Are you planning to apply for a New York cannabis license but seeking guidance on how to secure it successfully on your initial attempt? If so, don’t worry; we got your back! This guide offers essential “Do’s and Don’ts” for your New York cannabis license application, ensuring you’re on the right track to thrive in the state’s rapidly evolving cannabis industry.
What are the Cannabis Application Deadlines?
- Adult-Use Applications Opening Date: Wednesday, October 4, 2023
- Adult-Use Applications Closing Date: Monday, December 18, 2023, at 5:00 PM EST
Why Do You Need to Know New York Cannabis License Application Do’s And Don’ts?
Thanks to the recent announcement, regulators are urging Conditional Adult-Use Retail Dispensary (CAURD) applicants and licensees to take advantage of this extended application period. The New York Office of Cannabis Management (OCM) is preparing to review and process as many as 1,500 licenses for microbusinesses, retail, processing, and cultivation operators. Among these, the bulk, ranging from 500 to 1,000 licenses, are allocated for cannabis retailers. Hence, it’s a perfect time to make your move in the New York cannabis market and be a part of this high-demand sector.
When you’re in the process of applying for a dispensary license or working on your application submission, many people believe that priority in the licensing process will be given to Social and Economic Equity (SEE) applicants, minority- and women-owned enterprises, struggling farmers, or service-disabled veterans. While it’s true that a certain percentage of priority is accorded to these groups, but there are numerous other steps you can take to enhance your chances of obtaining the license. So, let’s check them out.
Cannabis License Application Do’s:-
New York prioritizes residents in the cannabis licensing process. Provide clear proof of your residence at the time of the conviction, such as a lease, utility bill, post-marked envelope, or a letter from a public housing authority.
Provide the name and contact details for all True Parties of Interest.
Ensure applicant and anyone in the ownership structure must be 21 years of age or over.
Collect all necessary documents well in advance to demonstrate your eligibility. This includes proof of conviction, residence, property ownership, and bank account details.
Ensure your application adheres to all state and local laws, regulations, and guidelines regarding cannabis licensing.
Prepare a solid financial plan in place to demonstrate your ability to fund and operate a cannabis business effectively.
Prepare organizational charts that clearly identify all individuals with ownership or control in the entity. Include their titles and the percentage of ownership. Trace ownership back to individuals if there are parent companies.
Ensure that you have sufficient conviction documentation such as records from the jurisdiction where the arrest occurred, records from the New York State Division of Criminal Justice Services, or a uniform background check.
Provide necessary tax-related documents, including your EIN letter and state tax registration. Be ready to submit disclosure forms, tax clearance forms, and copies of government-issued photo identification.
The order certificate of good standing is really essential in states like New York and Delaware. These certificates may be physically mailed to you. So, take a proactive approach and order these certificates well in advance to add an extra layer of security to your license application.
Ensure that the chosen location is not in close proximity to schools, places of worship, or other sensitive institutions. And also, your store should be at least 1,000 feet away from any existing retail dispensary, microbusiness retail location, or ROD retail co-location.
Submit your application within the specified deadlines to avoid disqualification.
Cannabis License Application Don’ts:-
Avoid submitting incomplete or inadequate documentation. Ensure that all the required documents are not only included but also clearly legible.
If you lived in an area with a low median household income at the time of arrest or conviction, make sure to provide the necessary proof to prioritize your application.
The operating location is not required at the time of submitting your license application. However, you must determine the operating location prior to your final license being issued.
Providing false information can lead to rejection and legal consequences. Hence, only submit true and precise information.
A critical mistake when aiming for a license is missing deadlines, which can eliminate your chance even before you apply. Timely submission is of utmost importance to avoid disqualification.
If you’re demonstrating a family relationship with someone convicted (parent, legal guardian, spouse, child, or dependent), use legally recognized documents like birth certificates or marriage certificates. To avoid confusion or disqualification.
If you’re required to demonstrate profitability, make sure to provide the specific financial documents requested, including bank statements and audited financial statements.
Ensure your organizational charts are well-organized, identifying all parties with ownership or control and tracing ownership to individuals if there are parent companies.
Don’t overlook the submission of necessary tax-related documents, such as your EIN letter and state tax registration.
To maximize your chances of securing a New York cannabis license, follow these guidelines diligently. Stay informed about any updates or alterations in regulations and requirements from the New York Office of Cannabis Management (OCM). With these do’s and Don’ts in mind, you’re better equipped to succeed in your cannabis license application journey.
Good luck with your application!