The Wave: From the President's Desk07.28.2023
Since California voted to pass recreational cannabis in 2016, TASI® Bank continues to work on banking solutions to service the cannabis industry. With the legal green wave sweeping through various jurisdictions, marijuana has become a budding contributor to local economies. However, most financial institutions are hesitant to provide banking services to cannabis-related business. TASI® Bank will soon be rolling out banking services to the cannabis operators. I’ve listed the following business reasons below.
1. Transparency and accountability: Picture this cannabis business operating on a cash-only basis, staking bills higher than Mount Everest. By offering banking services, we can unveil a transparent and accountable financial system, ensuring compliance with regulations and reducing the risk of money laundering or other illicit activities. It’s time to clear the smoke and let the green flow through proper channels.
2. High-level safety and security: When it comes to cannabis business and their mountains of cash, it’s not all sunshine and rainbows. Without proper banking services, they’re essentially sitting ducks for sticky-fingered thieves. We’re talking about more armored cars than an action movie, more security cameras than a reality tv show. By offering banking services, we can put those stacks of cash to bed and embrace secure electronic transactions and digital payment systems. No more sleepless nights working about becoming the target of a wild heist. It’s time to bring peace of mind and security to the industry.
3. Economic growth and job creation: The cannabis industry is a gold mine of green potential, but without access to banking services, it’s like smoking a joint without a lighter. Nice in theory, but you can’t quite get it to spark. By offering financial support, business can tap into loans, lines of credit, and other financial services. It’s like adding fertilizer to a crop of possibilities, allowing them to expand their operations, develop new products, and invests in research and development.
4. Increasing regulatory compliance: Regulatory compliance may not be the most exciting topic but will be critical for the cannabis industry to become a mainstream business. By offering banking services, financial institutions, can work hand in hand with regulators to ensure compliance with regulations. They’ll have the tools to verify the legitimacy of cannabis business, monitor their financial activities, and report any suspicious transactions. Keeping everything above board and preventing shady activities will bring order to this wild, green frontier.
5. Taxation: Taxes, the buzzkill of any good party. Banking services will help business establish a clear financial record, making tax reporting and enhance revenue collection. It’s time to bring the green into the tax coffers and ensure a fair and equitable system for all. Extending banking services will support continued growth for the cannabis industry, from transparency and accountability to safety, economic growth, regulatory compliance, and taxation. By embracing this high-flying opportunity, TASI® Bank will support the growth and development of a well-regulated cannabis market.