Welcome to South Florida Funding Group – Your Business Funding Source
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Cannabis Business Funding

Right across the United States, we’re witnessing the decriminalization of marijuana, and it’s a cause that has had support for many years. While much of the focus has been on the impact this generates for customers, we shouldn’t forget the business opportunities that arise from the decision too. Since the news, many entrepreneurs have had an idea to start a business in the cannabis niche. However, they all seem to struggle with the same problem…funding. A cannabis business loan is available through alternative funding sources. We provide cannabis business funding.

The Problems for Business Owners

In recent years, cannabis business funding has been a hot topic, and it’s something we want to discuss today. As a provider of alternative business loans, South Florida Funding Group can help provide a cannabis business loan. Later in the guide, we’ll look at solutions that can help to grow your marijuana-related business.

Firstly, why is getting a cannabis business loan such a problem if marijuana is now legal in many states? Well, it’s actually because the sale and use of cannabis products remain illegal at a federal government level. Yes, states might have legalized cannabis, but it hasn’t lowered all of the pre-existing barriers to entry for cannabis business owners. Due to federal banking regulations, it’s still incredibly difficult to obtain cannabis business funding in this niche. As those in the industry will know, it’s even hard to get a cannabis bank account, let alone a cannabis business loan. According to some statistics, no more than four in every ten cannabis dispensaries have a bank account.

We could point you towards all sorts of papers and studies that show the relative safety of marijuana, but this doesn’t change the fact that it’s a Schedule 1 drug. With this in mind, federal laws consider it as dangerous as heroin, cocaine, and other Schedule 1 substances.

Thankfully, as mentioned, there are now options for people who want to run a business in this field. Considered ‘alternative business loans’, they may not follow traditional routes, but this is somewhat apt given the modern nature of the cannabis business.

Is a Cannabis Business a Viable Solution?

As with any business, one of the most important steps of the preparation phase is research. You need to know the cannabis market in your location, what competition exists, and how the laws work. Some of you will have experience in the niche, but this doesn’t automatically translate to experience as a cannabis dispensary; it’s something new to almost everyone. With this in mind, we’ve listed some considerations to keep in mind when planning/growing a cannabis business.

Laws and Regulations

What is and isn’t legal in your location? For us, this is perhaps the most important part of all. At South Florida Funding Group, we only support legal ventures with financing - we won’t help you to create an illegal service. For example, marijuana is only legal as CBD oil in Texas, Indiana, Wisconsin, Georgia, Virginia, Iowa, and Kentucky. Elsewhere, it’s legal for medicinal purposes in New Jersey, New York, North Dakota, Pennsylvania, Arkansas, and others. Meanwhile, some states allow marijuana for recreational use; this includes Vermont, California, and Oregon.

In Florida, as of 2020, our laws dictate that marijuana is legal for medical use. Therefore, you shouldn’t expect to find success even with alternative business loans when opening services for recreational users.

Tax

Next, we highly recommend researching how taxation works in your location. You might be allowed to start a business, but you’ll soon lose this business if you don’t adhere to the laws regarding business proceeds.

Background Checks

What background checks will your state perform? Will you pass these background checks? Even in states where marijuana is legal at every level, there is still strict management over who can start a business in the cannabis industry.

Business Plan

Though a cannabis business is in a new and emerging field, it’s still a business; just like a baker or a marketer. With this, you need to create a business plan and show all potential funders that it can be a profitable venture. How will you enter the market? How will you advertise and become an attractive proposition to customers? How will you compete with all the other businesses in the industry? A good business plan acts as a roadmap for the whole business to follow.

In addition to this, you should cover the basics including licenses, supply channels, and all other aspects of what will make the cannabis business a success.

NEED CANNABIS BUSINESS FUNDING?

CONTACT SOUTH FLORIDA FUNDING GROUP

786-544-2700

Cannabis Business Funding

We promised advice for business owners seeking alternative business loans, and this is what you’ll find in this next section. At South Florida Funding Group, you have a service that has taken the effort to team up with all sorts of funders around the country. In the past, we’ve been fortunate enough to help cannabis businesses in different corners of the market. We’ve helped businesses in:

  • Packaging
  • Market research
  • Cultivation
  • Marketing
  • Production
  • Retailing

Whether you cover one niche or every stage of the process, you can take advantage of our cannabis business funding loans. Although we’ve focused heavily on cannabis as a general topic, this cannabis funding is available even if you produce CBD or hemp products.

When the SAFE Banking Act was passed, this was great news for business owners all over the country. Yet, not all of them celebrated the news because they felt it came too late. As long as you meet our requirements, there’s capital available to help you and your cannabis business quickly.

Requirements - At South Florida Funding Group, one of the things we pride ourselves on is a quick and simple application process. We understand, you don’t want to wait weeks just to find out whether or not you can access finance. After waiting even one week, a rejection has the potential to seriously damage a business because it’s more time lost.

Depending on the request, we aim to have an answer within 48 hours and then funding within one week (if accepted). To apply for a cannabis business loan, we have the following requirements:

  • At least one year in business
  • A positive cash flow (at least $10,000 per month)
  • A strong business plan and objective

How do you get started? At first, you’ll need to explain your experience, purpose, and objective in a business plan. We need to see your balance sheet, profit, and loss statement, sources of funds, use of funds, and cash flow projections. As the application is processed, we may ask for extra documentation.

One reason to choose the South Florida Funding Group is the flexible terms. You can borrow between $100,000 and $5 million before then repaying the amount over one, two, three, or even four years. The early days of the cannabis business are difficult, but you don’t have to give it all up in the second year due to a lack of funds. Even with decades of experience, alternative business loans are available where otherwise funding is difficult to obtain.

As we all know, getting a loan from a bank is often a long, confusing, and frustrating experience. For those in the cannabis business, it’s tough to complete all the forms and invest lots of time and effort when you know rejection is likely. Fortunately, cannabis business loans through alternative funding sources have been a saving grace for many in Florida, and it might just transform your cannabis business this year.

Benefits of Alternative Business Loans - Why Choose South Florida Funding Group?

To finish, here are just some of the reasons why you should consider alternative business loans today for your cannabis business loan.

Access to Finance - As we’ve seen in this guide, it’s a route to finance that isn’t available elsewhere. With the federal rules governing the cannabis industry, it’s still tough to get your hands on much-needed capital. With cannabis business funding, you get the capital you need to excel in the cannabis market.

Flexible Terms - Many great companies help in this area including GUD Capital, Small Business Funding, Diamond Business Loans, GoKapital, and Dynamic Alternative. The one thing all these companies have in common is flexible terms, and this is something we can also provide at South Florida Funding Group. With loans ranging between $100,000 and $5 million, funding covers everything from short-term cash flow and marketing needs to full-scale expansion. What’s more, you can repay the loan in a timeframe that suits you.

Quick and Easy - Forget everything that comes to mind when you hear the phrase ‘application process’ because everything is much simpler. While traditional bank loans can take many months to push through, alternative funding brings confirmation within 24/48 hours, and you can even get your hands on the money within a week or two. In a fast-paced market, this could be the difference between success and failure.

Freedom with Funds - Finally, it’s fair to say that bank loans come with restrictions and business owners can feel constrained by these terms. On the other hand, you have more freedom with cannabis business loans from alternative funding sources and can spend the money as you wish. More importantly, you spend the money as you NEED.

If you have any questions about cannabis business funding, feel free to get in touch with the South Florida Funding Group today!

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The business funding you need when others say No!.

2569 Bay Pointe Dr.
Weston FL 33327

Email:
drew@southfloridafundinggroup.com 

786-544-2700

DISCLAIMER

 The operator of this website is NOT a lender, does not make offers for loans, and does not broker online loans to lenders or lender partners. Customers who arrive at www.SouthFloridaFundingGroup.com are matched with a lender or a lender partner, who offer business loan products or credit repair services.