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Johny Fernandez: Could the
alternative finance industry

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help out cannabis? and what
lending company just shifted

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their focus? and how will it
impact other businesses around

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the country? That's part of this
week's newscast. Let's get

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going!

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New York Governor Andrew Cuomo
recently proposed a plan to

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legalize cannabis as early as
this year. Cuomo says his plan

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would quote, facilitate market
entry through access to capital,

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technical assistance, and
incubation of equity

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entrepreneurs. If passed, the
plan could be a game changer for

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cannabis financers since New
York is home to alternative

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finance. The plan first has to
get approved from the state

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legislature in order to become a
reality. New Jersey lawmakers

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are heading back to the table to
pass a bill that would impact

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small business lending.
Lawmakers introduced a bill that

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would require uniform
disclosures on small business

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finance contracts. The bill
would encompass loans,

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factoring, and merchant cash
advance on transactions smaller

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than $500,000. Now brokers would
be required to disclose their

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fees and documents separate from
the finance contracts. The bill

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was first introduced two years
ago, but did not move forward. A

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similar bill was passed in
California in 2018. Experts say

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that the bill may not go into
effect for at least another

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year. Earlier this month, Dallas
based finance company Sprout

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Funding recently announced its
acquisition of Jet Capital. The

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company's CEO told deBanked the
acquisition was part of its

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technical operations expansion.
He believes the acquisition will

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increase the company's overall
capabilities. Small Business

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lender Quarterspot recently
announced it'd be shifting its

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business focus. Quarterspot sent
out emails earlier this month,

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notifying its business partners
that it would be shifting its

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focus and would stop originating
new loans. The company says it

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continues to serve outstanding
loans. Of course, once we get

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more information on this, we'll
pass it along. So what do you

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think about the changes going on
in alternative finance? Let us

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know. I'm Johny Fernandez with
deBanked News. Don't forget to

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check out our website for more
details about our upcoming

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events. And of course, I'll see
you next time.