The thing is, when a dispensary is pre-operational, valuation becomes much more subjective. I have an active patient registry identification card and I recently divorced/married/changed my name. Medical cannabis sales in Michigan are subject to the standard state sales tax of six percent, plus an additional three percent excise tax. 4. Do I need a license for a social/cannabis club? There is a prequalification phase to fill out all the documents and submit them for consideration. What is a CPA Attestation and what is required to be included? What should I do? If required elements do come in separately, they will still be processed, but in the order received. Well share how we did it if you complete the form. The web Browser you are currently using is unsupported, and some features of this site may not work as intended. Not only that, but the interest rates offered by sellers tend to be a lot less than the interest rates offered by private lenders in the industry, which currently hover around 12%. And since the frameworks for cannabis businesses in Michigan are still being outlined, possible changes in the rules for applications could happen too. Who can prepare the Annual Financial Statement (AFS) report? Can convicted felons apply for a license? Land contracts and mortgages back to the seller are shockingly commonin the Michigan cannabis industry. Also note, the business receiving the cleaned seeds is also involved in the processing aspect and would require a processor-handler license. In November 2018, Michigan dispensary laws changed when voters approved the Regulation and Taxation of Marijuana Act, making the Great Lake State the 10th in the U.S. to legalize recreational cannabis. Broker - Engaging or participating in the marketing of industrial hemp by acting as an intermediary or negotiator between prospective buyers and sellers. Can I find out the status of my patient's application if I contact the MMMP? Our LARA Veteran Liaisons may be able to help you navigate through the process and programs within our Department. What are the recordkeeping requirements? The wholesale price for marijuana in Michigan is running $4,000 to $4,500 a pound, one of the highest prices in the nation. 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. You can see the button on the lower right works even on desktop. How Much Does It Cost to Open a Dispensary in Michigan To get a provisioning center or retailer license in Michigan the application fee is $6.000. Not a bad deal if you ask me. Can a federally recognized Indian tribe apply for a state license? Need a few pounds down in wv to Combat the opiate problem. In an industry that is constantly changing, adapting quickly to take advantage of new opportunities and facing potential challenges that come with the territory will determine if youll have a successful business or not. I'm a current/prospective medical marijuana patient. How should I submit my Annual Financial Statement (AFS) report? What this means is that you must know the market to decide when the best time is to sell. How do I update my name on my registry card? There are new developments in the security sector that are offering dispensaries piece-of-mind. Keep the plan accurate to make your dispensary business more successful in the long run. If youre already operating a license just call us. Keep in mind that with just a few exceptions, it's generally illegal to consume cannabis in public. Check the State of Michigan Career Portal for a list of current openings in Michigan government. Gretchen Whitmer on Wednesday. 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. 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. Class A is a Grower license for 500 marijuana plants, Class B is a Grower license for 1,000 marijuana plants, and. Can a person seeking certification for medical marijuana do so in a provisioning center? Ohio. As a matter of fact, we find many public cannabis business do not actually make a profit,with a handful of exceptions. Retailer: With a marijuana dispensary license, you can sell medical marijuana and other marijuana products, including plants and seedlings. Does the MMFLA provide any protection for CPAs and financial institutions whose clients are licensed by or pursuing licensure with the state under the MMFLA? Hemp-derived topical lotions and tinctures with a THC concentration of 0.3% or less may lawfully be marketed and sold in Michigan with this license. By. Michigan residents with a state-approved medical marijuana patient card can purchase cannabis from medical marijuana dispensaries, called provisioning centers. Lastly, cyber security can cause huge problems for a dispensary if their point-of-sale software is compromised. There is another category, covered in section 15.4 of the Michigan Regulation and Taxation of Marihuana Act (MRTMA). Where the applicant will identify the specific facility for which they are applying (grower, processor, provisioning center, safety compliance facility, or secure transporter) in the Facility License Application (FLA), and provide information and supporting documentation specific to the license sought. In 2018 and early 2019, dispensaries would essentially sell themselves. All cannabis businesses help pay the $500,000 annual fee for substance abuse disorder programs ( MMFLA Section 333.27603) Licensing fees cost between $10,000 and $66,000. This means ensuring a super good user . Dispensaries in a seemingly better general location may have sold for less than dispensaries in worse locations, and vice versa. We offer secure online consultations for long-distance patients and are . 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. In Michigan, the location is essential for the prosperity of your business since many local municipalities can choose to ban or limit the number of businesses. How long does it take to receive a registry identification card? Report to Metrc manually With this method, data is exported from your cannabis point of sale software via a CSV file, configured to correct formatting, and then uploaded manually to Metrc. MRAs adult-use marijuana application page. Prior to that, the state had very strict marijuana laws for non-medical users. How do I register as a patient (over age 18) with the Michigan Medical Marijuana Program (MMMP)? Submitting a partial renewal application will not expedite license issuance. 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. Do such products need to be registered? This packet must include a passport-type photo, a copy of your government-issued ID, and all other supporting documentation, It encompasses a full background investigation of the applicant and all supplemental applicants. We work closely with our trusted team of growers to ensure the integrity of our product. The MRA follows the same two-step application process for adult-use marijuana licensing. If youre already operating a company just call us. Do I need a processor-handler license? If you were to look just at data for comparable sales of dispensaries, it may be hard to make heads or tails out of the sales prices. The actual license fees vary depending on the type of license. Make it as easy, seamless, and convenient for them as possible. Can a CPA working in a bookkeeping firm prepare the Annual Financial Statement (AFS) report? Of course, itll depend on what type of cannabis license you want to get for your operation. The lesson here, for dispensary owners and cannabis real estate brokers alike, is that if you plan to open your dispensary in order to make it more attractive to sell, dont do it half-assed. Obviously, you can start with a call to the dispensary. Covas dispensary POS and inventory management system includes all the features needed to keep cannabis retailers compliant, including: Ron Segev is the founding partner of Segev LLP. What documentation is required when applying for a medical marijuana state operating license? No person shall act as a dispensary without a license issued by the Department of Consumer Protection. These establishments may not serve food or alcohol. Conversely, if you are looking to sell, you probably want to wait until after your municipality has verified its decision to opt-in to adult-use as that will boost your revenue and EBIDTA, which in turn will lead to a higher purchase price. If you live in Minnesota, your chance is coming soon. The web Browser you are currently using is unsupported, and some features of this site may not work as intended. The Michigan Marijuana Regulatory Agency, or MRA for short. What do I do? By the beginning of 2020, both Illinois and Michigan dispensaries will be freely selling marijuana. However, equally important to note is that this percentage varies in . License fees in Michigan could go from $4,000 (the grower class A license), up to $40,000. Check out our interactive map and our favorite dispensaries below. Convenience and Clarity Matters to Gen X. Can delivery occur in municipalities that have opted out? Where can I find more information on each type of license? Can I apply for a state operating license if I have a medical marijuana card? Can a caregiver work in a licensed facility and retain their caregiver status under MMMA? Go to one of Michigan's many recreational weed dispensaries, located throughout the state. Ensure that you mention precisely the cannabis product that you want to sell and its properties. Groups will make offers based off the potential of the listings' location, as there is no revenue or EBIDTA data that can be used when there is no revenue. Anyone under the age of 21 must provide a Michigan medical marijuana card. Without disclosing all of the tricks of the trade, the data reflects that one key item is to bring in strong brands that have been proven to drive business sales, such as MKX or Platinum Vapes, as well as specialty products that excite consumers. Where can I find the advisory bulletins regarding the administrative rules? As has been said, unless you are a licensed cultivator, you cannot sell to dispensaries. Detroit may not see its first recreational dispensaryuntil 2022 or possibly later. The beginning costs of a Michigan marijuana growing license includes a non-refundable application fee, as well as a regulatory assessment. 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 Where should I submit my amendment documents? Launch our Search utility. I am a vertically integrated licensee. The law prohibits smoking, favoring the use of vaporizers and edible forms of the drug. Visit MDARD's hemp resources page to learn about requirements concerning human food and beverage, labeling, weights, and measures, and more. If I report the financial dealings of the prior ownership of my licensed entity in my Annual Financial Statement (AFS) report, am I responsible for the state of the financial records or the financial dealings of the prior ownership? Discounts of up to 75% are also available to applicants belonging to a disproportionately impacted community on licensing fees and properties owned by the city land bank. I am a licensed hemp processor and assume I need to record weight of incoming hemp shipments and the weight of products that we produce from hemp. Patients wishing to grow medical marijuana in Missouri must first obtain an ID card from the Department of Health. 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. The Michigan Marijuana Regulatory Agency, or MRA, is tasked with overseeing cannabis business licensing. And many of those . Moreover, municipalities that had previously opted not to participate in legal marijuana will now have an opportunity to allow recreational cannabis. If a wholesaler, distributor, or retailer wishes to sell topical lotions or tinctures with CBD (and less than 0.3% THC with no health claims, nutritional/caloric values), do they have to possess a processor-handler license? Do I need to keep a copy of the documents (application form, physician certification form, or required supporting documents) I send to the MMMP? Everything you need to know about opening a retail cannabis location in Michigan. The Board had previously set, when the law first passed in 2019, as requirements for dispensary owners the following criteria: However, they are currently amending the requirements set on their webpage, which could potentially mean that they are making some changes to the applicability of those wanting to get a Cannabis license in Michigan. Do I need a processor-handler license? What if I do not submit my Annual Financial Statement (AFS) report by the deadline? Some of the more sophisticated business players will also look at EBIDTA margin, but not all do. The Department of Licensing and Regulatory Affairs has great diversity of licenses and regulation within its oversight. How do I notify the MMMP that my primary caregiver has passed away? You are required to complete both Step 1 (Pre-Qualification) and Step 2 (Full Licensure) before you can open the doors and begin operations. Below is a map of all legally . A designated caregiver must purchase medical marijuana for patients under the age of 18. Important Updates Cannabis Market Taxation and Regulatory Compliance Analysis Grant Program EGLE: Cannabis Environmental Regulatory Information We do not have a written agreement or contract. I have a hemp license under the industrial hemp program. What authority does a municipality have in the marijuana industry? For both the medical marijuana program and recreational marijuana program, the licenses available in Michigan are: Michigans Department of Licensing and Regulatory Affairs (LARA) is the agency in charge of issuing licenses to cannabis operators. You can also send out email proposals to your prospective clients. There are many market opportunities you have to research, take into consideration the zone youll be operating too. Why is testing of marijuana products required? Can a microbusiness obtain plants from a caregiver? 1. Orders must be received through a secure website that authenticates access by a registered qualifying patient. Will my license expire and how often will I have to renew my license? Youll be required to provide the same information you submitted during the pre-qualification phase, with information regarding the municipality in which youll operate. Some questions to consider: Do you need a manufacturing contract with the manufacturer of the CBD oil you intend to use? The market for Michigan dispensaries has been incredibly cyclical. If applying for more than one facility license, a separate FLA will need to be completed. 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. Medical facilities will be authorized for recreational sales as of January 1, 2020. Feb 1, 2023. You want to make sure to have the assistance of an experienced licencing lawyer that helps you prevent unnecessary risks. Michigan's Industrial Hemp Research and Development Act, PA 547 of 2014, as amended, requires any person who is marketing industrial hemp in Michigan to be licensed as a processor-handler. If you grow hemp and want to sell harvested hemp to a licensed hemp or marijuana processor, you may do so under your grower registration. How do I determine my Annual Financial Statement (AFS) reporting period? Select your LEGAL WEED Dispensaries: Compassionate care centers will be licensed by the state. How will the Agency accept fees and taxes? Usually, seller financing is a verified win-win for both buyers and seller. Below, weve provided answers to as many questions as possible concerning cannabis retail licensing and dispensary laws in Michigan, and we will continue to update this page regularly as new details emerge. Can I submit one Annual Financial Statement (AFS) report that includes all my licensees that are commonly owned? How do I remove my current caregiver? The first is an application fee of $6,000, which must be submitted before the application can be processed. Can I transfer a marijuana license from one entity to another? Michigan is a great market, but it's not cheap to operate there. Do not pitch products with incorrect labeling. That license is described in the Industrial Hemp Research and Development Act, Public Act 547 of 2014, as amended, and requires any person who is processing, handling, brokering, or marketing industrial hemp to be licensed as a processor-handler. It is illegal to use cannabis in a public place, such as on the street or at the park. Other strains include; Strawberry Guava at $45, Mint Chocolate Chip Cookies . 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. operating under the MMFLA; recreational or adult usei.e. Are transfer of interest documents still required for a change of ownership? The second step includes a review of the proposed retail establishment, including a physical inspection, as well as payment of the licensure fee once approved. Or just click the city closest to you! How much does it cost to open a dispensary? Michigan Medical Marijuana Program (Patients/Caregivers), Verify a Medical Marijuana Facility License, Verify an Adult-Use Establishment License, Metrc - Statewide Marijuana Monitoring System. How do I notify the MMMP that my patient has passed away? My business "cleans" hemp seed for a registered industrial hemp grower. As the #1 place to buy marijuana seeds in Michigan, Pacific Seed Banks is proud to bring you top quality, fully feminized cannabis seeds. 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). Can licensed Michigan provisioning centers accept visiting qualifying marijuana patient cards? In March 2020 the Marijuana Regulatory Agency announced a phase-out process to end external transfers to the regulated market, which included products grown and processed by caregivers. Can I sell or transfer unused tags to another facility? The same can be said for many areas throughout Michigan. The average price for an ounce of recreational flower dropped from more than $512 in January 2020 to $131 in May, a 74.4% decline, according to the Michigan Cannabis Regulatory Agency. In the drop down menu for "License Type," select "Provisioning Center - License." 3. 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. Do companies need liability insurance to obtain a Processor-Handler License? Another consideration when valuing a dispensary is whether the dispensary is medicali.e. Many groups new to the cannabis real estate industry in Michigan are surprised to learn that the data reflects more seller financed deals than traditional purchases. Medical marijuana patients in Michigan may purchase up to 2.5 ounces of cannabis or equivalent product daily. This resource is for finding the closest legal weed shops to you. Although Michigan has legalized medical marijuana, recreational legalization hasn't quite happened. While this can be important, it doesnt really have as much relevance as some may think as the numbers really determine the value on the cannabis real estate market. Possessing or using any amount of marijuana meant jail time and growing small amounts of marijuana was a felony with up to four years in jail. This page is informational only and should not be considered legal advice. Providing you are 21 or over, you are able to possess and use weed in Alaska.