WeedLife News Network
Cannabis Stocks: High Risk, High Reward!
Cannabis consumers look at the world of weed as a place to find products with whimsical names like "Khalifa Kush" or "Zen Leaf." It's also a sector offering rich dividends for yield-seeking investors.
Publicly traded cannabis-company lenders are looking at favorable trends that support the health of their borrowers, which typically have few outlets for funding. Traditional banks rarely lend to cannabis companies; regulatory compliance requirements are onerous.
So, specialized cannabis lenders have their choice of customers. They can pick borrowers with the least leverage and the most reliable cash flows. They get their choice of collateral, like real estate or sales licenses. They impose favorable covenants and command the top slot in the capital structure.
Copyright
©420 Intel
When you subscribe to the blog, we will send you an e-mail when there are new updates on the site so you wouldn't miss them.
