Michigan is one of the states in America where both medical marijuana and recreational marijuana use is legal. Thanks to a new law passed a few years ago, people who are over the age of 21 can legally purchase a small amount of marijuana for recreational usage.
CBD products are also legal and come with no restrictions on the amount one can possess as long as they are derived from hemp and contain less than 0.3% THC. CBD products that are above that limit or are derived from marijuana are still legal, but fall under Michigan’s recreational marijuana usage statutes.
It’s even legal for people to grow a certain amount of marijuana in their homes for personal usage. This doesn’t mean that anyone can just decide to sell either marijuana or CBD products without getting specific licenses from the state and city they intend to do business in.
Below is a full breakdown of the rules and regulations for selling edibles in Michigan. They are all covered by Rule 33 of the Marijuana Regulatory Agency.
What license do you need to sell edibles in Michigan?
There are a few options you can choose if you want to sell edibles in Michigan. To sell directly, you will need to obtain an MMFLA license — for the Medical Marihuana Facilities Licensing Act — and an MRTMA license — through the Michigan Regulation and Taxation of Marihuana Act.
These licenses will give you the ability to sell edibles in Michigan legally. However, you also have another choice. You could partner with a cannabis processor that is licensed in Michigan on a white label or licensing agreement.
Under this arrangement, you hand the creation of the product off to the cannabis processor, while you handle the marketing and distribution under your own brand or label. This allows you to start your business without high start-up costs — and manufacturing expertise — that’s associated with cannabis processing.
How much is a dispensary license in Michigan?
There are a few steps, and a few fees, to getting a dispensary license in Michigan. First, you must pay a $6,000 fee to get pre-qualified for an application. This fee is non-refundable.
If you’re approved to receive a license, you will be assessed an additional initial fee, based upon the type of license you wish to obtain. For example, the initial fee for a marijuana retailer license is $15,000. It costs $8,300 for a license to run a marijuana microbusiness, and $1,000 to obtain a license to operate a designated consumption establishment.
There are also annual renewal fees associated with all these licenses. These fees are actually exactly the same as the initial fee for all types of businesses mentioned. Finally, we cannot forget the costs to acquire the local city license, which may ultimately be the most costly part depending on the license you are seeking to acquire.
Do you need a license to sell to dispensaries in Michigan?
Yes, all people/businesses that want to sell to dispensaries in Michigan must have a license to do so. Which license you need, though, depends on the structure of your business.
If you are a marijuana processor, for example, you would need a license that would have a $24,000 initial fee and a $24,000 annual renewal fee. If you are a grower, your license could range anywhere from $1,200 to $24,000.
How do I sell to a dispensary in Michigan?
Once you have the proper licenses — or have partnered with a processing center that holds those licenses — you are free to sell your products to a dispensary in Michigan. This will give you the right to do so. How you market your products, brand them, package them and sell them will be your own decision — just like any other business.
Can you sell homemade edibles in Michigan?
In order to sell any type of edibles in Michigan, you will need to first obtain a license to do so. If you intend to sell direct-to-consumer, you can apply for a marijuana microbusiness retailer, which costs $8,300.
This would allow you to possess and process the amount of marijuana that you would need to process your edibles and then sell them to consumers in Michigan.
Can you sell infused food?
Yes, Michigan law allows microbusinesses to grow as much as 150 cannabis plants and then process them into multiple products, including edibles, concentrates and other products that are infused with marijuana.
Is it legal to mail edibles in Michigan?
While both medical and recreational marijuana is legal in Michigan, no one is allowed to send it in the mail. It doesn’t matter what type of product you’re selling or whether you have a license to sell it legally, you are prohibited from sending it via mail.
The reason for this is because the U.S. Postal Service is an agency of the federal government. Since marijuana is still illegal according to federal law, the USPS is required to report if they find marijuana in any piece of mail.
If you are found to have done this, you will be charged with a federal crime.
Can caregivers sell to dispensaries in Michigan?
As of April of 2019, caregivers were prohibited from transferring or selling their products to dispensaries in Michigan.
Following the legalization of recreational marijuana in 2018, caregivers were allowed to sell or transfer their products to licensed processors and growers of cannabis in the state. However, that was phased out, too, after the Marijuana Regulatory Agency found there was a sufficient number of processors and cultivators to meet the medical demand for marijuana products.
Initially, caregivers were allowed to do this so that patients who used medical marijuana wouldn’t run out of their supply.