Current issues in cannabis business 2022
Quality of Human Resources:
Current issues in cannabis business due to the forthcoming government legislation of the workforce, employers will got to answer concerns about fair wages, equal opportunities, and other human resources problems that plague regulated businesses. Being accepted as a legal substance within the nation’s economy is dealing a blow to the industry, and it must comply to be a part of society.
Cannabis farmers and storefront owners (and every other level involved within the industry) must consider keeping quality employees satisfied with their jobs. Keeping employees satisfied, trained, and engaged are great ways in which new businesses within the cannabis industry will stay ahead in 2022.
Limited Banking Opportunities
According to Insurance Journal, the most important obstacles for businesses within the cannabis industry involve issues placed upon the industry by the media and federal regulators. Typical obstacles for businesses are made harder by regulations. a problem which may impact your cannabis business in 2022 is finding a banking opportunity that’s allowed. For, businesses within the cannabis industry cannot work with federally insured banks, creating a barrier to smaller operations. Thus, operations with private funding continue dominating.
Public Housing Legality
If you’re in business to seek out more customers for your product, you would like to be made conscious of any issues causing your product to be withheld from potential buyers. The legality of using cannabis publicly housing restricts many potential buyers from purchasing or using the substance. Its classification as a drug creates this barrier which will only be reduced through voting to stay cannabis regulations almost like other business regulations.
Fair tax program
Originally intended to use to illegal drug dealers when first enacted in 1982, the 280E provision is now primarily applied to medical and adult-use cannabis dispensaries operating legally under state law. The unintended consequences of 280E enforcement on legal businesses threatens the viability of state-licensed cannabis providers. Results in the loss of valuable jobs and tax revenues, and limits businesses ability to grow and invest in their communities.
As a results of NCIA’s work, bipartisan support for legislation addressing this problem continues to grow within the U.S. Senate and House of Representatives. If approved, the tiny Business Tax Equity Act of 2017 (S. 777 & H.R. 1810) would exempt state-legal cannabis businesses from Section 280E and permit business deductions afforded to other legal industries.
Enacting 280E reform will level the playing field for little businesses within the cannabis industry and permit law abiding businesses to make more jobs, expand employee benefits, and make other investments benefiting local economies. Dynamic economic models prove that by reforming 280E, the industry would ultimately generate up to $1.55 billion in new federal tax revenues over subsequent ten years.
States voting on cannabis legalization
Five states are confirmed to vote on some sort of cannabis legalization during the November 2020 election, with a sixth potentially joining counting on the results of a pending court decision.
Arizona: In Arizona, voters will determine whether the state legalizes an adult-use cannabis program. Petitioners in Arizona collected quite 420,000 signatures and defeated a lawsuit to secure the ballot referendum. The state’s adult-use cannabis market is predicted to get $750 million in value annually, consistent with Cannabis News Box.
Mississippi: Voters in Mississippi will have multiple medical-marijuana-legalization referendums on the ballot in November. One, called Initiative 65, was developed through a grassroots campaign that gathered quite 105,000 signatures. A competing measure proposed by state legislators, referred to as Alternative 65A, also will be up for a vote. If approved, both measures would legalize medical marijuana, but regulatory details would vary.
Montana: After petitioners gathered quite 130,000 signatures, Montana voters will have the prospect to approve an adult-use cannabis program during a state that recently oversaw reform to its existing medical-marijuana program. In consistent with Cannabis Business Plans in 2018, Montana’s medical-marijuana program generated $45 million in sales; expanding the industry into the adult-use of cannabis edibles market would likely increase that value substantially.
New Jersey: After several failed attempts to legalize adult-use cannabis through the state legislature. New Jersey is leaving it up to the voters this November.
If the measure is approved, the state would have one among rock bottom sales-tax rates placed on cannabis within the country. MJBizDaily says New Jersey’s cannabis industry might be worth $1.5 billion annually if the measure passes.
South Dakota: South Dakota voters will have the chance to vote for the legalization of both medical marijuana and adult-use cannabis. No other state has legalized both medical-cannabis and adult-use-cannabis programs at an equivalent time.
Nebraska could potentially join these five states with a cannabis-legalization measure on the ballot. Petitioners looking to urge a medical-marijuana-legalization referendum on the ballot collected 182,000 signatures – 60,000 quite required by Nebraska state law. However, Nebraska’s push for a medical-cannabis vote has faced a challenge in court by Lancaster County Sheriff Terry Wagner. A final ruling on whether the referendum are going to be on the ballot is predicted this fall.