North Bay Credit Union Cannabis Account Requirements and Overview

North Bay Credit Union has been offering banking services to the cannabis industry for the past three years. In our ongoing effort to adhere to the strict regulatory requirements surrounding banking services for the cannabis industry, we have partnered with several companies that can help us achieve the efficiency and standardization we need to be able to continue to serve the cannabis industry.

Our goal is to offer banking services in a completely transparent manner that will exceed the scrutiny of any legal or regulatory review. Should you receive approval for an account with us, here are the requirements for our cannabis accounts:

  • Systems – we utilize various systems to help us monitor and reconcile sales activity to bank transactions. Once you are approved for an account with North Bay Credit Union, we will provide one-on-one training to use our system. Our system is integrated with METRC and has the capability to tie-in to either your point-of-sale solution or your accounting software for all sales transactions.
  • Cash Pick-Up Services – we require the use of armored car service to pick-up all cash as we do not allow cash to be brought into any of our branches. We require that 93% - 103% of ALL sales proceeds (cash, checks, wires, ACH payments) get deposited into your NBCU account once it is established. Part of our on-going due diligence is to ensure that we understand and can track ALL transactions running through these accounts and we do this by matching deposits and withdrawals with your sales activity. The armored car fees are debited from your NBCU account as a pass-through fee. 
  • Sweep Account – we have established an arrangement with a third-party investment advisor for the purpose of providing your business with an interestbearing account to place funds not immediately needed for operations. The advisor will invest your funds until needed for operations and we can sweep your funds from that account into your NBCU operating account upon your request. This provides for a positive yield on your idle cash and it also allows you to meet the $500,000 balance limitation we have here at the credit union (ONLY on the last day of each month). This is a win-win arrangement for us at NBCU as it provides us a way to better manage our balance sheet and ensure our  month-end capital ratio meets regulatory expectations. Should your application with NBCU be approved, we will introduce you to this third-party advisor.
  • North Bay Credit Union Membership – If your business is in Sonoma County, then you qualify for membership with NBCU as a local member of the community. However, for businesses located outside of Sonoma County, we have several ways you can qualify. If you are already a member of California Cannabis Industry Association (CCIA) or a member of the National Cannabis Industry Association (NCIA), those memberships are allowed. Or, you can join the Sonoma County Farm Bureau as another avenue for membership eligibility.
  • Multiple Businesses – If your businesses share one EIN number, then you are welcome to run all transactions through one account. However, if you have multiple cannabis businesses, each with its own EIN, then you will need to open an account for each EIN.
  • Account Fees – Monthly flat fees are assigned based on a risk assessment of the operations which considers such factors as ownership structure, transactional volume, number of locations, number of NBCU accounts, operating history, etc.  The flat fee covers all services with the exception of armored car and wire transfers.  There is a one-time non-refundable application fee of $1,500.

Once approved, you will be expected to comply with the following requirements:

  • Arranging for cash pick-up by our armored car service-provider each Monday by 10 a.m. and providing the supporting invoices/documents to your Compliance Team 48 hours in advance of the cash pick-up;
  • Uploading – by the 20th of each month – the previous months’ P&L, Balance Sheet & Cash Flow statements;
  • Depositing 93% - 103% of all sales transactions into your NBCU account;
  • Providing 48 hours’ notice for all outgoing wires;
  • Communicating all account changes within two business days (signers; investment raises; new locations, etc.);
  • Ensuring your last day of the month account balance is NO greater than $500,000. We can help you manage this by setting up a sweep account with a third-party institution;
  • Ensuring that your balance is enough on the last day of the month to cover your NBCU account fees.

In addition to providing you with bank accounts for your cannabis business, we also have established relationships with vendor partners that many of our cannabis accounts have found to be extremely useful. We can introduce you to:

  • ATM Provider – NBCU requires that all ATMs are serviced by a third party company, and we’d be happy to introduce you to an experienced ATM service provider;
  • Cashless Payment Solutions (i.e. cashless ATMs) – If you are looking for solutions to reduce cash, we’d be happy to introduce you to a service provider;
  • Payroll Companies – NBCU is processing for several cannabis payroll companies should you need those services;
  • ACH Payment Processing - NBCU launched a new ACH Gateway that provides the ability for NBCU to support multiple cash-alternative payment solutions as well as provide payroll processing for several cannabis payroll companies. If you are looking for a cashless way to process payments, we can introduce you to several solutions.

And finally, once your account is approved, we are happy to welcome your employees to North Bay Credit Union where they would be eligible for banking services with North Bay Credit Union under your NBCU membership. We make it easy for them to sign-up online at: Additionally, we offer home mortgage loans and car loans to cannabis employees throughout California.

    By signing below, you acknowledge your understanding of North Bay Credit Union’s Cannabis Banking Requirements and you are requesting the link to our online application.
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