The New Jersey CREAMM Act established six (6) classes of licenses for businesses that want to participate in the adult-use (or “recreational”) cannabis industry. The different types of recreational cannabis licenses in New Jersey offer businesses a variety of opportunities to participate in the growing industry – here is a quick summary of each license type:
Different License Types
Class 1 Cultivator License: This license allows businesses to grow cannabis.
A cannabis cultivator may possess, propagate, germinate, plant, cultivate, grow, harvest, dry, cure, process, package, dispose of, and destroy cannabis. This license holder may also transport, transfer, distribute, supply, and sell usable or unusable cannabis to other cannabis cultivators or to cannabis manufacturers, or sell usable cannabis to cannabis wholesalers and cannabis retailers.
Class 2 Manufacturer License: This license allows businesses to manufacture/produce cannabis products.
A cannabis manufacturer may develop, produce, manufacture, prepare, or otherwise create and package cannabis products. This license holder may also possess, transfer, transport, distribute, supply, or sell usable and unusable cannabis and cannabis products to other cannabis manufacturers, or usable cannabis and cannabis products to cannabis wholesalers and cannabis retailers.
Class 3 Wholesaler License: This license allows businesses to store, sell or otherwise transfer, recreational use cannabis items between cannabis cultivators, wholesalers, or retailers.
A cannabis wholesaler may purchase cannabis items from another cannabis wholesaler, a cannabis cultivator, or a cannabis manufacturer for the purpose of resale to another cannabis wholesaler, a cannabis manufacturer, or a cannabis retailer. This license holder may also possess, store, warehouse, transport, and dispose of or destroy cannabis items. A Class 3 Wholesaler may not package, re-package, or “co-pack” cannabis or cannabis products.
Class 4 Distributor License: This license allows businesses to transport cannabis items in bulk between cannabis cultivators, manufacturers, or retailers within the state of New Jersey.
A cannabis distributor may possess and transport intrastate unusable cannabis between cannabis cultivators and cannabis manufacturers. This license holder may also transport intrastate cannabis items between any and all cannabis establishments; possess and engage in temporary storage of cannabis or cannabis items, as necessary to carry out transportation activities; and dispose of or destroy cannabis items. A Class 4 Distributor may not buy cannabis or cannabis products, nor package, re-package, or “co-pack” cannabis or cannabis products.
Class 5 Retailer License: This license allows businesses to purchase recreational use cannabis from licensed cultivators, manufacturers, or wholesalers and sell those items to consumers in a retail store or through home delivery.
A cannabis retailer may possess, display, transport, transfer, distribute, supply, sell, and furnish usable cannabis, cannabis products, paraphernalia, and related supplies to a consumer, to other cannabis retailers, or to delivery services, based on purchase orders from consumers. This license holder may also furnish usable cannabis, cannabis products, paraphernalia, and related supplies to cannabis retailer delivery or cannabis delivery service personnel for delivery to a consumer and dispose of or destroy cannabis items. If a Class 5 Retailer’s municipality has opted in for on-site consumption, the license holder may apply to obtain an on-site consumption endorsement to permit on-site consumption in an area connected to the retail location.
Class 6 Delivery Service License: This license allows businesses to transport a consumer’s purchases of recreational use cannabis and related supplies from the retailer to that consumer.
A cannabis delivery service may, after receiving a purchase order from a consumer or a cannabis retailer, obtain cannabis items, cannabis paraphernalia, and related supplies from such cannabis retailer and deliver such products to the consumer at a residence or temporary residence. This license holder may also possess, store, and transport cannabis items, cannabis paraphernalia, and related supplies; deliver cannabis items, cannabis paraphernalia, and related supplies to a consumer; transport undelivered cannabis items, cannabis paraphernalia, and related supplies back to its originating cannabis retailer; and dispose of or destroy cannabis items.
