What banks or lenders are willing to lend to a dispensary that will open in May of 2020?

We are submitting 25 applications in Illinois for a Adult Use Cannabis License. We are looking for a bank or lender to provide us with a LOI (Letter of Intent) to provide us with a loan once we are awarded a license and able to being our build out.

We are expecting industry standard rates on any amount loaned to us, which will probably be somewhere in the 1-2 million dollar range. A suggestion of someone who would be willing to lend to us is what we are looking for.

Thank You!

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There was a thread on here about business ppl willing to loan form. Ill try to find it.

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Not sure banks will touch it yet. Even with the bill that passed. As for a private lender. You will prob need a huge collateral. Think about the cost of just the license. 1 mill? 6mill? Then shop costs, stock, security, taxes, yada yada. Before and you know it. You are trying to borrow 20 mill+.
Just an FYI. Becareful who you borrow from. Lots of people with money to lend. But let’s just say maybe you dont want to owe these certain people that kind of money.


Right MK3. Tks

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Even insurance for a shop is crazy expensive. Its a huge money sink. And if you aren’t profitable. Well the money must he paid back. No matter what.
Cannabis isn’t a gold mine. I’ve seen some much loss and destruction. My advice is dont do it. Work for someone already established. Learn the business. Its more than just selling $30 grams

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We have our pro-forma completed by Miller and Cooper for our dispensaries in Illinois, all 5 models show us being in the black with over 2 million in profits in the first year, including our most conservative model. The license valuation itself is worth 10 million dollars, due to only 75 being awarded in a state with 10 million residents.

Sounds like you had a bad experience. Yes as you say it IS more than just selling $30 grams…


Dude you dont even know half of it. Models can predict what they like. The consumers will judge your fate. Just consider you might be in over your head. I’m just giving you a friendly warning about so potential issues. Consultants will tell you what ever to get that money. At the end of the day your neck is on the line. This isn’t a get rich quick industry. Just know most go bankrupt very fast.

It depends on region and saturation mate. Appreciate the advice but you come across as a bit jaded.

Nonetheless good luck to you.


Not at all I’m trying to give you a friendly heads up. Take the advice or not. You will see how it goes.

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Jonny banks do not lend on Canna. It’s all private investors.
To get a term sheet you will need to fully develop all costs associated with your request.
Lenders are looking to 50% loan to costs on start ups. So you need cash, for at least half of your costs.
I have a checklist that can help you identify the critical metrics.

  1. How do you know you’ll get the license?

  2. How long have you been involved in the cannabis industry.

  3. When predications were down in California’s market after all the analysts predicted it would be a thriving and booming market but most people lost there ass. So could the same thing happen in Illinois with bad predictions made by people?

  4. If the kind of money you’re taking about can be made it should be very easy for you to find someone and posting on here is a waste of your time.

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