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Licence Types

Cannabis Nursery Licence

Under the Cannabis Act and Regulations, a Nursery License permits the production of starting materials like cannabis seeds, clones and plants. This license is crucial for supporting the legal cannabis industry by supplying high-quality plant varieties essential for the sector's growth and sustainability.

A Nursery License is distinct from other cultivation licenses (such as micro and standard cultivation licenses) due to specific limitations imposed by Health Canada, including a maximum cultivation area of 50m² and a possession limit of 5kg of harvested flowering heads. These parameters are meant for you to focus on specializing in breeding and developing unique cannabis strains, giving you the ability to create and perfect new varieties that cater to specific market demands or offer unique characteristics.

The business model for cannabis nurseries revolves around the production and sale of high-quality cannabis starting materials, such as seeds, seedlings, and clones, to other licensed cannabis businesses. Here’s an overview of the key components of a cannabis nursery business model:

1. Production of Starting Materials

  • Seeds: Nurseries focus on producing and breeding cannabis seeds, including developing new strains with desirable traits such as higher potency, disease resistance, or specific cannabinoid profiles.
  • Seedlings and Clones: Nurseries cultivate young plants and clones (genetically identical plants) that can be sold to other licensed cultivators who then grow them to maturity for harvest.

2. Sales Channels

Intra-Industry Sales: Nurseries primarily sell their products to other licensed cannabis businesses, including:

  • Licensed Cultivators: These businesses purchase seeds, seedlings, or clones to grow cannabis plants to full maturity for processing or direct sale.
  • Licensed Processors: Processors may purchase starting materials for research, breeding, or specific production needs.
  • Holders of Research Authorizations: Researchers require high-quality genetic material for studies on cannabis cultivation, medicinal properties, and product development

Sales to the general public or authorized retailers are not permitted under a Nursery License alone. To sell plants and seeds directly to the public, a business would need either a Cannabis Online Sales License or a Retail License. Businesses can obtain these licenses, whether under one roof or at various locations, enabling their business model to align perfectly with the licensed activities within the cannabis industry.

Applicants can submit a single application for one or multiple activities requiring different licenses or permits. Health Canada regulates and issues all licenses and permits, ensuring that businesses are fully compliant and positioned for success.

Apply Now! Get licensed and become part of our Global Cannabis Inter-Industry Ecosystem

Grow Your Business with GrowLegally

At GrowLegally, we guide your business through every step, from licensing to developing a strategic growth plan, ensuring your success in the cannabis industry.

We encourage you to schedule a complimentary consultation with our expert consultant for a comprehensive budget and ROI analysis, including detailed operational cost estimates and guidance on the licensing requirements, process, and timeline. We’ll help you understand the types of licenses required to conduct the activities that align with your business model, ensuring you're fully prepared to succeed in the cannabis industry.

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