Although the cannabis industry is growing rapidly, there’s still a high degree of distrust directed toward it. Cannabis operators face intense scrutiny and many legal challenges, which they’re often not ready to handle, especially if they’re a tiny startup hoping to take off.
Not having resources to solve these issues puts a company in danger. They may have to pay large fines, be stripped of their license, and ultimately lose profit as well as their good standing in the industry. Luckily, there are now companies like Confia, which offer tailored cannabis banking solutions and operate on stringent compliance principles.
Keep reading to learn more about the most frequent hurdles that stand in the way of cannabis compliance.
How can I deal with common cannabis compliance complaints?
As a cannabis operator, maintaining the legal status of your business by staying compliant with local, state, and federal regulations is hugely important. However, it comes with its own fair share of challenges. Since it’s such a crucial part of protecting your brand, it’s worth looking into the most glaring compliance impediments. Once you know what to expect, you’ll be better equipped to effectively overcome these obstacles.
1. Time-consuming procedures
Keeping up with industry-relevant regulations and applying them consistently adds onto your workload and takes up a large portion of your time. This is often a waste of resources because it prevents you and your staff from handling other duties that actually yield profit. Instead of trying to stay on top of legal requirements, you could be using your time and energy to focus on business operations, boost sales, and earn more.
2. Multiple legal frameworks to consider
To operate successfully, you first need to meet federal legal demands, such as OSHA workplace safety standards and FCC standards. As if adhering to federal laws isn’t complicated enough, you also have to follow state and local cannabis-related regulations. Licensing requirements, quality standards, and other rules vary between locations, and it’s your responsibility to keep up-to-date with all of them.
3. Confusing and ever-changing regulations
Following the many rules that govern the cannabis industry is a multifaceted and complex task. To make matters worse, these legal frameworks undergo frequent changes. Staying in the know and adapting to shifting demands requires a lot of specialized knowledge and resourcefulness. This is why many cannabis operators outsource their financial dealings to expertly run financial networks.
4. Unreliable reporting software
Even after you’ve managed the complexity of cannabis regulation, there’s another problem to solve. Reporting tools used by most cannabis operators are slow, inefficient, and untrustworthy. Although businesses have long been left to fend for themselves, they can now access seamless financial services that use cutting-edge platforms and offer expedient payment processing, reporting, and compliance.
Where can I find fully-compliant cannabis banking solutions?
Cannabis operators typically face the obstacles of inefficient banking and compliance irregularities, which can seriously jeopardize their business growth. Confia can help you continue operating legitimately thanks to our streamlined BSA program. We use cutting-edge software to monitor your transactions and automate compliance procedures. With our meticulous screening and strict SOC-2 processing, your business can thrive without the risk of legal sanctions.
By partnering with us, you obtain access to other benefits, too. You’ll be able to use our FDIC-eligible, API-powered platform that relies on sophisticated technology to facilitate your financial transactions and ensure compliance. You can also unlock practical funding opportunities. Contact us to apply for a Confia membership package you need, get rapid onboarding, and log onto our intuitive platform to monitor your finances. We’ll remove stumbling blocks out of the way and pave your way to success!