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Tag Archives: Marijuana Merchants Services

Hawaii Announces First Legitimate Banking Solution for Cannabis Industry

Posted on October 3, 2017 by admin
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Cannabis leaf scattered on the dollars. Seamless imageBanking partners and regulators have joined together to provide statewide access to financial services for the marijuana industry. On Sept. 13, CanPay, the first legitimate debit payment solution for cannabis and Safe Harbor Private Banking, the leading compliant banking program for marijuana merchants. An unprecedented move, this is the first time banking regulators, regulators and cannabis licensees have worked together.

For a previously unbanked legal medical marijuana market, this is a huge improvement. The 29 states and the District of Columbia have encountered endless obstacles in their efforts to secure payment processing and business funding solutions. Banks accounts are so highly regulated on the federal level that most businesses have been forced to operate in cash-only (obviously unsafe and an impractical situation).

Now, those obstacles no longer exist in Hawaii. Through the newly automated Safe Harbor platform and CanPay, merchants and patients can now enjoy greater convenience, transparencies and security. Hawaii’s Commissioner of Financial Institutions, Iris Ikda, the Executive Director HEALTH Kerry Komatsubara were instrumental in this collaboration.

“The arrival of banking and payment services for the cannabis industry in Hawaii will enable dispensaries to reduce or eliminate cash sales, which will help keep these businesses much more secure, said Komatsubara. “The cash-only precedent in this industry is less than ideal for customers, employees, and the general community, so having alternative options available really does change how we do business for the better.”

Even with this step in the right direction, there is still a long way to go before merchants can easily obtain the specialized services they need. Many merchants in other states that have legalized marijuana are still unable to secure merchant services with financial institutions and other traditional Visa and MasterCard payment processors. With strict federal regulations, banks simply won’t touch cannabis businesses. An increasingly popular solution to this ever-growing problem is a marijuana merchant services with an alternative provider – like Marijuana Merchant Account.

Marijuana Merchant Account Full Service Payment Solutions

With Marijuana Merchant Account, cannabis merchants can quickly secure a merchant account and have it setup in a matter of days. Merchants can easily accept all card types (American Express, Visa, Mastercard and Discover) accept checks over the phone via MMA’s e-check processing services and utilize recurring payments for memberships, discounts clubs and more. The straightforward application process can be completed in a matter of minutes.

If your business is struggling to obtain a merchant account or your account has been suddenly closed, consider what a marijuana merchant account can do for you.

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Posted in Hawaii Marijuana, Marijuana Banking, Marijuana Industry | Tagged cannabis industry in Hawaii, financial services for the marijuana industry, Hawaii Marijuana, Hawaiian Marijuana, Marijuana credit card processing, Marijuana Merchants Services, merchant account to sell marijuana, merchants and medical, Recreational Marijuana Sales | Leave a reply

Nevada Pushing to be First State to Allow Recreational Marijuana Lounges

Posted on October 3, 2017 by admin
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SmokeIf all goes as planned, it would appear that Nevada will be the first state to allow recreational users to consume marijuana in clubs and lounges. The beginning of September, the state Legislative Counsel Bureau confirmed that state law does not prohibit city or county governments from operating a lounge in which patrons may use marijuana. The bureau went on to say that cities and counties are allowed to adopt their own rules governing those businesses; they are also allowed to decide whether those businesses are required to obtain special permits.

At present, public smoking is banned under state law in Nevada’s hotels and casino. Nevada is not alone on this. Washington, Colorado, Alaska and Oregon – the four other states where recreational marijuana use is legal – also do not allow public use of marijuana in lounges or other facilities. Recreational use is restricted to private residences.

There are three other states – California, Massachusetts and Maine – that are finalizing rules in advance of legalized marijuana. Despite legalization advocates efforts, none of these states are currently considering legal pot lounges.

Tom Angell, the founder or Marijuana Majority, a pro-legalization group, says, “Allowing regulated social use areas is a good solution that recognizes cannabis consumers’ rights to congregate just like alcohol drinkers can in bars while also protecting nonconsumers’ rights not to inhale secondhand smoke.”

However, there are many legalization skeptics that are still concerned about what marijuana stores and lounges in their community will lead to. Many are worried that it will increase the risk of crime associated with the industry. While these skeptics do not necessarily want marijuana users to go to jail for using, they are not ready for pot clubs to move into their neighborhood.

“Data show that areas around marijuana stores have higher crime and issues with second-hand smoke and other nuisances. I can’t imagine pot clubs will be a good thing for the state,” says Kevin Sabet, who heads the anti-legalization group Smart Approaches to Marijuana.

There are also concerns that the Trump administration may reverse a long-standing Obama administration agreement; this agreement deemphasized prosecutions of marijuana-related businesses in states that have legalized marijuana. Not knowing which direction the Justice Department will decide to go, many are worried about potential legal issues.

Marijuana businesses already struggle to find the services they need to operate safely. If the Justice Department chooses to shift their stance, it will definitely make day-to-day business operations even more difficult. Most banks refuse to work with marijuana merchant, due to the risks of the industry and heavy federal regulation.

The safest options for these merchants are either operating in cash (obviously extremely unsafe, not to mention impractical) or finding an alternative processor like Marijuana Merchant Account (MMA). Depending on the business type, merchants can secure either a recreational or medical marijuana merchant account to sell marijuana in as little as 24 hours.

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Posted in Marijuana Banking, Marijuana Industry, Marijuana Merchant Account, Nevada Marijuana | Tagged Marijuana credit card processing, Marijuana Merchants Services, merchant account to sell marijuana, merchants and medical, Recreational Marijuana, Recreational Marijuana Lounges | Leave a reply

Florida Bank Risks Scrutiny by Offering Marijuana Merchants Services

Posted on August 25, 2017 by admin
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Welcome to Florida with cannabis leaf road sign illustration, with distressed foreboding background

Welcome to Florida with cannabis leaf road sign illustration, with distressed foreboding background

Despite the growth of the medical marijuana industry, cannabis remains an illegal substance on the federal level. As a result, banks refuse to work with these businesses, leaving many marijuana merchants with little to no options. The majority are forced to operate in cash-only and fear being robbed daily.

A new strategy by Orlando-based financial institution First Green Bank has turned a lot of heads. In fact, the institution has been actively seeking Florida’s marijuana businesses. Considering that marijuana is classified as a Schedule 1 substance by the DEA (no currently accepted medical use and a high potential for abuse), how is this possible?

In a recent interview, Ken LaRoe, founder and chairman of First Green Bank, revealed the institution’s straightforward strategy, “We don’t touch the cash”, he said simply.

While First Green Bank does technically handle the cash, it sticks to a strict hands-off approach. With the federal regulations that make the industry cash based, First Green works closely with an armored car company that transports the cash directly from dispensaries to the nearest Federal Reserve location. This institutions willingness to venture into the industry has made it the exception (definitely not the rule).

A widely cited memo from a deputy attorney general in 2014 created a huge obstacle for banks operating in states where cannabis is legalized. According to the memo, if money from organized crime makes it into marijuana business’ bank accounts, the banker(s) could face criminal prosecution. First Green Bank is one of the few bold enough to accept deposits from cannabis merchants.

Thus far, First Green Bank has collected around $30 million in deposits from marijuana business. According to the FDIC, the bank had $485 million in deposits (as of March 31). However, the institution has not moved to extend loans to marijuana businesses. LaRoe explained that offering loans to these companies involves many risks, including: the property is subject to seizure and contracts can be legally unenforceable.

For now, marijuana merchants in need of business funding can find fast cash solutions with alternative lenders like Marijuana Merchant Account (MMA). Specializing in this industry, MMA can provide funds in as little as 24 hours; the “high risk” nature the industry is not a problem. MMA also offers secure and efficient marijuana processing solutions.

What are LaRoe’s thoughts for the future? Although First Green Bank currently has a monopoly on the Florida medical marijuana industry, he is optimistic that other financial institutions will join in. It would also make him feel more comfortable having others at his side supporting the industry.

“I’d like to see other banks getting into it, just because there’s strength in numbers,” he says.

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Posted in Florida Marijuana, Marijuana Banking, Marijuana Industry | Tagged banks refuse to work with Marijuana, Banks Risks Scrutiny, dispensaries, Florida Banks, Marijuana Banking, Marijuana credit card processing, marijuana merchant account, Marijuana Merchants Services, Marijuana Processing, Medical Marijuana Merchant Account, merchant account to sell marijuana, merchants and medical | Leave a reply

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