SEED 1.0 Rental Assistance Grant Program Overview
The SEED Rental Assistance Grant Application closes at 11:59 pm PST on Thursday, March 30, 2023
The SEED 1.0 Rental Assistance Grant Program utilizes $4 million in funding from the Cannabis Equity Grant for Local Jurisdictions to provide financial assistance to verified Social Equity Individual Applicants as follows:
- SEED Rental Assistance Grant funds may be made available to Phase 3 Retail Round 1 Verified Social Equity Individual Applicants deemed eligible for further processing pursuant to Los Angeles Municipal Code 104.06.1(b).
- Please see below for further information.
USE OF FUNDS: SEED Rental Assistance Grant funds may be used for the following purposes:
- To pay rent or a security deposit pursuant to a fully executed commercial lease for the purposes of operating a licensed commercial cannabis storefront retail location.
- To finance up to one month of back rent due on a fully executed commercial lease for the purposes of operating a licensed commercial cannabis storefront retail location.
- To secure a binding Letter of Intent by paying the required security deposit for the purposes of operating a licensed commercial cannabis storefront retail location.
- To assist with buildout or construction costs for the purposes of renovating a location to operate a licensed commercial cannabis storefront retail location, as long as estimates and/or unpaid invoices for each construction budget item are submitted with the grant application.
SEED 1.0 Rental Assistance Grant funds shall not be used for any of the following purposes:
- Operating an unlicensed cannabis business;
- Purchasing cannabis or cannabis related products;
- Re-lending or investing;
- Business expenses for a business that does not require a license from the City of Los Angeles for commercial cannabis activity;
- Personal expenses or the acquisition of personal property, including rent on a personal residence, or the purchase of cars or homes, etc.;
- Payments or distributions from borrower to its principals, partners, members, investors or employees other than for ordinary compensation for services rendered; and
- Refinancing existing debt.
Please note: Any alterations to a Business Premises shall be done in compliance with Building and Fire Codes and all other applicable laws, and with all required permits, clearances or certificates.
SEED 1.0 EDUCATION REQUIREMENT: In order to receive funds under the SEED Rental Assistance Grant Program, SEIAs are required to take one education course, and complete its respective quiz, for each grant disbursement. Applicants can take courses through the Department of Cannabis Regulation (DCR) Learning Management System (LMS) which can be found here. Please sign in using the email that you used to register for your DCR Licensing Portal (Accela) account.
The required courses are:
First Disbursement Course Requirement: Commercial Leases & Contract Negotiations Parts 1 & 2.
- In this course, a subject matter expert will walk through a standardized commercial lease agreement and provide tips on negotiating with landlords.
Second Disbursement Course Requirement: Business Planning & Operational Development
- In this multi-part video series, a subject matter expert with cannabis startup experience will present on the core concepts of business planning and operational development.
Third Disbursement Course Requirement: Third course may be chosen by the applicant but must be selected from the DCR LMS.
DISBURSEMENTS: SEED 1.0 Rental Grants totalling up to $50,000.00 may be made in three disbursements as follows:
- Disbursement 1 ($25,000): This disbursement will be made available upon completion of the grant agreement and submission of an Education Course Completion Certificate uploaded to ElevateImpactFunds.com.
- Disbursement 2 ($15,000): This will be made available upon submission of receipt(s) showing how Disbursement 1 was used, which must be uploaded to the Elevate Expense App found at ElevateImpactFunds.com. Grant recipients must also upload the Education Course Completion certificate to the Elevate Expense App at ElevateImpactFunds.com.
- Disbursement 3 ($10,000): This will be made available upon submission of receipts showing how Disbursement 2 was used, which must be uploaded to the Elevate Expense App found at ElevateImpactFunds.com. Grant recipients must also upload the Education Course Completion certificate to the Expense App at ElevateImpactFunds.com.
SEED 1.0 RECEIPTS
SEED 1.0 Rental Assistance Grant Program recipients will be required to upload receipts or invoices demonstrating how the grant funds were spent prior to receiving the next disbursement. Receipts can be uploaded using the Elevate Impact Expense App found at ElevateImpactFunds.com. Receipts for the third disbursement must be submitted within 60 days of receiving the grant funds.