The New York Cannabis Control Board has finally given the green signal to the proposed draft of cannabis regulations and licensing guidelines. This confirmation opens up a wide range of opportunities for all interested individuals and small businesses to try their luck in the booming cannabis industry. With this acceptance, the general license application window will be open from October 4, 2023, to December 4, 2023, and provide a 60-day window for cannabis enthusiasts to apply for a cannabis business license.
What Types of Licenses are Available?
According to the New York Office of Cannabis Management (OCM), the applications will be for the following license types:
- Retail Dispensary
Thanks to the CCB, medical cannabis providers aka Registered Organizations can also now submit their applications for the adult-use market. Those who hold Adult-Use Conditional Cultivator and Processor licenses in good standing will also have the opportunity to shift to non-conditional licenses by submitting the required forms when the NYBE (New York Business Express) portal becomes accessible.
What Can Give You an Extra Edge?
The OCM will initiate its first review & approval process for applicants who have secured their retail dispensary or microbusiness location by November 3, 2023, (5:00 PM EST).
What is the Timeline for Submitting Applications?
As per the state’s cannabis guidelines, a new licensing application window for specific AU License Types will start on October 4th, 2023, at 8:00 AM EST and close on December 4, 2023, at 5:00 PM EST.
Where to Apply for Licenses?
Applicants looking forward to applying for general licenses can submit their forms through NYBE platform. The Office of Cannabis Management (OCM) will also provide step-by-step instructions on the site. For further details on license categories, social and economic equity provisions, and NYC’s two-tier system, you can visit the official website.
What is the Future of Cannabis Market in New York?
New York’s cannabis market has taken an interesting turn by introducing the new regulations at a crucial phase. Farmers throughout the whole state are grappling with a great number of unsold cannabises. Whereas the licensed store owners are unable to open their stores due to a court-issued injunction. Currently, there are only 23 legal stores operational in the whole state, while the number of illegal stores is continuously increasing.
The greenlit to cannabis regulations is a massive step for New Yorkers as well as for the state economy. With this development, the OCM has swung the doors wide open for several opportunities and improvements, along with transparency, equity, and economic potential for each participant.
This time with new regulations, the board has introduced a two-tier system to ensure a fair chance of success for all individuals and small businesses. This system will restrict individuals with supply-side licenses from having significant financial stakes in retail businesses. Hence, the latest regulations offer a more transparent and comprehensive blueprint for the OCM to execute these MRTA provisions.
What Else You Should Know?
The CCB has finally granted a permit for Dope Diagnostics Lab in Pearl River, NY, to conduct adult-use and medical cannabis testing in the city. With this acceptance, the total number of New York cannabis testing labs number has increased to 16. This approval directly reflects New York’s commitment to an equitable supply chain, facilitating the availability of safer cannabis products on the shelves of the states on the very first recreational cannabis retail dispensaries.
New York Cannabis General License Applications
If you’re interested in applying for a general license, this is the perfect time. All you need to do is be ready with the requested documentation, legal strategy and adhere to cannabis regulations and compliance.
What information is necessary to win a cannabis license?
Irrespective of the license category, according to the guidelines of New York’s Office of Cannabis Management (OCM), applicants need to provide a solid business, operations, and financial plan, along with all the required information regarding you, business partners, operators, and business objectives.
- True Parties of Interest information
- Proof of good moral character with a background check, with fingerprinting as a requirement.
- Ownership information and investment details including the whole corporate structure and roadmap for the future.
- Racial and ethnic background information.
- Location information for the proposed premises
- Security plan
- Operations plan and business plan
- Workplace safety plans
- Financial continuity plan for first year
- Environmental impact plan
- Operating procedures
- Recordkeeping procedures
- Packaging and labeling procedures
- Inventory control procedures,
- Storage and diversion prevention procedures
- Waste disposal procedures
- Quality assurance and recall procedures
- Transportation and delivery procedures
- Accounting/tax compliance procedures
How much does it cost to obtain a cannabis license in New York?
The cost of obtaining a license will depend on what type of cannabis license you’re interested in acquiring. Many other elements also vary the license cost such as type of license, size of business, and your social-economic status.
Application Fee: $1,000 (non-refundable)
Retail Dispensary License Fee: $7,000.
Retail Dispensary with a limited retail consumption facility: $10,000
Microbusiness License Fee: $4,500.
Other costs will include:
Legal fees to hire an attorney to help you with the license application process
A down payment for securing a property (lease or renting).
Renovation or setup cost
For more information about how to obtain a cannabis license in New York, check out our next blog What are the “New York Cannabis License Application Requirements”.