One of the biggest issues that still exists even though marijuana has become legal either medically or recreationally is how marijuana businesses manage their money. Since marijuana remains illegal on the federal level, businesses that operate in the marijuana industry are unable to gain access to the same financial institutions as businesses from other industries. With limited options for storing their money, marijuana businesses have to carry significant amounts of cash from place to place and store their funds in their establishment or hope they will remain safe offsite. Special considerations have to be taken for marijuana businesses to successfully manage their money in the current climate.
Sticking to Cash-Only Transactions
In a world where people do all their business using a credit card or smartphone app that mirrors its functions, asking customers to bring cash with them when they come to their local dispensary might seem like a tall order. Customer’s moods are fickle and the smallest inconvenience, whether it’s perceived or actual, could send them heading towards the door. Marijuana businesses have an advantage because their customers are unable to get this product elsewhere unless they do so illegally. This arrangement allows for the marijuana businesses to make this simple demand without encountering a great deal of resistance.
Considering New Cash Transportation Services
Anytime a need arises there are people who are willing to come out of the woodwork to fill that need. In the case of marijuana businesses and their inability to work with financial institutions, services have popped up to help companies in the marijuana industry get their cash where it needs to go. Certain marijuana companies transport their cash on their own, which poses a unique set of challenges and requires considerable investment to do safely. Doing business with an outside cash transportation service eliminates the need to construct a security infrastructure from scratch and allows marijuana proprietors to focus on other things.
Avoiding Suspicious Options
Scams are present in every aspect of every industry. The scams are particularly prevalent in the marijuana industry because it’s undiscovered territory. People are figuring things out as they go along and there are so many unknowns waiting to be resolved. This uncertainty gives suspicious characters the opportunity to earn the trust of people who are grasping at straws to find a path forward. Individuals who are new to the industry will have to do their homework to determine whether it’s a good idea to do business with certain outside services.
Finding Friendly Institutions
Though it might seem like there are no financial institutions out there that will work with a marijuana business, they are out there. One marijuana business owner can talk to another and see how they solved this issue. Hundreds of financial institutions are doing business in the marijuana industry and that number is only going to go up as attitudes continue to become more relaxed. Developing a patchwork strategy will have to be the main approach until the federal government makes marijuana legal and financial institutions are allowed to do business with the marijuana industry.