You need a distribution license to transport cannabis and cannabis products in California. Distributors can transport:

• Goods they cultivated or manufactured
• Goods for other businesses

Distribution licenses

The type and cost of distribution license depends on whether you:

• Transport cannabis goods to retail
• Store cannabis goods
• Transport for other businesses

Role in testing and quality assurance

Type 11 distributors make sure a licensed testing laboratory tests all batches of cannabis goods before they are sold. The distributor:

• Arranges for a testing laboratory to take a sample of cannabis
• Holds the cannabis goods while the laboratory runs the required tests
• Makes sure the date on the corresponding Certificate of Analysis is less than 12 months old

Distributors can only transport cannabis goods to a retailer for sale if they pass testing. Goods that fail testing are destroyed or sent to a manufacturer for remediation.

Before transporting goods to a retailer, type 11 distributors also conduct a quality assurance review to make sure:

• Required information is on the label
• The packaging protects the product from contamination
• It’s not a prohibited product
• The amount of THC in the product is within the limits