Use of Proceeds

Eligible Use of Proceeds

Include expenses required to launch and operate a cannabis business.  Such items include but are not necessarily limited to the following:  

• Accounting fees
• Architect fees
• Bookkeeping systems and fees
• Branding (name, logo)
• Building Permit Fees
• City of Sacramento Business Operating Permit (BOP) Fees
• Commercial Real Estate Purchase (for the applicant's own cannabis business)
• Consultants
• Equipment and Furniture
• Permitted Event Costs
• Insurance
• Inventory
• IT and Website
• Legal fees
• Marketing and Advertising
• Packaging
• Point of Sale and Inventory Systems
• Rent for Lease Business Location
• Security Deposit for Leased Business location
• Security Plan
• Staff and Contractors
• State License Fees
• Structural Engineer
• Tenant Improvements/Construction Costs

Ineligible Use of Proceeds

Include, but not limited to the following:

• Operating an Unlicensed Cannabis Business
• Buying Unlicensed Inventory
• Relending or Investing
• Expenses for a Business that does not require a BOP or a State Cannabis License (ancillary business)
• Personal expenses or the acquisition of personal property such as cars, homes, etc.
• Payments of distributions to associates of the borrower other than for ordinary compensation for services rendered.
• Refinancing existing debt
• Payment of administrative penalties
• Legal fees related to alleged violations of state or city code, or BOP conditions