Banking options for the cannabis industry are few and far between. Even though the cannabis market is growing extensively, finding investors to grow your business remains a major problem.
Access to traditional capital is extremely limited if not fully absent. Currently, companies are facing a general blockade from financial institutions such as banks, Visa and Mastercard.
Obtaining conventional funding through mechanisms like small business loans is simply not an option due to the legal regulations surrounding cannabis. Because cannabis is still illegal in most countries, getting financing through a small business loan is nearly impossible, as financial institutions cannot legally handle capital that is connected to the plant. Bank services are in fact extremely limited such as in Spain where cannabis companies can’t rely on payments made by credit cards.