California Cannabis Microbusinesses

Licensing & Compliance for California Cannabis Microbusinesses, 2019 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
email: bcc@dca.ca.gov

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

Requirements:

  • 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

Forms:


Resources:








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 cultivation (on an area less than 10,000 square feet) Proposition 65 valid waiver Temporary License Application Information annual license application written procedures for inventory control commercial cannabis manufacturing activity labels not be attractive disclosure of all criminal convictions Criminal History Retailer (Type 10) access to the area(s) Labor peace agreement 2019 fines track and trace system state cannabis licensing local jurisdiction’s ordinances and regulations inventory and quality control no added caffeine extracts concentrate Category I Residual Solvents and Processing Chemicals Testing Medicinal and Adult-Use Cannabis Regulation and Safety Act 2019 proposed changes storage of cannabis goods secured area Local Authorization packaging and labeling requirements for pre-rolls onsite sale and consumption of cannabis goods Premises Diagram licensed premises edibles packaging opaque disposal and destruction methods finished product amount of sodium Department of Public Health’s Manufactured Cannabis Safety Branch informational panel Manufactured Cannabis Safety Branch supplemental label edible products cannabis training separate applications license review process hydrocarbon-based solvents packaging and labeling activity for a period of 120 days Ethanol motor carrier permit re-sealable secondary package Food-grade Butter/Oil Non-Storefront Retailer (Type 9) Identifying information operating premises health claims conditional license Heavy Metals Testing distributors loan provided to a commercial cannabis business packaging and labeling requirements Poison Prevention Packaging Act of 1970 (PPPA) security and cannabis waste disposal M-license Form # CDPH-9041 medicinal commercial cannabis activity ingredient list product formulation comply with all packaging and labeling requirements Department of Consumer Affairs’ Bureau of Cannabis Control contaminants medicinal and adult use cannabis goods transported together The California Department of Public Health's premises diagram 2019 revisions vape cartridges Conducting quality assurance review of cannabis goods Seller’s permit number an officer or director of a cannabis business the commercial medicinal and adult-use (recreational) alcoholic beverages Temporary event up to 4 days quality control 600 foot radius of a school Type S share facility space at least 99% purity Temporary Cannabis Event supply chain cannabis adult-use products government warning statement label payable to the state of California Carbon Dioxide (CO2) sugar three cannabis licensing authorities Licensee Information highly-concentrated oils or waxes Microbial Impurities Testing (A. fumigatus, A. flavus, A. niger, A. terreus) CDTFA seller’s permit CDPH-issued universal symbol surety bond regulatory framework emergency regulations hang tag or a peel-back label 2019 important information financial interest holder commercial cannabis manufacturers licensing scheme 100 mg of THC per package entry into the legal, regulated market cannabis waste pre-made or purchased minimum standards for extraction processes must enter certain events transport cannabis goods to retailer Licensee Lookup Tool capsules no infusion of alcohol licensed cannabis manufacturers stickers potentially-hazardous foods amount of THC content Vehicle Requirements paper inserted into the packaging evidence of rehabilitation Financial information Industrial Hemp Advisory Board limited to a maximum of 1,000 mg per package Individual Owner Distributor Transport Only Cannabis Manufacturing topicals THC levels microbusinesses Local Jurisdictions 2019 updates cannabis plants Mycotoxins Testing 2019 new laws purchasing cannabis products on tribal lands cannabis cultivation licensing licensed cannabis distributors online licensing system Arranging for laboratory testing manned motor vehicle cannabis industries Bond in the amount of $5,000 commercial kitchens Transport vehicles alarm system A-license Standard Operating Procedures (SOPs) temporary license procedures for inventory control requiring refrigeration local jurisdiction manufacture cannabis products infusion immature live plants and seeds being transported from a licensed nursery cannabis market manufacturing Owner recordkeeping compliance with local jurisdiction diagram of the business’s layout property for the commercial cannabis activity nonlaboratory quality control secondary packaging Extractions using CO2 California Public Records Act cultivation sales of cannabis goods testing of cannabis goods sampling standards medicinal and adult-use or both markets Mechanical Cultivation less than 10,000 CO2 and ethanol extractions Edibles– Products at least 20% ownership interest Retailer (nonstorefront) manufacturing practices The Manufactured Cannabis Safety Branch (MCSB) Local Authorization Attachment scaled to the gross annual revenue of the licensed premises commercial cannabis activity convicted of a substantially related crime testing lab security Manufactured Cannabis Licensing System (MCLS) identity of the product Premises Information Financial Interest extraction A-license and an M-license product as a candy prohibited 2019 laws M-licensees no infusion of nicotine Local Issuing Authority licensed physical location (premises) Business Information some nutritional facts Proposition 64: The Adult Use of Cannabis Act of 2016 member manager Medicinal and Adult-Use Cannabis Regulation and Safety Act (MAUCRSA) Water Activity Testing of Solid or Semi-Solid Edibles sanitary and hazard-free environment Cannabinoids Testing Business Organizational onsite consumption of cannabis goods public health and safety 2019 issues Department of Food and Agriculture’s CalCannabis Cultivation Licensing division amount of THC/CBD per serving and per package cannabis event organizer license Manufacturing (non-volatile) shipping manifest dried flower Foreign Material Testing operating procedures licensed cannabis cultivators Terpenoids Testing periods of 90 days extensions Bond and Insurance Information exception for testing laboratories opaque exit package A-licensees licensing and regulating commercial cannabis manufacturers MCSB’s temporary license application delivery vehicle $3,000 of cannabis goods primary panel requirements sanitary workplaces tamper-evident licensing cannabis third-party testing laboratories consumption of alcohol or tobacco 600-foot radius of a school list of artificial food colorings Application Checklist California Department of Public Health (CDPH) licensing cannabis retailers waste disposal persons with a financial interest in the cannabis business transportation of cannabis goods retailers good manufacturing practices final form public Licensee Lookup Tool Manufactured Cannabis Safety Branch (MCSB) licensing cannabis microbusinesses allergen information certified by a California-licensed engineer transportation Butane/Hexane/Propane Track and Trace 2,000 mg of THC per package for the medicinal-use market manufacturer's name remove THC/CBD investment into a commercial cannabis business ISO/IEC 17025 accreditation commercial cannabis products manufacturing cannabis products highly-concentrated THC/CBD such as oil, wax and resin tinctures manufacturing (Level 1 manufacturing, Type 6) volatile solvent shared-use manufacturing facilities three state cannabis-licensing authorities required limits limited to a maximum of 10 mg of THC per serving 2019 compliance Fingerprints Personnel Requirements manufacturers who package for other producers Transition Period testing methods evidence of the legal right to occupy the premises compliance with regulations Medical Cannabis Regulation and Safety Act of 2015 product guidelines waste management laws workshops hosted by the Bureau of Cannabis Control cannabis cartoons Live Scans for each owner CALIFORNIA BUREAU OF CANNABIS CONTROL basic nutritional information Homogeneity Testing of Edible Cannabis Products local jurisdiction authorization inventory Distributor transport managing member manufacturing activities persons 21 years of age or older inhalable cannabis destruction of cannabis goods loop system Temporary License Application ANTICIPATED ANNUAL (NONTEMPORARY) LICENSE APPLICATION REQUIREMENTS MCSB tobacco products Premises diagram disposal CalCannabis Cultivation Licensing Category I Residual Pesticides Testing Microbusiness unique ID/batch number 2019 problems Office of Environmental Health Hazard Assessment (OEHHA) CDPH-9041 120 days Licensees structure and formation documents medicinal and adult-use markets LICENSE APPLICATION REQUIREMENTS supply chains for medicinal and adult-use cannabis products aggregate interest of 20% or more small product packaging 2019 regulations exit packaging transporting cannabis goods Incorporating THC/CBD concentrates medicinal and adult-use cannabis manufacturing definition of owner cannabis products in container or wrapper for sale laboratory quality assurance Percentage of ownership Category II Residual Solvents and Processing Chemicals Testing Moisture Content Testing chain of custody period of 120 days regulations for medicinal and adult-use cannabis designated structure commercial cannabis manufacturing in California commercial cannabis manufacturing shaped like a human, animal, insect, or fruit Physical address protocol MANUFACTURED CANNABIS SAFETY BRANCH ownership premises is not within a Government Completed Temporary License Application Form licensing cannabis distributors licenses for both medicinal and adult-use cannabis manufacturing at the same premises contaminant free labeling mandated warning statements carbohydrates and fat per serving adult-use commercial cannabis activity child-resistant outer package Proposed Section 40133 The Bureau of Cannabis Control (BCC) A-license and an M-license for the same commercial cannabis activity shares of stock that are less than 5% of the total shares in a publicly traded company health impacts of cannabis Category II Residual Pesticides Testing testing laboratories cannabis sales and/or consumption local jurisdiction’s requirements child-resistant packaging Business and Professions Code section 26050.1 equity interest in a commercial cannabis business California Department of Public Health Microbial Impurities Testing (Escherichia coli and Salmonella spp.) 2019 resolutions 2019 recent news packaging regulations for medical and adult-use cannabis in California BUREAU OF CANNABIS CONTROL meat and seafood, and other products Water/Food-grade Dry Ice conducting quality assurance review transportation and security medicinal and adult-use commercial cannabis activity Operating Procedures and more.

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