The prospect of legalized cannabis sales in more than half the country has resulted in new challenges for states and those providing financial backing to the fledgling legal cannabis operations. Before issuing licenses, regulators and those working with marijuana sellers and growers must take steps to fully understand the backgrounds of the applicants as well as their partners. The necessity for increased scrutiny in this new industry will continue to grow:
- States issuing licenses, private equity funds investing in the businesses, insurance companies, and financial institutions accepting funds are among those who must take appropriate care to ensure these businesses are operating aboveboard and to the highest standards of integrity.
- Watchdog groups, citizens, media, law enforcement and other stakeholders will be carefully observing to ensure those involved in this business are beyond reproach.