applying for cannabis business license

Cannabis business licenses are not forever. State and local licenses must be renewed, or operations could be suspended. An while complying with state and local marijuana guidelines can be complicated, it’s far better than closing your doors.

Why Does a Cannabis License Need Updated?

Many of the cannabis businesses currently operating were issued temporary licenses while permanent processes were created. Final regulations were issued in 2019 and required applicants to apply annually. This means cannabis business operators need to track filing deadlines, organize information, and keep their cannabis license in good standing.

State and local governments set strict time limits for renewing cannabis business licenses. Guidelines can vary based on location and industry type. Not submitting a renewal before your license expires will put you out of business, at least temporarily. It will end your ability to sell, transfer, transport, manufacture, test, or distribute any commercial cannabis goods until your license is renewed.

How Licenses are Renewed

You need state and local licenses to operate legally. And while renewal requirements vary, here are a few examples.

California Bureau of Cannabis Control regulates cannabis distribution, testing, retail outlets, and microbusiness.

  • You need to submit an amendment for renewal but not more than 60 calendar days before your license expires – though the agency wants you to renew “sooner than later.”
  • You should get a notification before it expires with renewal instructions
  • Renewal fees need not be paid until your renewal application’s been approved
  • The amendment for renewal is submitted online, and the agency’s staff will review it
  • Your submission must come with documents showing your gross revenue for the 12 months since your license was issued

The California Department of Food and Agriculture covers cannabis cultivation. The agency can renew your provisional license if you’re meeting the requirements:

  • You must submit a Notice of Provisional License Transition or Renewal and all related documents
  • While your provisional license is in effect, it can become an annual license after you comply with the regulatory requirements for an annual license and you submit this notice
  • Changes that must be made through the administrative amendment process include: an updated surety bond, a change of those with a financial interest in the business, or new ownership
  • Unlike the BCC, you must pay your annual license fee before your provisional or yearly license is renewed. It must be paid before it expires, but not more than 60 days prior to that date

Need Help Maintaining Your Cannabis Business License?

McElfresh Law helps marijuana cultivators, distributors, retail operators, manufacturers, testing labs, and cannabis investors start and run their businesses. This includes gaining local approval, engaging in the state regulatory process, and ongoing legal representation.

Every successful business relies on outside partners. It can be suppliers, an insurance agent, their accountant, and an attorney. Jessica McElfresh can be that partner getting you through the legal hoops you need to jump through to keep your cannabis business running smoothly. McElfresh Law knows cannabis business law. We can advise and represent you in any related legal matter.

To discuss your local or state cannabis license renewal or update, call McElfresh Law at (858) 756-7107 or contact us online.

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