Public companies with and without privately-held subsidiaries, companies with hybrid corporate structures including less-than-wholly-owned interests in other operating entities (licensed and otherwise) as well as multi-state licensed operators, present unique challenges in obtaining compliant, transparent, and stable bank accounts.
Much of this is due to a prevailing policy among many cannabis-friendly financial institutions to limit accounts to those operating within their specific state or region. Some also have policies restricting welcoming public entities (either licensed or with an interest in licensees) as customers due to difficulties in conducting adequate due diligence and achieving adequate compliance with regard to invested capital and/or beneficial owners. Also, public companies may trigger additional federal compliance requirements and SEC scrutiny that banks, especially those relatively new to compliant cannabis banking, are reluctant to undertake at this time.
FINCANN has several financial institutions in its network that will compliantly and transparently provide banking to all such entities anywhere in the United States. FINCANN’s exclusive consortium of transparent and sustainable banking and merchant processing services are present in 17 states: Alaska, Arizona, Arkansas, California, Colorado, Florida, Louisiana, Maryland, Massachusetts, Michigan, Nevada, New Jersey, Ohio, Oregon, Pennsylvania, Washington, D.C., and Washington State.
If your state is not listed here, we may still be able to help you: we’ll connect your business with the institutions in the consortium open to working with out-of-state businesses.