Novi, MI Business Licensing & Operations: Pawnbrokers (2026)

Pawnbroker regulation sits in Chapter 27.5, Article IV of the Novi Code. Section 27.5-51 requires any owner or operator to hold a city business license for each separate pawn shop location, with the same narrow exception for temporary displays at exhibit halls or civic facilities that applies to secondhand dealers. Section 27.5-52 requires a detailed application: type of ownership, names and addresses of every owner and lender of business funds, two 2-by-2-inch photographs, a full set of fingerprints retained by the director of public safety, disclosure of all criminal convictions other than misdemeanor traffic offenses, and three adult character references from county residents who are not relatives or business associates.

Under Section 27.5-53, the director of public safety investigates the applicant's moral character and criminal history and inspects the premises, reporting within 45 days. Section 27.5-54 puts the licensing decision before the full city council, which must deny a license if the applicant or any owner was convicted of a crime involving moral turpitude, such as fraud, extortion, controlled substances, or theft, within the preceding 15 years. Section 27.5-63 requires a $3,000 corporate surety bond, rated A or better, before any license issues, covering compliance with state and city pawnbroker law.

Section 27.5-58 requires every transaction record to be transmitted electronically to the police department within 48 hours, and Section 27.5-60 bars a pawnbroker from selling a pledged item until it has remained in the shop for at least three months. Section 27.5-59 makes it unlawful to possess or sell an item with an altered or removed serial number, and possession of such an item is prima facie evidence of a violation. Licenses expire annually under Section 27.5-57 and require a renewal fee set by council resolution.