California Cannabis Licensing: Complete Guide by License Type
What this means for operators
You cannot legally operate without both the state license and a local permit. The two systems have different requirements, different timelines, and different enforcement bodies. Most enforcement losses we defend trace back to mismatched assumptions between state and local rules. Always start with the local-jurisdiction check on our Ordinance Map before applying.
Choose your license type
Cultivation (Types 1–5)
| Type | Description | Canopy size | Outdoor / Indoor / Mixed |
|---|---|---|---|
| 1, 1A, 1B | Specialty cottage / small | Up to 5,000 sq ft | All three |
| 2, 2A, 2B | Small | 5,001–10,000 sq ft | All three |
| 3, 3A, 3B | Medium | 10,001–22,000 sq ft indoor / 43,560 sq ft outdoor | All three |
| 4 | Nursery | n/a | n/a |
| 5, 5A, 5B | Large | Over 22,000 sq ft | All three |
Full guide: California Cannabis Cultivation License
Manufacturing (Types 6, 7, N, P, S)
| Type | Activity |
|---|---|
| 6 | Non-volatile solvent extraction |
| 7 | Volatile solvent extraction (CO2, ethanol with caveats) |
| N | Infusions (no extraction) |
| P | Packaging and labeling only |
| S | Shared-use facility (commissary) |
Type 6 guide: Type 6 Manufacturing License
Type 7 guide: Type 7 Manufacturing License
Distribution
| Type | Activity |
|---|---|
| 11 | Full distribution (transport, QA, packaging, tax) |
| 13 | Self-distribution / transport-only |
Full guide: Type 11 Cannabis Distribution License
Retail
| Type | Activity |
|---|---|
| 9 | Non-storefront retailer (delivery only) |
| 10 | Storefront retailer (dispensary with retail floor) |
Type 10 guide: Type 10 Cannabis Retail License
Delivery guide: California Cannabis Delivery License
Microbusiness
| Type | Activity |
|---|---|
| 12 | Microbusiness — must combine at least 3 of cultivation (≤10k sq ft), distribution, manufacturing (Type 6), and retail |
Full guide: Type 12 Microbusiness License
Testing
| Type | Activity |
|---|---|
| 8 | Testing laboratory (ISO 17025 required) |
Full guide: Cannabis Testing Laboratory License
Events
| License | Activity |
|---|---|
| Cannabis Event Organizer | Annual — qualifies you to apply for events |
| Temporary Cannabis Event | Per-event approval |
Full guide: Cannabis Event Organizer License
Cross-cutting topics
- DCC Application Timeline (2026)
- Annual License Renewal
- Section 5023 Ownership Changes
- Free DCC Fee Calculator
- California Cannabis Ordinance Map
Frequently asked questions
Do I need a state license, a local permit, or both?
Both. State DCC licenses authorize cannabis activity statewide; local permits authorize you to operate at a specific address. You cannot apply for a state license without local authorization (or, in some cases, a local authorization letter).
Can I hold multiple license types at one address?
Yes — vertically integrated operations regularly hold cultivation, manufacturing, distribution, and retail licenses at the same physical premises, separated by demarcated, secured areas. The microbusiness license consolidates several of these into one license.
Can I transfer a DCC license to a new owner?
There is no formal transfer — DCC licenses are not assignable. Ownership changes are accomplished through a Section 5023 amendment, which lets you change owners and financial interest holders without losing the underlying license.
This guide is general information, not legal advice. For your specific situation, book a consultation.