New York State has officially awarded its first round of grants to help cannabis businesses with startup costs—marking a significant step in its commitment to building an equitable legal marijuana market. These grants, ranging from $10,000 to $30,000, are part of the Conditional Adult-Use Retail Dispensary (CAURD) Grant Program and are specifically targeted at “justice-involved” individuals—people who have been directly or indirectly impacted by prior cannabis criminalization.
The goal is to lower the financial barriers to entry for those most affected by past drug enforcement policies. Recipients can use the funds to cover essential costs like rent, security systems, insurance, and other critical startup expenses.
Launched on March 4, 2025, the grant application process operates on a first-come, first-served basis. The program is managed by the Office of Cannabis Management in collaboration with Empire State Development, with the nonprofit FORWARD handling distribution.
This funding comes at a crucial time. Many CAURD licensees have faced challenges due to limited access to capital, delays in retail openings, and previous loan programs that failed to meet demand. Advocates have long called for stronger financial support, especially for entrepreneurs from marginalized communities.
The grant initiative is part of a broader effort to ensure social equity remains at the heart of New York’s cannabis rollout. Other ongoing programs include a Cannabis Banking Directory, small business support from Cannabis NYC, and a public-private investment fund designed to help open up to 150 dispensaries run by justice-impacted individuals.
With this first wave of funding, New York is signaling that equity in cannabis isn’t just a promise—it’s becoming a reality. But with limited funds and high demand, how the state builds on this momentum will be key to long-term success.
