Connecticut’s Social Equity Council (SEC) has introduced a new loan program aimed at assisting qualifying cannabis social equity applicants, local municipalities, and non-profit organizations in repurposing underdeveloped or unused properties into marijuana establishments. This initiative, called the Canna-Business Revolving Loan Fund, provides fixed-rate loans at prime plus 3%. Applicants who complete the SEC accelerator program can benefit from an interest rate discount of 1.5%. To secure these loans, a minimum equity investment of 20% is required. However, there are limitations on the use of the loans; they cannot be utilized for tax payments or licensing fees. Business owners, even if holding multiple licenses, are allowed to submit only one application.
In California’s legal cannabis industry, there is a growing issue involving fake labor unions. Over the past weeks, around 10 labor organizations have raised suspicion due to their resemblance to a previously declared fake union by state cannabis regulators in July. These questionable labor unions are entering into agreements with various cannabis businesses in the state. State law mandates that cannabis businesses must sign labor peace agreements with legitimate labor unions to obtain licensing. Many prominent cannabis brands in California have signed agreements with these “fake” labor organizations that may appear business-friendly but lack a genuine history of labor contracts or organizing workers in any industry. A total of 83 licenses for retail, manufacturing, and distribution are associated with these suspicious labor unions.
Meanwhile, in Kansas, fewer farmers are growing hemp due to a decline in demand for CBD oil. However, other forms of industrial hemp used in products such as clothing and animal feed are experiencing increased demand. The exact cause of the decreased demand for CBD oil is uncertain, but it is speculated to be influenced by cannabis reforms in neighboring states like Missouri. Data from the Kansas Department of Agriculture reveals that in 2019-2020, 90% of hemp grown in the state was intended for CBD oil production, whereas in 2023, less than 5% of the hemp cultivated in Kansas has been used for this purpose.
By FCCT Editorial Team