Nevada’s cannabis industry continues to grow, and becoming a licensed distributor is a crucial step for companies looking to move products legally between licensed establishments. Whether transporting cannabis from cultivation sites to retail stores or labs, distribution plays a vital role in maintaining compliance and supply chain efficiency. Here’s a breakdown of how to become a licensed cannabis distributor in Nevada, based on accurate and up-to-date guidance from the Nevada Cannabis Compliance Board (CCB) and trusted industry sources.
Step 1: Understand the Role of a Cannabis Distributor
In Nevada, cannabis distributors are responsible for transporting cannabis and cannabis products between licensed establishments — including cultivators, product manufacturers, testing labs, and dispensaries. Distributors must comply with all CCB regulations, including tracking movements in real time using the state’s mandatory inventory system, Metrc.
Step 2: Meet Eligibility Requirements
Applicants must be at least 21 years old and submit personal and financial background information. Any individual or entity with an ownership stake in the business must undergo a criminal history check. Felony convictions may disqualify an applicant, depending on circumstances and timing.
Key requirements include:
- Proof of $250,000 in liquid assets
- Nevada residency for certain principal officers
- Formation of a legal business entity registered with the Nevada Secretary of State
Step 3: Secure a Suitable Location
Before applying, businesses must identify and secure a location that meets local zoning requirements. Many jurisdictions, including Las Vegas and unincorporated Clark County, have specific regulations about where cannabis businesses can operate. A lease agreement or proof of property ownership is required during the application process.
The location must comply with safety, odor control, and distance requirements from schools, parks, and other protected areas.
Step 4: Prepare and Submit a Comprehensive Application
Applications are submitted to the Cannabis Compliance Board. The application includes:
- Business plan
- Security plan
- Transportation plan
- Ownership and financial disclosures
- Background checks for key personnel
- Application fee (typically $5,000 non-refundable)
All information must be thorough, accurate, and supported with proper documentation. Incomplete or incorrect submissions will delay or disqualify the application.
Step 5: Pass Inspections and Final Review
Once an application is conditionally approved, the business must pass a pre-operational inspection. Inspectors will verify that all operational systems — from cameras to safes to secure loading docks — are in place and compliant with CCB regulations.
Step 6: Receive Your License and Begin Operations
After successfully completing the inspection and final review, the company will receive a Cannabis Distributor License. Ongoing compliance is essential. Distributors must:
- Use Metrc to report all cannabis transfers
- Renew the license annually
- Undergo periodic audits and inspections
Final Thoughts
Becoming a licensed cannabis distributor in Nevada is a detailed process, but with preparation and an understanding of the requirements, companies can enter one of the most dynamic cannabis markets in the U.S. It’s recommended to consult legal and compliance professionals or speak directly with the Cannabis Compliance Board for the most current forms and deadlines.