Well share how we did it if you complete the form. How much is the fee? Additional fees may be imposed at the municipal level; check with your local municipality to find out more. How should I submit my Annual Financial Statement (AFS) report? Here is all the information you need. As the legalized recreational marijuana industry continues to grow in Michigan, more and more businesses are opening for business. || attorney & consultant marketing - collateral base firm, Developed By WorldWin Coder Pvt Ltd & Stumari. I have an active caregiver registry identification card and I recently was divorced/married and changed my name. Marijuana retailers in Michigan may sell cannabis and cannabis products including flower, concentrates, edibles, infused products, seeds, and clones. Select your LEGAL WEED Cannabis Business Lawyer & Founding Partner, Segev LLP, In November 2018, Michigan dispensary laws changed when voters approved the, Moreover, municipalities that had previously opted not to participate in legal marijuana will now have an opportunity to allow recreational cannabis. Detroit may not see its first recreational dispensaryuntil 2022 or possibly later. Keep in mind that with just a few exceptions, it's generally illegal to consume cannabis in public. The buyer, on the other hand, saved half a million in upfront costs, which they could use to fully stock the inventory and for working capital. The first is an application fee of $6,000, which must be submitted before the application can be processed. These are the costs for New York cannabis dispensary real estate: Buying a property outright can vary wildly. How to Apply for a New York Cannabis License, How to Apply for A Cannabis Retailer License in Minnesota, Illinois Cannabis DUI Lawyer What You Need to Know, Washington Social Equity Cannabis License Application, Illinois Cannabis Dispensary Application 2023 | Social Equity License Lottery, How to raise funds for your cannabis company. Below is an updated listing for non-residents purchasing out-of-state medical cannabis and recreational marijuana. And they will need to be renewed annually, which includes a fee of a similar amount. Since this Gen X is the busiest generation of cannabis consumers, the most successful way to market your cannabis dispensary to this demographic is to add convenience to their purchase journey. When will my caregiver registry identification card expire? Be aware that public consumption is still punishable by a fine of up to $100, so if you light up, do it on your own private property. As another example, River Rouge area dispensaries are likely to have their sales cannibalized once Lincoln Park and Ecorse dispensaries open up to recreational marijuana. Do not ignore the hierarchy or executive chain of command. If a current application is under review by the Agency, can I change the ownership? Will I need a physical location for my business, or can I use my personal address until I find a location? So basically unless your buddy is licensed by the state and has approval from the city he is growing in you're going to be shit out of a luck. Our clientele is comprised of seasoned entrepreneurs and industry veterans who are searching for cannabis real estate opportunities. Do I have to provide proof of my Michigan residency when I renew my registry identification card? Click the link to find out more on how to get an MMFLA or MRTMA license. What is considered an exception on the Annual Financial Statement (AFS) report? Can a microbusiness obtain plants from a caregiver? What is the Annual Financial Statement (AFS)? Who is eligible to be an employee for a licensed facility? Present your I.D. As a processor or a grower, if I hire a caregiver, may I transfer their marijuana into my company? Many localities have stated an intention to grant approval later as the market develops. Ive been approached by radio stations that have recently begun to open up to advertising cannabis business and brands, with a few odd restrictions (such as not mentioning the word THC), but there are other avenues for marketing other than billboards and Weedmaps. Ensure that you mention precisely the cannabis product that you want to sell and its properties. Billboards and Weedmaps can be good tools, but there are others at your disposal as well. Email: MDARD-IndustrialHemp@Michigan.gov Everyone involved in your business will have a background check during this phase. Additionally, under the Michigan Regulation and Taxation of Marijuana Act, adults aged 21 and older may cultivate up to 12 cannabis plants at home. The regulatory assessment for Fiscal Year 2020 (beginning October 1, 2019 and ending September 30, 2020) for a new provisioning center license is $44,000. If youre looking to grow, process, or sell cannabis, ourCannabis Attorneyscan help you procure the proper licenses and our agents can help you find a property. Who is required to submit an application? Since your processor-handler license is now expired, processing, handling, brokering, or marketing industrial hemp without this license is a violation of the state's Industrial Hemp Research and Development Act. Do I still need to report this on Schedule of Expenditures Service Vendors? I have an active patient registry identification card. Ahh I didn't realize you needed 150k in assets in order to get licensed as a Class A Grower and thought that you just had to pay the 4k for the license to start growing. In Michigan, medical cannabis dispensaries are called provisioning centers. MRA uses a two-step application process for all marijuana facility licensing; the first step is prequalification, and includes a background check of all persons associated with the application. Recreational marijuana in Michigan has been legal since 2018, when voters in the state narrowly approved a ballot initiative creating the Michigan Regulation and Taxation of Marihuana Act. The adult-use market launched on Dec. 1, 2019. Licenses are given out for marijuana cultivators, processors, testing facilities, transporters, and, of course, dispensaries. Can I submit my Step 2 application at the same time as Step 1? We do not have a written agreement or contract. However, if you have a solid location, open up, and are underperforming and not doing solid numbers, then you may see the value of your dispensary drop. Am I responsible for any of the costs associated with ordering tags? In order to sell marijuana to Michigan dispensaries, you need a grower or processor license under the MMFLA or MRTMA, which are Michigan's two marijuana facility licensing laws. MRAs adult-use marijuana application page. It is always best if renewal paperwork is received by the department as one complete packet. Thanks! Medical marijuana patients in Michigan may purchase up to 2.5 ounces of cannabis or equivalent product daily. It starts to add up real quick for just the business aspect let alone your grow inputs, https://www.michigan.gov/mra/0,9306,7-386-83746---,00.html. Can a bar or restaurant be licensed to allow adults to use marijuana on the premises? We work closely with our trusted team of growers to ensure the integrity of our product. If youre already operating a license just call us. However, if your business is involved in any of the following activities defined in PA 547 of 2014, as amended, a license would be required: Processing - Converting raw industrial hemp into a marketable form. These establishments may not serve food or alcohol. However, barriers, such as prohibition, make seed cultivation tricky. Who should I contact if I have questions regarding the Annual Financial Statements? Marijuana dispensaries in Michigan are permitted to sell both medicinal and recreational marijuana to anyone over the age of 21 with a valid I.D. The actual license fees vary depending on the type of license. Check CRA's website periodically as PA 547 of 2014, as amended, may be updated, and there may be additional requirements such as labeling for hemp products. Where can I find more information on each type of license? Under state law, cannabis retail establishments cannot be located in areas zoned exclusively for residential use or within 1,000 feet of any school for grades K-12. Class A is a Grower license for 100 marijuana plants, Class B is a Grower license for 500 marijuana plants, and, Allows applicants to begin the application process while still seeking a location for the proposed marijuana facility, It starts by filing an Entity/Individual Pre-qualification Packet. A practical-minded business lawyer with expertise in the cannabis industry, he represents cultivators, dispensaries, CBD extractors, oil extractors, food processors, media and marketing companies, consultancies, and other businesses in the legal cannabis market. If applying for more than one facility license, a separate FLA will need to be completed. It is the dispensary's job to identify the best products for their target market, which requires communication with grow ops, product samples, laboratory testing and more. If your application passes the prequalification step, then you will enter the second phase. I want to sell industrial hemp. Many of the customers coming from the northern suburbs found it easier to go to Ferndale or Hazel Park after they'd approved green zone operations, rather than drive the extra couple of miles to Detroit; which was further magnified by Detroits botched first recreational roll out. The state of Missouri allows qualifying medical marijuana patients the right to grow up to six flowering plants, six non-flowering plants, and six clones under 14 inches in height. A great location can attract a lot of interest, with groups doing their best to estimate their sales at that location and basing their offer on those estimations. As of right now medical marijuana growers can still sell to dispensaries. What authority does a municipality have in the marijuana industry? How do I update my address on my registry card? The law prohibits smoking, favoring the use of vaporizers and edible forms of the drug. Although medical marijuana has been legal in Michigan since 2008, there was no allowance for dispensaries; however, the new legislation set up a framework for the licensing and operating of medical marijuana dispensaries, which Michigan refers to as "provisioning centers," along with adult-use retail stores. Ohio Governor John Kasich signed HB 523 into law in June 2016, allowing for the medicinal use of marijuana by those who have a doctor's prescription. Our number is in the lower right corner works even on desktop. At Michigan Cannabis Properties, we work with data driven consultants that can come in and drive additional revenue to your dispensary in anticipation of eventually selling your dispensary. A microbusiness license allows the holder to grow up to 150 plants, process flower into marijuana products such as edibles and extracts, and sell direct to the consumer, all with one MRTMA license. While this is OK for other industries, the Michigan Medical Marijuana industry is different. I run a "hemp derived extraction" company, and we produce different grades of oils and powders that we sell as ingredients to product manufacturers. Adult-use retail sales: Purchases are subject to a 16% cannabis excise tax in addition to a 5.6% statewide retail sales tax, bringing the total to 21.6%. Also, during the process, you will need to submit a site plan that covers everything from the building layout to security to trash management, and you may need to lobby for approval. What are the most common types of capitalization used in a CPA Attestation? Or just click the city closest to you! Is the Annual Financial Statement (AFS) report required to cover medical licenses, adult use licenses, or both? I have an active patient registry identification card and I recently divorced/married/changed my name. Can you change the license type, or number of license(s) you are prequalified for without submitting a new application? 2. This means ensuring a super good user . How much is the fee? I utilize another company to handle a type of service necessary for the operation of my licensed entity. Marketing - Promoting or selling industrial hemp or an industrial hemp commodity or product, including but not limited to, efforts to advertise and gather information about the needs or preferences of potential consumers and suppliers. However, equally important to note is that this percentage varies in . I'm a current/prospective medical marijuana patient. Scott Levin | slevin@mlive.com. Dispensary Store Manager: If you're wondering how much a dispensary pays to manage a store, the pay scale is anywhere from $60,000-$120,000 Do such products need to be registered? What is Selling to a Dispensary? Can a microbusiness obtain seeds, tissue cultures, clones, or immature plants without using a secure transporter? The Department of Licensing and Regulatory Affairs has great diversity of licenses and regulation within its oversight. Press J to jump to the feed. They are using a two-step program for cannabis licenses applications in Michigan. Should I submit my full application (Step 1 and 2) together? Besides the cost of opening a dispensary, other expenses exist - and these will impact your profit margin. What are all the required licensing and certifications required for me to legally distribute marijuana to provisioning centers? This subreddit is for news, discussion and collaboration between current and future employees and entrepreneurs in the legal marijuana and hemp industries. Is there a limit on how many times an entity can change ownership? From organic to exotic and everything in between, dispensaries.com has one of the most extensive list of pot cultivators on the market. How much does it cost to open a dispensary? While Public Act 547 of 2014, as amended, requires licensing for only in-state processing, handling, and brokering sites, businesses performing marketing activities must be licensed whether in-state or out-of-state. Usually, an established dispensary will start to develop relationships with different producers and growers. A designated caregiver must purchase medical marijuana for patients under the age of 18. Cannabis Regulatory Agency Licensing & Statistical Reports, Statewide Marijuana Monitoring System Information - Metrc, Apply, amend, renew an adult-use establishment license, Apply, amend, renew a medical marihuana facility license, Apply, amend, renew a patient or caregiver medical marijuana card, Apply for or renew a Social Equity application, File a petition for the medical marijuana review panel, Approved grants and the grant approval process, Licensees that have had disciplinary actions taken against them, Tips for licensees, technical or advisory bulletins, The number of previously approved applications or licenses, https://dev.michigan.local/som/json?sc_device=json. Am I able to use another hemp processor's product (for example, CBD isolate) to create my own hemp product to sell? So basically unless your buddy is licensed by the state and has approval from the city he is growing in you're going to be shit out of a luck. Some of the more sophisticated business players will also look at EBIDTA margin, but not all do. Will the Agency contact me after my Annual Financial Statement (AFS) report is submitted? Those same rules apply to a dispensary where cannabis businesses across the spectrum attempt to sell their products . The application fee must be paid before the application can be processed. In the public markets, cannabis companies tend to be valued based on revenue or occasionally EBIDTA (i.e. You can see the button on the lower right works even on desktop. Remember, your processor-handler license will not be issued until all required elements are submitted and processed. Please follow the instructions on each form for completion and submittal to the Office of Medical Marijuana. And here's a pro tip: Definitely don't wait in line at the dispensary, then waste the budtender's time by trying to engage about the best way to reach the cannabis buyer. Cannabis Market Taxation and Regulatory Compliance Analysis Grant Program, EGLE: Cannabis Environmental Regulatory Information. What are the recordkeeping requirements? Medical cannabis sales in Michigan are subject to the standard state sales tax of six percent, plus an additional three percent excise tax. Some of the strains at this price include Purple Punch, London Pound Cake, Triple Chocolate Chip, Mendo Breath, Caesar, Mimosa, Cookies and Chem, Mac 1, Skunkberry, Tropicana Cookies. Will being a registered patient/caregiver affect my ability to receive an adult-use establishment license? My Processor-Handler license expired November 30, 2021, and I have not been able to submit a renewal application yet. The Michigan Marijuana Regulatory Agency, or MRA, is tasked with overseeing cannabis business licensing. Medical marijuana provisioning centers in Michigan may only sell cannabis to patients holding an active medical marijuana patient identification card. Friend has his own grow op and wants me to be an outside sales rep trying to get product into dispensaries (when covid blows over obviously). Adults who are . Who can prepare the Annual Financial Statement (AFS) report? You cannot have any Marijuana products within reach of patients or customers. Yes, you can sell your medical CBD and THC products to your favorite dispensaries by approaching them over the phone with a complete briefing about your cannabis product. However, when it was open, the revenue numbers were rather dismal as the partners seemed to have opened it just for the sake of opening, without making much of an attempt to market or proactively drive sales. Learn how to remain compliant with Michigans cannabis retail laws. This article will go over many of the factors aside from general location that affect the overall sale price, as well as some data-based tips to best position your dispensary on the cannabis real estate market, whether it is an MMFLA provisioning center, legal MRTMA retailer, or both. Michigan is a great market, but it's not cheap to operate there. Recreational marijuana sales totaled more than $341 million in the fiscal year 2020, which ran from Oct. 1, 2019, to Sept. 30, 2020. Youll be required to provide the same information you submitted during the pre-qualification phase, with information regarding the municipality in which youll operate. Fortunately, the market has picked back up, as many of the larger Michigan vertical companies are buying once again, and out-of-state MSOs are beginning to discover the largely untapped Michigan market. Check the State of Michigan Career Portal for a list of current openings in Michigan government. Do I still need to report this on P8 Schedule of Outsourced Services? Who can certify a patient's medical use of marijuana? Where should I submit my amendment documents? To get a marijuana business set up in Michigan, youll need to be aware of the laws and how to get licensed. How much is the fee? No person shall act as a dispensary without a license issued by the Department of Consumer Protection. Culinary Cannabis. Cannabis licenses in every state of the United States tend to be a tricky situation, Michigan is not the exception. Does this qualify me for an adult-use marijuana establishment license? Does this qualify me for an adult-use marijuana establishment license? The web Browser you are currently using is unsupported, and some features of this site may not work as intended. The not-so-good thing about cannabis license regulations in Michigan is that local municipalities can choose to ban or limit the number of businesses. 4. Can I sell edible products off a food truck? Business specifications may include an estimated open date for your dispensary; Proof of premises ownership or a lease agreement; Estimated gross annual income; A marijuana facility plan; A cannabis retail marketing plan; A cannabis product inventory and record keeping plan. Do not try to pitch cannabis products to dispensaries in another state. The second fee is an annual regulatory assessment, which must be paid prior to the license being issued. If anyone could give me a run down of everything that goes into the process of selling into dispensaries, it would be greatly appreciated. After that only licensed grows by the state of Michigan with approval of the city that they're growing in will be able to sell to dispensaries. To be a Rec grower here you have to have your location approved, cameras and security system. Website links: You will not need the license for sampling and testing alone. to enter the dispensary. This page is informational only and should not be considered legal advice. I am unable to follow a procedure as specified. How do I notify the MMMP that my patient has passed away? Detroit finally announced the rules for allowing licensed adult-use marijuana sales with a conscious effort toward giving social equity applicants a fair opportunity as well. Does product have to go from a grower to a processor or can a grower sell product directly to a provisioning center? What will the costs be for a state operating license? Basic Dispensary training is 2.5-hour class covering what you need to know to work the retail side of the industry: CBD Stores or Cannabis Dispensaries. License fees in Michigan could go from $4,000 (the grower class A license), up to $40,000. There are many ways to drive additional revenue as a cannabis business as well as increase total EBIDTA, including those that do not eat into your margins. But timing your sale can also be important with respect to yourspecific municipality and location. Every person, from an investor to an employee, will be background checked throughout the process. I am a Certified Public Accountant (CPA) conducting the Agreed-Upon Procedures report. || attorney & consultant marketing - collateral base firm, Developed By WorldWin Coder Pvt Ltd & Stumari. Start Here. Do I have to be a caregiver for 2 years before I apply for a license under the Michigan Regulation and Taxation of Marihuana Act (MRTMA)? Does the address on my application have to match the address on my Michigan driver license or personal identification card? operating under the MRTMA; or both. Can someone else sign and date the application if the applicant is mentally or physically incapacitated? To renew your expired processor-handler license, you are required to submit your completed renewal application, along with the license renewal fee, and all required documentation. Our number is in the lower right corner works even on desktop. What documentation is required when applying for a medical marijuana state operating license? An overview of the medical and recreational marijuana laws in Michigan. The total fees range from $4000 to $40,000 depending on the class you are applying for. If you or your product manufacturers are selling or marketing industrial hemp, including already processed forms of hemp oils and powders, to Michigan dispensaries, a processor-handler license is required for all that are doing so. The sale of less than 5 kilograms is punishable by up to 4 years in prison and a maximum fine of $20,000. In certain circumstances, they may even do it free of charge to you since we can sometimes negotiate arrangements where we pay them directly through MCP as they help drive a higher sales price, which in turn means my company gets a bigger commission. Please use these updated forms for all requests. Sale of between 5 and 45 kilograms, meanwhile, comes with a maximum penalty of 7 years in prison and a fine of $500,000. Some questions to consider: Do you need a manufacturing contract with the manufacturer of the CBD oil you intend to use? As an example, we were working on a deal where the cash out price was $850,000, and the seller financed price was $1M, with about 30% down, a three year carry at 7% interest rate, and final balloon payment at the end of the three-year term. Can a CPA working in a bookkeeping firm prepare the Annual Financial Statement (AFS) report? How much is the fee? The good thing about applying for a cannabis license in Michigan is that, contrary to many other states in the United States, it does not have a statewide limit for the number of licenses approved neither for medical marijuana businesses nor for adult-use businesses.