What cPort's Exit Means for Your Cannabis Business

June 23, 2025

If you're a Maine cannabis caregiver, you probably felt your stomach drop when you opened that email from cPort Credit Union last week. The message was brief but devastating: your account will be closed by July 31st, along with hundreds of other caregiver accounts across the state.

You're not alone in feeling blindsided. As a cannabis attorney who's spent years helping businesses like yours navigate Maine's complex regulatory landscape, I'm getting calls from panicked clients asking the same questions: "What do I do now?" and "Why is this happening to us?"

Let me break down what's really going on and, more importantly, what you can do about it.

Why Banks Keep Breaking Up With Cannabis Businesses

First, let's be clear about something: this isn't personal. cPort's CEO Kelsey Marquis cited "evolving banking regulatory expectations" as the reason for the closures. Translation: federal regulators are making it increasingly difficult for banks to serve cannabis businesses, even those operating legally under state law.

Here's the uncomfortable truth: while Maine legalized medical cannabis, it remains federally illegal. Every bank that works with cannabis businesses is essentially betting they won't be prosecuted for money laundering under federal law. When regulatory pressure increases, banks get nervous and look for the exits.

Adult-use cannabis businesses have detailed tracking systems that help banks satisfy federal compliance requirements. Medical caregivers? Not so much. This creates a compliance gap that makes banks uncomfortable, and unfortunately, you're paying the price.

Your Banking Options (Yes, You Still Have Some)

Before you start stuffing cash under your mattress, know that you're not completely out of options. Four financial institutions still serve cannabis businesses in Maine:

• Five County Credit Union

• Evergreen Credit Union

• Skowhegan Savings Bank

• Maine Savings Bank

But here's what you need to know: these aren't your typical business banking relationships. Expect monthly fees between $200-500, transaction fees up to 1% of deposits, and extensive documentation requirements that would make the IRS jealous.

Banks will want access to your accounting software, complete vendor lists, and proof that 100% of your revenue gets deposited. Some of my clients complain this feels like discrimination, but legally, it's not. Cannabis businesses aren't a protected class, and banks need this documentation to protect themselves from federal prosecution.

What You Should Do Right Now

If you're with cPort: Don't wait until July 31st. Start reaching out to the remaining cannabis-friendly institutions immediately. These banks have limited capacity for new cannabis accounts, and there are hundreds of caregivers looking for new homes.

Get your paperwork in order: Banks will want to see:

• Current licenses and registrations

• Detailed financial records for the past 12-24 months

• Comprehensive vendor and customer lists

• Proof of compliance with all state regulations

• Corporate documents if you're incorporated

Consider your business structure: If you're operating as a sole proprietorship, this might be the time to consider creating an LLC. Banks often prefer working with formal business entities.

Document everything: Keep meticulous records of all transactions, and be prepared to explain any unusual deposits or withdrawals. Transparency isn't just good practice—it's survival.

The Bigger Picture: Why This Keeps Happening

Here's what's frustrating: Maine's Legislature has the power to help with this problem but faces a genuine dilemma. The Office of Cannabis Policy has repeatedly proposed bringing medical cannabis regulations in line with adult-use standards—the same approach that's worked in Colorado and Michigan.

But lawmakers, rightfully concerned about protecting Maine's unique caregiver system, keep resisting these proposals. I understand their hesitation. Maine's low-barrier-to-entry system for caregivers is genuinely special and worth protecting. Unlike other states where medical cannabis markets are dominated by large corporations, Maine has preserved space for individual entrepreneurs to thrive.

The Legislature's protective instinct comes from the right place—they've seen what happens in other states when excessive regulation drives out small operators in favor of well-funded corporations. They're trying to prevent that here.

But here's the unintended consequence: by avoiding regulatory changes that could help caregivers access banking, lawmakers have inadvertently made it harder for the very businesses they're trying to protect. Cash-only operations simply can't compete long-term with businesses that have access to credit, insurance, and professional financial services. The Legislature risks achieving the opposite of what it wants—corporate consolidation through the back door.

This year, the Veterans and Legal Affairs Committee voted "ought not to pass" on LD 859, which would have directed the state treasurer to develop banking solutions for the cannabis industry. Another missed opportunity.

Looking Ahead: Federal Changes on the Horizon

Federal relief remains unlikely in the near term. While the SAFE Banking Act has passed the House multiple times, it has never reached the Senate floor for a vote. Despite continued industry lobbying, there's little indication this will change anytime soon. Don't bank on federal legislation solving your banking problems—you need solutions that work today.

Practical Advice for Surviving the Banking Desert

Have a backup plan: Even in 2025, cannabis banking relationships can end without warning. Always have a second option lined up.

Consider cannabis-specific banking platforms: Companies like Safe Harbor Financial act as intermediaries, handling much of the compliance burden that makes traditional banks nervous. (Note: I am not endorsing Safe Harbor Financial; I simply know that it exists.)

Invest in compliance systems: Good point-of-sale and accounting software designed for cannabis businesses can make compliance much easier and banks more comfortable.

The Bottom Line

Yes, losing cPort is a major blow to Maine's cannabis community. But it's not a death sentence for your business. With proper preparation and realistic expectations, you can find banking services—they'll just cost more and require more paperwork than your friend's non-cannabis business.

The real tragedy here is that this crisis was preventable. With thoughtful regulatory alignment, Maine could provide the clarity banks need while preserving what makes our caregiver system special. Instead, we're watching small businesses scramble for basic financial services that every other industry takes for granted.

If you're a caregiver facing this banking crisis, don't navigate it alone. The regulatory landscape is complex, and one misstep can have serious consequences. Consider consulting with an attorney who understands both cannabis law and banking compliance.

Your business deserves better than shoebox banking. Let's work together to make sure you get it.