Left out of the CARES Act and in dire need of cash, pot stocks need some assistance this year. Here’s what could happen.
While many companies are getting benefits from the government to help battle COVID-19 and its impact on the economy, cannabis is one industry that’s been overlooked. Marijuana companies are ineligible for support under the Coronavirus Aid, Relief, and Economic Security (CARES) Act because they’re involved in federally illegal activities. Even companies that do business with these federally illegal entities (e.g., the cannabis industry) are ineligible for government aid.
As a result, the cannabis industry has been overlooked thus far in financial assistance. However, that could change as Democrats try to get help for cannabis companies. And if they succeed, it would help make pot stocks safer buys.
– Read the entire article at The Motley Fool.