California FAQ's
Laws and Regulations
Q: What types of commercial cannabis licenses are available in California?
A: There are seven types of commercial cannabis licenses available in California — cultivation, manufacturing, testing laboratory, retailer, distributor, microbusiness, and cannabis event organizer.
Q: Which state agency is in charge of cannabis licensing in California?
A: The Bureau of Cannabis Control (Bureau) is the lead agency in regulating commercial cannabis licenses for medical and adult-use cannabis in California.
Q: How much does a cannabis business license cost in California?
A: The California State license application fee is $1,000 for all licenses. Retailers pay additional fees based on their estimated gross revenue for the 12-month licensing period. Testing and Distribution licenses pay an additional $1,200–$125,000, depending on product volumes processed. Manufacturers are charged an additional $2,000–$75,000, depending on operation size.
Growers will need a CDFA license, which charges an application and licensing fee dependent upon volumes. Local municipalities have additional licensing and application fees, so final cost varies by location.
Q: How do I apply for a cannabis business license in California?
A: The license application process varies by license type. For instance, a retail license is required to service recreational customers. A dispensary or caregiver license is needed to serve medical patients. Cultivators will need a license issued by CDFA and manufacturers will need a license issued by CDPH. All other licenses are issued by the Bureau.
Each organization and county has a different application process.
Q: What are the fines and penalties for cannabis businesses that are out of compliance?
A: Non-compliance cannabis businesses are subject to varying levels of fines and penalties. They range from written warnings, to suspension, to revocation of license.
All fines are based on California’s retailer fine formula:
Average Daily Sale Amount X by Number of Days of the Suspension = Potential Fine Amount
Q: How does GrowFlow keep my cannabis business in California compliant?
A: Our software reduces data entry errors helping keep your business compliant. We've put in 'guard rails' that METRC doesn't have – making it much easier for employees to enter track and trace data in real-time. If any mistakes do happen you can easily undo previous actions and get back into compliance. Our friendly Customer Happiness team has over 20 years of METRC experience and is available to help you and your team instantly whenever there is an issue.
Q: How do I get started with GrowFlow?
A: Book a demo today with our friendly team. We'll show you exactly how GrowFlow will make your life easier and how to get started.
Q: Which software does GrowFlow integrate with?
A: GrowFlow integrates with Metrc, Leaf Data Systems, springbig, I Heart Jane, dutchie, GreenScreens, and Quickbooks. We’re continuously building integration partnerships to help you supercharge your cannabis operation or dispensary.
