Industry Licensing Law & Compliance for California Cannabis Microbusinesses, 2022 Industry News, Events, Information & Updates

California Cannabis Microbusinesses

Frequently Asked Questions

Are Microbusinesses required to identify their business organizational structure?

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

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 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.

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.

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.

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 ANTICIPATED ANNUAL (NONTEMPORARY) LICENSE APPLICATION REQUIREMENTS Manufactured Cannabis Safety Branch medicinal and adult use cannabis goods transported together mandated warning statements 120 days small product packaging tinctures no added caffeine member manager testing laboratories identity of the product immature live plants and seeds being transported from a licensed nursery loan provided to a commercial cannabis business The Bureau of Cannabis Control (BCC) testing lab regulations for medicinal and adult-use cannabis local jurisdiction’s ordinances and regulations Cannabinoids Testing Heavy Metals Testing distributors conditional license Bond and Insurance Information Completed Temporary License Application Form hang tag or a peel-back label edibles packaging opaque Financial Interest Foreign Material Testing Application Checklist licensing cannabis microbusinesses property for the commercial cannabis activity surety bond ownership premises is not within a Government Transport vehicles alarm system licensed cannabis manufacturers Food-grade Butter/Oil onsite sale and consumption of cannabis goods evidence of rehabilitation valid waiver Manufacturing (non-volatile) Medical Cannabis Regulation and Safety Act of 2015 sanitary and hazard-free environment no infusion of nicotine California Department of Public Health (CDPH) secondary package Department of Consumer Affairs’ Bureau of Cannabis Control ISO/IEC 17025 accreditation manufacturing activities basic nutritional information highly-concentrated oils or waxes Conducting quality assurance review of cannabis goods transporting cannabis goods sales of cannabis goods local jurisdiction unique ID/batch number regulations for medical and adult-use cannabis in California cannabis plants must enter certain events A-license and an M-license for the same commercial cannabis activity motor carrier permit Temporary Cannabis Event Water Activity Testing of Solid or Semi-Solid Edibles extraction online licensing system Industrial Hemp Advisory Board microbusinesses managing member Distributor transport at least 20% ownership interest requiring refrigeration scaled to the gross annual revenue of the licensed premises THC levels transportation of cannabis goods CALIFORNIA BUREAU OF CANNABIS CONTROL tobacco products 2022 fines contaminants A-license security and cannabis waste disposal The Manufactured Cannabis Safety Branch (MCSB) list of artificial food colorings designated structure Extractions using CO2 manned motor vehicle transport cannabis goods to retailer Temporary License Application Owner persons 21 years of age or older capsules limited to a maximum of 10 mg of THC per serving aggregate interest of 20% or more entry into the legal, regulated market Standard Operating Procedures (SOPs) equity interest in a commercial cannabis business Local Authorization health impacts of cannabis Microbial Impurities Testing (A. fumigatus, A. flavus, A. niger, A. terreus) 2022 recent news waste disposal Poison Prevention Packaging Act of 1970 (PPPA) Financial information Premises Diagram Moisture Content Testing MCSB supply chains for medicinal and adult-use cannabis products licensed cannabis cultivators amount of THC/CBD per serving and per package transportation Physical address 600 foot radius of a school sanitary workplaces cannabis event organizer license consumption of alcohol or tobacco Terpenoids Testing Butane/Hexane/Propane Business Organizational destruction of cannabis goods written procedures for inventory control Fingerprints diagram of the business’s layout purchasing cannabis products on tribal lands secured area the commercial medicinal and adult-use (recreational) three state cannabis-licensing authorities inhalable cannabis medicinal and adult-use markets cultivation 2,000 mg of THC per package for the medicinal-use market topicals commercial kitchens manufacturing Licensee Information secondary packaging limited to a maximum of 1,000 mg per package emergency regulations licensing and regulating commercial cannabis manufacturers 2022 problems operating procedures 2022 regulations California Public Records Act licensing cannabis retailers volatile solvent infusion Type S share facility space annual license application Cultivation less than 10,000 Ethanol manufacturing (Level 1 manufacturing, Type 6) Proposed Section 40133 child-resistant outer package license review process labeling financial interest holder chain of custody access to the area(s) licensed cannabis distributors M-license Vehicle Requirements 2022 laws Proposition 64: The Adult Use of Cannabis Act of 2016 Microbial Impurities Testing (Escherichia coli and Salmonella spp.) packaging and labeling requirements for pre-rolls some nutritional facts dried flower LICENSE APPLICATION REQUIREMENTS product as a candy prohibited testing methods Operating Procedures CO2 and ethanol extractions compliance with regulations shares of stock that are less than 5% of the total shares in a publicly traded company supplemental label investment into a commercial cannabis business waste management laws Premises diagram cannabis sales and/or consumption Personnel Requirements Category I Residual Solvents and Processing Chemicals Testing child-resistant packaging adult-use commercial cannabis activity amount of THC content operating premises 100 mg of THC per package Distributor Transport Only Proposition 65 BUREAU OF CANNABIS CONTROL transportation and security Category I Residual Pesticides Testing product formulation licensing scheme Arranging for laboratory testing licensed physical location (premises) opaque exit package quality control manufacturers who package for other producers tamper-evident commercial cannabis manufacturers Temporary event up to 4 days Medicinal and Adult-Use Cannabis Regulation and Safety Act (MAUCRSA) Edibles– Products paper inserted into the packaging local jurisdiction’s requirements Licensees regulatory framework disclosure of all criminal convictions contaminant free 2022 new laws The California Department of Public Health's extracts re-sealable medicinal and adult-use or both markets Incorporating THC/CBD concentrates manufacturer's name cannabis cartoons Retailer (nonstorefront) 2022 proposed changes procedures for inventory control Premises Information payable to the state of California three cannabis licensing authorities commercial cannabis manufacturing in California 2022 issues security edible products amount of sodium Local Issuing Authority minimum standards for extraction processes licensing cannabis third-party testing laboratories 2022 resolutions hydrocarbon-based solvents CalCannabis Cultivation Licensing 2022 revisions 2022 compliance cannabis market informational panel Non-Storefront Retailer (Type 9) vape cartridges manufacturing cannabis products stickers product guidelines Identifying information inventory nonlaboratory quality control manufacture cannabis products Bond in the amount of $5,000 final form Business and Professions Code section 26050.1 compliance with local jurisdiction primary panel requirements allergen information structure and formation documents cannabis industries Transition Period onsite consumption of cannabis goods Office of Environmental Health Hazard Assessment (OEHHA) licensed premises licensing cannabis distributors cultivation (on an area less than 10,000 square feet) remove THC/CBD commercial cannabis activity concentrate protocol medicinal commercial cannabis activity medicinal and adult-use commercial cannabis activity cannabis waste Water/Food-grade Dry Ice no infusion of alcohol Business Information pre-made or purchased Form # CDPH-9041 Temporary License Application Information Department of Food and Agriculture’s CalCannabis Cultivation Licensing division alcoholic beverages meat and seafood, and other products premises diagram shipping manifest cannabis products in container or wrapper for sale Seller’s permit number sampling standards California Department of Public Health public Licensee Lookup Tool sugar required limits exit packaging Criminal History health claims CDTFA seller’s permit 600-foot radius of a school MANUFACTURED CANNABIS SAFETY BRANCH MCSB’s temporary license application disposal Track and Trace Category II Residual Pesticides Testing recordkeeping separate applications public health and safety packaging and labeling Category II Residual Solvents and Processing Chemicals Testing supply chain commercial cannabis manufacturing evidence of the legal right to occupy the premises Homogeneity Testing of Edible Cannabis Products cannabis adult-use products government warning statement label packaging at least 99% purity Labor peace agreement workshops hosted by the Bureau of Cannabis Control licenses for both medicinal and adult-use cannabis manufacturing at the same premises M-licensees commercial cannabis manufacturing activity definition of owner A-licensees labels not be attractive Percentage of ownership ingredient list disposal and destruction methods shaped like a human, animal, insect, or fruit inventory and quality control temporary license potentially-hazardous foods storage of cannabis goods Cannabis Manufacturing track and trace system Local Jurisdictions local jurisdiction authorization conducting quality assurance review cannabis cultivation licensing Local Authorization Attachment highly-concentrated THC/CBD such as oil, wax and resin period of 120 days periods of 90 days extensions Microbusiness Retailer (Type 10) Mechanical finished product Manufactured Cannabis Licensing System (MCLS) delivery vehicle $3,000 of cannabis goods loop system carbohydrates and fat per serving medicinal and adult-use cannabis manufacturing Licensee Lookup Tool packaging and labeling requirements shared-use manufacturing facilities testing of cannabis goods laboratory quality assurance Medicinal and Adult-Use Cannabis Regulation and Safety Act Manufactured Cannabis Safety Branch (MCSB) 2022 important information comply with all packaging and labeling requirements Mycotoxins Testing 2022 updates manufacturing practices retailers Department of Public Health’s Manufactured Cannabis Safety Branch CDPH-issued universal symbol persons with a financial interest in the cannabis business A-license and an M-license Carbon Dioxide (CO2) commercial cannabis products Individual Owner state cannabis licensing Live Scans for each owner exception for testing laboratories an officer or director of a cannabis business certified by a California-licensed engineer good manufacturing practices CDPH-9041 convicted of a substantially related crime activity for a period of 120 days cannabis training and more.

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