{"id":1680,"date":"2025-04-22T13:35:02","date_gmt":"2025-04-22T17:35:02","guid":{"rendered":"https:\/\/blogs.duanemorris.com\/cannabis\/?p=1680"},"modified":"2025-04-22T13:35:02","modified_gmt":"2025-04-22T17:35:02","slug":"legal-yet-unbankable-inside-the-100-billion-underserved-market","status":"publish","type":"post","link":"https:\/\/blogs.duanemorris.com\/cannabis\/2025\/04\/22\/legal-yet-unbankable-inside-the-100-billion-underserved-market\/","title":{"rendered":"Legal Yet Unbankable: Inside The $100 Billion Underserved Market"},"content":{"rendered":"\n<p>Duane Morris partner <a href=\"https:\/\/www.duanemorris.com\/attorneys\/josephsilvia.html\" target=\"_blank\" rel=\"noreferrer noopener\">Joseph Silvia<\/a> is quoted in the <em>Forbes<\/em> article, &#8220;Legal Yet Unbankable: Inside The $100 Billion Underserved Market.&#8221;<\/p>\n\n\n\n<p>Across the U.S., thousands of legal businesses wear the \u201chigh-risk\u201d label and are quietly excluded from basic financial services\u2014not because of any wrongdoing, but simply the industries they operate in: cannabis, firearms, crypto, adult content. And few face steeper barriers than cannabis businesses. Even with state-level legalization and proper licensing, most are relegated to bare-bones banking. The full financial stack\u2014lending, investing, credit cards\u2014remains out of reach due to federal prohibition and institutional risk aversion. [&#8230;]<\/p>\n\n\n\n<p>But the obstacles go far beyond payment friction. Because cannabis remains a Schedule 1 substance, the IRS bars businesses from deducting ordinary expenses like rent, payroll, or marketing\u2014leaving many taxed on gross receipts instead of profit, with effective rates soaring past 70%. &#8220;The core obstacle to providing traditional banking services to cannabis businesses is the unresolved conflict between state and federal law,&#8221; said Silvia. \u201cOver the past decade, many of these businesses have become legitimate enterprises serving diverse customers. Yet institutions that choose to serve this industry must do so amid regulatory uncertainty, heightened scrutiny, and elevated risk expectations.\u201d [&#8230;]<\/p>\n\n\n\n<p><a href=\"https:\/\/www.forbes.com\/sites\/roomykhan\/2025\/04\/22\/legal-yet-unbankable-inside-the-100-billion-underserved-market\">Read the full article on the <em>Forbes<\/em> website.<\/a><\/p>\n\n\n\n<p><\/p>\n","protected":false},"excerpt":{"rendered":"<p>Duane Morris partner Joseph Silvia is quoted in the Forbes article, &#8220;Legal Yet Unbankable: Inside The $100 Billion Underserved Market.&#8221; Across the U.S., thousands of legal businesses wear the \u201chigh-risk\u201d label and are quietly excluded from basic financial services\u2014not because of any wrongdoing, but simply the industries they operate in: cannabis, firearms, crypto, adult content. &hellip; <\/p>\n<p class=\"link-more\"><a href=\"https:\/\/blogs.duanemorris.com\/cannabis\/2025\/04\/22\/legal-yet-unbankable-inside-the-100-billion-underserved-market\/\" class=\"more-link\">Continue reading<span class=\"screen-reader-text\"> &#8220;Legal Yet Unbankable: Inside The $100 Billion Underserved Market&#8221;<\/span><\/a><\/p>\n","protected":false},"author":6,"featured_media":0,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[2],"tags":[22,201,10,1107,1108],"ppma_author":[714],"class_list":["post-1680","post","type-post","status-publish","format-standard","hentry","category-general","tag-banking","tag-cannabis-banking","tag-cannabis-law","tag-financial","tag-joseph-silvia"],"authors":[{"term_id":714,"user_id":6,"is_guest":0,"slug":"duanemorris3","display_name":"Duane Morris","avatar_url":"https:\/\/secure.gravatar.com\/avatar\/843ff6e7a8fe5fc92109b47a45f34b6cf0ea499e6e788db23456c838b0ae6747?s=96&d=blank&r=g","0":null,"1":"","2":"","3":"","4":"","5":"","6":"","7":"","8":""}],"_links":{"self":[{"href":"https:\/\/blogs.duanemorris.com\/cannabis\/wp-json\/wp\/v2\/posts\/1680","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/blogs.duanemorris.com\/cannabis\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/blogs.duanemorris.com\/cannabis\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/blogs.duanemorris.com\/cannabis\/wp-json\/wp\/v2\/users\/6"}],"replies":[{"embeddable":true,"href":"https:\/\/blogs.duanemorris.com\/cannabis\/wp-json\/wp\/v2\/comments?post=1680"}],"version-history":[{"count":0,"href":"https:\/\/blogs.duanemorris.com\/cannabis\/wp-json\/wp\/v2\/posts\/1680\/revisions"}],"wp:attachment":[{"href":"https:\/\/blogs.duanemorris.com\/cannabis\/wp-json\/wp\/v2\/media?parent=1680"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/blogs.duanemorris.com\/cannabis\/wp-json\/wp\/v2\/categories?post=1680"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/blogs.duanemorris.com\/cannabis\/wp-json\/wp\/v2\/tags?post=1680"},{"taxonomy":"author","embeddable":true,"href":"https:\/\/blogs.duanemorris.com\/cannabis\/wp-json\/wp\/v2\/ppma_author?post=1680"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}