Cannabis Business Banking in West Virginia
- West Virginia Cannabis
- Cannabis Business Banking in West Virginia
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Key Points
- Legislative Action to Address Banking Challenges: West Virginia amended its state regulations (West Virginia Code §12-1-14), empowering the State Treasurer to designate financial institutions to manage cannabis-related revenues.
West Virginia’s Legislative Solution to Cannabis Banking Challenges
Recognizing the banking obstacles posed by federal restrictions, lawmakers revised state regulations in 2019 to support cannabis-related businesses. Through an amendment codified in West Virginia Code §12-1-14, the State Treasurer was empowered to designate financial institutions to manage cannabis-related revenues, including fees, taxes, and penalties. This pragmatic move aimed to ease financial operations for the state's medical cannabis industry while navigating federal banking limitations.
| Banks, Credit Unions, and Fintechs that offer banking services to Cannabis, CBD, and Hemp Businesses in WV | Type of Financial Institution |
|---|---|
| Amalgamated Bank | Bank |
| Chase (CBD Only) | Bank |
| Element Federal Credit Union | Credit Union |
| First Citizens Bank | Bank |
| First National Bank of Pasco | Bank |
| Green Check | FINTECH |
| Jonestown Bank & Trust Co. | Bank |
| Safe Harbor Financial | FINTECH |
| Shore United Bank | Bank |
- Are you a West Virginia-licensed financial institution providing banking services to cannabis-related businesses? Request to be listed .
Contact a Banker To Discuss Your Business Needs
Reach out with any questions!Alternative Payment Solutions for Cannabis-Related Businesses in WV
To navigate these challenges, many dispensaries and cannabis businesses in West Virginia utilize specialized payment processors that cater to the cannabis industry. These processors offer services such as debit processing, e-commerce payment solutions, and point-of-sale (POS) systems tailored to meet regulatory requirements.
Challenges of Limited Banking Access
Running a cannabis business without traditional banking services isn’t just inconvenient—it creates a whole host of challenges that can make day-to-day operations feel like a constant uphill battle. Let’s break it down:
- Security Worries: Dealing with large amounts of cash isn’t just a hassle—it’s a serious safety risk. Businesses become prime targets for theft and other criminal activities, which can put employees and operations in jeopardy.
- Managing Finances is Tough: Imagine trying to handle payroll, pay taxes, or fund business expansion without a bank account. It’s not impossible, but it’s a lot harder, and it often involves creative (and costly) workarounds.
- Compliance Headaches: Staying on top of state regulations and tax requirements is tricky when you’re operating outside the formal banking system. Cash-only operations can leave gaps that make compliance feel like an impossible puzzle.