The Cannabis Banking industry has way more Fintech and software companies jumping in than there are currently banks and CUs who actually bank Cannabis-Related Businesses. While the challenges in Payments and Regulatory Compliance are real and many can be addressed by technology, financial services professionals need to consider seriously whether these same software and Fintech companies have the expertise to actually train personnel on all aspects of Cannabis Banking, regulations, best practices and challenges.
Along with your other checklist items for Vendor Management and SOC, you need to assess the technology vendor with training against 4 weighty concerns:
1. Lack of Expertise
While software companies may be experts in their specific software, they may not have the same level of expertise in academic training. Experienced training requires a deep understanding of content and instructional design, as well as proven and documented expertise in the specific subject matter being taught.
2. Conflict of Interest
A software company that provides academic training may have a conflict of interest. Their primary goal may be to promote their software, rather than provide the most effective and unbiased academic training possible. This can lead to a biased approach to teaching and may not provide a well-rounded educational experience.
3. Limited Curriculum
A software company may only offer academic training in areas that are directly related to their software or products, limiting the scope of the training and may not provide a comprehensive education in the subject matter.
4. Limitations for Smaller Institutions and Individuals
Small banks, credit unions and individuals may not be in the market for purchasing software or Fintech contracts and installations but just need comprehensive Cannabis training for compliance and growth. However, there could be a real risk of these firms not getting the support, quality or responsiveness they need if they aren’t making larger capital investments.
Overall, while there may be some benefits to purchasing non-technology training from a software company, it’s important to carefully consider the potential drawbacks and ensure that the training will meet your educational and career goals.