Because of stupid laws those in the Cannabis industry do not have access to normal financial services. Also others who are self employed as contractors, gig workers, etc. cannot show sufficient income to qualify for conventional loans since most of their income is cash. Although they have high incomes they do not have high credit scores so the mainstream lenders eschew them.
They are glad to pay 9-10% and there are plenty of loans out there waiting to be funded. Right now I have five and have had as many as nine at one time. I could pick up two more today if I wanted but I'm going to wait until the moratorium ends.
I always inspect the properties before lending and stay local. If you do minimal due diligence and only use investment money private equity is a very safe way to garner great cash flow.
If you are interested search "Private Equity", "Hard Money" and "Private Loans" in your area. You will probably come up with at least two or three brokers.
From the Fed’s point of view, you’re laundering drug money.
LOL
😎
