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California Cannabis Consultants

California Cannabis Consultants

Overview of Cannabis in California

California provides many opportunities for entrepreneurs interested in the cannabis business, with a strong market for both recreational and medical marijuana. The state was the first to legalize medical cannabis in 1996 with the Compassionate Use Act, and later legalized recreational marijuana in 2016 through Proposition 64. For those looking to enter the industry, working with experienced California cannabis consultants can be highly beneficial.

The cannabis market in California is growing fast, with recreational marijuana sales expected to reach $6.59 billion by year 2025. This growth presents great chances for new businesses, especially in a state with one of the largest cannabis markets in the U.S. Entrepreneurs can enter the market with various business licenses, including retail dispensaries, cultivation, and distribution.

Recent laws are also boosting business opportunities. Senate Bill 51, for example, extends provisional licenses for social equity operators until 2031, supporting diversity in the market. In 2024, Governor Gavin Newsom signed Assembly Bill 1775, which allows cannabis cafes as of January 1, 2025. This new law lets businesses serve non-cannabis food and drinks, host live events, and create unique customer experiences.

Additionally, California offers temporary cannabis event licenses for businesses to host cannabis-related events. These changes show California’s commitment to supporting cannabis businesses and creating new opportunities. With these expanding options, California continues to be a top choice for starting a cannabis business.

For more information about California’s cannabis program, click here.

California Cannabis License Types

California offers a variety of cannabis licenses to accommodate different business models and operations. These licenses are essential for ensuring compliance with the state’s cannabis laws. Below are the key license types available for cannabis businesses in California:

Retail or Dispensary License

Retail licenses allow businesses to sell cannabis products either through a physical storefront or delivery services.

  • Type 9: Non-Storefront Retailer – Allows cannabis sales exclusively through delivery, without a physical storefront.
  • Type 10: Storefront Retailer – Permits cannabis sales at a physical location, with delivery services allowed.
  • Type 10-Retailer with Lounge Designation – Required to operate a cannabis consumption lounge, which includes specific regulations such as operating hours and quantity limits for onsite consumption. Customers may consume cannabis onsite but cannot take live plants or seeds. Smoking, vaping, and consuming edibles are allowed within designated areas.

Cultivation License

Cultivation licenses are based on production methods, lighting, and canopy size. There are various categories for different cultivation scales:

  • Specialty Cottage – Small-scale cultivation, including outdoor (up to 25 plants or 2,500 sq. ft.), indoor (up to 500 sq. ft.), and mixed-light (up to 2,500 sq. ft.).
  • Specialty – Medium-scale cultivation, including outdoor (up to 50 plants or 5,000 sq. ft.), indoor (501–5,000 sq. ft.), and mixed-light (2,501–5,000 sq. ft.).
  • Small – Outdoor, indoor, or mixed-light cultivation (5,001–10,000 sq. ft.).
  • Medium – Larger cultivation areas, including outdoor (10,001 sq. ft. to 1 acre), indoor or mixed-light (10,001–22,000 sq. ft.).
  • Large – Large-scale cultivation, including outdoor (over 1 acre), indoor or mixed-light (over 22,000 sq. ft.).
  • Nursery – For growing clones, seeds, and immature plants.
  • Processor – For trimming, curing, packaging, or labeling cannabis.

Manufacturing License

Manufacturing licenses are divided based on the methods of extraction, chemicals used, and facility operations.

  • Type 7: Volatile Solvent Manufacturing – Allows the use of volatile or non-volatile solvents and mechanical methods for extraction, as well as infusing, packaging, and labeling products.
  • Type 6: Non-Volatile Solvent Manufacturing or Mechanical Extraction – Permits non-volatile solvents like ethanol and CO2, or mechanical methods like rosin presses, for extraction, along with infusion, packaging, and labeling.
  • Type N: Infusion – Focuses on the creation, packaging, and labeling of infused products.
  • Type P: Packaging and Labeling – Limited to the packaging and labeling of cannabis products.
  • Type S: Shared-Use Facility Manufacturing – Allows extraction and product infusion in a shared facility, where multiple manufacturers rotate and share equipment.

Distribution License

These licenses are necessary for transporting cannabis and cannabis products between different business locations in California.

  • Type 11: Distributor – Permits transporting cannabis between cultivation, manufacturing, and distribution sites, delivering products to retailers, providing storage, and arranging testing.
  • Type 13: Transport-Only Distributor – Allows transporting cannabis between sites, with reduced fees for moving only self-cultivated or manufactured goods.

Microbusiness License

The Type 12 Microbusiness License is designed for establishments with at least three operations in one location, such as cultivation, manufacturing, distribution, and retail sales. This license allows businesses to operate across multiple sectors in a single facility.

Event Licenses

Temporary cannabis events allow people to buy and use cannabis for several days. These events usually occur at approved locations and can last from one to four days.

  • Cannabis Event Organizer License – Required to organize cannabis events.
  • Temporary Cannabis Event License – Required for staging a cannabis-related event, alongside the event organizer’s license.

Testing Laboratories License

Testing laboratories are essential for ensuring cannabis products meet safety standards. A Type 8 Testing Laboratory License is required for facilities that test cannabis products before they are sold to retailers. All cannabis products must undergo testing to verify safety and quality standards.

These various license types provide the legal foundation for cannabis businesses to operate in California, ensuring compliance with state regulations while allowing for a range of business models and operations in the thriving cannabis industry.

Cannaspire Cannabis Consulting Services for California

Why Work with a Cannabis Consultant?

Starting a cannabis business involves layers of complexity, from navigating regulatory requirements to establishing operations and brand identity. Partnering with an experienced consultant offers a streamlined approach, minimizing challenges and maximizing opportunities for growth.

Our Services

Cannaspire’s comprehensive consulting services cater to each phase of a cannabis business, designed to support California entrepreneurs from start to success:

Cannabis Licensing

We assist with securing the appropriate licenses for your cannabis operation.

Cannabis Business Plans

Custom business plans geared toward investor readiness and operational planning.

Cannabis Business Consulting Calls

Get personalized expert guidance on every aspect of your cannabis business success.

Cannabis Licensing Services

End-to-end support through the licensing process, ensuring compliance and completeness.

Cannabis Security Plans

Our tailored security plans ensure full compliance with California's regulatory standards.

Cannabis Operations

Operational strategy support to optimize your business’s workflows and processes.

Operational Readiness

We conduct readiness assessments to ensure smooth operations from day one of opening.

Education and Training

Training programs for staff to ensure adherence to compliance standards.

Cannabis Branding & Marketing

Branding strategies and digital marketing to establish and grow your business’s presence.

Website Design & Development

Professional website design that complies with industry standards and appeals to customers.

Seed to Sale Software Consulting

We assist in implementing and optimizing tracking systems to ensure compliance and operational efficiency.

Cannabis Compliance

Compliance consulting for every stage of business, from launch to daily operations.

Fractional Cannabis Compliance Officer

Access to compliance expertise without the need for full-time hiring.

Compliance and Policy Consulting for State and Local Officials

Advisory for government bodies creating cannabis policies.

GMP, ISO, & Organic Farming Certifications

Guidance on obtaining certifications to build credibility in cultivation practices.

Retainer Services

Ongoing consulting support for continued success and adaptation to industry changes.

Retainer Services

Ongoing consulting support for continued success and adaptation to industry changes.

Why Choose Cannaspire?

Cannaspire’s track record speaks to the value we provide California cannabis businesses. Our team of experienced professionals has a history of successful client partnerships, offering guidance, compliance expertise, and a proactive approach to regulatory challenges.

What Our Clients Say About Our Cannabis Consulting Services

Schedule Your Consultation

Ready to turn your cannabis business goals into reality?

Cannaspire is here to provide the support, expertise, and actionable insights you need. Contact us today to schedule a consultation—our team is just a call away. 

Hours
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Thursday 8:00 am – 5:00 pm
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