Why You Need A Los Angeles Cannabis Lawyer When Starting A Cannabis Business
There are a lot of businesses out there that you can establish without involving any lawyer. However, when it comes to cannabis business, there are lots of reasons why you need to involve a Los Angeles cannabis lawyer, even at the early stages of the business. Unlike every other product sold by other businesses, cannabis is still an illegal drug under federal law.
However, some states have adopted a lot of different approaches ranging from medical authorization to decriminalization, as well as even legalizing it fully. Navigating through the rapidly changing and complicated requirements of a state while also trying to avoid prosecution by the federal government can be a very challenging task.
A Los Angeles cannabis lawyer that is knowledgeable and experienced can make the entire process very simple for you. The lawyer can also make sure that your business is protected from any potential legal risk. So, in order to have a stress free process when starting your cannabis business, it is recommended you hire a professional Los Angeles cannabis lawyer to help you through the process.
Complex Requirements and High Costs
States have put in place some rules and regulations concerning the oversight and establishment of cannabis businesses. A lot of states have a specific number of cannabis businesses that can be established in the state. Most states only give out licenses during an intense competition and a very narrow period of application for cannabis business licenses, and they issue these licenses at very high costs.
A lot of applicants pay very high application fees in some states. Some states collect up to $20,000 from applicants who are looking for a license to start their cannabis business. In addition to the high application cost, if you don’t meet all the application and regulatory requirements, the cost of your application fee may be wasted; as the fees are non-refundable.
Applicants might as well be required to prove that they have enough financial resources to start and maintain the business. The state may even have to run a background check on you and all your employees before you can even apply.
As a result of the high cost and hassle of getting a license to start a cannabis business, it will do you a lot of good if you can consult a Los Angeles cannabis lawyer before embarking on such quest.
Limiting Your Business Risks
Cannabis still remains an illegal drug under federal law even though states have legalized recreational or medical cannabis. However, individuals and businesses that strictly adheres to the laws of the state are not at risk of prosecution or arrest by federal authorities.
So, it is vital that every cannabis business owner adheres to the rules and regulations of their state in order to minimize the risks involved and chances of a criminal prosecution, and this can result in loss of investment. A Los Angeles cannabis lawyer can help to make sure that your cannabis business is structured and maintained in a way that minimized federal prosecution risk. So, it is wise to consult a Los Angeles cannabis lawyer before you begin your cannabis business.