Cannabis won big in the 2020 election, with New Jersey claiming close to 67% of votes in favor of Public Question 1, which allows adult use cannabis in the state as well as authorizes the state’s Cannabis Regulatory Commission to oversee a future adult use program.
However, sales will not commence overnight. There is much to be accomplished between this moment and an active adult use market, which we at Fincann project will open by the first quarter of 2022.
Stakeholders should consider addressing as many issues as possible now with the enabling legislation, including:
- Social equity and micro-license set-asides
- Taxation: How much, to whom or what it will be allocated to, internal taxation between companies, municipality taxes, and so on
- Licensing guidelines
- Regulation guidelines
Meanwhile, the stalled initiatives to dramatically expand the medical program in the interim are expected to finally proceed after pending court challenges conclude.
Keeping all of these factors in mind, we at Fincann believe that the below timeline is likely:
- November 2020: Ballot initiative approval
- Q1 2021: Enabling legislation
- Q2 2021: Regulatory implementation
- Q3 2021: Initial licensing
- Q4 2021: Litigation
- Q1 2022: Commencement of active adult use market
If you’re considering participating in New Jersey’s legal adult use industry, whether as a cannabis dispensary license holder or an ancillary service provider, transparent and stable banking is key to your long-term success. However, opening an account is not as simple as walking into your local bank branch. Contact Fincann to learn how we can help connect you with one of the institutions in our Cannabis Banking Financial Network which openly accepts cannabis accounts in many states, New Jersey included.