Michigan- Its Marijuana Banking System and Legalities

Michigan was the first mid-western state to legalize cannabis for recreational purposes. Cannabis was legitimized under the veil of medical purposes in 2008. However, it was not until 2018 that the state deemed it appropriate for adult use. Although subject to specific regulations, CBD derived from cannabis is legal for all Michigan residents.

A credible cannabis banking system is integral to the growth of the Michigan cannabis industry. A comprehensive system can implore entrepreneurs to expand their businesses and ensure an unwavering growth path for their enterprise. However, experts suggest that companies in the marijuana industry can find banking partners if they know the network. A formal presence of a cannabis banking system evades the state. However, professional service providers such as attorneys and accountants who serve the industry concede that they refer clients to a handful of financial institutions that discreetly provide routine banking services to marijuana-related businesses. Such facilities are also willing to take on the high compliance and reporting requirements of federal regulators. However, they do not wish to be publicly identified and be recognized for committing a felony.

Getting a traditional loan from conventional sources can be challenging. Therefore, attorneys recommend enterprise owners to go with private investors. Contrary to what executives think, there are options available for marijuana-related businesses to get banking services that handle deposits, payroll, transactions, and more. It is not as dramatic as everybody deems the issue to be. However, since the sector entails federal regulations, businesses often find themselves short of alternatives.

CBD and Hemp Legality in Michigan

CBD is a non-intoxicating substance found in cannabis that is somehow responsible for producing an intoxicating high. You can extract from either marijuana or hemp. However, the product entails multiple therapeutic benefits and exhibits maximum utility in the healthcare sector. On the other hand, hemp plants feature advantages that are extended onto the commercial end. The plant seeds are used in edibles, skin creams, nutraceuticals, muscle, and hair growth products. The extensive trade of hemp makes it extraordinarily viable and essential in various sub-industries.

Hemp and CBD derived from hemp were formally legalized in January 2019 under the Michigan Industrial Hemp Research and Development Act. The 2018 Farm proposal passed by the house re-classified hemp as an agricultural commodity and constituted its production, manufacturing, trading, and processing as federally legal.

CBD sourced from cannabis and hemp is legal in Michigan. However, the current FDA guidelines prohibit CBD oil being marketed as a dietary supplement or used as an additive in food or beverage products. However, the government is commencing to re-evaluating its stance on legal CBD products. The FDA has not revised its guidelines and has clarified their inclination on the matter from the beginning. In addition to federal regulation, the Farm Bill passed in 2018, mandated states to regulate and prohibit the cultivation and commerce of CBD in all capacities. States in the US are allowed to control CBD in food, beverages, dietary supplements, and cosmetic products independently, even before the FDA can finalize its policies.

What can I do?

Although legitimate recreationally, commercial cannabis establishments still cannot access lines of credit or open accounts in the state, since the product is illegal at the Federal level. Therefore, if you are exploring for an establishment that offers high-risk banking and payment processing in Michigan, you can approach customer liaisons at Siftpay. The company provides high-end credit options and financial assistance to enterprises belonging to the following industries:

Airlines, Vape/eCig/CBD, Adult entertainment, Agriculture, Alcohol, Accounting, Construction, Cryptocurrency, Financial services, Bad Credit, Dating Websites, Gambling, Insurance, Legal Services, Lending, Manufacturing, Mining, Newspaper Agencies, Liquor/Hard Alcohol Outlets, Auction Websites, Nutraceuticals, Real estate companies, Online Video Gaming, Fantasy Sports, Direct Response/Infomercials, Time Cancellation Services, Online Tobacco, Debt Consolidation, Electronics, Restaurants, Retail, Staffing, Transportation, Travel agencies, Trucking, Utilities, Wholesaling, Collection Agencies, Event Ticket Sales, Pharmacies (Retail), Educational Seminars/Leadership Coaching Centers, Ticket Brokers, Merchant lenders (short term loan financing), Loan Services, Direct Marketing/Multilevel Marketing (MLM) Agencies/Biz Opportunity, US-based online pharmacies, Adult, retail and streaming hubs, Online Firearms and Gun Sales, High Volume Merchants, Continuity/Subscription Merchant Accounts, Credit Repair/Collection Agency, Document Preparation Centers, High-Risk Processing, e-commerce and Credit Repair Companies, Tech Support, Software & E-books, Dropshipping, Foreign Exchange, Stock Exchange, Timeshare services, Weight Loss and Diet Programs, Payday Loans, Social media/ Gaming, Subscription Based Services, Telemedicine, Coaching Centers for Real Estate, Business, and Life, Medicinal/Recreational Marijuana Retailers, CRB Retailers, CBD, Hemp, and Cannabis Lab Testing Centers, Paraphernalia Processing Companies, and Membership Sites.

However, SiftPay also plans to cover various low risk industries including, Auto Repair, B2B, Business & Professional Services, Car Dealerships, Churches/Nonprofits, Contractors/Home Improvements, Coffee Shops/Cafes, C-Store/Independent Gas Stations, eCommerce, Fitness Studios & Gyms, Flooring, Grocery Stores, Legal Services, Liquor/Beer Stores, Lodging & Hospitality, Medical & Dental Offices, Pet Stores, Pharmacy & Drug Stores, Property Management, Restaurants & Bars, Salons & Spas, Schools, Universities & Educational Institutions, Veterinaries and more.

The enterprises belonging to the categories mentioned above can avail credit facilities and lending options from Siftpay. Multiple industries can benefit from the spectrum of deal packages the company offers. Their banking services extend to Puerto Rico, Europe, and USVI, while the experts specialize in high volume accounts. MATCH merchants and FOREX companies can also avail the services at budget prices. Siftpay also sets up merchant account for retailers of the cannabis and CBD industry.

What can Siftpay do for CBD Companies?

Siftpay also sets up merchant account for retailers of the cannabis and CBD industry. If you belong to the CBD business niche, Siftpay can help you establish a CBD merchant account, cannabis banking tab, or CBD oil merchant account. The process for a CBD account will commence with CBD online banking registration, followed by obtaining CBD online banking login credentials. You can acquire follow-up services by requesting for CBD credit card processing and CBD bank contact number. Siftpay can also help you institute a CBD payment gateway. You can file for a CBD bank credit card or CBD payment for purchasing items with convenience. A CBD business account will enable you to perform routine financial activities with ease.

Besides catering to cannabis retailers and CBD enterprises, Siftpay offers services including:

  • Cannabis payment services
  • Banking for the cannabis industry
  • Cannabis payment solutions
  • Cannabis dispensaries payment processing
  • Hemp payment processing
  • Medicinal cannabis payment processing
  • Recreational cannabis payment processing
  • Medicinal marijuana payment processing
  • CBD oil payment processing
  • CBD products payment processing
  • Storefront Dispensary
  • Cannabis Delivery Service
  • Online Seller of CBD

SiftPay is your go-to company if you are involved in CBD or cannabis retailing business. Organizations must avail accessible credit opportunities in a line of business as sensitive as marijuana. The federal banking system does not facilitate the niche. However, Siftpay, with its disruptive idea and the knack to cater to all sectors’ financial requirements, strives to serve you.