Nevada Cannabis Business Licenses
WHAT IS NEVADA'S CURRENT CANNABIS MARKET STATUS?
Content Below Last Updated by Point7 04/06/2022
Possession and consumption of cannabis officially became legal in 2017, and the first sales of recreational cannabis started in July of that year. Now, in 2022, the Cannabis Compliance Board (CCB) has issued multiple amendments to increase the health and safety of Nevada cannabis users. Recently, Nevada released its annual demographic study for the current cannabis market. Of the 15,936 active agent card holders who received the demographic survey in January of 2022, 42% submitted responses from consumers and 70% response rate from industry executives. Some key takeaways include: 55% of respondents identified as Male, 39% female, 52% identified as White, 17% identified as Hispanic and 12% identified as Black. The majority age group of the active card holders were 25-34 year olds. This demographic information will assist the CCB and State in its efforts to prioritize diversity and inclusion in the legal cannabis industry. As it stands now, it does not look like Nevada’s industry is diverse.
WHAT ARE NEVADA'S CANNABIS LAWS?Cannabis is legal for medical and recreational use in Nevada. In 2000, medical cannabis was legalized in Nevada under the Nevada Medical Marijuana Act also known as Assembly Bill 453. Some conditions that are approved for legal medical cannabis use include AIDS, Cancer, PTSD, and other chronic illnesses.
Recreational cannabis was legalized in 2017 under the Initiative to Regulate and Tax Marijuana which opened up avenues for cultivation, distribution, and retail licenses. The restrictions on legal commercial medical cannabis operations were limited to 372 businesses within the state: 182 for cultivation, 118 for production, 55 for dispensaries and 17 for independent testing laboratories. As of 2018, there were 65 dispensaries in Nevada.
Adults 21 years of age and older may possess up to one ounce of cannabis or ⅛ ounce of cannabis concentrate. It is currently illegal to possess larger quantities unless you are a licensed retailer. Cannabis is illegal to consume in public, including casinos and hotel rooms, but in 2022 public consumption is on its way to become legal in licensed social use venues.
WHAT IS NEVADA'S CANNABIS LICENSING TIMELINE & CANNABIS APPLICATION PROCESS?In late 2018, individuals could only be able to apply for licenses if they were current cannabis license holders. There is not a set timeline for cannabis-related business licenses getting approval from the state, it is a case by case basis. Cannabis consumption lounge applications are not currently active and The Nevada Cannabis Compliance Board (CCB) will determine when the first application period will begin.
WHAT IS THE HISTORY OF CANNABIS IN NEVADA?
In 2001 Assembly Bill 453 legalized medical use of cannabis in Nevada and eased penalties for cannabis possessions up to one ounce to fine-only misdemeanors for first and second-time offenders. Prior to the passage of this bill, Nevada was the only state for which possessing any amount of cannabis was a felony.
In 2002 and 2006, efforts to legalize recreational cannabis failed amongst policymakers, but in 2016, the Initiative to Regulate and Tax Marijuana passed and legalized possession of up to one ounce of cannabis for adults over the age of 21. Possession and consumption of cannabis officially became legal in 2017, and the first sales of recreational cannabis started in July of that year.
The cannabis industry in Nevada is growing and has immense potential as recreational-use cannabis recently became legal. Nevada has different licenses available: cultivation, distribution, and retail. Individuals are not allowed to grow their own cannabis plants unless they are farther than 25 miles from a cannabis dispensary in Nevada.
In June 2021, Governor Sisolak signed Assembly Bill 341, which allowed the operation of alcohol-free consumption lounges where adults 21 years of age or older can purchase and consume cannabis products. The law took effect October 2021 and offers tourists a venue to consume cannabis someplace other than a private home.
DOES NEVADA HAVE A HEMP PROGRAM?
PREPARING FOR THE NEVADA CANNABIS MARKET
We are ready to support your team as you prepare for cannabis licensure in Nevada. Contact Point7 to discuss the fully customizable products and service packages available that have proved successful for operators around the country.