How to Get a Cannabis License in New York

Research and Prepare

Before making any investments or committing to a game plan, every applicant should understand the ground realities of cannabis sales in NY. Officially, adult-use sales began in December 2022 and were supported by medical cannabis dispensaries in the state.

Later on, the foundation for recreational dispensaries was set but saw little progress. The Conditional Adult-Use Retail Dispensary (CAURD) license was introduced under this bracket, however, it limits the number of applicants through the conditions stipulated by the law.

CAURD applicants receive priority for licenses and applications for non-CAURD dispensaries are expected to open soon (with no estimated date disclosed). 

So, the first step is getting familiar with the process for obtaining a CAURD license, such as the eligibility, documentation, and fee requirements. You can easily find this information and much more on the government’s official website.

Once you’re reassured that you meet the conditional aspects of the license, you can begin working on the next step. 

Develop a Solid Business Plan

To convince the OCM that your cannabis businesses will succeed, you need a comprehensive business plan showcasing your commitment. 

You can give a detailed account of what your expectations are and what you’ve envisioned. However, keeping a realistic outlook will work in your favor.

Your Business Plan Should Include:

While you may not be required to gather every single document we’ve mentioned, doing so will help your case. 

• Executive Summary: Who you are as a company and your vision.
• Company Description: Management, Organizational structure, Organization of the team, etc.
• Operating Agreement.
• Market Analysis: Market and Competitor Analysis.
• Strategies: Compliance, marketing, and sales strategies.
• Financial Details: Budgets and other financial projections.
• Security: General security measures, risk management strategies, etc.
• Appendix: Extra documentation.

Note: Considering the importance of your business plan for obtaining the license, it’s best to consult professional assistance for both legal and business aspects. This advice is crucial for those who are new to the Cannabis industry in New York.

Assemble the Necessary Documentation

Before filing your application, gathering the right documentation takes quite some time. So, you should start collecting forms, evidence, and reports well before you plan on applying. 

The basic documents required by the Office of Cannabis Management in New York are similar for each type of license (Dispensary, Cultivator, or Processor). However, there are different requirements for each so you should only collect paperwork for the particular category that interests you. 

The specified list of documents includes:

1. Evidence of being justice-involved (Certificate of Disposition or relevant court documents)
2. Financial documents (Tax records, proof of financing, etc.)
3. Proof of Significant Presence/Residence (Bank account, tax docs, property documents, etc.)
4. Ownership record of business
5. True Party of Interest (TPI) disclosure forms
6. Business plan
7. Applicant’s personal finance history

Much of your information will be collected through the online form, but you should possess the following documents for your convenience throughout the process.  

• Proof of identification
• Proof of residence in the State of NY
• List of all share owners and stakeholders
• Local jurisdiction permits
• Proof of a surety bond (if required)

Note: You should only submit supporting documents based on their relevance. If you’re a social and economic equity applicant, you might have to submit some additional documents.

Submitting the Application

Once you’ve completed preparing for the application, you can move toward filling out the application form online. It will be located on the New York State Business Express (NYBE) website.

While you’re at it, ensure that you have all the necessary material available before you begin filling out the form. 

The Cannabis business license applications from New York State are comprehensive, so you should set aside at least an hour or two to complete it. There are many steps where you may need to refer to legal documents, other government-issued certificates, and such, so you should fill out each component carefully.

Note: Before starting your application, reviewing the mockup application document uploaded by the state government is best. It shows you all the questions included in the form and details such as where files should be uploaded, what step you’ll pay the fee at, and much more.