Written by: Stephanie Delgado
Any investment in the cannabis industry is considered a high-risk. Why? Cannabis is still pretty much the wild west. While marijuana is not yet federally legal, cannapreneurs struggle with balancing enticing opportunities in the industry with the limiting legislation. Many entrepreneurs commit to loans with high interest rates that are difficult to pay off in desperation to get their business off the ground, but you don’t have to. Here’s everything you need to know about securing funding for your cannabis business.
Your personal credit matters.
Many cannabis businesses are either new or have not yet found a permanent banking solution. This means to qualify for a loan, your personal credit may be your best chance at getting the funding you need. It’s important to know your financial situation before applying for a loan so you can get a better idea of what you’ll qualify for. Lender420 can help you assess your financial situation and check your credit without any consequences.
Strength is in numbers.
Applying with your business partner can sometimes strengthen your chances at getting approved for a loan. To qualify for a loan, there is a list of credentials you must have. In some cases, a business partner can strengthen your application if they obtain some of the credentials you are lacking. All business loans are case by case and Lender420 can help you determine the best strategy for your unique situation.
Equipment financing may be a good option.
Extraction, processing, and hemp farming equipment is a popular option on the market. With both CBD oil and THC oil rising in popularity the earning potential with cannabis oil products is increasing rapidly. Extraction equipment is expensive and many business owners lease the equipment with the option to own it. Cultivation and greenhouse equipment is often not financed under equipment terms, but rather a startup program. Lender420 can help you with an equipment loan or tell you more about our startup program.
Real Estate for cannabis property ownership
Are you in need of a facility to process or sell your product? Real estate has always been one of the best investments and the marijuana industry is no exception. Qualifying for a real estate loan can be easier than qualifying for capital for established entrepreneurs that are . Save your cash flow for your other business needs and invest in your business in a major way. Lender420 can help refinance a property or secure new funding.
Think outside the box.
The best entrepreneurs know how to make the most of every situation. A little creativity can go a long way. At this revolutionary time in the cannabis industry it’s important to stay open-minded and access all of your options. Leaving no stone unturned will help you launch your business without putting yourself in financial stress. Experts in cannabis lending at Lender420 can help you understand all of your options and take your business to the next level.
Published: June 13, 2019