Alyson Jaen
Social equity founders still face an uphill battle in the cannabis industry, despite policies specifically designed to level the playing field for minorities and those affected by the war on drugs.
While lawmakers’ social equity provisions help some founders get a foot in the door, they don’t always reduce barriers enough for those founders to turn a profit and keep the lights on in the long term.
Here are the five biggest problems social equity founders face in the cannabis industry – and how to navigate them:
1. Capital
Even with a cannabis business license in hand, social equity founders face a tremendous hurdle: financing their business plan.
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Because of the federal prohibition of marijuana, many of the financial networks and investment tools that mainstream small and midsized businesses and startups rely on for financing simply aren’t available to cannabis businesses.
Banks, hedge funds
Read full article on Marijuana Business Daily
