Cannabis Industry Continues to Face Uphill Battle for Profitability

According to a recent report by Whitney Economics, the U.S. cannabis industry continues to struggle to become profitable with only 27.3 percent of operators having achieved overall profitability.  

Whitney’s 2024 U.S. Cannabis Business Conditions Survey was completed in June 2024. It was designed to compile data on the potential impact that cannabis rescheduling would have on small and minority-owned businesses.   

The initial findings are being compiled for a Minority Cannabis Business Association submission to the White House Office of Management and Budget on the impacts that the current scheduling policy is having on cannabis operators, particularly those who are minority-owned or small businesses. The survey results indicated that while on average 33.7% of white operators in cannabis are profitable, only 17.5% of their non-white counterparts are profitable.  

“Having been involved in the cannabis industry for nearly a decade,” said Alan Gaul, Vice President of Marketing for TASI®Bank, “we understand the difficulties faced across the industry. We now offer a full range of financial services to the entire industry in California, including growers, manufacturers, retail outlets, and distributors.”  

TASI Bank, headquartered in San Francisco, actively participates in the cannabis industry and will be the only bank onsite at the upcoming Hall of Flowers Cannabis exhibition/conference in Santa Rosa, Sept. 20-21.  

“We want to be available to answer questions and help solve the financial difficulties the industry faces. As a 420 bank and a maverick financial institution, we understand the needs of cannabis operators.”