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License Bond

Commercial Cannabis Licensee Bond

All applicants for a commercial cannabis license, including retailers (storefront and non-storefront), cultivators, manufacturers, distributors, testing laboratories, microbusinesses, and cannabis event organizers. Required when: Submission of an application for an annual commercial cannabis license.

Overview

What it is.

All applicants for a commercial cannabis license, including retailers (storefront and non-storefront), cultivators, manufacturers, distributors, testing laboratories, microbusinesses, and cannabis event organizers. Required when: Submission of an application for an annual commercial cannabis license.

Who usually needs it

All applicants for a commercial cannabis license, including retailers (storefront and non-storefront), cultivators, manufacturers, distributors, testing laboratories, microbusinesses, and cannabis event organizers.

Pricing & timing

What to expect.

Generic pricing

License bonds are required by state and local governments to ensure compliance with industry regulations. Typical Pricing:. • Small bonds (under $25,000): Typically $100–$250 per year (flat fee). • Larger license bonds: Commonly around 1–5% of the bond amount annually. • Credit impact: Good credit: starting around 1–2% · Average credit: typically 2–4% · Credit challenges: often 4–5% or higher. Same-day approval is typical for many common license bonds. Some license bonds may price higher de…

Typical timeframe

Issuance timeframe varies by bond type and underwriting

Application

What to do next.

  1. Tell us the bond name, state, and amount on your form.
  2. Share business and applicant info so the team can quote it.
  3. Sign and pay; we issue the bond and send you the documents.
  4. Keep your effective date and renewal date on file with us.
Start the application.

You are on the exact bond page. The next step is to start the quick application.

Details

Bond details.

StateCA
Bond amount$5,000
Term lengthContinuous
ObligeeCalifornia Department of Cannabis Control
RenewalThe bond must remain in full force and effect and run concurrently with the license period and each succeeding renewal period. Licensees must provide proof of a valid bond or continuation certificate annually.
Bond classLicense Bond
CategoryRetail & Sales
BondCommercial Cannabis Licensee Bond
Statutory referenceCalifornia Business and Professions Code Section 26051.5; California Code of Regulations, Title 4, Section 15002
JurisdictionState
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Next step

Ready to move forward?

Pin down whether this is your bond, then start the application. Ava can confirm the right state and license type if you are not sure.