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Defining a Marijuana Micro-Business

On Behalf of | Jan 24, 2020 | Firm News

A marijuana microbusiness is an establishment that sells marijuana and marijuana products to patrons 21 and older for on-premise consumption. A microbusiness could be anything from a recreational smoking lounge to something like a yoga studio.

A microbusiness is legally allowed to grow up to 150 plants’ worth of marijuana. It can then process the plants, package products and sell to its patrons. However, a microbusiness cannot sell any product to other adult-use distributors or other businesses. The business can only use the products it creates to sell to its own customers.

Who can get a license?

Currently, only Michigan residents can apply for a license. Each resident can only apply for and retain one license. Only some municipalities allow marijuana microbusinesses. The Michigan governor recently extended emergency regulations to continue to monitor the success of microbusinesses and how they affect communities.

Additional licenses

According to the Michigan Department of Licensing and Regulatory Affairs, different types of licenses are available, and a business can apply online. Some other licenses include:

  • Excess Marijuana Grower—this allows someone who already has five Class C Grower licenses to expand the number of plants they can grow.
  • Designated Consumption Establishment—licenses a business to operate an approved commercial space where adults 21 and over can consume marijuana products. It does not permit the business to sell or distribute marijuana.
  • Temporary Marijuana Event—this license permits marijuana retailers and microbusinesses to participate in a previously approved temporary event where marijuana is consumed.
  • Marijuana Event Organizer—license holder can apply for a Temporary Marijuana Event license to organize and facilitate an event.