In the present study, terpene composited lipid nanoparticles and lipid nanoparticles were developed and evaluated for dermal delivery of all-trans-retinoic acids (ATRA). Terpene composited lipid nanoparticles and lipid nanoparticles were investigated for size, size distribution, zeta potential, entrapment efficiency, photostability, and cytotoxicity. In vitro skin permeation of ATRA lipid formulations were also evaluated. To explore the ability of lipid nanocarriers to target the skin, the distribution of rhodamine B base in the skin was investigated using confocal laser scanning microscopy (CLSM). The results indicated that the physicochemical characteristics of terpene composited lipid nanoparticles influenced skin permeability. All lipid nanocarriers significantly protected ATRA from photodegradation and were non-toxic to normal human foreskin fibroblast cells in vitro. Solid lipid nanoparticles containing 10% limonene (10% L-SLN) had the highest ATRA skin permeability. Terpene composited SLN and nanostructured lipid carriers (NLC) showed higher epidermal permeation of rhodamine B across the skin based on CLSM image analysis. Our study suggests that terpene composited SLN and NLC can be potentially used as dermal drug delivery carriers for ATRA.Key words lipid nanoparticle; terpene; dermal delivery; all-trans-retinoic acid Transdermal drug delivery has been chosen as a feasible alternative route of drug delivery due to its various advantages over conventional oral and intravenous routes such as reduction of drug metabolism via first pass effect, minimization of pain, and possible controlled drug release.1,2) However, the effectiveness of transdermal drug delivery depends on the capability of drugs to penetrate across the skin in sufficient amounts to reach therapeutic levels.3) The stratum corneum is an important barrier of the skin for drug absorption. 4,5) To facilitate drug delivery through the skin, penetration enhancers, which ideally cause a temporary reversible reduction in the barrier function of the stratum corneum, are extensively used to increase percutaneous absorption. 6) Terpenes are a series of naturally occurring compounds consisting of isoprene (C 5 H 8 ) units. They have been used in transdermal research since 1960s as skin permeation enhancers. They are reported to be a very safe and are an effective class of penetration enhancers that has been classified by the Food and Drug Administration (FDA) as generally regarded as safe (GRAS).7) Limonene is a hydrocarbon lipophilic terpene obtained from the lemon peel of citrus lemon.8) Previous studies have demonstrated that permeability enhancement by limonene can occur through multiple possible mechanisms, which may have contributed to the enhanced permeability of ketoprofen.9) 1,8-Cineole, a terpene, has also been used to promote percutaneous absorption of several lipophilic drugs through hairless mouse skin 10,11) and was recently reported to have an enhancing effect on percutaneous Zidovudine (AZT) absorption across rat skin.12) The mechanism o...