At the beginning of 2018, California started issuing licenses allowing the sale of marijuana for recreational use. Since the passing of the final cannabis regulations in 2018, distributors became a crucial part in the cannabis industry in California.
Initially, cannabis farmers would sell their cannabis directly to retailers. But as from 2018, both medical and recreational marijuana must pass through a distributor before reaching the retailer. The new regulations increased the cost of marijuana and crippled smaller cannabis cultivators. However, the latest addition to the cannabis supply chain in California created a unique opportunity for cannabis distributors.
Becoming a Cannabis Distributor in California
The sale of medical marijuana has been legal in California for a long time. However, there has never been a robust regulatory system supporting licensing by the state. After passing the full regulations in 2018, the state started implementing a licensing system. It, therefore, means that you will need a cannabis distribution license in California to be allowed to operate.
Currently, there are about 20 types of licenses covering various categories, including distribution, retail, manufacturing, cultivating, testing, and micro-businesses. Long after passing of the cannabis regulations, of the six major license types, distribution got little attention in the media. Many people seeking to venture into cannabis business don’t know the responsibilities and importance of having a cannabis distribution license in California.
If you want to learn more about setting up a cannabis distribution business in California, talk to Cannabis Permits, a licensing consultation group that helps to keep your business compliant.