Can you start a weed delivery service in New Jersey right now?
Yes, if you apply for and receive a cannabis retailer license.
In our understanding of the state’s rules, cannabis retailers are able to deliver directly to consumers without having to apply for an additional cannabis delivery license.
New Jersey is currently accepting cannabis retailer applications right now.
As for standalone weed delivery licenses, as of the latest update of this article on 9/13/2022, New Jersey is expected to start accepting standalone cannabis delivery license applications soon. They released proposed rules for the program on 8/1/2022. The comment period for these rules will end on 9/30/22.
Note that if you have a New Jersey cultivation or manufacturing license, you cannot apply for a standalone retail or delivery license until after February 2023.
How do I get a cannabis retailer license?
A video guide to the New Jersey cannabis application portal
The application process is pretty straightforward. You can also check out our blog for further info or reach out for assistance.
What will I need to do to get a New Jersey weed delivery license?
All recreational cannabis licenses in New Jersey follow a similar process. First you have to apply for a conditional version of your license. This requires basic info about you, your business, and your business partners, and a basic business plan. You don’t need a location for your business at this point.
Then you have about half a year to submit a full application with the complete details about your business, including comprehensive operational plans, and lock down a location for your business. Only once you have a full, annual license will you be able to start operating.
What are some of the key requirements for a weed delivery business in New Jersey?
In our reading of the current laws and rules, standalone cannabis delivery license holders are supposed to function like a DoorDash for weed. You’re just supposed to deliver; you’re not supposed to make or stock any products, and all sales are supposed to go through a licensed retailer. Your delivery fee cannot be more than 10% of the pre-tax order total.
On the plus side, New Jersey doesn’t allow cities to ban deliveries like some other states do, so you can deliver anywhere you want and whatever time you want as long as the retailers you work with are open. Also, as long as there is someone monitoring the delivery person via GPS, drivers can deliver cannabis products alone (if you feel it’s safe); some states require at least 2 people on all deliveries.
A custom van made just for cannabis deliveries from the folks at Driverge
All delivery vehicles should be:
- Unmarked, with no company logos
- Wired with a GPS tracker (which can just be the delivery driver’s phone)
- Equipped with a lockable storage area where you can store cannabis while in transit
- Insured for at least $1 million in damages
Just like any cannabis business, you have to keep detailed and exact records of pretty much everything you do (sales, deliveries, training, employee records, etc.) for at least the last proceeding 4 years. Software like Onfleet integrated with a cannabis point of sale (POS) system like Meadow can handle a lot of the heavy lifting on this for you.
You can deliver up to the limit of 1oz of cannabis flower or the equivalent in concentrate form to each individual. You have to hand the delivery directly to the person that bought it; you can’t leave it on someone’s doorstep.
And no, you cannot deliver via drone – the rules specifically prohibit delivery via unmanned vehicles.
How much does it cost to get started?
We couldn’t tell you exactly since it depends on how ambitious your plans are.
Licensing fees as as follows (standard/microbusiness, with microbusinesses being any cannabis business under 10 employees):
- Application fee – $400/$200
- Approval fee – $1600/$800
- Annual licensing fee – $3000/$1000
You could potentially get started with very little upfront investment if you use a car you already own and the final state rules don’t require a business location potentially within or under $25,000-$50,000.
At the same time, keep in mind that the state isn’t obliged to give licenses to everyone that asks for one, and they will probably be prioritizing more ambitious businesses that can 1) bring in more tax revenue and 2) increase employment, especially in poorer areas.
What can I do while I wait for standalone weed delivery license applications to open up?
A few things, including reading the laws and regulations yourself, researching existing cannabis delivery companies, researching where current and planned cannabis dispensaries in New Jersey will be, putting together your business and operational plans, and ginning up some funding from family, friends, and investors.
How can Cure8 help?
In a lot of ways, including with planning and application writing. Schedule something with us today.
Disclaimer: We are not lawyers, and this is a high-level overview of the laws and regulations of New Jersey cannabis delivery as we understand them at this early stage of the process. Use this article to guide your own research. Do not assume that all the claims made in this article are accurate.
