Hemp-Derived Cannabinoid Product Wholesaler Financial Responsibility Bond
Wholesalers of hemp-derived cannabinoid products (HDCPs) Required when: Application for a Hemp-Derived Cannabinoid Product Wholesaler License Exemptions: Legacy Department of Agriculture licensees are exempt from the new requirements under Public Chapter 526 until their current license expires (June 30, 2026).
Overview
What it is.
Wholesalers of hemp-derived cannabinoid products (HDCPs) Required when: Application for a Hemp-Derived Cannabinoid Product Wholesaler License Exemptions: Legacy Department of Agriculture licensees are exempt from the new requirements under Public Chapter 526 until their current license expires (June 30, 2026).
Who usually needs it
Wholesalers of hemp-derived cannabinoid products (HDCPs)
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.
Tell us the bond name, state, and amount on your form.
Share business and applicant info so the team can quote it.
Sign and pay; we issue the bond and send you the documents.
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.
StateTNBond amount$750,000Term lengthAnnualObligeeTennessee Alcoholic Beverage CommissionRenewalThe bond must be maintained as part of the annual license renewal process for wholesalers.Bond classLicense BondCategoryAlcohol & BeverageBondHemp-Derived Cannabinoid Product Wholesaler Financial Responsibility BondStatutory referenceT.C.A. § 57-7-106JurisdictionState
