California Cannabis California Cannabis Business License Compliance Microbusiness Type 12

California Cannabis Business License Compliance Microbusiness Type 12, 2020 Important Information & Updates

California Cannabis Microbusinesses

Frequently Asked Questions

What is a Cannabis Microbusiness?

A Cannabis Microbusiness is a business that engages in at least 3 of the following 4 activities:
  • Cultivation (area less than 10,000 square feet)
  • Manufacturing (level 1), Manufacturing (level 6)
  • Distribution
  • Retail

Can a Microbusiness act in part as a cannabis business or must it be whole?

A Microbusiness can act in part or whole as a cannabis business.

Are Microbusinesses required to identify their business organizational structure?

Yes, Microbusinesses are required to identify their business organizational structure.

Can large cultivation licensees obtain microbusiness licenses?

No, large cultivation licensees are prohibited from obtaining a microbusiness license. Though, a person can apply for and be issued more than one license for commercial adult-use activity.

Are microbusiness licensees required to implement any security measures?

Yes, microbusiness licensees are required to implement security measures reasonably designed to prevent unauthorized entrance into areas containing cannabis or cannabis products and theft of cannabis or cannabis products from the premises.

Can microbusinesses deliver cannabis goods?

Yes, cannabis goods deliveries can be made by a licensed microbusiness.

Can microbusinesses be subject to excessive concentration?

Yes, CA can limit microbusinesses subject to excessive concentration.

State Authority & Contact:

Bureau of Cannabis Control (CA Department of Consumer Affairs)
PO Box 419016, Rancho Cordova, CA 95741-9106
Phone: 1-833-768-5880

Scope of Licenses:

  • Type 12 Microbusiness

A Cannabis Microbusiness is a business that engages in at least 3 of the following 4 activities:
  • Cultivation (area less than 10,000 square feet)
  • Manufacturing (level 1), Manufacturing (level 6)
  • Distribution
  • Retail


  • Evidence of legal right to occupy and use the proposed premises location.
  • Premises Diagram Form(s)
  • Business formation documents,including all documents filed with the CA Secretary of State (SOS). Foreign corporations must include a copy of the Certificate of Qualification from the SOS.
  • Evidence of premises compliance with local jurisdiction, if applicable.
  • Labor peace agreement or notarized statement indicating that you will enter into and abide by the terms of a labor peace agreement, if applicable.
  • Limited waiver of sovereign immunity, if applicable.
  • Evidence of exemption from, or compliance with, the California Environmental Quality Act.
  • Proof of commercial general liability insurance in the aggregate of no less than $2 million and no less than $1 million for each loss, if your license activities include distribution.
  • Financial Information Form
  • Proof of surety bond in the amount of $5,000, payable to the State of California.
  • Transportation procedures
  • Inventory procedures
  • Non-Laboratory Quality Control procedures
  • Security procedures
  • Evidence of compliance with the Compassionate Use Act of 1996 and its implementing laws before September 1, 2016, if applicable.

Licensing Fees:

  • $5,000: Revenue Up to $500,000
  • $15,000: Revenue between $.5 million to $1.5 million
  • $42,000: Revenue between $1.5 million to $4.5 million
  • $120,000: Revenue greater than $4.5 million



California Universal Symbol for Cannabis

California Universal Symbol for Cannabis

Download PNG file or Download JPG file

This site focuses or refers to information and services regarding Category II Residual Solvents and Processing Chemicals Testing secondary packaging license review process local jurisdiction’s requirements Category I Residual Solvents and Processing Chemicals Testing Category I Residual Pesticides Testing quality control extraction edibles packaging opaque Standard Operating Procedures (SOPs) property for the commercial cannabis activity M-license shipping manifest licensing cannabis third-party testing laboratories nonlaboratory quality control Type S share facility space Microbial Impurities Testing (Escherichia coli and Salmonella spp.) MCSB’s temporary license application California Department of Public Health (CDPH) Moisture Content Testing meat and seafood, and other products comply with all packaging and labeling requirements financial interest holder Conducting quality assurance review of cannabis goods Food-grade Butter/Oil laboratory quality assurance extracts Local Issuing Authority Business and Professions Code section 26050.1 Track and Trace primary panel requirements disposal and destruction methods Transition Period CDPH-issued universal symbol waste disposal 2020 proposed changes testing laboratories cannabis event organizer license no infusion of nicotine licensing cannabis retailers Extractions using CO2 contaminants exception for testing laboratories Labor peace agreement Individual Owner Financial information tinctures Mycotoxins Testing 600-foot radius of a school track and trace system mandated warning statements delivery vehicle $3,000 of cannabis goods loan provided to a commercial cannabis business exit packaging sales of cannabis goods informational panel potentially-hazardous foods Retailer (nonstorefront) Seller’s permit number regulations for medical and adult-use cannabis in California loop system microbusinesses finished product security and cannabis waste disposal tamper-evident licensing cannabis distributors alcoholic beverages recordkeeping cannabis cartoons Ethanol 100 mg of THC per package Application Checklist Transport vehicles alarm system topicals Manufactured Cannabis Safety Branch cannabis products in container or wrapper for sale THC levels cannabis market supply chain MCSB certified by a California-licensed engineer medicinal and adult-use cannabis manufacturing Temporary License Application three state cannabis-licensing authorities cannabis cultivation licensing labeling must enter certain events some nutritional facts testing of cannabis goods licensed premises 2020 regulations at least 99% purity structure and formation documents 2020 problems Licensee Information valid waiver procedures for inventory control Local Authorization Industrial Hemp Advisory Board sanitary workplaces sanitary and hazard-free environment Poison Prevention Packaging Act of 1970 (PPPA) investment into a commercial cannabis business Water/Food-grade Dry Ice product as a candy prohibited secondary package Business Information commercial cannabis manufacturing in California commercial kitchens shared-use manufacturing facilities Proposition 65 designated structure chain of custody secured area child-resistant outer package emergency regulations basic nutritional information list of artificial food colorings evidence of the legal right to occupy the premises access to the area(s) Cultivation less than 10,000 Medicinal and Adult-Use Cannabis Regulation and Safety Act (MAUCRSA) Premises diagram concentrate commercial cannabis manufacturing highly-concentrated THC/CBD such as oil, wax and resin no infusion of alcohol manufacturing workshops hosted by the Bureau of Cannabis Control LICENSE APPLICATION REQUIREMENTS cannabis plants 2020 recent news manufacturers who package for other producers transportation and security Manufactured Cannabis Licensing System (MCLS) scaled to the gross annual revenue of the licensed premises local jurisdiction evidence of rehabilitation surety bond licensed cannabis manufacturers Temporary event up to 4 days MANUFACTURED CANNABIS SAFETY BRANCH Cannabis Manufacturing Business Organizational written procedures for inventory control M-licensees annual license application Premises Diagram commercial cannabis products Microbial Impurities Testing (A. fumigatus, A. flavus, A. niger, A. terreus) cannabis industries Owner the commercial medicinal and adult-use (recreational) required limits Proposition 64: The Adult Use of Cannabis Act of 2016 shares of stock that are less than 5% of the total shares in a publicly traded company at least 20% ownership interest Mechanical Terpenoids Testing Butane/Hexane/Propane no added caffeine Department of Food and Agriculture’s CalCannabis Cultivation Licensing division 120 days an officer or director of a cannabis business health claims regulatory framework medicinal and adult-use markets compliance with regulations conducting quality assurance review health impacts of cannabis edible products re-sealable amount of THC/CBD per serving and per package manufacturing (Level 1 manufacturing, Type 6) CALIFORNIA BUREAU OF CANNABIS CONTROL security transportation licensed cannabis distributors cultivation sampling standards Medicinal and Adult-Use Cannabis Regulation and Safety Act 2020 laws capsules licensing scheme A-license and an M-license 2020 new laws vape cartridges Homogeneity Testing of Edible Cannabis Products sugar cultivation (on an area less than 10,000 square feet) online licensing system ingredient list government warning statement label pre-made or purchased Non-Storefront Retailer (Type 9) equity interest in a commercial cannabis business The Bureau of Cannabis Control (BCC) distributors operating procedures product guidelines contaminant free licenses for both medicinal and adult-use cannabis manufacturing at the same premises Temporary License Application Information Local Jurisdictions labels not be attractive destruction of cannabis goods cannabis training Carbon Dioxide (CO2) opaque exit package motor carrier permit unique ID/batch number California Public Records Act paper inserted into the packaging manned motor vehicle minimum standards for extraction processes hydrocarbon-based solvents Manufactured Cannabis Safety Branch (MCSB) Premises Information manufacturing cannabis products hang tag or a peel-back label CO2 and ethanol extractions packaging Edibles– Products ANTICIPATED ANNUAL (NONTEMPORARY) LICENSE APPLICATION REQUIREMENTS Manufacturing (non-volatile) entry into the legal, regulated market commercial cannabis activity Identifying information onsite consumption of cannabis goods 2020 issues The California Department of Public Health's disposal managing member Microbusiness highly-concentrated oils or waxes amount of sodium requiring refrigeration CDPH-9041 manufacturing practices inventory and quality control 2020 compliance 2020 updates Distributor transport periods of 90 days extensions Cannabinoids Testing CDTFA seller’s permit Category II Residual Pesticides Testing BUREAU OF CANNABIS CONTROL Arranging for laboratory testing dried flower public health and safety ISO/IEC 17025 accreditation adult-use commercial cannabis activity 2020 resolutions local jurisdiction authorization retailers transport cannabis goods to retailer aggregate interest of 20% or more licensed cannabis cultivators Physical address Bond in the amount of $5,000 inventory purchasing cannabis products on tribal lands manufacturing activities licensed physical location (premises) California Department of Public Health limited to a maximum of 10 mg of THC per serving stickers convicted of a substantially related crime infusion Retailer (Type 10) allergen information Form # CDPH-9041 disclosure of all criminal convictions persons with a financial interest in the cannabis business regulations for medicinal and adult-use cannabis amount of THC content Temporary Cannabis Event storage of cannabis goods compliance with local jurisdiction product formulation Licensee Lookup Tool Bond and Insurance Information limited to a maximum of 1,000 mg per package local jurisdiction’s ordinances and regulations 2020 revisions temporary license Department of Consumer Affairs’ Bureau of Cannabis Control A-licensees licensing cannabis microbusinesses Operating Procedures manufacture cannabis products Fingerprints commercial cannabis manufacturers diagram of the business’s layout Live Scans for each owner waste management laws conditional license Proposed Section 40133 Foreign Material Testing carbohydrates and fat per serving medicinal and adult-use or both markets cannabis adult-use products Vehicle Requirements small product packaging tobacco products member manager testing lab A-license and an M-license for the same commercial cannabis activity Office of Environmental Health Hazard Assessment (OEHHA) Water Activity Testing of Solid or Semi-Solid Edibles Distributor Transport Only state cannabis licensing packaging and labeling requirements identity of the product commercial cannabis manufacturing activity cannabis sales and/or consumption remove THC/CBD ownership premises is not within a Government packaging and labeling Heavy Metals Testing period of 120 days activity for a period of 120 days immature live plants and seeds being transported from a licensed nursery good manufacturing practices 2020 important information payable to the state of California premises diagram shaped like a human, animal, insect, or fruit 2020 fines CalCannabis Cultivation Licensing final form cannabis waste The Manufactured Cannabis Safety Branch (MCSB) A-license onsite sale and consumption of cannabis goods Criminal History separate applications Incorporating THC/CBD concentrates transporting cannabis goods licensing and regulating commercial cannabis manufacturers Personnel Requirements Department of Public Health’s Manufactured Cannabis Safety Branch medicinal and adult-use commercial cannabis activity supplemental label protocol definition of owner Financial Interest three cannabis licensing authorities Percentage of ownership public Licensee Lookup Tool Licensees consumption of alcohol or tobacco inhalable cannabis packaging and labeling requirements for pre-rolls Medical Cannabis Regulation and Safety Act of 2015 operating premises volatile solvent 600 foot radius of a school manufacturer's name transportation of cannabis goods medicinal and adult use cannabis goods transported together Local Authorization Attachment 2,000 mg of THC per package for the medicinal-use market Completed Temporary License Application Form child-resistant packaging testing methods supply chains for medicinal and adult-use cannabis products medicinal commercial cannabis activity persons 21 years of age or older and more.

In addition, Allergen cross-contact CBD from industrial hemp DPH-17-010E Theoretical yield Mature plant Type N – for infusions Outdoor cultivation Wet weight cakes, cookies, beverages and juices, tea and coffee, chocolates, gummies, gum, and mints Medium Outdoor Track and trace system Pest Request for Live Scan In-process material Pre-roll Type 11 (Distributor) Type 4 (Cultivation; Nursery) Process Track-and-trace systems UID Type 3A (Cultivation; Indoor; Medium) CBD Immature plant Type 1B (Cultivation; Specialty mixed-light; Small) Type 3 (Cultivation; Outdoor; Medium) THC Quality package flower or pre-rolls Type 1A (Cultivation; Specialty indoor; Small) Watts per square foot Specialty Mixed-Light Tier 1 Qualified individual Processing aid Adulterated Canopy Manufacturer licensee list of cannabis manufacturers Pathogen Universal symbol Indoor cultivation Extraction Contact surface Type 5 (Cultivation; Outdoor; Large) Adequate Small Indoor Personnel infused pre-rolls Monitor Validation products similar to traditional food products prohibited Finished product Topical cannabis product Cultivation site Type 2 (Cultivation; Outdoor; Small) Type 6 (Manufacturer 1) Extraction: Non-volatile Solvents, Mechanical Methods Processing Premises Type 5A (Cultivation; Indoor; Large) cannabis concentrates Informational panel Serving Department Cannabis product Licensee Type 10 (Retailer) track and trace system Nonmanufactured cannabis product Type N Infusions (optional packaging and labeling) Specialty Cottage Outdoor Volatile solvent Processor Mixed-light Tier 1 Sanitize Type 12 (Microbusiness) Quarantine Nonvolatile solvent Type 13 (Distributor Transport Only) Mixed-light Tier 2 Type 1 (Cultivation; Specialty outdoor; Small) Type 2B (Cultivation; Mixed-light; Small) Small Outdoor Commercial cannabis activity THC limit of 10 milligrams per serving and 100 milligrams per package Microorganisms Infusion Bureau Specialty Cottage Mixed-Light Tier 1 Flowering Type 9 (Non-Storefront Retailer) Batch Type 8 (Testing Laboratory) Distribution Holding Medium Mixed-Light Tier 1 Commercial-grade, non-residential door lock Limited-access area Actual yield Product Identity Environmental pathogen Component Ingredient Applicant Specialty Cottage Mixed-Light Tier 2 Edible cannabis product Quality control operation Mixed-light cultivation Medium Mixed-Light Tier 2 Quality control personnel Manufacture M-license Package Kief Harvest Batch Labeling Small Mixed-Light Tier 2 Medium Indoor Type P Packaging & Labeling Only Adult-use Market Nursery Small Mixed-Light Tier 1 infused butters and oils as concentrates Lot Dried flower Type 2A (Cultivation; Indoor; Small) alternate use of a manufacturing premises Specialty Indoor Type P – for packaging and labeling only Type 7 – for extraction using a volatile solvent (ex: butane, propane and hexane) Type 1C (Cultivation; Specialty cottage; Small) MCSB 90-day extension periods Specialty Mixed-Light Tier 2 Proposition 65 warning statement Type 7 (Manufacturer 2) Extraction: Volatile Solvents Type 5B (Cultivation; Mixed-light; Large) Specialty Outdoor Type 14 (Cannabis Event Organizer) Preventive controls Raw material Type 6 – for extraction using a mechanical method or non-volatile solvent (ex: CO2, ethanol, water, or food-grade dry ice, cooking oils or butter) Cultivation Type S (coming soon, shared-use manufacturing facilities) Hazard Unique identifier Primary panel Type 3B (Cultivation; Mixed-light; Medium) adulteration Specialty Cottage Indoor Allergen Net weight gross annual revenue for first year in operation under MAUCRSA Verification and more.

Disclaimer: Informational and educational purposes. Self-help services (not legal advice). Site is not affiliated with any state agency. Note that site might not contain the most updated information. Your receipt of any information from this site does not create a relationship. Prior results do not guarantee or suggest a similar result in other matters. No promise is made with regard to services or content's reliability, availabilty, or ability to meet any needs. Information and services provided "AS IS."

All Rights Reserved