Third round of Cannabis Social Equity Loan Program provides $31.8 million in direct forgivable loans
CHICAGO – Today, Governor JB Pritzker and the Illinois Department of Commerce and Economic Opportunity (DCEO) announced the recipients of $31.8 million in loans through Round III of the Cannabis Social Equity Loan Program. Through the program, 95 qualified, licensed social equity businesses across all license types – craft growers, dispensaries, infusers, and transporters – are receiving Direct Forgivable Loans (DFL) financed by the State of Illinois. Recipients were determined based on factors including social equity status, financial need, financial resources, and progress toward becoming operational. The full list of this round’s recipients can be found here.
The funding, part of the third round of the Cannabis Social Equity Loan Program, is designed to support craft growers, dispensaries, infusers, and transporters who have faced barriers in the burgeoning industry. Governor JB Pritzker and Lieutenant Governor Juliana Stratton emphasized the program’s commitment to expanding opportunities and building generational wealth in underrepresented communities. With a total of $55 million invested over three rounds, these loans aim to foster inclusive economic growth and help more licensees become operational across the state.
Separately, the state has awarded $31.8 million in loans to 95 social equity cannabis businesses. The move, officials say, is aimed at boosting equity and opportunity in Illinois’ evolving cannabis industry.
| Eligibility | Qualified, licensed social equity dispensaries |
| Selection Process | Selection for funding was prioritized based on factors including social equity status, operational status, and a financial assessment. |
| Lender | State of Illinois |
| Interest Rates | 4% after an 18-month grace period of no required payments and 0% interest; applicants can also pursue forgiveness prior to accruing any interest. |
| Options for Forgiveness | The loan principal may be up to 100% forgivable upon providing documentation for eligible business expenses. |
Illinois continues to invest in its Cannabis Social Equity Loan Program, aimed at expanding opportunities and promoting equity within the state’s growing cannabis industry. Erin Johnson of the Regulation Oversight Office noted that consistent funding has positioned Illinois as a leader in the sector. Representative Yolanda Morris from Chicago emphasized the program’s role in breaking down historic barriers and supporting communities previously excluded from the industry. The recent investment delivers significant backing for dispensaries statewide and underscores a broader commitment to creating a more inclusive marketplace. Illinois’ approach highlights the state’s priority to balance business growth with social responsibility.
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