Supporting Entrepreneurs.
Driving Equity and Opportunity.
The Cannabis NYC Loan Fund will help cement New York City as a trailblazer in equitable cannabis industry investments. This Loan Fund is committed to boosting an emerging industry while also uplifting those New Yorkers who were most impacted by past prohibition and expand access to the legal industry. We look forward to working alongside our partners in the public and private sector to continue creating a vibrant, inclusive, and globally competitive economy for all New Yorkers.
*Please note that as of November 5th, 2024, the application window for Phase I is closed, and the Cannabis NYC Loan Fund is currently not accepting any new applications.
Financing Terms and Eligibility Requirements
The Cannabis NYC Loan Fund will be accepting applications in multiple phases while funding remains. Currently, we are accepting applications for Phase 1 only. Phase 1 applicants must meet the below criteria. Those who do not meet current criteria may be eligible for future phases. Please note that future phase eligibility criteria and application dates will be posted at least one week in advance of the application open date.
Who can Apply?
CAURD (Conditional Adult-Use Retail Dispensary) licensed small businesses located in New York CityApplication Dates
Applications must be submitted between October 7th, 2024 and November 4th, 2024 at 11:59pm.Loan Amount
Up to $100,000
Loan size will be determined based on applicant’s demonstration of ability to repay the loan
Interest Rate
Fixed at 9.5%
Fees
No application fee
Applicants approved for a loan will pay a 1.5% fee upon closing
Repayment Term
Up to 36 months
First 6 months – interest only repayments
Use of Proceeds
Startup expenses, working capital, equipment procurement, commercial tenant improvements, refinancing
Prepayment
Borrowers may prepay the loan at any time without penaltyCredit Requirements
There is no minimum credit score requirement, but applicants will need to provide documentation that their business will be able to repay the loan
Required Documents for Application
Applicants to the Cannabis NYC Loan Fund will be asked to submit the application-related documents including, but not limited to, the below list of items. Please note that new businesses may be asked to submit personal tax documents in place of business tax documents. Please indicate on your application if you would like free application support to be connected with staff at one of SBS’s NYC Business Solutions Centers. If you chose this option, a member of the NYC Business Solutions team will reach out via email.
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Personal and Business Tax Returns
Profit and Loss Statements
Balance Sheet
Cash Flow Statement
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Proof of residential and business address
Verification of business bank account - current statement
Articles of Incorporation/Organization
Bylaws
EIN Certificate
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Business plan - Written and presentation
6 months bank account statements
12-Month Cash Flow Projections
Sources and Uses of Funds
Resume
Government Issued Identification
Frequently Asked Questions
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New York City Economic Development Corporation (NYCEDC) and the Department of Small Business Services (SBS) launched the Cannabis NYC Loan Fund to provide affordable and flexible capital to early-stage cannabis businesses to promote the development of an equitable cannabis industry in New York City.
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Founded in 2014, Tuatara Capital, L.P. is a NYC-based private investment firm focused on strategically investing in the growth of companies within the emerging cannabis industry. Tuatara will manage the fund, running day-to-day operations, originating loans, and managing the overall performance of the portfolio.
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Up to $2M is available for the first phase of the Cannabis NYC Loan Fund, of which there may be one or more application cycles, depending on how many applications are received.
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All applications to the first phase will need to be Conditional Adult-Use Retail Dispensary (CAURD)-licensed in order to be eligible for the Cannabis NYC Loan Fund. Future phases have expanded eligibility criteria to include non-CAURD certified businesses.
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In the first phase, only CAURD-licensed businesses are eligible to apply for the Cannabis NYC Loan Fund.
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In the first phase, business owners can apply for loans up to $100K. Loan size will be determined based on applicant’s demonstration of their business’s ability to repay the loan.
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In the first phase interest rates will be fixed at 9.5%.
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The Cannabis NYC Loan Fund is designed to provide flexible capital. Examples of acceptable loan purposes include:
Startup expenses
Business expansion
Refinancing
Equipment
Commercial tenant improvements
Working capital
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Yes. Businesses are allowed to apply during multiple phases of the Cannabis NYC Loan Fund to access larger loans as they grow. Additional phases are expected to open in 2025.
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Business owners can access free support and resources through the NYC Department of Small Business Services, including:
NYC Business Solutions Centers (BSCs) – provides free resources and services to support NYC businesses start and grow. You can make an appointment here.
Cannabis NYC- provides prospective entrepreneurs with the fundamentals of starting, operating, and scaling a cannabis-focused business in New York’s emerging industry.
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NYC business owners can view financing options and make a free appointment with a Financing Account Manager on NYC Funds Finder.
Supporting Small Businesses. Strengthening Communities.
The NYC Cannabis Loan Fund has the potential to not only stimulate economic growth but also foster social empowerment, creating a positive ripple effect throughout our communities. Together, we can build a thriving cannabis industry that reflects the diversity and resilience of New York City.