EFFERSON CITY, MO – Missouri’s cannabis scene got another shake-up this week as state regulators officially yanked another 25 microbusiness licenses, deepening concerns about the integrity of a program designed to boost disadvantaged entrepreneurs in the green rush.
This latest round of revocations, announced Monday, brings the total number of canceled licenses to 34 out of the 96 issued since the microbusiness lottery kicked off in 2023. While two licenses were pulled due to disqualifying felony offenses, the vast majority – 32 licenses – were revoked because regulators determined they weren’t actually majority-owned and operated by the eligible individuals who won them in the lottery.
Equity Dream Clouded by Alleged Predatory Deals
The microbusiness program was hyped as a way to level the playing field, giving folks from marginalized communities a shot at owning a piece of Missouri’s booming cannabis market. However, as reported extensively by the Missouri Independent for over a year, the program has been shadowed by allegations of predatory practices.
The pattern? Well-connected groups allegedly recruit eligible individuals (often those meeting specific criteria like low income or living in areas heavily impacted by past drug laws) to apply for the lottery. If they win, these individuals are then reportedly offered contracts that severely limit their control and profit share, effectively handing the reins to the recruiting group. Nearly all the licenses revoked over ownership issues appear to fit this mold.
COUCH LOCK’D 