The recreational cannabis industry in the state of California has been booming as consumer demand increased. However, the manufacturers have a harder time catching up with the boom. In January 2019, the state of California possessed five thousand cannabis manufacturer licenses. But, there were just four hundred manufacturers that got temporary licenses to provide services to the cannabis industry. For that reason, more business owners dived into the market for their share of the consumer demand as some continue to wait for their manufacture licenses. Why is there such a scarcity?
The manufacture licensing process in the state of California is rigorous and not many potential business owners are ready for the obstacles that prevail. Many of these obstacles are unforeseen and so some might start the process and stumble upon issues that they never envisioned; only to be thrown off balance. In some cases, the state process is easier than the local municipalities and so it is important for potential business owners to know more about what is required before putting in an application. It is best to plan how you are going to mee the safety standards and compliance standards that are required. It is also important to learn about and navigate the issues that might come up while you are going through the process. If you are interested in securing or knowing how to obtain cannabis manufacture licenses, there are some steps that you have to go through. Let’s take a look at some of them.
The Local Municipalities
Before obtaining cannabis manufacture licenses from your state, it is mandatory that you seek the approval of the local municipalities. This is the only way that you will be able to conduct your business at the local level. And, you should know that the process is more than just secured approval for use of land and zoning permits or business permits from the city. It is also about maintaining safety standards for employees and customers alike and meeting the compliance factor. Additionally, the local municipalities have to assess whether your project has the potential of having negative implications to the nearby surroundings. For example, if you had to take over a commercial property or facility that already existed, you might have to do minor upgrades that would not negatively impact the surroundings. But, if you are looking to get a new facility or commercial property, then that is a different ball game. You may be required by the local municipalities to do a review of the surroundings and this will usually cost an additional amount of money. So, you have to be prepared for this. After you secure the approval from the local municipalities, you have to probably get a building permit, if you want to make improvements to your property or facility.
Now, it is time to complete the application for your cannabis manufacture licenses. Every state has its own application and some can be completed online while others are to be done in person; depending on the state and the municipalities. In most applications, you have to indicate the type of business, financial entities, the operating facility and the process of disposing waste; quality control, inventory control, security and transportation.
Timing is going to depend on your local municipality. However, generally, it is safe to have the assumption that the entire process of obtaining cannabis manufacture licenses can be accomplished within a year to two years. Sometimes, you have to wait a bit longer, especially if the market is new in your state. It is helpful to do your research beforehand so that you are prepared. Ask questions when you are unsure, but plan ahead of the game.