COLORADO: Blue Line Protection Group, a leading provider of protection, financial and compliance services to the legal cannabis industry, was featured on the front page of The Denver Post on Sunday, June 15th in the article, “Reluctance of banks leaves pot shops looking for secure practices.”
The article focuses on the unique and uncertain banking issues facing legal marijuana dispensaries in Colorado. Traditional banks have not been willing to offer services to cannabis-related businesses due to the serious compliance issues they face, as it is illegal under federal law to manufacture, distribute or dispense marijuana.
The story highlights “Medicine Man,” a family-owned Denver marijuana business with designs on becoming a national brand that has employed Blue Line Protection Group’s security services since January 1st of this year. In addition to its armed guard security and compliance services, Blue Line is currently working with five Colorado marijuana companies to provide a viable financial solution for lawful cannabis dispensaries and has drawn interest from two Colorado-based banks.
The Denver Post article quoted Dan Sullivan, Blue Line Protection Group’s Vice President of Sales & Training and Andy Williams, Medicine Man’s President & CEO, describing how the two businesses are successfully working together.
Referring to Blue Line Protection Group, the article stated, “The company would serve as a compliance intermediary, an independent third party that would provide banks with data confirming that customers are 21 or older, licensing confirmation, monthly tax income, sales figures and other sensitive information.”
Mr. Sullivan commented, “The banks are saying they won’t do it because it’s an enormous amount of information they don’t possess. A third party, though, could do it for them. Blue Line would transport cash from businesses, store it in its own vault and then take it to a bank processing center.”
Andy Williams said the arrangement would give Medicine Man access to debit cards and checking and the terms were agreeable.
Sean Campbell, Blue Line’s Chief Executive Officer, commented on the article, “Blue Line has developed a proprietary standards and compliance verification program for banks interested in providing services to cannabis-related businesses. This makes Blue Line a natural fit to provide ongoing compliance services and reporting in this industry as we build upon our current suite of services to satisfy federal banking compliance requirements.”