Marijuana Surety Bond
As more states legalize marijuana use, some are requiring a Marijuana Surety Bond. Marijuana surety bonds are now required by state agencies to anyone planning to open such establishments before they can cultivate, manufacture, process, supply, sell and distribute medical and recreational marijuana in states that legalized them.
Marijuana Surety Bonds (aka Cannabis Surety Bond) cover different types of surety bonds that target the cannabis industry. While various jurisdictions are still struggling to regulate the industry and implement the kind of bond mandate a state or city requires, marijuana surety bonds may serve these purposes:
- part of the licensing requirements before being able to conduct business in a specific jurisdiction legally
- ensure faithful performance of duties in the lawful cultivation, process, sale, and distribution of medical or retail marijuana
- guarantee the payment of sale and use taxes due to the government when purchases are made
- assure that the facility for cultivation, process or dispensation is legal and established according to state laws and ordinances
Eight states plus Washington DC have legalized marijuana for both medical and recreational use, and 21 other states have legalized marijuana for medical use. Of these 29 states, 10 of them require a surety bond.
At AllCommercialSurety.com (ACS Bonds) our agents have been educated on the new Marijuana Surety Bond requirements and we have appointments with surety companies willing to write them. This is a limited market at this time because marijuana is not legal on the federal level.