Remember, your processor-handler license will not be issued until all required elements are submitted and processed. What are the capitalization requirements for an adult-use license? As the #1 place to buy marijuana seeds in Michigan, Pacific Seed Banks is proud to bring you top quality, fully feminized cannabis seeds. With savings accounts yielding less than 1%, getting a higher purchase price along with a 6% interest rate of return can be very attractive. Many of these same dispensaries are now receiving offers at a fraction of what they were receiving in 2018. Highest rated medical dispensaries in Michigan As noted above, Michigan's path to allowing recreational cannabis in 2018 first began with the approval of medical sales in 2008. Several Michigan dispensaries have been sued for sending out text messages under the TCPA. Can I use one check to pay for my hemp Grower Registration and hemp Processor-Handler license? Another way to do this is by marketing, though Im sure this isnt new news to most dispensary owners. 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. It is always best if renewal paperwork is received by the department as one complete packet. Where can I find more information on each type of license? Bud Trimmer: Budtrimmers prune and trim marijuana and make about $25,000-$30,000 per year. I'm a current/prospective medical marijuana patient. Patients wishing to grow medical marijuana in Missouri must first obtain an ID card from the Department of Health. If you do, you may have been much better off just selling before opening, as you may have gotten a higher sale price with less investment and less hassle. Can a temporary marijuana event be held overnight? May a medical secure transporter or safety compliance facility licensee hold an ownership interest in an adult-use grower A, grower B, grower C, processor, microbusiness, or retail establishment? Here's a list of Michigan's Recreational Marijuana Dispensaries: Ann Arbor Healing - 3720 Washtenaw Ave, Ann Arbor MI 48104 Arbors Wellness - 321 E. Liberty St., Ann Arbor MI 48104 Battle Creek Provisioning - 1525 W. Michigan Avenue Suite 11 & 13, Battle Creek MI 49037 Battle Spring - 2245 W. Columbia Suite 119 & 120, Battle Creek MI 49015 How is your plant count determined as it affects your growing limited as a Class A, B, or C Grower Licenses? Am I in violation? There is an additional $100 fee to cultivate . My business "cleans" hemp seed for a registered industrial hemp grower. If youre already operating a license just call us. 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. Yes; medical marijuana patients can cultivate up to 12 cannabis plants at home. Yes. July 2, 2020 Jordyn Pair. While the dispensary market in2018 and early 2019 was hot and will heat back up in the future, market data from late 2019 and 2020 shows that sale practically ground to a halt. Why is marijuana sometimes spelled with an "h" and other times spelled with a "j"? Do I still need to report this on P8 Schedule of Management, Services, and Other Agreements? However, local municipalities may reduce this distance requirement or impose additional location requirements as they see fit. Once put on the open market, the offers came in around $2.5M to $3M, despite the fact the company had spent a couple hundred grand extra on inventory and other items. If you want to learn how to open a Marijuana Provision Center in Michigan or apply for any adult use marijuana grower, processor, or transporter licenses, here is all the information you need. Michigan restaurants and bars will now be allowed to sell to-go alcoholic beverages, thanks to a new package of bills signed by Gov. Does my ownership for an entity licensed under both MMFLA and MRTMA have to match? Ohio. As of January 2020, it's legal for Illinois residents over 21 to possess 30 grams of marijuana, 5 grams of concentrated cannabis and products containing up to 500 milligrams of THC. Can I submit one Annual Financial Statement (AFS) report that includes all my licensees that are commonly owned? The fee for medical marijuana nonprofit dispensary licensees to move into the new adult-use market is $25,000. 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. Our clientele is comprised of seasoned entrepreneurs and industry veterans who are searching for cannabis real estate opportunities. If youre already operating a license just call us. When will my caregiver registry identification card expire? Licensed adult-use marijuana retailers may sell cannabis to adults aged 21 and older. 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. If you are looking to sell your dispensary, give the experts atMichigan Cannabis Propertiesa call to set up a free consultation. How do I file an amendment for both Medical and Adult-Use marijuana licenses? You can see the button on the lower right works even on desktop. For recreational cannabis is 10% excise tax plus 6% sales tax. How can a caregiver withdraw from the program? or just the business that my buddy owns will need a growers license? I want to sell industrial hemp. View Department pages to learn more about working in state government, connect with us on social media and contact department Equity and Inclusion Officers. To get a marijuana business set up in Michigan, youll need to be aware of the laws and how to get licensed. The majority of cities and townships in Michigan have decided to ban recreational sales, though more are planning to roll out locations 2021. The list of conditions that qualify for medical marijuana in Michigan can be found here. Lastly, cyber security can cause huge problems for a dispensary if their point-of-sale software is compromised. No person shall act as a dispensary without a license issued by the Department of Consumer Protection. Will I be notified if my patient removes me as his or her caregiver? 2. Can I sell or transfer unused tags to another facility? Dispensaries in a seemingly better general location may have sold for less than dispensaries in worse locations, and vice versa. The state, If you have been arrested for driving under the influence of cannabis in Illinois, you need to contact an Illinois cannabis DUI attorney as soon, Copyright 2023 | All rights Reserved The application fees are around $6,000. 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. Thanks! What percentage of sales tax are medical facilities required to pay? It's a common question across the U.S. right now. Yes. How can I remove a current patient? Some municipalities have opted to restrict or prohibit the opening of retail stores. Adapt. The average price of an 8th in Lansing is $50. Culinary Cannabis. For more information about home delivery requirements and procedures, please see here. Adult-use marijuana was approved by Michigan voters in November 2018, meaning adults aged 21 and older are legally allowed to purchase, possess, and consume cannabis. The law prohibits smoking, favoring the use of vaporizers and edible forms of the drug. Prior to that, the state had very strict marijuana laws for non-medical users. Many localities have stated an intention to grant approval later as the market develops. Submitting a partial renewal application will not expedite license issuance. Do I still need to report this on Schedule of Expenditures Service Vendors? If your application passes the prequalification step, then you will enter the second phase. Can a Medical Marijuana Facility Licensing Act (MMFLA) licensee apply for any adult-use license type? The wholesale price for marijuana in Michigan is running $4,000 to $4,500 a pound, one of the highest prices in the nation. Weve won licenses in competitive limited markets, and open market states. How to Get a Dispensary License in Michigan In Michigan, the Medical Marihuana Facilities Licensing Division regulates licensing for medical marijuana businesses. Who can apply for a license and is there an age requirement? How should my payroll be reported on the P5 Schedule of Payroll Taxes? Try not to do this at peak hours like weekends, or the end of the workday. In addition, processor law does not include any requirements about utilizing another manufacturer's product in creating your own. 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. Does a dispensary owner wait a year or more with the hope they can see a large sales boost once the city goes adult-use? My business "cleans" hemp seed for a registered industrial hemp grower. I am a Certified Public Accountant (CPA) conducting the Agreed-Upon Procedures report. 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. 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. But, from March 2021, Michigan will start accepting applications for recreational cannabis licensing opportunities from entrepreneurs who did not previously hold medical marijuana licenses. What documentation is required when applying for a medical marijuana state operating license? As a Michigan cannabis real estate broker, I have worked on deals on the seller side where I was shocked to discover that anyone would agree to pay that amount. How do I add a caregiver or change to a different caregiver? 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. This was the case on business sale I worked on, where a group had a very strong location in a fairly well populated metropolitan area. 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. For example, it can range from $128/sq ft to $393/sq ft. On the other hand, if you are limited to leasing the property, monthly costs for a marijuana store might run between $3,500 and $10,000 or even higher. 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. For an adult-use marijuana retail store you should apply for a retailer license that allows you to sell marijuana and other marijuana products, including plants and seedlings. 1. The state, If you have been arrested for driving under the influence of cannabis in Illinois, you need to contact an Illinois cannabis DUI attorney as soon, Copyright 2023 | All rights Reserved Some of the more sophisticated business players will also look at EBIDTA margin, but not all do. Could you provide clarification on excess marijuana grower licenses? 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. How should I submit my Annual Financial Statement (AFS) report? How much is the fee? 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. Can a municipality exclude certain types of marijuana establishments? Annual renewal fees range from $30,000 to $50,000 and are based on gross sales compared to other license holders. Anyone over the age of 21 can buy weed legally in Michigan, no matter what state or country you are from. Please follow the instructions on each form for completion and submittal to the Office of Medical Marijuana. 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. Will I receive a registry identification card for each qualifying patient that designates me as his or her caregiver? Can a federally recognized Indian tribe apply for a state license? Below is a map of all legally . The Basic Steps to Making Money Selling to Dispensaries. Transfers of product between my licenses are not recorded as revenue in my general ledger. What should I be paying for marijuana where I live? How do I determine my Annual Financial Statement (AFS) reporting period? Once completed the Packet and collected all required documentation, submit your pre-qualification packet either in person, by mail, or through LARAs online application portal. Should those transfers be reported as revenue on P2 Schedule of Revenue? All Content 2022 Cova. 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. Dont be one of them. Press J to jump to the feed. Am I responsible for any of the costs associated with ordering tags? What if I do not submit my Annual Financial Statement (AFS) report by the deadline? The web Browser you are currently using is unsupported, and some features of this site may not work as intended. How to Open a Dispensary in MI: Licensing and Permitting. 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. 300 Great Oaks Blvd, Suite 300-022 Albany NY, 12203, How To Open a Marijuana Dispensary in Michigan. There are also additional fees that are allowed by the MMFLA(Medical Marijuana Facilities Act). Many of the big companies that were driving up the purchase price of state dispensary listings stopped buying, and this caused the prices to fall off a cliff. If you or someone you know is interested in knowing more about medical marijuana in Massachusetts and how it can benefit your overall health, call Inhale MD today at (617) 477-8886. You can also send out email proposals to your prospective clients. If the product is from out of state, has the lab and the product met that state's requirements for licensure, lab accreditation, and testing? Must my Annual Financial Statement (AFS) report include the financial dealings of the previous ownership that occurred during the reporting period? 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. The beginning costs of a Michigan marijuana growing license includes a non-refundable application fee, as well as a regulatory assessment. Under Michigan law, both actions are a felony punishable by up to 4 years in prison. Search no further, here you may find a list of cannabis growers and marijuana cultivators complete with their offering and locations they serve. Not only that, but you can draft the purchase and sale documents such that you are not only OK if the buyer stops making payments, but you actually may hope they do as you can take back your property, keep the money theyve already paid, and sell it again! 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. Convenience and Clarity Matters to Gen X. 4. You must have an active pharmacist license in good standing issued by the Department of Consumer . Present your I.D. Do not pitch products with incorrect labeling. The monthly purchasing limit for patients is 10 ounces of cannabis or equivalent product. Press question mark to learn the rest of the keyboard shortcuts. These costs are not related to compliance, build out, payroll, or any of the other start up costs for your dispensary (provisioning center) in Michigan. What If You Get Caught With 25 Plants? What are the most common types of capitalization used in a CPA Attestation? For sellers, land contracts and other seller financing structures usually means a higher overall purchase price, as well as interest rates that provide a relatively attractive return compared to other ways to park your money. Is the Annual Financial Statement (AFS) report required to cover medical licenses, adult use licenses, or both? Am I eligible for an adult-use marijuana establishment license? Every person, from an investor to an employee, will be background checked throughout the process. This page is informational only and should not be considered legal advice. Do I have to designate a primary caregiver? Medical marijuana provisioning centers in Michigan may only sell cannabis to patients holding an active medical marijuana patient identification card. Licenses are given out for marijuana cultivators, processors, testing facilities, transporters, and, of course, dispensaries. What impact does the MMFLA have on patients or caregivers operating under the MMMA? It costs $10.000 in-licenses fees, plus the application fees that are an additional $6.000. Adults aged 21 and older may purchase no more than 2.5 ounces of cannabis or equivalent product in a single transaction, with no more than 15 grams in the form of cannabis concentrate. I utilize another company to handle a type of service necessary for the operation of my licensed entity. A brand or business needs to establish itself and pass specific regulations for their product to get into an actual store. We work closely with our trusted team of growers to ensure the integrity of our product. 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. While this is OK for other industries, the Michigan Medical Marijuana industry is different. Marijuana possession in Michigan is not illegal. Applying for a New York Cannabis License The Office of Cannabis Management Cannabis Control Board (CCB) of New York has applications for cannabis adult use, Are you an ambitious entrepreneur looking to get involved in the cannabis industry? 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. Website links: Recreational cannabis in Michigan was legalized in November of 2018. Will I need a physical location for my business, or can I use my personal address until I find a location? 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. The actual license fees vary depending on the type of license. Medical Marijuana Dispensary License. Of course, oftentimes the real estate is held in a separate holding company but that does not mean you do not need that money. The State of Illinois has approved adult-use recreational cannabis sales at the following Chicago dispensaries beginning January 1, 2020: Dispensary Name: Address; Columbia Care: 4758 N. Milwaukee Ave. Chicago, IL 60630: Dispensary33: 5001 N. Clark St. Chicago, IL 60640: Maribis of Chicago * Maribis has announced they will not be selling . Of course, not everything is as clear cut as the above example given the wide variance of municipal restrictions on the cannabis real estate industry. And since the frameworks for cannabis businesses in Michigan are still being outlined, possible changes in the rules for applications could happen too. Detroit finally. How much is the fee? Who is eligible to be an employee for a licensed facility? 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. 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. Apply for the processor-handler license, found at. However, equally important to note is that this percentage varies in . 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. The people of Michigan will likely have the opportunity to vote on recreational legalization in November of 2016, but it's up to them to pass the initiative. The U.S. federal government still prohibits the use of . Will the Agency contact me after my Annual Financial Statement (AFS) report is submitted? 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. Unfortunately, there are no clear answers here, as the city may not even grant adult-use licenses to all the existing dispensaries and the timeline for the city licensing recreational dispensaries is unclear. But with the industry growing as fast as the medical and recreational cannabis industry in this legalized midwest state, the results of getting a license may be worth it. RELATED POST: MICHIGAN PRE-QUALIFICATION MARIJUANA LICENSE. Click "Search." 4. I utilize another company to handle a type of service necessary for the operation of my licensed entity. Just show your valid driver's license, passport, or state-issued I.D. Moreover, municipalities that had previously opted not to participate in legal marijuana will now have an opportunity to allow recreational cannabis. One of the most overlooked factors affecting the final sale price of dispensary listings in the Michigan cannabis real estate industry is timing. What do we need to do to sell our ingredients to product manufacturers that sell to Michigan dispensaries? How do I submit deficiency documents/responses for my Annual Financial Statement (AFS) Report? Scott Levin | [email protected]. Make it as easy, seamless, and convenient for them as possible. Point-of-sale software such as IndicaOnline has maximum-security data . Will my license expire and how often will I have to renew my license? Licensed to practice since 2008, Thomas Howard has represented numerous financial institutions in litigation to enforce their security interests. Anyone under the age of 21 must provide a Michigan medical marijuana card. 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. Michigan Dispensaries Click the map to explore dispensaries in Michigan. You should probably budget about $500,000 to be on the safe side. These establishments may not serve food or alcohol. Can you change the license type, or number of license(s) you are prequalified for without submitting a new application? Medical marijuana sales: Purchases are. Avoid trying to wholesale cannabis products without the proper licensing. 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. If youre already operating a company just call us. They could go from license application requirements, to the local-wide limit of accepted number of dispensaries in the zone. If I was prequalified for multiple licenses do I need to obtain all of them before my prequalification expires? They are using a two-step program for cannabis licenses applications in Michigan. My Processor-Handler license expired November 30, 2021, and I have not been able to submit a renewal application yet. The Cannabis Regulatory Agency will establish Michigan as the national model for a regulatory program that stimulates business growth while preserving safe consumer access to cannabis. A provisioning center may offer home delivery once the facility's delivery procedures have been provided to and approved by the MRA. And they will need to be renewed annually, which includes a fee of a similar amount. My workforce is provided through a payroll/staffing company. Do not ignore the hierarchy or executive chain of command. Can I rescind a physician certification that I already completed for a patient? Do I have to provide proof of my Michigan residency when I renew my registry identification card? RELATED POST: HOW TO GET A GROWERS LICENSE IN MICHIGAN, A marijuana provisioning center is defined under Michigan law asa licensee that is a commercial entity that purchases marihuana from a grower or processor and sells, supplies, or provides marihuana to registered qualifying patients or registered primary caregivers. How do I update my name on my registry card? Learn how to remain compliant with Michigans cannabis retail laws. 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%. 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. The Michigan Marijuana Regulatory Agency, or MRA, is tasked with overseeing cannabis business licensing. PUBLISHED DECEMBER 18, 2020 - UPDATED JANUARY 29, 2021. Operating costs vary. The Cannabis Industry - Dispensary Profit Margins Check out our interactive map and our favorite dispensaries below. I am unable to follow a procedure as specified. How do I notify the MMMP that my primary caregiver has passed away? I am a Certified Public Accountant (CPA) conducting the Agreed-Upon Procedures report. Retail Innovation Labs LLC Trading as Cova Software. Can I sell edible products off a food truck? 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. Sale of between 5 and 45 kilograms, meanwhile, comes with a maximum penalty of 7 years in prison and a fine of $500,000. In 2018 and early 2019, dispensaries would essentially sell themselves. NEW: PA Medical Marijuana ID cards that are printed in 2023 will have a new look. As has been said, unless you are a licensed cultivator, you cannot sell to dispensaries. Will CRA contact me after my Annual Financial Statement (AFS) report is submitted? Should I go to a third-party business to get/renew my registry identification card? For the sake of perspective, this is slightly higher than a Whole Foods and much more profitable than the typical pharmacy. Select your LEGAL WEED Michigan residents with a state-approved medical marijuana patient card can purchase cannabis from medical marijuana dispensaries, called provisioning centers. However, barriers, such as prohibition, make seed cultivation tricky. 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. I know you need a license to grow, however, since I will be the one selling would I need a license myself? 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. You may also need to get approved and licensed by your municipality. Dont miss out on our Marijuana Legalization Map where you can browse the current status of laws in every state in the United States and see all our posts on each of them. However, you should take some common-sense steps and consider speaking with an attorney to advise you. I have an active caregiver registry identification card(s) and I recently moved. Aside from the licensing application documents required in Section 7, there currently are no recordkeeping requirements for hemp processor-handlers. Currently, there are around 500 MMJ licenses and 170 recreational cannabis licenses granted in Michigan, but this industry is only getting stronger so we can expect to have a higher number by 2021.