Do I need a Cannabis Retail License to Open?

Yes, a license is required for both medical and adult-use dispensaries. Michigan legalized medical marijuana in 2008 when voters approved the Michigan Compassionate Care Initiative. In 2018, Michigan residents voted to legalize adult-use marijuana by approving the Michigan Regulation and Taxation of Marihuana Act.

What is the Michigan Regulatory Agency?

Michigan’s Department of Licensing and Regulatory Affairs established the Marijuana Regulatory Agency in 2019 after Governor Whitmer issued executive order 2019-07. The MRA is responsible for drafting regulations, managing licensing, and enforcing compliance for the cannabis industry.

How can I apply for a license in Michigan?

Cannabis retailers can apply for a license online at the Marijuana Regulatory Agency website. The MRA established a Social Equity Program in 2019 to promote local adult-use dispensaries in communities that have been disproportionately affected by prohibition. Applicants looking to start a dispensary in any of these program locations will receive reduced fees for licensing and renewal fees.

How much does a dispensary license cost?

When applying for a dispensary license in Michigan, there is a $6000 non-refundable application fee for both adult-use and medical marijuana licenses. If approved, there is an additional $25,000 licensing fee that must be renewed on an annual basis.

Will I need to get local authorization to get a license?

Yes. Certain communities have chosen not to allow any licensed cannabis facilities. It’s necessary to get permission and licenses from the city considering your building must be 1,000 feet away from liquor stores, other cannabis retailers and drug free zones, such as schools or daycares.

What are the customer age requirements for Michigan?

Adult-use customers must be 21 or older to buy and possess cannabis. Medical marijuana patients 18+ can apply for a state medical marijuana card.

What time can I open and close my dispensary?

Michigan cannabis retailers are allowed to make sales between 8am and 9pm or 10pm based on local ordinances. For example, Detroit is 10pm but Ann Arbor is 9pm.

Who do I report to for state compliance?

All licensed dispensaries in Michigan are required to report their sales to state regulators using the Metrc Track and Trace system. This process can be automated by a point-of-sale system that is fully integrated with Metrc.

Are there daily purchase limits on cannabis?

Adult-use consumers can purchase up to 2.5 ounces of dried cannabis flower with no more than 15 grams of cannabis concentrate.
Medical marijuana patients with a state issued MMJ card can buy a 30-day supply of medical cannabis up to 10 ounces.

How do I keep my dispensary compliant?

Keeping your dispensary compliant starts with implementing a POS system that can automate state reporting. Keeping track of inventory, enforcing purchase limits, and making sure your customers are of legal age is imperative to maintaining compliance.

Can I start a delivery service in Michigan?

Yes. However, currently only medical marijuana provisioning centers are allowed to make deliveries. Medical cannabis can be delivered to any registered qualifying patient, even if the patient’s residence is in a jurisdiction that does not allow dispensaries.