It’s important for banks and payment processors to be prepared for a flood of inquiries from the industry. So, what should you know about banks accounts, merchant processing, and other financial accounts for your cannabis dispensary? Where can you get the best cannabis dispensary merchant accounts? This article is here to help you with all this.
The Cannabis Industry in the US
On December 20, 2018, the Farm Bill went into force as a huge opportunity for banks and payments companies to deliver banking, processing, and other services for those involved in the hemp industry.
Beyond any doubt, the 2018 Farm Bill opened up new doors for merchants interested in lawful hemp production in the country. However, both banks, payment processors, and other financial institutions can’t do without taking into account several questions that’re still open before starting their business.
The main focus of media and industry advocates has been associated with the legalization of hemp. They haven’t been that much focused on the fact that hemp will be brought into strict regulatory oversight in terms of both the federal and state levels.
So, both banks and payment processing companies interested in the hemp industry won’t succeed unless they become well aware of all the nuances of this regulatory framework. This will become more and more critical for them if they want to deliver proper banking and processing services in a safe manner.
When it comes to proper cannabis merchant account solutions and banking, these will be possible in the near future. Why? Well, this is because of:
- The Farm Bill – It didn’t legalize cannabis but it’s a significant step in the right direction. Among other things, hemp and CBD are no longer illegal.
- The States Act – Another powerful piece of legislation.
- More State legalization.
- World Health Organization – A subgroup of the organization began reviewing the benefits of medicinal cannabis to advise what proper class of cannabis should be internationally.
- Canada – The revenue the Canadian dispensaries are generating, American businesses are turning their attention to their northern border, and the revenue in the US is being lost.
As for the existing uncertainties, lots of hemp businesses will move forward, and banks and payment processing companies will explore providing services to the industry.
Cannabis Dispensary Merchant Accounts
The recently adopted law, which is known as the 2018 Farm Bill, makes hemp legalized. This is expected to more and more encourage businesses involved in selling CBD oil and other hemp products to be on the lookout for reliable and affordable payment processing and merchant account solutions.
Thankfully, this can never be a problem if you work with a reputable payment processor and merchant funding provider like eMerchantBroker.com. EMB, classified as the nation’s #1 high risk processor, offers the cheapest and the most secure cannabis dispensary merchant accounts in the industry. With, eMerchantBroker.com, you can be sure to get the right merchant services tailored to your own specific business needs.
Be aware that the above-mentioned law excludes hemp, which is any part, extract, or derivative of the cannabis plant with a THC concentration of not more than 0.3% on a dry weight basis. Though there’re some uncertainties in the law, some 3rd party merchant account providers will offer services to merchants running businesses in the hemp industry, such as businesses offering CBD oil.
However, these businesses will still be treated like other high risk merchants. So, the payment processing rates will be higher as compared to lower risk businesses. Besides, the control over this type of businesses will be stricter to ensure they’re away from any unlawful activities.
To sum up, this is the right direction for the federal government to move concerning the producers of CBD oil and other hemp products. Importantly, don’t get confused with some murkiness associated with the law: you can still obtain a proper merchant account and payment processing solutions for your business. Only, you should shop around to find a respectable merchant account provider like eMerchantBroker.com to start accepting credit cards for transactions at the best rates and with the best terms.
