How Cape May County’s first cannabis store is doing now

There are still challenges to the business

Because cannabis remains federally illegal, traditional banking nearly always refuses service to cannabis retailers. Even compliant state-chartered banks charge high fees for the extra monitoring required under the Bank Secrecy Act and Financial Crimes Enforcement Network guidelines.

Shore House’s owners were financially stable enough to self‑finance their business. But that didn’t solve all their financial needs. They were turned away from at least five banks and employees have had their checks declined because their paycheck came from a cannabis business. One worker was even denied a mortgage. The shop is a cash-only business given federal regulations around credit cards.

“Even getting a checking account was difficult,” Melchiorre said. “We had to set up joint personal accounts and route payroll carefully. It’s disheartening.”

Despite the challenges, Melchiorre said that after two years in operation, her business is now profitable. She was able to repay herself the startup loan, her customers are happy and the majority of the team has stayed with the business since opening.

At legalized shops such as hers, all products are lab-tested, sourced from licensed New Jersey growers and manufacturers and sold in child-resistant packaging, she said. Edibles come only in soft lozenges, chews, capsules or tablets in accordance with state rules and regulations.

Melchiorre’s and her budtenders’ mission is to educate customers on what is best for them. She said some people are looking for a head high, like having a beer after work, while others want a body high to help with pain without the side effects of prescription drugs. She said there are options so people are not walking around stoned. Recently, one customer came in holding empty pre-roll packaging and told Nicole it helped his restless leg syndrome better than any medication, and that he is now able to sleep in the same bed as his wife.

Melchiorre said she has heard more stories that counteract the stigma around cannabis.

“I invite people to come in and check it out. I think they find it scary and intimidating as I did. The first time I went into a store with Dave, I was like, ‘Can I ask questions?’ He’s like, ’Yeah, you should,’” Melchiorre said. “It’s not a scary drug. It actually has some really great benefits to it that can help people.”

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