Imagine walking into your office one morning and learning that your bank card services have been terminated overnight. They certainly were stop not for insufficient payment and not for being involved in an illegal business, but alternatively they were stop for indeterminate “unacceptable business practices.” This can be a reality facing many owners of medical marijuana dispensaries who get “creative” with their applications; and in the event that you fabricated your application it could be a legitimate termination – but that isn’t always the case.
Left Without Service
The story above isn’t uncommon. It just happened recently to Alternative Medical Choice, Inc., a consultation service located in Oregon. What does AMC accomplish that got them in big trouble with their company Intuit? AMC is a company which offers consultations with doctors for the approval of medical cannabis use under Oregon law. Even though the clinic does not dispense or distribute medical cannabis, it has lost its services.
Intuit states they terminated services because AMC did not reveal its involvement with medical marijuana. When further questioned about terminating some 3000 other accounts they hold with clinics offering the exact same services, they stated that they would not be terminating those accounts because they didn’t feature medical cannabis on their web pages. AMC offered to remove the reference, but Intuit won’t reestablish the account because “now we know.”
PayPal, the web payment service, has additionally terminated accounts related to medical marijuana consultation references.
DEA, FDA, IOM and Other Alphabet Soup
Area of the problem businesses face stems from the question of whether marijuana is really medicinal. The DEA and the US government hold the position that smoking marijuana does not have any medical value. Jungle boys clothing The American Cancer Society, the AMA and the AAP all agree totally that smoking isn’t a maximum method by which to gain any benefits, when they exist. Alternate methods of ingestion are being investigated.
Even the large Institute of Medicine study frequently cited by proponents of medicinal marijuana actually opposes the use of smoked marijuana for medical benefits. The research discovered that there have been some “potentially therapeutic” benefits to cannabinoid drugs, primarily THC, but that other available medications offered better results. Having less standardization, the strategy of dosage and other factors all result in the IOM rejecting the notion of more studies.
Where Do We Go Next?
Just like a number of other hot potatoes, few people want to take care of this one. For people who have opened dispensaries, the challenges involved in obtaining traditional financing, accounts and services have sometimes become overwhelming. For other people who remain in the commercial, alternatives are available.
While selling cannabis online remains illegal, the Internet is a great place to find companies willing and even wanting to enter the market. By searching designed for merchant account providers familiar with the risks involved in legal medical marijuana sales, entrepreneurs can find the services they need without obfuscation.
With 15 states and the District of Columbia already de-criminalizing the sale of marijuana products for medicinal purposes it is likely that the matter should come to a mind soon. Some states, such as for example California, are planning to charge dispensaries sales tax on all of their transactions – leaving this kind of cash cow alone when state coffers are stripped bare is unimaginable. The question remains: how will the federal government answer the move?
Could it be About Money or Perception?
It is straightforward to assume the federal government moving in either direction.
Cannabis remains illegal in all the world, and possession is recognized as a capital offense in several countries. The US government is unlikely to want global opinion to be so effected. On the other hand, the taxes supplied by legalizing an already flourishing industry could reach $2-6 billion.
Unfortunately for merchants, there’s no conclusive argument at this time. Obtaining business services will remain difficult and sudden terminations likely until all government agencies, state, local and federal are on the same page.