The Massachusetts Executive Office of Economic Development (EOED) is pleased to announce the availability of additional financial assistance from the Cannabis Social Equity Trust Fund with the launch of the new Social Equity Grant Program, which will offer grants to current and pre-licensed cannabis industry entrepreneurs.
Donor Name: Executive Office of Economic Development (EOED)
State: Massachusetts
County: All Counties
Type of Grant: Grant
Deadline: 10/17/2024
Size of the Grant: $100,000 to $500,000
Grant Duration: Grant Duration Not Mentioned
Details:
The Social Equity Grant Program seeks to address the financial needs of Massachusetts cannabis social equity businesses by providing grants to eligible Marijuana Establishments, Medical Marijuana Treatment Centers, as well as Pre-Licensed Cannabis Business. The Grant Program will distribute grants to promote and support the increased participation of social equity participants in the cannabis industry.
Types of Tiers
- Tier 1 – Industry Entry Support
- Eligible Applicants: Pre-Licensed Cannabis Businesses (defined as a duly organized business entity in good standing and located in Massachusetts with a majority ownership comprised of individuals that are Economic Empowerment Priority Applicants or Social Equity Program Participants, without a provisional or final license from the CCC, that intends to apply to the CCC for licensure).
- Description of Support: Applicants may request funds for future expenses to support entry into the regulated cannabis industry
- Maximum Grant Size: $25,000.
- Allowable Use of Funds:
- Professional Services – Consultant, financial, or legal fees for document and application preparation, feasibility and market studies, etc.;
- Regulatory and Compliance Fees – Permitting and site assessment; licensing or regulatory fees that support license application preparation; or
- Other expenses that support entry into the regulated cannabis industry.
- Tier 2 – Immediate Needs
- Eligible Applicants: Provisional and Final Licensees
- Description of Support: Applicants may request funds to support past expenses incurred as of July 1, 2024, that are essential to the operation of the business or needed to maintain licensure and remain in good standing.
- Maximum Grant Size: $50,000.
- Allowable Use of Funds:
- Personnel Costs – Business payroll expenses;
- Facility Fees – Lease or mortgage payments, utilities, etc.;
- Debt service – Loans repayments or business debt service, both principal and interest, to help bring loans current (not for any prepayment of principal or interest); or
- Other expenses that support stabilizing the business.
- Tier 3 – Support for License Acquisition and Commencement of Business Operations
- Eligible Applicants: Provisional Licensees and Final Licensees without a notice to commence operations from the CCC.
- Description of Support: Applicants may request funds for past (up to $50,000) or future expenses to support the acquisition of final licensure and commencement of business operations
- Maximum Grant Size: $250,000 (of which up to $50,000 may be used for past expenses incurred as of July 1, 2024).
- Allowable Use of Funds:
- Business Expenses – Equipment or supplies;
- Facility Capital Expenses – Construction, renovation or build-out of facility; security system installation; building system installation (HVAC, electrical, plumbing, etc.);
- Professional Services – Legal, financial, consulting, architectural, marketing/advertising, or facility services (HVAC, Electrician, Plumbing, etc.);
- Regulatory Fees – Application, permitting, licensing and other regulatory fees needed for Final Licensure, including insurance fees; or
- Vehicle lease or purchase used to distribute, transport or deliver marijuana or marijuana products (limited to businesses with a delivery or transporter license from the CCC).
- Tier 4 – Existing Business Growth and Expansion
- Eligible Applicants: Final Licensees that have received notice to commence operations from the CCC.
- Description of Support: Applicants may use funds for past (up to $50,000) or future expenses to improve or expand the business.
- Maximum Grant Size: $500,000 (of which up to $50,000 may be used for past expenses incurred as of July 1, 2024). Matching Requirement: Tier 4 requires a 1 to 1 cash match for funds requested above $250,000.
- Allowable Use of Funds:
- Business Expenses – Equipment or supplies;
- Facility Capital Improvements or Expansions – Construction, renovation or build-out of existing facility; security system upgrades; building system upgrades (HVAC, electrical, plumbing, etc.);
- Professional Services – Legal, financial, consulting, architectural. advertising/marketing or facility services (HVAC, Electrician, Plumbing, etc.) for the improvement or expansion of the business; or
- Vehicle lease or purchase used to distribute, transport or deliver marijuana or marijuana products (limited to businesses with a delivery or transporter license from the CCC).
Eligibility Criteria
- To be eligible to apply for funds from the Social Equity Grant Program, the applicant must be a duly organized business entity in good standing and located in Massachusetts that qualifies as a:
- Pre-Licensed Cannabis Business (defined as a duly organized business entity in good standing and located in Massachusetts with a majority ownership comprised of individuals that are Economic Empowerment Priority Applicants or Social Equity Program Participants, without a provisional or final license from the CCC, that intends to apply to the CCC for licensure); or
- Marijuana Establishment or Medical Marijuana Treatment Centers with a Provisional or Final License issued by the CCC, that is owned by a business entity that:
- is designated as an Economic Empowerment Priority Applicant by the CCC; or
- has a majority of ownership designated by the CCC as Economic Empowerment Priority Applicants; or
- has a majority of ownership designated by the CCC as Social Equity Program Participants.
- Additionally, applicants must meet the following requirements:
- All such individuals or entities shall continue to meet the criteria allowing them to receive initial designation as an Economic Empowerment Priority Applicant or Social Equity Program Participant at the time of application for financial assistance from the Social Equity Grant Program; and
- The applicant’s CCC license (if applicable) is valid and not currently suspended or revoked; and
- The entity applying for financial assistance, or any person or entity with an ownership interest in the entity applying for financial assistance, does not currently have a determination of adverse suitability from the CCC.
For more information, visit EOED.
