Marijuana dispensaries are a favorite in Michigan going by the year 2008 Marijuana ballot proposal vote. Residents of states where this trade is still prohibited, such as Kentucky, Arkansas and many more, are flocking in their numbers to get the much-needed medical marijuana from states like Michigan.
In Michigan, with effect from the first quarter of 2018, individual businesses can now be able to be awarded operating licenses. The marijuana Provisioning Center (Dispensary) laws that were enacted in December 2015 are expected to transform the society both financially and medically holistically. On the medical standpoint, people with mental conditions will get treatment and individuals will cash in on the lucrative trade.
Below are three Fundamental Questions of Getting Started in the State of Michigan:
1. How Much Does It Cost to Open a Medical Marijuana Provisioning Center (Dispensary) in Michigan?
From a summative standpoint, Michigan’s Medical Marihuana Act is meant to serve different purposes. First, to be a source of public revenue. Second, to put in place measures that discourage abuse of Marijuana. Third, to allow people with medical conditions such as HIV/Aids, Cancer, PTSD, and much more to get relief. Finally, to create an unforgiving situation for monopolization of medical marijuana and cartels. In the light of these, core reasons, the cost of starting a Marijuana Provisioning Center (Dispensary) are lower than expected.
Startup costs are related to:
The fundamental decision that any aspiring individual will have to make is whether to acquire a rental space, build, lease or renovate an old space. Starting with the cheapest option, at least in the short term, renting a space can cost between $ 1,500 to $4,000 a month in addition to goodwill. Secondly, a lease costs between $ 7,500 to $15,000 per annum. Thirdly, renovation. This option is applicable if an individual owns an abandoned space in an old building. It is a cheaper alternative to building as the property is usually sold at a disposal rate. The costs of renovation range between $5,000 to $50,000, Finally, making a marijuana Provisioning Center (Dispensary) could cost more than $150,000 factoring in all the associated costs. All these cost ranges are dependent on desired designs, location, and personal haggling techniques.
An average marijuana clinic needs equipment-blinds, carpets, computers, partitioning, interior design items (flower jars, a water fountain, etc.), door tags, built-up reception area, just to mention a few. On a lower scale, $30,000 can be enough to equip a Provisioning Center (Dispensary) of this sort adequately.
Real estate procedures, marijuana Provisioning Center (Dispensary) operating license, general consultancy and all matters regarding standard operating systems require legal guidance. An attorney can adequately advise and can act on your behalf on all the legal processes. One can at least set aside $40,000 for the first operating year.
Property, Professional and Product liability insurance covers are mandatory. An aspiring owner should budget for at least $25,000 for all the premium covers annually.
Before the business break even, there should a budgeted standby capital to pay staff. Going by the minimum hourly wage rate in Michigan, one employee working eight hours a day, a budget of $35,000 will be appropriate.
Miscellaneous costs are so diverse and recurring, especially for startups. Calculating costs pertaining, power bills, telephone bills, internet costs, office coffee, office maintenance, etc. can be daunting. A budget of $50,000 is adequate to cover the first quarter of the initial year.
2. What are the Requirements for Getting a Medical Marijuana Growers License in Michigan?
For an application to be successful, an applicant has to meet the following requirements:
~ An applicant must Be a resident of Michigan for at least two years,
~ The individual must not be a convict of a felony or formally have served a felony sentence within ten years.
~ The applicant must not be a member of the Marijuana Licensing Board.
~ The person must not be an elected official.
~ The applicant must not have a history of falsifying Medical Marijuana Grower License application.
~ An applicant must not have been convicted, of controlled substance misdemeanor, dishonesty, fraud, or theft in any state, within the past five years.
Additional Factors that are considered in awarding the License
~ Ability to purchase insurance.
~ The moral character of an applicant.
~ History of bankruptcy in the last seven years.
~ All indictments over the previous ten years.
~ Sources of capital.
~ Tax compliance history.
~ History of compliance with business regulation practices and business problems.
It is worth noting that medically patients and caregivers are exempted from these regulations.
3. How to Start a Mobile Marijuana Provisioning Center (Dispensary) in Michigan
The state of Michigan Marihuana law is silent on the legality of a mobile Provisioning Center (Dispensary). Additionally, the various counties in the state have different regulations pertaining this trade. Therefore, in such a situation, the following are essentials of starting a mobile marijuana Provisioning Center (Dispensary).
Mapping out the Counties of Operation
Counties have different laws and regulation. For example, the metropolitan Wayne County covering Detroit City have laws regulating parking of mobile business trucks, the operation of mobile businesses and city area code.
Acquiring an adequately equipped Truck
The mobile Provisioning Center (Dispensary) has to be fitted with lightings, cabinet storage, money safe, and partitioning for between the reception and consultation office.
Just like the conventional marijuana dispensaries, the mobile Provisioning Center (Dispensary) has to be equipped with staff for the efficiency of operations and patients’ satisfaction.
The Mobile Provisioning Center (Dispensary) Must be modeled as a Non-Profit Entity
Although profit making might be a primary motivating factor for in this venture, an aspiring practitioner should ensure that this venture is silent on profit-making and visible in community welfare development. To achieve such as feat, the mobile Provisioning Center (Dispensary) mission and vision should dwell on improving the conditions of patients and touching lives.