When Maryland Gov. Wes Moore signed a legislation on April 22 exempting worker inventory possession plans (ESOPs) from the state’s strict five-year license-hold requirement for hashish companies, he opened up an exit technique for founders.

He additionally created a technique that allows marijuana corporations to bypass Part 280e of the Inner Income Code.

ESOPs are a instrument that hashish companies in different states have been profiting from since about 2023, when Massachusetts-based Concept Wellness put its program into place. One other Massachusetts hashish firm, The Vault, adopted a couple of days later.

“An ESOP is simply one other solution to promote your organization,” stated Darren Gleeman, managing associate of New York-headquartered ESOP funding financial institution MBO Ventures, who labored with each corporations on their offers. You may promote to a personal fairness agency, a strategic purchaser or to staff through an ESOP.”

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