Michigan Will Start Accepting Adult-Use Cannabis License Applications Nov. 1
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Michigan Will Start Accepting Adult-Use Cannabis License Applications Nov. 1

Regulators are expected to grant the first adult-use licenses in the coming weeks.

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October 28, 2019

Michigan will start accepting adult-use cannabis business license applications Nov. 1 and will award the first licenses in the coming weeks, according to a Michigan Radio report.

Michigan’s Marijuana Regulatory Agency (MRA) released instructions on how to apply for adult-use cannabis business licenses earlier this month. License types include cultivators, retailers, “consumption establishments,” “marijuana event organizers” and “temporary marijuana events.”

Starting Nov. 1, applicants can apply online or submit paper applications, although the MRA recommends the online system for faster processing. The application process consists of two steps: prequalification and establishment licensing. The prequalification stage includes background checks and a $6,000 nonrefundable application fee, and once an applicant secures prequalification status, he or she will be vetted by the MRA and will be required to submit business specifications, proof of financial responsibility, information on local regulations and employee information, and each applicant must also undergo an inspection of the facility.

A supply shortage in the state’s medical market could cast a shadow on adult-use licensing and the rollout of retail sales, however, according to Michigan Radio.

Michigan Cannabis Industry Association Executive Director Robin Schneider told Michigan Radio that she is not expecting many applications to be submitted on the first day.

“I just don’t believe that we’re going to see a Green Rush of businesses running out to get those rec licenses on the first day because of the lack of supply,” she told the news outlet.

The launch of the adult-use market will likely make the supply shortage worse, Michigan Radio reported, and retailers may have to wait until March or April for their first supply of adult-use products to allow time for businesses to become operational and grow and test their cannabis.