Mergers & Acquisitions

California law provides that cannabis business licenses are not transferrable. But it is permissible to buy a controlling interest in a business entity, such as a corporation or a LLC, that holds a permit or license. We regularly work with buyers, sellers and business brokers in buying or selling an existing business. Although there may be a large inventory of such businesses available today, business opportunities can move quickly, making it essential to act decisively. Buying an existing licensed business can be the most direct and time-saving way to enter the business or expand your holdings. Our team has substantial experience in all aspects of buying or selling businesses including escrow services.

Our expertise includes handling the beginning deal stages such as a letter of intent (LOI) or term sheet progressing through a due diligence investigation, commercial lease or property acquisition, purchase terms negotiations, promissory notes, security interests, and finally the purchase sale agreement. All of this is done with attention to the regulatory requirements of the local and state government.

Our experience includes working with cannabis business brokers with a high volume of transactions. We routinely close transactions ranging in value from small businesses to those of millions of dollars for multi-state operators. Although based in San Diego, we regularly handle transactions throughout the State of California. We have worked with investment groups from Canada, Europe and elsewhere in buying and/or selling California businesses. With our extensive experience and industry knowledge, we help clients confidently navigate these transactions from start to finish.