Monday, May 23, 2022
High Yields Cannabis/Marijuana/ Weed News
  • Home
  • Cannabis Stocks
  • Cannabis Strains
  • Cannabis Laws
    • Marijuana Laws in All 50 States
    • International Marijuana Laws 2021
  • Product Reviews
  • Growing
  • Write for Us
No Result
View All Result
  • Home
  • Cannabis Stocks
  • Cannabis Strains
  • Cannabis Laws
    • Marijuana Laws in All 50 States
    • International Marijuana Laws 2021
  • Product Reviews
  • Growing
  • Write for Us
No Result
View All Result
High Yields
No Result
View All Result
Home Cannabis Stock Quotes & News

How to secure funding for your cannabis business

Jeremy Vedder by Jeremy Vedder
November 11, 2021
in Cannabis Stock Quotes & News
0
How to secure funding for your cannabis business

READ ALSO

Watch a new documentary focused on Nipsey Hussle’s cannabis business

Pasadena cannabis licensing suits can proceed, California panel says

The cannabis industry has for the last 3 years been one of the fastest growing industries in the United States, and the entire world. It’s hard to get an exact number because every region uses slightly different metrics, but at a base level, the global weed market has a current estimated value of over $21 billion and is projected to reach over $90 billion in the next 5 years.

In the face of all this growth, there is still a glaring shortage of economic options to help businesses expand and meet their full potentials, especially those smaller companies that don’t have a lot starting capital. Due to strict federal regulations in nearly every country on earth, most financial institutions are unwilling to work canna-business owners, despite the unmatched potential of these operations.

Financing obstacles and why it all matters

A successful cannabis business can be wildly profitable, but operation costs are insanely high, and again, most businesses are unable to obtain loans via any traditional channels. Because it’s still federally prohibited, banks are not even willing to provide so much as a checking account to canna-business license holders, so you can imagine how challenging it is to try and get financing like loans or credit cards: nearly impossible.

Getting money from private investors may seem like a more promising option but can be similarly frustrating. Equity or stock funds are also severely restricted – because for various reasons be it legal, social, situational, or a combination of the three, most investors tend to shy away from marijuana. Those who do consider it, often face pushback because of the plant’s illegal status.

Even at peak times to invest, and even for low-risk and ancillary businesses, the fact that they are working in cannabis means these business owners will pay upwards of 25% APR for loans, compared to equally risky non-cannabis businesses who would pay roughly 6-7% for their own financing.

The ability to secure capital is a major stepping-stone for businesses of all ages and sizes, but especially smaller operators and startups who jump into the game with incredible products but very little initial funding. Unfortunately, most financial institutions won’t work with start-ups anyway because they have no track record of sales or receivables. One of those annoying catch 22’s, like when you’re fresh out of college but can’t find a job because no one will hire a person without experience.

To Read The Rest Of This Article By Alexandra Hicks on CBD Testers

Published: November 11, 2021

Founder & Interim Editor of L.A. Cannabis News

[Original Source]

Total
0
Shares
Share 0
Tweet 0
Pin it 0
Share 0

Related Posts

Cronos Group Launches Delicious New Dual-Flavor Cannabis
Cannabis Stock Quotes & News

Watch a new documentary focused on Nipsey Hussle’s cannabis business

May 21, 2022
Stem Holdings Reports Fiscal Full Year 2021 Financial
Cannabis Stock Quotes & News

Pasadena cannabis licensing suits can proceed, California panel says

May 21, 2022
Jushi Holdings Inc. Expands Partnership with Laundry
Cannabis Stock Quotes & News

From The Earth seeks atty fees in kickback case against LA suburb

May 21, 2022
Anything Technologies Media, Inc. Gives Update Regarding
Cannabis Stock Quotes & News

3 armed suspects rob marijuana dispensary near Pasadena

May 21, 2022
One man killed, one wounded in Valinda shooting
Cannabis Stock Quotes & News

What’s the future for cannabis-infused edibles?

May 20, 2022
Could 2021 Be the Year of Federal Cannabis Legalization?
Cannabis Stock Quotes & News

The Flowr Corporation Announces Fourth Quarter and Full

May 20, 2022
Next Post
Could 2021 Be the Year of Federal Cannabis Legalization?

What's a marijuana microbusiness? - L.A. Cannabis News

  • Trending
  • Comments
  • Latest
Monthly Spotlight: The Best of Plain Jane CBD

Monthly Spotlight: The Best of Plain Jane CBD

April 8, 2022
The Ultimate Dr. Dabber Stella Vaporizer Review for 2022

The Ultimate Dr. Dabber Stella Vaporizer Review for 2022

April 19, 2022
volcano hybrid review 2022

The 2022 Volcano Hybrid Vaporizer Review: All You Need To Know

March 19, 2022
The Utillian 5 v3 Wax Pen Review for 2022

The Utillian 5 v3 Wax Pen Review for 2022

March 27, 2022

The 7 Best Smell-Proof Weed Bags To Keep Your Bud Stash Safe

April 27, 2022
The Best Synthetic Urine Kit to Pass Your Drug Test in 2022

The Best Synthetic Urine Kit to Pass Your Drug Test in 2022

March 28, 2022
The 10 Best Smell Proof Backpacks for Weed in 2022

The 10 Best Smell Proof Backpacks for Weed in 2022

May 5, 2022
Cronos Group Launches Delicious New Dual-Flavor Cannabis

Watch a new documentary focused on Nipsey Hussle’s cannabis business

May 21, 2022
Former NFL Running Back Marshawn Lynch Launches Premium Blunt Brand

Former NFL Running Back Marshawn Lynch Launches Premium Blunt Brand

0
Major Marijuana Coalition Forms To Coordinate Legalization Push, But Some Key Advocacy Players Aren’t Involved

Major Marijuana Coalition Forms To Coordinate Legalization Push

0
MMJRecs - cannabis leaf

How Medical Marijuana Can Help Treat Sleep Disorders

0
Colorado Cannabis Sales Exceed $2 Billion in 2020

Colorado Cannabis Sales Exceed $2 Billion in 2020

0
Cronos Group Launches Delicious New Dual-Flavor Cannabis

Watch a new documentary focused on Nipsey Hussle’s cannabis business

May 21, 2022
Stem Holdings Reports Fiscal Full Year 2021 Financial

Pasadena cannabis licensing suits can proceed, California panel says

May 21, 2022
Jushi Holdings Inc. Expands Partnership with Laundry

From The Earth seeks atty fees in kickback case against LA suburb

May 21, 2022
Anything Technologies Media, Inc. Gives Update Regarding

3 armed suspects rob marijuana dispensary near Pasadena

May 21, 2022

Archives

  • May 2022
  • April 2022
  • March 2022
  • February 2022
  • January 2022
  • December 2021
  • November 2021
  • October 2021
  • September 2021
  • August 2021
  • July 2021
  • June 2021
  • May 2021
  • April 2021
  • March 2021
  • February 2021
  • March 2020

Categories

  • 1933 Industries
  • 4front Ventures
  • Acreage Holdings
  • Ascend Wellness
  • Ayr Wellness
  • Body & Mind
  • C21 Investments
  • Cannabis Stock Quotes & News
  • Cansortium Inc
  • Captor Capital
  • Ceres Acquisition Corp
  • Chalice Brands
  • Columbia Care
  • Cresco Labs
  • CuraLeaf
  • Gage Growth
  • Glass House Brands
  • Green Thumb Industries
  • Grown Rogue International
  • Harborside
  • Item 9 Labs
  • Jushi Holdings
  • Lowell Farms
  • MariMed
  • MedMen Enterprises
  • News
  • Next Green Wave
  • Planet 13
  • Plus Products
  • Product Reviews
  • Red White & Bloom
  • SLANG Worldwide
  • Sol Global Investments
  • TerrAscend
  • TILT Holdings
  • Trulieve
  • Verano Holdings
  • Vext Sciences
  • Vibe Growth

Recent Posts

  • Watch a new documentary focused on Nipsey Hussle’s cannabis business
  • Pasadena cannabis licensing suits can proceed, California panel says
  • From The Earth seeks atty fees in kickback case against LA suburb
  • 3 armed suspects rob marijuana dispensary near Pasadena

QR Code

How to secure funding for your cannabis business
No Result
View All Result
  • Homepages
    • Home Page 1
  • News

© 2021 High Yields