Cannabis and Platforms
The navigation of all platforms with cannabis is a labyrinth on its own. Instagram, Facebook (all under Meta), Substack payments (Stripe and others), insurance, and banking are just a few of the places where you can be shut down with a moment’s notice.
I don’t understand why social platforms can’t build backend software to navigate where particular content is being seen. I have heard of several companies that are working hard on building their businesses, from farmers to dispensaries, and find themselves being shut down after years of building loyalty and followers.
The insurance agencies willing to work with those in the cannabis industry are egregious when it comes to cost and paperwork. Insurance prices are rising across the board due to more weather catastrophes, even though their stock prices do not seem to be suffering.
Banking is beyond. The few banks willing to take on cannabis companies are a godsend, but the paperwork is not the run-of-the-mill. Let’s open a bank account today is not how this works.
The data is clear that alcohol is worse when it comes to consumption, but selling cannabis at a concert or even distributing it at an event is practically impossible. Why? More than likely, legal advice is that if something happens to somebody who has partaken in the plant that was at your event and they have an accident, then the venue will be help responsible. These venues are being told by their lawyers that the plant is Federally illegal, and because of that, they can not get insurance around the plant.
I do believe there will be some major changes in the months to come when it comes to rescheduling. Lawsuits will begin to fly for farms to ship their products across state lines, and banks and insurance companies who have been sitting back on their heels will be foisting themselves on every company to be their partners (I wish the whole thing was in cryptocurrencies). Many companies who have stayed out of the game, including software companies or platforms like Shopify, will enter the space. Social media platforms will allow cannabis content in a more meaningful way. And most important, all of those who have been early to the industry, will see a change in the taxes that will change the game for everyone.
Cannabis is legal (medical and consumer) in 38 states, and all of us in the industry are still trying to stay above water every day, having to navigate the insanity of the plant world when it comes to business as usual. Cannabis is still too far from business as usual, and it shouldn’t be.