribution.

How can i develop a cannabis business plan with so many restrictions in New York?

There was an RFP that was put out by DASNY to the design build partner that will be built for the social equity applicants. This will not be the requirement for every dispensary in New York however. These will not be must have requirements i.e (3000-5000 square foot size). This is a good starting point document however to start planning the facility requirements for your cannabis dispensary. For more information about the Cannabis Control Board restrictions for advertising cannabis contact us at info@cannabislicenseexperts.com. There will be a lot of good opportunities to advertise in the state of New York but there are guidelines that you have to follow to be able to do this.

What will the food and beverage restrictions look like for on-site consumption lounges in New York?

These restrictions will be dependent upon Merta and the U.S Health Department. You will have to be regulated by the Cannabis Control Board and Health Board if you want to provide food and beverages in these lounges.

Are cannabis companies permitted to offer rewards to consumers in New York?

According to Merta: No cultivator or processor in cannabis can offer any benefit or reward to a licensed cannabis company. Processors and Cultivators are heavily restricted in this case. None of these entities can offer any sort of incentive for carrying or offering preferential shop placement of a cannabis product. Unlike products that pay for prime placement of their products in a supermarket, this is now allowed. No distributors are allowed to provide a rebate, loyalty program or discount unless a wholesale transaction is authorized by the CCB. For more information on regulations for cannabis retailers and processing businesses with advertising your company contact us at info@cannabislicenseexperts.com

When will the application window open and close for the conditional adult-use retail dispensary license?

The OCM is going to post the opening date for the application on their website, and they must do so at least 14 days before the application will open. So let’s say they did it tomorrow, the earliest the application could open is 14 days from tomorrow. Then, the application must be open for a minimum of 30 days from the day it opens. So that will give you roughly a little over four weeks to submit your application.

Are registered organizations working with medical cannabis considered to be vertical integrated once they also take on adult-use (recreational) cannabis?

That is absolutely vertically integrated. One of the ways that the state enticed vendors to apply for the medical cannabis licenses here, which was a significant interest for the state to have, was they allowed, or will allow, those entities to be vertically integrated once they allow them to participate in the adult use market.

Would retailers in New York be able to partner with producers in other locations outside of the Mid-Atlantic region like Colorado or California?

All cannabis in all regulated products in the state of New York must be grown and processed and obviously distributed in the state of New York; you will not be able to go to cultivators in California. The reason is, they can only grow, sell, and deal with it in their states. So no, you will not be able to partner with growers or processors from other states.

Do you need to apply for all other standard licenses to be fully integrated?

They get all of those benefits under the micro license itself; there is no need to apply for any other licenses. In fact, when you get the micro license, you are not allowed to get any other licenses. And so once you get that single license – the microbusiness license – you are absolutely allowed to be doing all of those things.

With the OCM in New York be making changes to the cannabis industry?

Typically when you make big regulatory changes the legislation doesn't change for a bit. Although much of the regulatory industry in New York may need adjustments the medical network will need to give feedback over time. The OCM and OCB will likely want to see how things progress before they make any changes.

When will the CCB release the adult use regulations?

The CCB will be releasing them but the OCM will be working with the CCB. The application for these licenses will be released by the middle of next year currently. The regulations are projected to be released by the end of 2022.

New York Cannabis License Solutions

Our experienced team at Cannabis License Experts (CLE) will assist you in obtaining your New York cannabis license quickly and with an unrivaled success record. Having to repeat your New York cannabis license application procedure can set your business back by months and substantially reduce your earning potential. Book your free consultation today and let us show you how we’ll help you on your path to a New York cannabis license and much more.

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Conditional Adult-Use Retail Dispensaries CAURD Opportunity

To qualify for a CAURD license applicants must provide documentation showing that 30% or more of the business is owned by an individual who meets the requirements for either qualifying business criteria and/or qualifying non-profit criteria. The Office of Cannabis Management (The OCM), will announce the open date of the application portal at least 14 days before making the portal available. This conditional licensing process for qualified applicants is designed to be fairly simple and the first step of the process for eligible applicants to become properly licensed as a cannabis dispensary for the adult-use program.

Do I qualify for a Conditional Adult-Use Retail Dispensary License?

To qualify for a CAURD license applicants must meet either meet the requirements for the qualifying business criteria or the qualifying nonprofit criteria.

To be eligible under the qualifying business criteria, applicants must provide documentation evidencing that at least thirty percent (30%) of the applicant is owned by one individual who is/has

Justice involved: Conviction of a canna-related offense in New York State before March 31, 2021, on either themselves or a parent, legal guardian, child, spouse, or dependent; and
Qualifying business experience: At least ten percent (10%) ownership, for at least two years, in a business that had positive net profits during the individual’s ownership; and
Sole control over the applicant, as defined by having the power to order or direct the operation, policies, management, and managers of the business.
Operated a social enterprise that had net assets or profit for at least two years, defined as a business serving customers, operated by a nonprofit or fiscally sponsored by a nonprofit, which both fulfills the parent organization’s mission and generates revenue.

Additionally, 51% of the applicant’s ownership needs to be held by a qualified justice-involved owner.

To meet eligibility under the qualifying nonprofit criteria, applicants must provide documentation evidencing that at least thirty (30%) of the applicant is owned by one qualifying nonprofit organization that has:

Additional requirements are detailed in this document released by the Canna Control Board.

New York Cannabis License - Market Potential

The Empire State has all the attention of the national cannabis industry as operators eagerly await the opening of this new recreational licensing in a state with a GDP at nearly $1.5 trillion, representing over 7 percent of the U.S. total. As one of the most populated states on the east coast, New York is expected to create one of the biggest legal cannabis markets with a projected industry size of $4.2 Billion according to estimates provided by the New York Times. In July 2014, New York enacted the Compassionate Care Act which authorized a state medical marijuana program. In March 2021, New York became the 15th state to legalize recreational marijuana under the Marihuana Regulation and Taxation Act. This new legal cannabis market is expected to capture $1.2 billion in sales by the end of 2023. Despite the program's slow start and numerous delays, the future of cannabis looks bright for the empire state. Proposed regulations were released in November of 2022 and preliminary licensing for Hemp cultivators, Hemp processors, and for eligible CAURD applicants has begun. Book a free consultation today to learn more about how Cannabis License Experts can assist you and your team while preparing for licensure to become available within New York.

New York Cannabis License (Requirements, Timelines, and Renewal Processes)

The Cannabis Control Board released the first set of draft regulations on Nov 21, 2022, ahead of its board meeting and can be found using this link. At this time only Hemp processors, Hemp cultivators, and eligible CAURD applicants awarded through the lottery process have started the licensing process. The draft regulations outline the license types as well as tiers in addition to licensing fees and preliminary requirements for licensure. The application process will be released in 2023. Owners or financial interest holders in a New York cannabis retail license can only hold ownership in three dispensary licenses within the state and cannot hold ownership within any other license type held in the state. Additionally, fully vertical operations are not permitted under the state's regulations which provides opportunities for more diverse ownership within the state's legal cannabis market. The only exception to the above is for the micro-business license which allows for the limited production, manufacturing, distribution, and dispensing of the license holder's own product. Note that, however, the state’s existing medical marijuana companies were initially allowed to open four medical dispensaries, and under the new law, are now able to double that number to total up to eight permitted locations for dispensary operations. The Cannabis Control Board will oversee all New York Cannabis licenses for the state. While many cities create their own cannabis departments and/or licensing team to approve new operators, other jurisdictions utilize third parties to impartially and equitably rank each potential new cannabis business.

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Some of the World’s Largest Brands have Trusted CLE to Support their Cannabis Journey.

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Matthew Caton Yield Cannab

Canna License Experts, and their team were retained by our company to help us along the way with a retail canna license. Brian Wolf along with Kalpna Mistry and their team of experts were there the entire way through the process. Thanks again to Brian and Kalpna for all you support from our family at YIELD Cannab Co.

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We have contacted a few licensing company before I decided to contact with Canna licensing Experts. So far I think I have made the right choice and I am happy with the work they have done for us. The team answer questions promptly and never leave us alone. Not to mention their charge are reasonable comparing the similar type of consulting company and quality of their job.

Joseph Dow Dow Testing Labs

Brian and Kalpna at Cannabis License Experts were very pleasant, informative, and knowledgeable regarding licensing. They helped us fill out all the forms needed and guided us through the entire process. I am sure that without their guidance our application would still be in process, or have been dismissed because of some missing information.

Financial Requirements for New York Cannabis License Applications

Common for most jurisdictions as a mandatory component of the New York Cannabis License application is the requirement for a minimum amount of liquid cash on hand. This will ensure that applicants have the financial wherewithal from the licensing process through to the initial 2-5 years of operation. General requirements for New York Cannabis License applications include bank statements, CPA letters, Letter of Credit, or similar documentation. Additionally, a 2-3 year Pro Forma is also submitted as a component of the formal Business Plan. Typically, a budget of between $400,000 and $1,000,000 would be required to open a cannabis dispensary in New York, depending on facility size and operations. The application fees for different types of recreational New York cannabis licenses have yet to be determined. Applicants can get a sense of the fee scale by looking at the new rules that have been issued for the state’s Hemp Program. The fee for a hemp extraction and manufacturing license is $3,500, while the New York Cannabis License fee for a dispensary is $300 per retail location.

New York Cannabis License Types

All New York Cannabis license types, including consumption lounges, events licensing, and distribution, are listed below. Each of these different license types requires different sets of documents with an addition of what is also required by the state of New York's Office of Cannabis Management and Adult Use License Types.

City of Manhattan
City population in 2019	1,621,897
Basic Demographic Information
Resources include the US Census Bureau, City-Data.com, and any additional relevant resources.
Total # of Counties	57
Total # of Cities/Towns	1,530 cities, towns, and villages, and 1,185 special districts

Median Age

$82K

Medial Income

+$1MM

Median Home Price

$/Month

Fair Market Rent

Business Climate

The state has eagerly embraced the formal legalization of cannabis for both medical and recreational use with few notable exceptions. New York ranks near the bottom nationally with many barriers to entry for businesses. Despite challenges related to taxation and regulatory compliance, the state offers access to a strong consumer base that possesses significant disposable income and higher than average per capita wealth.

Real Estate & Zoning

Consideration for regional and local zoning will affect New York Cannabis licensing options, particularly with regard to allowed proximity to certain business types, schools, and other prohibited areas which may apply. The end of an opt-out period for New York localities that wanted to ban either recreational marijuana sales or local consumption lounges. The state is in the process of releasing an adult-use municipality map for towns and cities that have decided to opt-in or opt-out. Applicats must be a resident of New York, including business partners of the company and must be democratically controlled under a limited liability company or partnership. State officials are leaning toward not requiring New York Cannabi License applicants to have possession at the time of application, however, a letter of intent from a landlord.

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Frequently Asked Questions

How much does a dispensary license in New York cost?

Final application and annual licensing fees will be determined by the CCB and will differ depending on the license type, size and the applicant’s social economic status.

Can you sell edibles in New York?

Yes, licensed production / manufacturing facilities can legally produce and distribute edibles to a licensed cannabis retailer for sale to consumers. The license types that permit the production of edibles are the Adult-use Conditional Processor and Adult-use Processor licenses. Producing edibles for sale without a license will remain illegal under New York’s adult-use cannabis regulations.

Will New York have a social equity program for licensing?

Yes, New York will have a specific percentage of licenses allocated for eligible applicants meeting the requirements for social and economic equity. The exact requirements for eligibility are yet to be determined. The Office of Cannabis Management will create a social and economic equity program to ensure the inclusion of small businesses and communities disproportionately impacted by drug enforcement.

Can I apply for more than one cannabis facility license?

Yes, New York will allow owners and interest holders of facility licenses to apply for additional licenses to a limitation. Fully vertical operations are not permitted under New York’s adult-use legislation. Retail owners can have ownership or financial interest in three total retail cannabis licenses. Other production based licenses can have ownership within the supply chain but cannot also hold ownership or financial interest in an adult-use retail cannabis license within the state.

When will the licensing application period open?

The OCM is currently in the process of drafting regulations that upon implementation will define the application and application timeline. It is anticipated that the OCM will develop these regulations within the first 120 days of 2022.

What is commercial cannabis cultivation and processing?

Cannabis cultivation is the process of growing cannabis within a regulated environment for the consumption via a medical or adult-use cannabis program. Generally cultivation refers to the agricultural activities associated with the propagation and growing of cannabis. Cannabis processing is when you manufacture finished cannabis products, packaging of dried flowers or manufacture and package cannabis-based products (i.e. extracts, edibles, and topicals). To be able to produce cannabis and cannabis derived products commercially a specific license is required, requirements depend on the state in which you are locating this business.

How much will I need to spend for a cannabis cultivation license and facility?

The fees for a cannabis cultivation license vary greatly depending on the state in which the facility is to be located. Also facility build out costs vary greatly depending on the type of cannabis cultivation facility (indoor, mixed-light green house, outdoor). Depending on the facility type a cultivation facility can range from 2 million to 20 million dollars.

Don't Know Where To Begin? Get Started Now

Looking to apply for a New York Cannabis License and unsure where to start?

The Office of Cannabis Management is still in the process of issuing regulations to establish the New York Cannabis License application process for all license types. Before the issuance of this application process, teams who are serious about approaching this process should develop their internal structure and build out their business plans. Our team at Cannabis License Experts can assist in this early development phase all the way through final New York Cannabis License application, setting your team up for success.

In order to get started, reach out to one of our regulatory experts today to learn more about Cannabis Business Solutions.