Cannabis Mergers and Acquisitions Attorneys
With more states opening up to recreational cannabis and the cannabis industry developing quickly, many businesses are shifting positions and trying to claim a larger market share.
This has led to frequent mergers and acquisitions in the cannabis sector as entrepreneurs, market entrants and growing businesses look for ancillary businesses to expand.
These types of deals can be complicated and few business owners will attempt them without specialist business and legal expertise.
The cannabis business attorneys at Cannabis Law Solutions have extensive backgrounds in working with entities of all sizes to facilitate the deals required to grow businesses. Our rare combination of sensitivity to the needs of cannabis businesses and commercial expertise is precisely what leads to successful mergers and acquisitions.
Wherever you are based in the U.S., we will help you navigate the challenges associated with private equity, restructuring, corporate governance, debt management, tax ramifications, and other issues.
Corporate transactions for cannabis law
A steady flow of mergers, acquisitions, and asset sales has hit the cannabis industry as the laws are changed to expand opportunities, new players enter the market, and existing businesses grow.
As the industry continues to thrive and expand, we can expect this trend to continue across the country. And, with such major developments as businesses merging or changing hands, it is essential for the related legal challenges to be addressed.
Purchases, sales, mergers, and changes to the corporate structure of businesses are rarely straightforward in any industry. They may fundamentally change the operations and control of a business, so overlooking important details can be disastrous in the long term.
Of course, with cannabis businesses, there are additional challenges to meet. Remaining compliant with all the applicable state, federal and municipal regulations is essential to protect your business.
It helps greatly to be able to rely on lawyers who not only understand the commercial side of business transactions but know the applicable cannabis business regulations around the U.S. too.
Who do we represent?
The cannabis industry is broad and we have represented many individuals and entities during mergers and acquisitions.
This includes the following parties:
- Medical and recreational dispensaries
- Cultivators, producers, processors, and vendors of cannabis, CBD, and hemp products
- Raw materials vendors and other suppliers to cannabis businesses (advertising, technology, security, etc.)
- Commercial real estate developers as well as investors interested in leasing properties to cannabis retail companies and other projects
- Private equity and venture capital funds
- Insurance companies considering the risks and legal implications of insuring businesses and other efforts related to the cannabis industry
What M&A services do we provide?
We provide a range of merger and acquisition services from traditional asset sales to debt financing and company division spin-offs within the cannabis industry.
In summary, our team can help with the following:
- Strategic advice
- Transaction structuring
- Startup financing
- Due diligence
- Compliance reviews
- Purchase and sale agreements
- Investment agreements
- Contribution agreements
- Ownership option contracts
- Consultant agreements
- Noncompete agreements
- Lending agreements
- Stock and asset transactions
- Security interest agreements
- Corporate governance
- Collateralization agreements
- Employment consulting
As well as providing important guidance for the often-complex interactions between federal and state law, we can advise on intra-state activities as well as cross-border/interstate financing and merger and acquisition transactions.
While we handle the legal side of things, you can focus on the most important aspects of growing your business — your products, marketing, and sales.
M&A process for cannabis businesses
Most successful mergers and acquisitions follow a set process. However, there are always variations and complications. Without the insight that comes from the experience of handling similar cannabis business transactions, problems can easily arise.
The results can be extremely rewarding but without the right advice, things can go awry and expensive legal mistakes can be made.
Our qualified cannabis business lawyers will walk you through the following merger and acquisition process:
- Completing paperwork: We’ll help you complete and file the extensive, detailed documents to begin the M&A process. Errors can result in unnecessary delays to the transaction or, worse, scupper the deal entirely.
- Conducting negotiations: We’ll assist with negotiating the terms, payment, and structure of your merger or acquisition to avoid the common mistakes and oversights that can lead to deals that are not in your best interests.
- Handling government agencies: During a merger or acquisition, a cannabis business may be flagged to government agencies, such as the Drug Enforcement Agency (DEA), Department of Agriculture (USDA) or the Food and Drug Administration (FDA). We’ll look after communications for you while you focus on other things.
Get help with a cannabis business merger or acquisition
Regardless of the type of cannabis business you own, if it is the subject of a merger or acquisition, our trusted and knowledgeable attorneys can assist.
We understand the industry and we understand the nature of M&A deals. That means we can protect your best interests at every stage of the transaction as it progresses and closes.
For informed legal advice, call 866-329-0729 for a consultation with a knowledgeable cannabis attorney at Cannabis Law Solutions.
How will our cannabis services help you?
Cannabis business entity formation
Whether you are looking to form a limited liability company (LLC) or a corporation, our experienced business lawyers can discuss the pros and cons of both and help you incorporate your business with the optimal structure to achieve your goals.
Cannabis business licenses
If you want to run a cannabis business, you will need a valid business license issued by your state authority as well as local permits. Eligibility criteria are likely to be stringent and we can help you navigate the often-complex license application process.
Cannabis corporate documentation
Whether you need to prepare for a license application, transfer of business ownership, change of corporate structure, transfer business location, or another business process, we can help you identify and draft the documentation you need to operate legally in your state.
Cannabis administrative law
State authorities watch licensed and unlicensed cannabis businesses closely. If you violate regulations, you could face an administrative penalty. Our attorneys can provide representation or help you prepare for an administrative hearing, settlement conference or appeal.
Cannabis disputes and litigation
Whether you have a dispute with another business, a legal issue with one of your partners or a licensing or administrative issue, you may need legal assistance to help resolve it. We are adept at alternative dispute resolution methods as well as civil litigation.