Delinquent payments are causing a cascade of problems for small and large marijuana operators nationwide, according to a new report by Oregon-based cannabis data and research company Whitney Economics.
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Preliminary results from the survey of operators and ancillary businesses revealed:
43% of respondents said delinquent accounts receivables are impacting operators’ ability to service debt. 32% of respondents believe delinquent accounts receivables are impacting operators’ ability to pay state or federal taxes. 59% of respondents reported that delinquent payments are having a greater impact on their business than Section 280E, the federal tax policy that prohibits marijuana operators from taking traditional business deductions because of the plant’s Schedule 1 status under the Controlled Substances Act.
Some respondents indicated accounts receivable delinquencies totaled more than two months of revenue, eclipsing millions of dollars in some cases.
Cannabis brands, distributors and manufacturers have been dealing with
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