California hemp and CBD businesses continue to struggle with the lack of access to banking – despite removal from the list of U.S. Controlled Substances Act by the 2018 Farm Bill. As Los Angeles CBD business attorneys can explain, federal lawmakers expressly called for businesses selling CBD and industrial hemp products to be treated as any other legitimate, lawful business. But that isn’t happening.
We can thank the lack of clear federal banking law and the reticence of financial institutions. Worse is that ramping up access to these critical business services appears to be happening in fits-and-starts.
This regulatory gray area has caused all kinds of headaches. CBD companies will have access to things like processing of credit card processing one day and the next, the institution has changed its mind, leading to a host of practical problems for businesses in terms of customer satisfaction but also just practically tracking expenses. Continue reading