Cannabis Business in Nevada

Nevada’s cannabis industry established itself as a significant player in the state’s economy, with total cannabis sales that reached $825 million in 2023. The industry contributed over $80 million in tax revenue during the fiscal year 2022-2023, highlighting its vital role in supporting public services and infrastructure projects. The Cannabis Compliance Board (CCB) regulated cannabis businesses in Nevada, ensuring that both medical and adult-use markets operated within the legal framework.

Opportunities in the Nevada Cannabis Business Market

Nevada offers a variety of business licenses for those interested in the marijuana industry. A potential investor might consider purchasing an existing cannabis business for sale to gain a foothold in this competitive market. Aspiring entrepreneurs should carefully research the different license types and ensure compliance with all applicable regulations.

Types of Cannabis Business Licenses in Nevada

The CCB issues several types of licenses for businesses operating in Nevada's marijuana industry:

• Retail Dispensary: Businesses with these licenses can sell cannabis products directly to consumers.
• Retail Distributor: Distributors act as intermediaries in the supply chain, delivering cannabis goods between cultivators, producers, and retail locations.
• Retail Cultivation: Cultivation licenses authorize businesses to grow and harvest cannabis plants for retail sale.
• Retail Production: Production licenses are required for businesses that process and manufacture cannabis products for retail sale.
• Retail Laboratory: These specialized licenses permit businesses to test and analyze cannabis products for safety and regulatory compliance.
• Retail Lounge: Retail lounge licenses are necessary for businesses that want to provide a designated area for on-site cannabis consumption.
• Medical Dispensary: Medical dispensaries serve patients with medical marijuana cards, providing access to cannabis for therapeutic purposes.
• Medical Production: Businesses that grow and cultivate cannabis for medical use require these licenses.
• Medical Laboratory: Laboratories specializing in testing cannabis for medical use need these licenses to operate legally.

CBD in Nevada

CBD oil derived from hemp is legal in Nevada, though it is prohibited as an ingredient in food, dietary supplements, and beverages. While the Nevada Department of Agriculture (NDA) regulates hemp cultivation, they do not oversee processed CBD products. For regulations on CBD products intended for human consumption, refer to the FDA or your local health authority.

Hemp in NV

The NDA regulates hemp cultivation and processing in Nevada. All hemp production is subject to state monitoring to ensure compliance with state and federal regulations. This includes registration of production sites, background checks for applicants, and crop testing to ensure THC levels remain below the legal limit.

The NDA oversees the initial processing of raw hemp, including grinding, oil extraction, and seed cleaning. The NDA does not regulate finished hemp products for consumption. For information on processed hemp products intended for human consumption, individuals should consult the FDA or their local health authority.

Hemp Licensing in Nevada

The NDA oversees the licensing and regulation of hemp cultivation and processing within the state. Individuals and businesses interested in growing or handling hemp must obtain the appropriate licenses to operate legally.

Types of Hemp Licenses

The NDA offers three primary types of hemp licenses:

• Hemp Grower License: This license is required for individuals or businesses who intend to cultivate hemp and harvest the crop for biomass or viable seed.
• Hemp Handler License: This license is necessary for individuals or businesses who engage in processing raw hemp. This includes activities such as seed cleaning, grinding of raw hemp, and extraction.
• Hemp Seed Producer License: This license is for those growing hemp specifically to produce and sell viable seeds. Growers must already have a Hemp Grower License before they can get a Seed Producer License.

Hemp Harvest Reporting

Certified hemp growers and seed producers are required to submit a Hemp Harvest Report to the NDA at least 30 days before harvesting their crop or seed. This report is essential for coordinating crop sampling and ensuring compliance with THC concentration limits.

THC Compliance Testing

The NDA mandates that all hemp products be tested for THC concentrations. Growers must have their crops tested by the NDA to verify compliance with state and federal regulations. The NDA lab conducts tests to confirm that hemp crops contain less than 0.3% delta-9 THC. Non-compliant crops must be disposed of or remediated under NDA supervision.