Financing liquor or cannabis businesses involves unique regulatory considerations. The New York State Liquor Authority (NYSLA) regulates the manufacture, distribution, and sale of alcoholic beverages under the Alcoholic Beverage Control Law. Any financing arrangement involving a liquor-licensed business must comply with NYSLA restrictions on ownership interests, security agreements, and profit participation.

The Office of Cannabis Management (OCM) regulates all licensed cannabis activities under the Marihuana Regulation and Taxation Act (MRTA). The OCM scrutinizes financing arrangements to ensure that investors and lenders meet suitability standards, ownership caps, and disclosure requirements.

The Firm assists lenders, investors, and operators in structuring compliant financing agreements, preparing disclosure materials, and navigating agency review. By aligning deal structures with regulatory mandates, we help clients avoid approval delays and preserve the viability of their financing arrangements.

The financing process begins with a regulatory due diligence review to identify applicable licensing restrictions and agency approval requirements. For liquor-licensed businesses, the NYSLA must review and approve any change in ownership, loan agreement, or security interest. For cannabis businesses, the OCM requires disclosure of financial backers, loan terms, and potential equity arrangements.

After structuring the transaction to meet agency requirements, the parties prepare formal applications, disclosures, and supporting documents. The agency reviews these submissions, may request clarification or amendments, and issues a determination. The West Firm guides clients through every stage — from structuring and drafting loan documents to coordinating with regulators and addressing any compliance issues that arise during the life of the financing. Our proactive approach ensures that deals close efficiently while meeting all regulatory obligations.

Ourur deep industry knowledge and legal expertise help clients efficiently overcome challenges in financial services and banking transactions. Contact us today to discuss how we can support your success.

We handle a full spectrum of financing structures, including traditional bank loans, asset-based lending, mezzanine financing, equipment leasing, tax credit financing, and syndicated loan arrangements. We also work on complex multi-tiered deals involving joint ventures, private equity participation, and structured finance products. By tailoring structures to each client's strategic objectives and regulatory needs, we help ensure deals are both legally sound and commercially viable.

We guide clients through applicable federal and state regulations affecting lending, securities, tax reporting, and regulated industries such as liquor and cannabis. Our services include compliance audits, contract reviews, lender due diligence, and representation before oversight agencies. By proactively identifying compliance risks, we help clients avoid costly enforcement actions and protect their operational integrity.

Financing renewable energy projects often involves a mix of equity, debt and tax equity. Tax credits, such as the federal Investment Tax Credit and Production Tax Credit, can significantly reduce project costs when monetized by tax equity investors. New York’s NY Green Bank and similar programs provide low-cost capital for qualifying projects. Developers may also secure grants and rebates from federal or state programs and negotiate payments in lieu of taxes (PILOT) agreements with local industrial development agencies to manage property tax burdens.

The West Firm works with financial institutions and investors to structure bankable deals and advises clients on incentive eligibility and compliance. We also assist with negotiating lease-leaseback arrangements, sale-leaseback transactions and joint ventures that can unlock additional capital. To explore financing strategies for your project, connect with our team through the contact page.