DENVER, June 17, 2014 /PRNewswire/ -- Cal-Bay International, Inc. (OTC: CBYI) today announced the company reached agreement in principal for a $7M funding proposal for a 3 year term note for the capitalization of the company's CB Green Card merchant processing system for use by legal marijuana dispensaries within the USA.
The Cal-Bay Financial merchant card processing system will allow the legal payment to the dispensary by patients using the CB Green card for purchases within the dispensaries. Currently the legal use of credit cards to dispensaries for the purchase of Marijuana products has to date not been available due the nationwide dispute between state and Federal agencies as to the legality of the sale for Marijuana products; therefore the majority of the transactions are on a cash only basis.
Cal-Bay Financials merchant processing system allows for the registered dispensaries to be able to accept and process the patients CB Green card and have the proceeds deposited to their financial institution, creating an alternative to holding large amounts of non depositable cash to the banks and at the same time creating a verifiable transaction of sales for state and Federal tax collection agencies.
The companies executed an official memorandum of understanding for the $7M capitalization the terms of which will be fully disclosed upon execution of the definitive agreement at the close of escrow.
The proceeds are allocated for the completion of the CB Green Card processing network along with the production of the POS terminals required for use by the dispensaries.
There are today currently approximately over 2000 Legally Licensed Marijuana Dispensaries within the US across 23 States, projecting over $3B in sales for 2014, representing an increase of almost 100% in revenues since 2012.
Safe Harbor Statement: Safe harbor from liability established by the Private Securities Litigation Reform Act of 1995. These forward-looking statements generally can be identified by phrases such as CBYI or its management "believes," "expects," "anticipates," "foresees," "forecasts," "estimates" or other words or phrases of similar import. Similarly, statements herein that describe the Company's business strategy, outlook, objectives, plans, intentions or goals also are forward-looking statements. All such forward-looking statements are subject to certain risks and uncertainties that could cause actual results to differ materially from those in forward-looking statements. Cal-Bay International, Inc.:
Cal-Bay International, Inc.
600 17th Street,
Denver, Colorado 80202
SOURCE Cal-Bay International, Inc.