n order to obtain the correct licensing in accordance with the MMFLA, and
to maintain a respected, lawful business, you need the help of an experienced
cannabis lawyer. If you are ready to figure out the next step, our firm
is here to provide the guidance and legal advisement you need.
CONSIDER THE EXPENSE
The licensing process can be expensive. The Michigan Department of Licensing
and Regulatory Affairs (LARA) has established the Marijuana Regulatory
Agency (MRA) to handle all matters related to commercial cannabis business
The MRA has established two different categories of fees at the state level
for medical marijuana businesses:
- First, there is a $6,000 application fee for all applicants.
Second, there is an annual regulatory assessment fee, which is due upon
licensure and then annually to renew.
These fees are currently set as follows:
The MRA has also established capitalization requirements for all potential
applicants. According to the MRA, all applicants must submit CPA-attested
financial statements to meet the following capitalization requirements:
- Class A - $150,000 ($37,500 in liquid assets)
- Class B - $300,000 ($75,000 in liquid assets)
- Class C - $500,000 ($125,000 in liquid assets)
Processors - $300,000 ($75,000 in liquid assets)
Provisioning Centers - $300,000 ($75,000 in liquid assets)
Secure Transporter - $200,000 ($50,000 in liquid assets)
Safety Compliance Facility - $200,000 ($50,000 in liquid assets)
In addition to the requirements above, applicants will also have to pay
a licensing fee to the local municipality where their business will be
located. This fee cannot exceed $5,000 annually.
BE PREPARED FOR THE BACKGROUND CHECK
Each investor who owns at least 10% of the applying business will have
to disclose a comprehensive set of documents as part of the background
investigation. These documents typically span several hundred to several
thousand pages, depending on the investor and their financial history.
These required documents include:
- Tax Returns
- Bank Statements
- Loan Statements
- Criminal Records
- Commercial Licensing Documents