Under SAFE Banking Act, Legal Cannabis Companies and Banks Find Room to Breathe
According to Rolling Stone1, the cannabis industry had a huge victory on Wednesday, September 25th as the House of Representatives voted to pass the Secure and Fair Enforcement (SAFE) Banking Act, a bill that would allow legal cannabis businesses access to banks without fear of punishment, bringing consumers one step closer to purchasing cannabis using credit and debit cards. The vote was passed by a strong margin of 321-103, sending the bill to the Senate for review.
If fully passed into law, the SAFE Banking Act would protect banks and cannabis businesses alike from government crack downs. Banks, which have previously been hesitant to work with the legal cannabis industry for fear of falling under federal money laundering laws, would be safe from consequences for treating state-legal cannabis companies like any other legal business. This also helps protect cannabis companies from needing to tailor their financial restrictions to cash-only, which has been a widespread issue in the industry, leading to tax evasion, robberies, and a general lack of financial security. Cannabis companies would now be able to open bank accounts, take out loans, deposit money, and accept credit cards.
For legal cannabis companies, this is an historic and welcome step from Congress, presenting a light at the end of the tunnel for those who may have been struggling to manage their finances safely and effectively. It also means that sales will become much more flexible for companies and their consumers. If passed into law, it’s likely that this bill will only increase the opportunity for legal cannabis companies to boost their business, bring in new customers, and feel secure in managing their income.
To keep yourself updated on federal cannabis legislation and what it means for your business, check out Herban Creative’s blog. We’re here not only to inform, but to help those in the cannabis industry market their business. Contact us today to enhance your website, branding, social media, SEO, and more!