Explosives licence and fireworks vendor authorization

A buyer of a fireworks seller or a blasting supplier meets this term when checking what the business is allowed to hold, store and sell. The federal rules are set by the Explosives Act and the Explosives Regulations, 2013, so one question is which federal authorization the business holds and whether it carries over to a new owner.

What the federal rules say

The Explosives Act says that, except as authorized under the Act and subject to exemptions in the regulations, no person shall sell any authorized explosive unless that person is the operator of a licensed factory or licensed magazine and is authorized to sell explosives. For consumer fireworks and novelty devices, the 2013 Regulations say a distributor may acquire, store and sell them if they hold a licence, while a retailer may do so whether or not they hold a licence.

What to ask in a purchase

• Is the business a distributor or a retailer under the Regulations, and which licence does it hold?
• Which licensed factory or magazine does the sale depend on, and does the lease for that site carry over?
• Will the licence stay in force after the sale, or must the buyer apply in its own name?

The same questions sit inside the wider licence checklist in what licences and permits transfer when I buy a business. A licensed premises may also need a municipal business licence.