California issued its first batch of business licenses for the state’s upcoming legal marijuana market.
In California on Thursday, the first batch of business licenses to sell and transport recreational marijuana were issued. This comes just 18 days before legal sales on January 1st.
The first temporary license was awarded to Pure CA, which does business as a Moxie brand product. This company is known for its cannabis extracts. In addition, 20 temporary licenses were given. This represents a fraction of the thousands of licenses expected to follow.
“I couldn’t be more excited,” said Moxie CEO Jordan Lams, who credited “a lot of the stars aligning” for being awarded the first distributor license for recreational pot.The release of the initial 20 temporary licenses, good for 120 days, represents another stepping-stone toward legal purchases. Lori Ajax who is a top marijuana regulator stated that they plan to issue more before Jan 1st to be fully prepared.
The Business Plan for California Licences
via The Coast News Group
The first license for recreational retail sales went to Torrey Holistics in San Diego. He submitted a 60-page lease with diagrams and a detailed business plan. Customers must go through an electronic security gate manned by a guard. Once inside, the business looks like a stylish pharmacy and is professionally run. Tony Hall, who opened the shop two years, said he sees recreational marijuana taking off like the wine and craft beer industries.
“The taboo part is slowly going to be removed and this is going to be like any other business,” Hall said.
In general, California will treat cannabis like alcohol. People 21 and older can possess up to an ounce and grow six marijuana plants at home.
Stronger Regulation Come January
via CNN Money
The state and local governments have been working hard to develop rules for the new industry. In addition, some cities are embracing legal sales and others banning commercial pot activity.
The small number of recreational pot licenses mean that choices will likely be limited. So it may be difficult to ring in the New Year until after January 1st. Businesses must have a local permit and a state license to conduct business in the new marketplace.
Nevertheless, in the background, there is still widespread uncertainty. Donald Trump’s administration may attempt to intervene in states where marijuana is legal. But for now, marijuana is illegal in the eyes of the federal government. Banks still have been unwilling to do business with most dispensaries and growers. This likely means pressure from the cannabis community will continue.