How to Start a Hemp or CBD Store in Virginia: 2 mg THC Cap and $1,000 Registration Per Location (2026)

If you plan to sell hemp or CBD products in Virginia in 2026, older advice is out of date. Since 2026, the Virginia Cannabis Control Authority (CCA) registers hemp retail facilities and oversees the retail sale of edible and inhalable hemp products. Staff of the Office of Hemp Enforcement at the Virginia Department of Agriculture and Consumer Services (VDACS) joined the CCA. VDACS still issues food safety permits to manufacturers of edible hemp products, so the two agencies do separate jobs. This guide explains how to start a hemp retail business in Virginia under the current rules, with the fees and dates you need.

The short version: every location that sells needs its own CCA registration. That registration costs a nonrefundable $1,000, renews annually at the same price, and covers sales only at the address named. Every product you sell must also contain no more than 2 milligrams of total THC per package.

What changed in 2026

The 2 milligram THC cap

Beginning August 15, 2026, hemp products produced or sold in Virginia cannot contain more than 2 milligrams of total THC per package. That date has passed, so the cap already applies to your inventory. The earlier allowance for products above 2 milligrams that had 25 parts CBD to one part THC has been eliminated. Do not stock or advertise a product because it has a 25 to 1 CBD to THC ratio. The ratio no longer makes a product acceptable to sell here.

Before you open, audit your inventory, labels and lab test results against the cap. Check the total THC in the whole package, not just the per-serving figure on the label, and confirm that the lab results match the package you are selling. Read the CCA's labeling and packaging page before you print new labels or reorder packaging.

Which agency does what

The CCA is the agency you register with and the agency that oversees retail sales. VDACS is still the agency that issues the food permit that edible manufacturers need. These are separate applications, and one does not replace the other. Do not register with VDACS for a retail store. The CCA's page does not address local rules, so zoning and local business taxes are a separate step covered below.

Materials and information you need before you apply

Assemble these items before you start the CCA application. A missing item is the most common reason an application stalls.

• Your legal name and mailing address, or the legal name and address of your business entity
• The physical street address of each store that will sell, plus a lease or proof of ownership
• A $1,000 payment for each location, since applications received without payment are not processed
• A signed written consent allowing the state to enter the store to check compliance
• For stores selling edible hemp products, a copy of the food permit issued by the Commissioner of Agriculture and Consumer Services for those products (the manufacturer's permit)
• Lab test results for every product, showing total THC per package
• A product list with each SKU, its label, its packaging and its THC figure
• An SCC filing for your entity, such as Articles of Organization (Form LLC1011) or Articles of Incorporation (Form SCC619)
• A $10 Assumed Name Certificate if you will trade under a name other than your legal name
• A Virginia sales tax registration through Virginia Tax

Step-by-step: opening a hemp or CBD store in Virginia

Step 1: Sort your inventory and test it against the cap

Group your planned products by how the customer uses them: by mouth (edibles and drinks), by inhalation, or other. The registration requirement covers any substance for human consumption by mouth or inhalation that is advertised or labeled as containing an industrial hemp-derived cannabinoid. Products that are FDA-approved and scheduled as drugs, or dispensed under the medical cannabis rules, are outside this section. Check every SKU against the 2 milligram cap now. Remove any product that fails, even if your supplier says it is compliant in another state. Ask the CCA at [email protected] or [email protected] about any product you are unsure falls under the section.

Step 2: Form your business entity and check your name

The State Corporation Commission (SCC) forms businesses, but it issues no business license. Virginia LLCs file Articles of Organization (Form LLC1011) for $100. Your LLC name must include 'limited company', 'limited liability company', 'LC', 'L.C.', 'LLC' or 'L.L.C.', and it must be distinguishable from names already on file. You can reserve a name for $10 for 120 days. File online through the SCC Clerk's Information System at https://cis.scc.virginia.gov/. Expedited options are available: next day for $50 or $100 if submitted by 2:00 PM Eastern, or same day for $200 if submitted by 10:00 AM Eastern. Expedited service is online only and nonrefundable.

Every Virginia entity must keep a registered agent. That agent must be a Virginia resident with a Virginia street address, available during business hours, and either a member of the Virginia State Bar or a member, manager, officer, trustee or general partner of the entity. An entity cannot be its own agent. Plan for the annual filing too. An LLC pays a $50 annual registration fee to the SCC and files no annual report. The fee is due the last day of the 12th month after the month the LLC was organized, then every year. A late payment adds a $25 penalty, and the LLC is canceled at the end of the third month after the due date.

A stock corporation pays by authorized shares. Articles of Incorporation (Form SCC619) cost $75. The annual report and annual registration fee start at $100 for up to 5,000 authorized shares, plus $30 for each additional 5,000 shares. Check the SCC annual fee schedule for current figures. Trading under a different name requires an Assumed Name Certificate filed with the SCC for $10, not with the circuit court.

Step 3: Confirm zoning and the local business license tax

Virginia has no general statewide business license. The local Business, Professional and Occupational License (BPOL) tax is a local tax under Va. Code 58.1-3700 et seq., administered by each city or county, usually through the Commissioner of the Revenue. Not every locality levies a general license. Va. Code 58.1-3704 lets a locality levy none, and some counties, including Stafford, Rockingham, Bedford County, Washington County, Montgomery County, Louisa and Fluvanna, have no general county license. Towns can displace the county tax. Do not assume your area charges one, and do not assume it does not.

Localities set their own rates and filing deadlines. State law sets a population-based floor. A locality over 50,000 people cannot require a license for gross receipts under $100,000. A locality with 25,000 to 50,000 people cannot require one for gross receipts under $50,000. No floor applies to a locality under 25,000 people. Localities over 50,000 may waive the license up to $200,000 in gross receipts (verify the waiver ceiling with your locality). Ask the Commissioner of the Revenue in your city or county for the rate, the threshold and the deadline. Also confirm zoning for retail use at the address before you sign a lease.

Step 4: Get food permits for edible products

If you sell edible hemp products, your store needs the manufacturer's food permit from VDACS. Your CCA application requires a copy of that permit for each store selling those products. Check the current permit fee and the manufacturer requirements with VDACS, because this guide does not list a fee for that permit. Prepared edibles sold as food, such as a counter that serves hemp drinks or snacks, also raise health permit questions. Check with VDACS before you add any prepared item to the menu. Virginia has no statewide food-handler-card rule, but a Certified Food Protection Manager is required in food establishments. Confirm with your local health department whether your setup counts as one.

Step 5: Lock in the location and sign the consent

Choose the address before you file, because each registration authorizes sales only at the location named. A second store needs its own registration and its own $1,000 fee. Ask the CCA how a relocation is handled before you move. Sign the written consent that allows the state to enter the store to check compliance. Do not treat it as a formality. Keep your staff and your product records ready for an inspection on any business day.

Step 6: File the CCA registration for each location

File through the CCA's online portal. The fee is a nonrefundable $1,000 with each application. The registration is valid for one year, and renewing costs $1,000 again. The application requires your name and mailing address, the physical store address, the signed consent, and, for edible products, the food permit copy. Applications received without payment are not processed. The CCA says to expect a decision in 7 to 8 weeks, so file at least that far ahead of your target opening date. Do not sell at a location until its registration is issued. Hemp registrations issued earlier remain valid until they expire.

Here is what that means for a budget. A three-location store pays $3,000 in CCA registration fees in its first year and $3,000 at each annual renewal. That is before the State Corporation Commission fees, the local license tax, the food permit, sales tax, insurance, rent and inventory.

Step 7: Register for sales tax and plan your staffing

Register for a sales tax permit through Virginia Tax at https://www.tax.virginia.gov/sales-and-use-tax. Virginia's base sales tax is 5.3%, combining state and local rates. Regional-tax localities charge 6%, eight localities charge 6.3%, and the Historic Triangle localities of James City County, Williamsburg and York County charge 7%. Groceries are taxed at 1%. Confirm with Virginia Tax which rate applies to your products and your address. Also plan for payroll. Virginia's minimum wage is $12.77 in 2026, $13.75 in 2027 and $15.00 in 2028. Workers' compensation coverage is required once you have three or more employees under Va. Code 65.2-101.

Step 8: Calendar your renewals and the 2027 changes

Put your CCA renewal date, your SCC annual filing and your local license deadline on one calendar. The Code section that creates hemp retail registration carries a repeal date of July 1, 2027. On that date, hemp retail rules are replaced by a new framework in Title 4.1 (sections 4.1-1700 to 4.1-1704) as the CCA takes over intoxicating hemp products in the new cannabis system. Treat this as a dated heads-up. Check with the CCA about how existing registrations transition before you sign a multi-year lease or buy multi-year inventory commitments.

Cannabis retail timeline: what is coming

Adult-use cannabis retail does not exist yet, and no retail licenses can be applied for today. The CCA's published timeline is below. Treat every date as provisional and verify it with the CCA before you plan around it, because the regulations are not final.

Date	CCA milestone
September 2026	Initial draft regulations (verify whether they have been released)
October to December 2026	Cannabis Public Health Advisory Council review
December 2026	Regulations finalized (verify)
January 2027	Regulations take effect (verify)
February 1, 2027	Conversion applications open for pharmaceutical processors and industrial hemp processors and growers; some microbusiness license intake begins
May 1, 2027	CCA issues certain initial licenses
July 1, 2027	Retail sales begin (verify), and the repeal date for the current hemp retail registration section

The CCA names these license types: cultivation facility, processing facility, testing laboratory, transporter, delivery operator, retail store, dual use and microbusiness. Caps, fees, residency rules and local tax terms are not final. Check with the CCA before you assume any of them, and do not build a budget on figures you have seen in older drafts.

Expected results and what to plan for

Plan around the registration timeline, not a promised opening date. A realistic first-year sequence is: form the entity, confirm local requirements, test and audit products, file the CCA application, wait 7 to 8 weeks for a decision, then open. Hemp products are not approved drugs, and your marketing should reflect that. Use hedged language such as 'many customers use' or 'some customers report' rather than stating that a product treats, cures or prevents any condition. Do not market a hemp product as an FDA-approved drug or as a medical treatment. Keep product descriptions factual, match the label and avoid claims your lab results cannot support.

Common mistakes to avoid

• Using one registration for two stores. Each location needs its own $1,000 registration.
• Assuming VDACS registers hemp retailers. The CCA registers retail facilities. VDACS issues food permits to edible manufacturers.
• Relying on the 25 to 1 ratio. That allowance has been eliminated. Only the 2 milligram total THC cap per package matters now.
• Sending an application without payment. Unpaid applications are not processed, which resets your timeline.
• Forgetting the annual renewal. Registrations last one year, and renewal costs $1,000 again.
• Skipping the local check. Some localities levy no general license and others do. Your locality sets the rate and deadline.
• Stocking products without per-package lab results. Test results must show total THC per package, and the labels must match them.
• Locking into long commitments before the 2027 changes. The current registration section repeals July 1, 2027.
• Confusing Virginia with West Virginia. West Virginia rules, forms and fees are different and do not apply here.

Tips for a smoother launch

• Email the CCA with specific product questions before you order inventory. Use [email protected] or [email protected].
• Keep a binder, digital or paper, with lab results, labels, the food permit and the signed consent for each location.
• Ask your city or county Commissioner of the Revenue about BPOL before you sign a lease.
• Start with one location and file the registration early. Add stores only after the first one is approved and running cleanly.
• Free and low-cost planning help is available through the Virginia Small Business Development Center network at https://www.virginiasbdc.org/.

Important disclaimer

This article is informational content, not legal or tax advice. Rules, fees and dates change, and some figures in this guide are marked for verification. Confirm every number with the agency named before you file or pay. Before you sign a lease, form an entity or commit to inventory, speak with a Virginia attorney who handles business and cannabis matters, and with a CPA about sales tax, income tax and local license tax treatment for your specific situation.