Distribution Due Diligence Supplement

Distribution Due Diligence Supplement

Distributor Supplement

  • An owner is defined as a person with an aggregate ownership interest in the commercial cannabis business of 20 percent or more, unless the interest is solely a security, lien or encumbrance. An owner includes: • A person with an aggregate ownership of 20 percent or more in the person applying for a license or a licensee, unless the interest is solely a security, lien or encumbrance. • The chief executive officer (CEO) of a nonprofit or other entity (i.e. corporation) • A member of the board of directors of a nonprofit. • The trustee(s) and all persons who have control of the trust and/or the commercial cannabis business that is held by a trust. • An individual who will be participating in the direction, control, or management of the person applying for a license. This could include: o A partner of a commercial cannabis business that is organized as a partnership. o A non-member, manager, or managing partner of a commercial cannabis business that is organized as a limited liability company. o An officer or director of a commercial cannabis business that is organized as a corporation. • Any individual that assumes responsibility for the license. • When an entity has an aggregate ownership interest of 20 percen
  • The applicant must provide a list of all non-owner individuals with a financial interest in the cannabis business. A financial interest means an agreement to receive a portion of the profits of a commercial cannabis business, an investment into a cannabis business, a loan provided to a cannabis business, or any other equity in a cannabis business. Interest in a diversified mutual fund, blind trust or similar instrument is not a financial interest. The applicant must provide the following information for all non-owners with a financ

Due Diligence Suite

Business Due Diligence Checklist         Cultivation Supplement

Distribution Supplement               Manufacturer Supplement

Retail Supplement                           Owner Information Supplement