U.S. Senator Jacky Rosen (D-NV) introduced the Fair Access for Cannabis Small Business Act last week, which seeks to enable legal cannabis businesses to access Small Business Administration (SBA) loans. The SBA, currently, doesn’t allow marijuana-involved small businesses to access these offerings, because weed is still a Schedule 1 substance and therefore illegal under federal law.
“The unfair barriers to basic federal support and resources have hurt our state’s legally-operating cannabis small businesses,” Rosen stated. “This legislation will level the playing field so that cannabis small businesses – including those owned by people of color, women, and veterans– have access to the same federal resources and loans that other legal businesses are entitled to.”
According to the State of Nevada Cannabis Compliance Board, there are more than 700 operational adult-use and cannabis license holders in the Silver State.
Under the new act, small marijuana businesses would be allowed to access SBA programs and loans like 7(a) loans, disaster loans, microloans, the Small Business Investment Company (SBIC) program, and SBA’s resource partners including SCORE, Veterans Business Outreach Centers, and Women’s Business Centers.
“Lack of access to capital and banking services remain the greatest barriers to entry into the cannabis …