Why Cannabis Firms Are Focused on Banking and Tax Reform
SMITH BRAIN TRUST / MAY 19, 2021
“…Because medical cannabis is still federally illegal, we haven’t been able to use credit and debit card processors, online ordering or many financial services that most businesses take for granted,” says Cartalemi, who, along with partners Megan Rogers and Vincent Lidie, opened Star Buds in 2018. Raising capital to start the business was also a challenge, she says. It wasn’t possible to get a traditional business loan from a bank. Instead, she worked with a consultant to find a private equity investor who would accept cannabis businesses, she says.“There are extra hurdles for us when it comes to funding because cannabis is still illegal federally,” says Cartalemi. “We’re forced to bootstrap and get creative every single day with how we carry out our business… ‘