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Frequently Asked Questions

On September 30, 2019, medical cannabis caregivers in Michigan can no longer transfer or sell products to licensed cannabis growers and processors. Until December 3rd, 2021, the applicant must have at least two years of experience working as a registered primary caregiver. Alternatively, they must have a person with this experience as an active employee in their business. A medical marijuana business owner interested in growing will need to enter all current inventory and transactions into the statewide monitoring system. An individual cannot operate in an area unless it has been zoned for agricultural and industrial uses. Whether you are looking to cultivate and sell to the adult-use or medical marijuana industry , it’s important to select the right license type for your business needs.

As you’re applying for your Class A Grower License in Michigan, remember that you’ll need at least $150,000 in business capital to qualify. This can include a minimum of 25 percent in liquid assets that can easily be converted into stocks, bonds, cash, or CDs. MRA and BFS have released pre-inspection guides for each of the available licenses under Michigan’s MMFLA Medical and MRTMA Adult Use laws.

“The concerns include that the wholesale price of flower is lower than the cost of production — or will be when harvests are highest in October.” There’s simply too much product being grown and processed and not enough places to sell it as municipalities have to opt in to allow marijuana retailers to operate in their community. Many have not and Detroit, the state’s largest city, just began taking applications for retail outlets this month.

Scott is an accomplished attorney, author and public speaker, having spoke at CannaCon, Cannabis Industrial Marketplace, CannabisAid, and 420 Canna Expo, to name a few. He has also taught Continuing Legal Education on Marijuana business matters, meaning other attorneys [pii_email_8faa92382e34679a900b] see him speak to learn about the nuances of cannabis business law. “The agency has been hearing concerns that the supply of marijuana produced by licensed growers exceeds, or may soon exceed, consumer demand,” the CRA said in a statement ahead of the hearing.

The bottom third pays $6,000 renewal fees, the middle pays $8,000, and the top pays $10,000. Even though it’s in the midwest, where winters can be rough, the state offers cultivators the ability to grow outdoors, in greenhouses, or indoors in controlled environments. In 2018, Michigan became the 10th state to legalize recreational cannabis, and the market has been growing rapidly since retail sales began in December of 2019. Under Michigan’s adult-use laws and rules, a business canonly cultivate a maximum of 10,000 plants designated for the recreational market.

According to recent census data, there are 6.9 million adults over the age of 21 in Michigan. Data suggests nearly 60 percent of adult Michiganders use recreational cannabis. In comparison, Illinois’ 2020 marijuana sales totaled $230 million. This is quite a drop from Michigan’s 2020 total of $440 million.

The State is prohibited by federal law from issuing registrations or licenses created by the Act until the state plan is submitted and approved by USDA. Applicants must also demonstrate their ability to maintain adequate premises liability and casualty insurance for its proposed marihuana facility. For a Class A license, the applicants must show $150,000.00 in attested assets, with $37,500 of that being liquid. For a Class B license, the applicants must show $300,000.00 in attested assets, with $75,000.00 of that being liquid. For a Class C license, the applicants must show $500,000.00, with $125,000.00 of that being liquid. A skilled salesperson will have the people and organizational skills you need to approach dispensaries and follow up on schedule — for a fee.

Adult-use purchases are subject to the 10% marijuana excise tax in addition to the state’s 6% sales tax. Marijuana facilities can only sell marijuana produced, distributed, and taxed in compliance. Adult-use purchases are subject to a 10% marijuana excise tax in addition to the state’s 6% sales tax. Adult-use, recreational cannabis consumers can purchase up to 2.5 ounces of cannabis at a time, with no more than 15 grams of concentrate. Medical marijuana patients can purchase up to 2.5 ounces of cannabis each day, so long as they don’t exceed 10 ounces of medical cannabis in a single month.

So it’s clear the agency is amenable to a moratorium, but the legislation to at least temporarily suspend the state licensing process will be a tough lift. For many growers, it costs roughly $1,500 to produce a pound of marijuana, Andrew Sereno, CEO of Manchester-based marijuana grower Glacier Farms, told Crain’s in an August interview. That meager profit margin then must cover growing expenses, taxes, fees, distribution — before it can make a profit for retailers. Cities and townships have the ability to ban recreational marijuana businesses from opening up their doors — andmore than 600 have done so at this point. If the business license applicant has previously been convicted for distributing a controlled substance to a minor, they are automatically not eligible for a recreational marijuana business license.

So far I think I have made the right choice and I am happy with the work they have done for us. Not to mention their charge are reasonable comparing the similar type of consulting company and quality of their job. Canna License Experts, and their team were retained by our company to help us along the way with a retail canna license. Brian Wolf along with Kalpna Mistry and their team of experts were there the entire way through the process.