Tennessee hemp-derived cannabinoid wholesaler bonds.
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Tennessee requires a hemp-derived cannabinoid products (HDCP) wholesaler to document access to at least $750,000 for the Alcoholic Beverage Commission, and a $750,000 surety bond meets that test on its own. The bond is underwritten: a surety specialist reviews your file and returns a quote, usually within one business day.
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How much does a Tennessee hemp-derived cannabinoid wholesaler bond cost?
It is underwritten: the premium is quoted from the bond amount and your financial picture, so there is no flat price to show.
From license application to bond on file.
TABC will not approve an HDCP wholesaler license until your proof of financial eligibility is in the application. Here is the whole process with a bond:
Request a quote
Your company details exactly as they appear on your TABC wholesaler application, the bond amount you plan to file, an effective date, and a one-time credit consent that authorizes a soft pull only.
A surety specialist underwrites it
A specialist reviews your business, your finances, and the bond amount, then returns a quote — and tells you up front if the file needs financial statements or collateral. Accept the quote and pay, and the bond issues.
Upload it to TABC
Your executed bond on the TABC form, with the bond number on its face and the attorney-in-fact's power of attorney attached, arrives by email, ready to upload with your wholesaler application in TABC's Mockingbird licensing system. Wet-ink original mailed on request.
What it is and who needs it.
What the HDCP wholesaler bond actually guarantees
Since January 1, 2026, hemp-derived cannabinoid products — delta-8 and THC gummies, beverages, vapes and similar products — have been regulated in Tennessee by the Tennessee Alcoholic Beverage Commission under Title 57, Chapter 7, created by 2025 Public Chapter 526. The law licenses suppliers, wholesalers and retailers separately, and TABC Rule 0100-15-.03(4) requires an HDC wholesaler license per person per location for anyone who distributes HDCPs into retail commerce. Only the wholesaler license carries a financial-capacity test; suppliers and retailers do not need this bond.
Under T.C.A. § 57-7-106(f)(1)(E)(iv), a wholesaler applicant must prove it has the financial capacity to warehouse and distribute HDCPs by documenting access to a minimum of $750,000 — through a bond or line of credit, certified financial statements backed by bank or brokerage statements, or an approved loan. TABC Rule 0100-15-.03(5)(p) makes that proof part of every wholesaler application. TABC's bond form says that if the surety bond is not for the full $750,000, additional documentation such as a line of credit or bank statements will be required. The bond is one way to meet the test, not the only one — but it keeps the $750,000 out of a frozen account.
The bond is more than proof of funds. On TABC's form, the wholesaler and surety are bound to the State of Tennessee for the use of TABC and any person with a claim for losses caused by the wholesaler's malfeasance, nonfeasance or misfeasance in wholesale activities, conditioned on full compliance with the HDCP law and TABC's rules. It is not insurance for you — if the surety pays a claim, you repay the surety. That is why it is underwritten on your company's finances and compliance history, and why a bond this size can call for financial statements or collateral.
The bond is continuous: it covers every period of licensure, initial and renewal, until the surety cancels on 30 days' written notice to TABC. If it is cancelled and no replacement bond is approved, TABC withdraws approval of the registration. Once the license is approved the bond is never returned to the surety, though it is returnable if the application is denied or withdrawn. Federal law is also moving: P.L. 119-37, enacted November 12, 2025, rewrites the federal definition of hemp effective 365 days after enactment, which may change which products this license covers. Confirm your plans with TABC before you file.
You need this bond if you're
Claims, renewal, filing, and what sets the price.
If a claim is made
A claim comes from the party the bond protects, the obligee named on the form, when the duty the bond guarantees is not met.
The surety investigates and pays a valid claim, up to the bond amount. You then repay the surety: a surety bond is a guarantee of your performance, not insurance for you.
Renewal and term
Term and renewal are set in the underwriter's quote.
Keep the bond in force for as long as the obligation behind it runs.
How to file it
Upload it to TABC. Your executed bond on the TABC form, with the bond number on its face and the attorney-in-fact's power of attorney attached, arrives by email, ready to upload with your wholesaler application in TABC's Mockingbird licensing system. Wet-ink original mailed on request.
What sets the price
This bond is underwritten: the premium is quoted from the bond amount and your financial picture, so there is no flat price to show.
One application, one underwriting review.
These are the actual underwriting fields — the bond amount, your entity type and business address, the owner and contact details, years in business, and a one-time credit consent that authorizes a soft pull only. Submit once and a surety specialist returns a quote, usually within one business day. Free until issued.
Start the application →Common questions.
Other Tennessee bonds.
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Prove your financial capacity without freezing $750,000.
Tell us the bond amount you plan to file with TABC, and a surety specialist sizes, underwrites and quotes it — usually within one business day. Free until issued.