What Does a Michigan CannaBusiness License Cost
Cultivation of marijuana plants requires a substantial commitment in both money and time and those seeking to open a dispensary in Michigan will need a considerable financial investment to get started in this business.
To apply for licensing to open a Cannabusiness, costs start at $6,000 for the application fee. (https://www.legislature.mi.gov/(S(tbewziaby3hn0maxs5zwowlf))/mileg.aspx?page=getObject&objectName=mcl-Initiated-Law-1-of-2018)
Recreational Marijuana Application Fees have not yet Been Determined
Before an applicant’s Pre-Qualification materials can be reviewed, the applicant must pay the $6,000 application fee. While recreational marijuana application fees have not yet been determined, Proposal 1 requires that fees be limited to the costs necessary to administer the program. Costs tend to coincide with the number of plants that a CannaBusiness seeks to grow. After the application is submitted with the appropriate fee, a Cannabusiness location is approved, and each licensee owes a regulatory assessment depending on their classification: Grower A, B, or C. Until the $6,000 application fee is paid, the Michigan Licensing and Regulatory Affairs Board will not be able to process the application.
After notification of License Qualification approval from MMFL,
an applicant will need to pay a regulatory assessment for each license the applicant is issued. Grower A license regulatory assessments are capped, by statute, at $10,000. The regulatory assessment for Grower B-C, Processor, Transporter, and Provisioning Center licenses will be dependent on the number of total licenses subject to assessment and could be as low as $10,000 or as high as $66,000. The exact amount of the regulatory assessment is not available at this time. There is no regulatory assessment for Safety Compliance Facilities. Additional fees may be required by the municipality in which the CannaBusiness will operate.
While startup costs are expensive, marijuana businesses tend to generate huge profits–profits ranged from $6 to $9 million in 2018 alone. In fact, experts estimate that Proposal 1 will generate $738 million in tax revenue by 2023, according to the Michigan Senate Fiscal Agency. (http://www.michiganradio.org/post/michigan-senate-fiscal-agency-estimates-marijuana-could-generate-more-260-m-new-tax-revenue).