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Our View

Medical marijuana biz may not be the big buzz some expect

With Sept. 18 deadline just around the corner for anyone wanting to get into the marijuana growing business or set up a storefront to sell the stuff we know of only one company with Arkansas ties that has submitted all the necessary documents.

But, as interesting is that since all this has come about to grow and sell marijuana for medical purposes there are only 20 doctors who are willing to sign off on medical marijuana certification forms for their patients.

And, there seems to be trouble on the horizon for businesses associated with the Arkansas Cannabis Industry Association as it relates to financial matters.

So seems, this “pot” business in Arkansas will not be restricted to cash only, meaning that providing banking services for this business will be very expensive, secretive and legally dubious, according to representatives of the financial industry.

We’re told right now medical marijuana banking is tentatively allowed under strict guidance from federal regulators. According to federal figures, only 368 banks and credit unions were serving the industry nationally.

From what we know there is just one bank in Arkansas committed to serving the “pot” industry and here is why. Any banks that do decide to serve the medical marijuana industry in Arkansas should expect to open an entirely new department to just deal with the mountain of paperwork the federal government requires.

Banks are being warned that they will have to dot every ‘i,’ work very closely with whoever the regulator might be.

Banks that do get into the business will have to identify every transaction and document cash transactions.

Banks will have to determine what portion of the sale is taxable and they will also have to know what courier serve is going to deliver the cash to the bank.

If the deposits don’t balance the bank must refuse to finalize the transaction.

With all this to deal with banks will naturally set fees that will certainly be passed down to the consumer.

Now, regarding the concerns of the physicians there is one doctor in Benton who isn’t concerned at all about issuing certification forms to his patients, and in fact finding this to be a way of making money.

We’re told there is still a considerable amount of confusion surrounding medical marijuana when ti comes to hospitals and clinics.

But Dr. Roger Tilley, who has Saline Medical Group in Benton, says he has told his staff to get geared up.

Since announcing that he’s issuing certification permits his office has been flooded with phone calls from prospective patients, who he’ll charge $250 cash.

While interest in selling and growing the marijuana hasn’t been seen yet, Jason Martin, chief operating officer for a company he calls Natural State of Kind, says he’s ready to expand his business into Arkansas.

After spending hundreds of hours on applications, Martin says he wants to operate both a cultivation facility and dispensary.

Currently, Martin and his partners operate cultivation and retail outlets in Colorado, Nevada, Oregon, Washington, Kentucky and North Carolina.

As we’ve said before, there is a considerable amount of money to be made by everyone interested in growing and selling marijuana in Arkansas, from the growers, sellers, delivery companies, property owners, financial institutions, lawyers, cities, counties and even the state.

This is simply all about money folks, plain and simple.