New York magazine calls New York’s new REC law “a major piece of progressive legislation” one which it suggests will provide opportunities for equity businesses.
- It notes that the law involves limits on MSOs by blocking them from vertically integrating REC businesses and placing caps on the number of shops they can run. (Their MED licenses can be vertically integrated.)
- The story also suggests New York’s incubator loan problem could address financing for equity businesses, a perennial problem even outside the cannabis industry.
- MSO Curaleaf has announced plans to partner with equity businesses including in New York. “If a dispensary is scraping things together, coming up with the money to buy cannabis is going to be tough,” says Patrik Jonsson, the regional president of Curaleaf’s Northeast operations. “But we can give product for free up front with deferred payments to get up and running, something we’ve done over and over again in other states.”
- In Slate, I was more skeptical of equity businesses’ prospects.
Separately, New York’s law protects the jobs of employees who use cannabis when they’re not at work.