With the sale of recreational marijuana becoming legal in some states, many banks and businesses are struggling to adjust to this growing industry that is still illegal under federal law. Given the legal complexity, banks are often hesitant to partner with recreational marijuana businesses, resulting in many shops operating solely through cash transactions. Local Seattle company PayQwick has created a compliance program that works to remove the risks inherent in the partnership between banks and recreational marijuana businesses.
Ken Berke, CEO and co-founder of PayQwick, recently spoke with the Wall Street Journal’s Ben Dipietro about how the company’s federally registered money services business is able to provide banking services for the recreational marijuana industry. A company founded by lawyers, PayQwick assures banks that every transaction through its system comes from the legal sale of marijuana. “Banks are using us and will open a normal business bank account for any of our clients,” said Mr. Berke. “They trust us and trust our compliance program to keep them safe.”