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michigan

The Marijuana Regulatory Agency (MRA) is in the process of implementing the regulatory framework created by the passing of the Michigan Regulation and Taxation of Marihuana Act (MRTMA). VIEW THE NEW LAW.  Emergency rules have been filed and will remain in effect until January 3, 2020.  VIEW THE RULES.  MRA will begin accepting applications for adult-use marijuana establishments on November 1, 2019.

michigan marijuana laws

On November 6, 2018, Michigan voters passed Proposal 1, making it the first state in the Midwest to authorize a recreational marijuana market.
 
In 2016, Michigan passed a series of bills
(HB4209HB4210, and HB4827, collectively the Medical Marihuana Facilities Licensing Act or MMFLA) implementing a medical marijuana licensing process and authorizing a commercial, regulated system. This provided an additional source of medicine for medical marijuana patients who previously had to cultivate their own, under the Michigan Medical Marihuana Act (Proposal I) of 2008.

 

The Michigan Department of Licensing and Regulatory Affairs (LARA) Bureau of Medical Marihuana Regulation (BMMR) began accepting medical marijuana license applications on December 15, 2017. There is no deadline to complete the medical marijuana license applicationProposal 1 assigns responsibility for licensing and regulating recreational medical marijuana businesses to LARA as well.

 

With over 240,000 patients authorized to use medical marijuana in the state as of 2016, Michigan’s patient population is second only to California. ArcView projects that Michigan will have $556 million in sales by 2020, becoming the third-largest grossing cannabis industry in the nation, only behind California and Colorado. With the legalization of adult-use marijuana in November 2018, these values will only increase.

 

RECREATIONAL MARIJUANA LICENSE TYPES

Proposal 1 mandates that Michigan’s LARA establish, award, and regulate the following recreational marijuana license types:
 

  • Marijuana retailer

  • Marijuana safety compliance facility

  • Marijuana secure transporter

  • Marijuana processor

  • Marijuana microbusiness

  • Class A marijuana grower authorizing cultivation of not more than 100
    marijuana plants

  • Class B marijuana grower authorizing cultivation of not more than 500
    marijuana plants

  • Class C marijuana grower authorizing cultivation of not more than 2,000
    marijuana plants

MEDICAL MARIJUANA LICENSE TYPES

As of June 13, 2018, Michigan had processed 546 pre-qualification applications and over 150 facility license applications. Available license opportunities include:
 

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Estimated market size

The state House Fiscal Agency has estimated that when the recreational market for marijuana is fully established after 2020, annual sales will approach $949 million, bringing in $94.9 million from the 10% excise tax and $57 million from the 6% sales tax.

how to start a marijuana business in michigan

If you are just starting your marijuana business, the next best step is to start a Business Plan to help educate your team and be ready to apply for a marijuana business license. If you are ready to apply for a Marijuana Business License in Michigan, please Contact us or call our offices to set an appointment to get started. You can also select another State Opportunity, or fill out our Contact Form to discuss potential strategies such as Investment or Partnership Opportunities. 

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