Listen if you hear your name, but only if you don't pay your vendors..

Описание: Summary

The video features a discussion at the Necann Boston 2025 event about the challenges of credit and payment reliability within the cannabis industry. Guests introduce the Cannabis Credit Association (CCA), a centralized system that aggregates payment histories and credit data of cannabis businesses nationwide. The CCA helps companies assess who pays their bills on time, improve accountability, and reduce bad debt through credit risk scoring and industry-wide transparency. The conversation also touches on how the CCA system benefits leasing companies, cultivators, and brands by providing trustworthy credit information and encouraging timely payments.

Key Points

Introduction and Context

00:01

The hosts introduce the event at Necann Boston 2025, highlighting its significance and the presence of industry professionals from across the Northeast and beyond.

00:53

George Stantchev is introduced as a co-host, and Pure 5’s CEO shares that his company manufactures extraction equipment renowned for quality and reliability.

01:39

Introduction of Mike Blumenthal, the visionary leader behind Cannabiz Credit Association, a groundbreaking startup transforming credit transparency in the legal cannabis market. Cannabis Credit Association (CCA), who is here to discuss payment reliability issues in the cannabis sector and how companies can protect themselves.

Cannabis Credit Association and Industry Problem

02:11

Mike explains that the CCA compiles $2 billion worth of payment history across the U.S., tracking who pays their bills on time and who does not to help cannabis companies avoid bad debts.

02:40

The CCA is likened to “Dun & Bradstreet” for cannabis, offering aggregated data, credit scores, and payment behavior reports to help companies make informed business decisions.

03:13

If a company uses upfront cash payments only, there will be no data in the system, which is seen as a positive indicator; those who offer net terms or loans are tracked by the CCA.

Benefits and Usage of the System

03:31

The hosts discuss how using the CCA’s payment data can enhance a company's credibility, showing that it pays bills on time, which strengthens brand trustworthiness.

03:56

Fundana, a financing company, uses CCA data for underwriting deals and claims a 98% success rate in assessing creditworthiness.

04:13

Pure 5 leases extraction machines and uses remote control technology to disable machines if payments stop, illustrating practical ways to mitigate risk when clients don’t pay.

05:06

Reporting delinquent payers to the CCA helps create accountability and encourages them to resume payments to avoid being blacklisted in the cannabis community.

Growing Industry Data and Credit Standards

06:16

The CCA database is growing rapidly, collecting over $400 million in new data monthly, currently holding $2 billion in total credit history on approximately 7,000 cannabis businesses.

07:09

A recent study shows $4 billion in accounts receivable within the cannabis industry, indicating a substantial amount of credit activity where CCA data can provide transparency and reduce risks.

07:28

Brands can register with the CCA to validate their creditworthiness with an independent third-party audit, strengthening confidence when seeking new partnerships or entering new markets.

Credit Scoring and Risk Assessment

08:13

The CCA uses a simple five-level risk scale from low risk (green) to high risk (red), helping businesses easily understand payment reputations.

08:59

The risk assessment considers collection claims and overdue payments, resulting in practical recommendations such as offering net 30 terms to reliable payers.

09:07

Companies entering new markets can avoid relying solely on informal word of mouth by using the CCA database to verify potential partners’ credit status.

Engagement and Industry Impact

09:40

Discussion humorously challenges the conventional red and green color coding, but consensus highlights that the system is simple and intuitive for users.

11:04

Mike invites viewers to visit cannabiscredit.com for demos, sample credit reports, and information, emphasizing accessibility and affordable membership pricing.

11:55

Using the CCA system allows businesses to pre-qualify partners quickly, reducing paperwork and uncertainty about payment histories.

12:27

The hosts wrap up by reiterating the importance of making informed connections within the cannabis industry and encourage attendance at upcoming events for continued networking and learning.