October/28/2019
According to Michigan Radio Report, come November 1, the state will start accepting applications for adult-use business licenses. In a few weeks, the first license will be issued.
At the beginning of October, the Marijuana Regulatory Authority in Michigan issued instructions to be followed by the residents when applying for recreational marijuana business licenses. The types of permits being awarded included cultivators, retailers, marijuana event planners, food or drinking establishments, and one-off marijuana events.
Michigan residents can apply for licenses online or physically. However, online applications are better preferred for faster processing. There are two steps in the application process: and they include the prequalification phase and licensing establishment. During the prequalification stage, the MRA carries out background checks on all applicants. In this stage, he/she is also required to pay a nonrefundable fee of $6,000.
When an applicant passes the prequalification stage, they are required to present business specifications, evidence of financial obligation, employee information, local regulations information, and inspection of their facility must be carried out to be vetted by the MRA.
However, failing to pass the prelicensure inspections and background checks are potential reasons why the supply shortage of adult-use marijuana will continue to face the medical market in the state.
According to Michigan Radio, there is a shortage of medical product supplies. Besides, it could be a problem for recreational cannabis licensing as well as the rollout of retail sales.
In an interview with Michigan Radio, the Executive Director of Marijuana Cannabis Industry Association, Robin Schneider said that because of the shortages in medical marijuana supply, she is not expecting to see many applicants submitting their license applications.
According to Michigan Radio, the shortage of medical cannabis will only worsen once recreational marijuana business licenses are issued. Sellers of adult-use cannabis may have to hold off till March or April before they get their first supply of recreational marijuana. This will give the marijuana farmers time to grow and test their crops.
However, as the application opening date nears, many cities in Michigan have opted to ban recreational marijuana businesses.
