Industry Licensing Law & Compliance for California Cannabis Microbusinesses, 2021 Industry News, Events, Information & Updates

California Cannabis Microbusinesses

Frequently Asked Questions

Can microbusinesses deliver cannabis goods?

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

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.

Can microbusinesses be subject to excessive concentration?

Yes, CA can limit microbusinesses subject to excessive concentration.

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 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.

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

Are Microbusinesses required to identify their business organizational structure?

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

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 extracts laboratory quality assurance manufacturing practices comply with all packaging and labeling requirements Medicinal and Adult-Use Cannabis Regulation and Safety Act (MAUCRSA) shipping manifest surety bond Department of Consumer Affairs’ Bureau of Cannabis Control disposal and destruction methods 2021 revisions pre-made or purchased consumption of alcohol or tobacco written procedures for inventory control ingredient list secondary package medicinal commercial cannabis activity onsite consumption of cannabis goods MANUFACTURED CANNABIS SAFETY BRANCH 2021 important information Licensees CO2 and ethanol extractions supplemental label member manager stickers local jurisdiction’s ordinances and regulations packaging CalCannabis Cultivation Licensing packaging and labeling requirements carbohydrates and fat per serving disposal Retailer (nonstorefront) MCSB’s temporary license application transportation identity of the product scaled to the gross annual revenue of the licensed premises disclosure of all criminal convictions immature live plants and seeds being transported from a licensed nursery Licensee Lookup Tool Non-Storefront Retailer (Type 9) required limits Category II Residual Solvents and Processing Chemicals Testing inventory and quality control evidence of rehabilitation an officer or director of a cannabis business workshops hosted by the Bureau of Cannabis Control regulations for medical and adult-use cannabis in California Fingerprints Arranging for laboratory testing cannabis waste sales of cannabis goods security operating procedures inventory allergen information licensed cannabis manufacturers 2021 compliance labeling licensing and regulating commercial cannabis manufacturers ISO/IEC 17025 accreditation licensed physical location (premises) Water Activity Testing of Solid or Semi-Solid Edibles Labor peace agreement licensing scheme cannabis industries Conducting quality assurance review of cannabis goods payable to the state of California Proposition 64: The Adult Use of Cannabis Act of 2016 opaque exit package Local Authorization limited to a maximum of 1,000 mg per package property for the commercial cannabis activity regulations for medicinal and adult-use cannabis amount of sodium informational panel Microbial Impurities Testing (A. fumigatus, A. flavus, A. niger, A. terreus) testing methods financial interest holder Proposition 65 public health and safety Financial information Manufactured Cannabis Licensing System (MCLS) medicinal and adult use cannabis goods transported together online licensing system supply chain Retailer (Type 10) transport cannabis goods to retailer Mechanical transporting cannabis goods 2021 updates Premises Information Manufactured Cannabis Safety Branch volatile solvent Water/Food-grade Dry Ice tobacco products CDPH-issued universal symbol quality control transportation and security Medicinal and Adult-Use Cannabis Regulation and Safety Act Extractions using CO2 licensing cannabis distributors medicinal and adult-use or both markets microbusinesses medicinal and adult-use markets regulatory framework local jurisdiction authorization track and trace system testing of cannabis goods Personnel Requirements nonlaboratory quality control tamper-evident commercial cannabis manufacturing manufacturing annual license application 2021 regulations medicinal and adult-use cannabis manufacturing dried flower evidence of the legal right to occupy the premises Department of Public Health’s Manufactured Cannabis Safety Branch infusion A-license and an M-license for the same commercial cannabis activity entry into the legal, regulated market child-resistant outer package Percentage of ownership conditional license temporary license operating premises M-license Local Issuing Authority convicted of a substantially related crime definition of owner sanitary and hazard-free environment supply chains for medicinal and adult-use cannabis products Temporary License Application Information Seller’s permit number 2021 proposed changes CALIFORNIA BUREAU OF CANNABIS CONTROL California Department of Public Health equity interest in a commercial cannabis business health claims 600-foot radius of a school three cannabis licensing authorities final form product guidelines testing lab no added caffeine 2021 recent news Transition Period cannabis sales and/or consumption California Department of Public Health (CDPH) local jurisdiction cannabis adult-use products no infusion of nicotine exception for testing laboratories manufacturing activities Form # CDPH-9041 Identifying information the commercial medicinal and adult-use (recreational) Proposed Section 40133 amount of THC content Operating Procedures licensing cannabis microbusinesses Temporary event up to 4 days list of artificial food colorings at least 99% purity premises diagram testing laboratories small product packaging 600 foot radius of a school limited to a maximum of 10 mg of THC per serving Bond in the amount of $5,000 protocol Microbial Impurities Testing (Escherichia coli and Salmonella spp.) licensed cannabis cultivators cannabis cultivation licensing Food-grade Butter/Oil Distributor transport cannabis products in container or wrapper for sale Mycotoxins Testing Vehicle Requirements licensed premises 2,000 mg of THC per package for the medicinal-use market Manufactured Cannabis Safety Branch (MCSB) California Public Records Act shaped like a human, animal, insect, or fruit Office of Environmental Health Hazard Assessment (OEHHA) cannabis plants Standard Operating Procedures (SOPs) certified by a California-licensed engineer The Manufactured Cannabis Safety Branch (MCSB) loan provided to a commercial cannabis business manufacturer's name Bond and Insurance Information onsite sale and consumption of cannabis goods Category I Residual Solvents and Processing Chemicals Testing Local Jurisdictions delivery vehicle $3,000 of cannabis goods amount of THC/CBD per serving and per package potentially-hazardous foods must enter certain events Type S share facility space finished product Application Checklist MCSB commercial cannabis activity ownership premises is not within a Government Poison Prevention Packaging Act of 1970 (PPPA) investment into a commercial cannabis business Licensee Information 120 days cannabis event organizer license access to the area(s) emergency regulations edible products aggregate interest of 20% or more medicinal and adult-use commercial cannabis activity good manufacturing practices recordkeeping 2021 fines Physical address diagram of the business’s layout persons 21 years of age or older commercial cannabis manufacturing activity activity for a period of 120 days waste management laws government warning statement label licensing cannabis third-party testing laboratories sampling standards cultivation Distributor Transport Only ANTICIPATED ANNUAL (NONTEMPORARY) LICENSE APPLICATION REQUIREMENTS Moisture Content Testing primary panel requirements no infusion of alcohol Temporary License Application Financial Interest Business Information Butane/Hexane/Propane Department of Food and Agriculture’s CalCannabis Cultivation Licensing division Premises diagram labels not be attractive 100 mg of THC per package mandated warning statements 2021 problems manufacturing cannabis products transportation of cannabis goods Terpenoids Testing Manufacturing (non-volatile) destruction of cannabis goods contaminant free Category I Residual Pesticides Testing meat and seafood, and other products cannabis cartoons Heavy Metals Testing unique ID/batch number A-licensees storage of cannabis goods three state cannabis-licensing authorities purchasing cannabis products on tribal lands licensed cannabis distributors re-sealable at least 20% ownership interest Owner manufacturing (Level 1 manufacturing, Type 6) Temporary Cannabis Event Business Organizational Incorporating THC/CBD concentrates period of 120 days product as a candy prohibited structure and formation documents concentrate distributors The California Department of Public Health's 2021 laws separate applications manufacture cannabis products procedures for inventory control M-licensees valid waiver waste disposal adult-use commercial cannabis activity Business and Professions Code section 26050.1 Industrial Hemp Advisory Board sanitary workplaces Medical Cannabis Regulation and Safety Act of 2015 commercial cannabis manufacturers tinctures vape cartridges cannabis market topicals compliance with local jurisdiction THC levels secondary packaging Cultivation less than 10,000 extraction managing member requiring refrigeration Local Authorization Attachment Criminal History Homogeneity Testing of Edible Cannabis Products compliance with regulations licenses for both medicinal and adult-use cannabis manufacturing at the same premises designated structure inhalable cannabis state cannabis licensing hydrocarbon-based solvents commercial cannabis manufacturing in California motor carrier permit alcoholic beverages retailers hang tag or a peel-back label child-resistant packaging public Licensee Lookup Tool Microbusiness shared-use manufacturing facilities highly-concentrated THC/CBD such as oil, wax and resin Category II Residual Pesticides Testing Transport vehicles alarm system 2021 issues Cannabis Manufacturing highly-concentrated oils or waxes 2021 resolutions chain of custody Track and Trace sugar edibles packaging opaque Cannabinoids Testing remove THC/CBD A-license The Bureau of Cannabis Control (BCC) cultivation (on an area less than 10,000 square feet) Completed Temporary License Application Form licensing cannabis retailers 2021 new laws manned motor vehicle CDPH-9041 conducting quality assurance review secured area capsules periods of 90 days extensions A-license and an M-license Live Scans for each owner Carbon Dioxide (CO2) exit packaging packaging and labeling requirements for pre-rolls license review process manufacturers who package for other producers local jurisdiction’s requirements Individual Owner Edibles– Products commercial kitchens security and cannabis waste disposal packaging and labeling Ethanol BUREAU OF CANNABIS CONTROL paper inserted into the packaging Premises Diagram contaminants cannabis training health impacts of cannabis minimum standards for extraction processes commercial cannabis products CDTFA seller’s permit shares of stock that are less than 5% of the total shares in a publicly traded company product formulation LICENSE APPLICATION REQUIREMENTS Foreign Material Testing persons with a financial interest in the cannabis business basic nutritional information some nutritional facts loop system and more.

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

Eco Certified
Green Trusted
All Rights Reserved