Safe Harbor Financial Archives - Green Market Report

Debra BorchardtMarch 30, 2023


SHF Holdings, Inc., d/b/a/ Safe Harbor Financial  (NASDAQ: SHFS) announced certain preliminary (unaudited) financial results for the fourth quarter and year ended December 31, 2022. Safe Harbor reported that its fourth-quarter total revenue increased to $3.6 million versus $1.7 million in the prior year period, primarily due to higher investment and loan interest income. The net loss for the quarter was $37.0 million versus last year’s net income of $718,000 million in the prior year period.

The company said the loss was attributed to the loss in value of several of the financial instruments placed in connection with the Business Combination. The business combination was the deal with Northern Lights Acquisition Corp. which allowed the company to begin trading on the Nasdaq Capital Markets.

For the full year, the company reported revenue increased 34% to $9.4 million versus $7.0 million in 2021. The net loss for the year ended December 31, 2022, was $35.1 million, compared to a net income of $3.2 million in 2021.

“Safe Harbor had a pivotal year: we completed our go-public transaction to list on the Nasdaq exchange, executed on the strategic acquisition of Abaca, and significantly grew our client base to establish a solid foundation for success in 2023 and beyond,” said Sundie Seefried, Chief Executive Officer at Safe Harbor. “During the year, we expanded topline revenue by 34% and increased our client base by approximately 82%, demonstrating the considerable industry need for the services we provide. We are committed to providing essential banking services to cannabis-related businesses, or CRBs, using the most sophisticated fintech to optimize our customers’ experience. Our recent acquisition of Abaca is perfectly aligned with this goal as it meaningfully enhanced and added key elements to our fintech platform to expedite transactions with our banking partners.”

Payment Settlement

In addition to reporting its earnings, Safe Harbor entered into agreements with Partner Colorado Credit Union, the company’s largest stockholder, resulting in the settlement of the approximately $64.7 million deferred payable owed to PCCU. Safe Harbor said it has agreed to resolve approximately $64.7 million of total payment obligations owed from the September 28, 2022 business combination in exchange for a 5-year, $14.5 million senior secured note bearing a 4.25% annual interest rate and issuance of 11.2 million shares of Class A common stock in the company.

Company Details

Safe Harbor also told investors that it increased the number of active accounts by 82% to 1040, compared to 572 at the end of 2021. It originated $15.8 million in loans, compared to $4.3 million in 2021, and ended 2022 with $8.4 million in cash.

“This momentum has continued in 2023, and we are pleased to have reached an agreement with Partner Colorado Credit Union to resolve our payment obligations to them, which removes a considerable financial constraint and further enhances our ability to execute on our growth strategy. The cannabis industry is maturing, and the fully compliant cannabis banking infrastructure we provide is vital to CRBs as they navigate this complex and dynamic industry. We are excited about the opportunities ahead and look forward to continuing to expand our services to meet the needs of CRBs across the country, while enhancing value for our shareholders.”

StaffSeptember 29, 2022


The Daily Hit is a recap of cannabis business news for Sept. 29, 2022.


Vermont Recreational Cannabis Sales Will Launch Oct. 1 in Burlington

At least three Vermont stores will have adult-use cannabis sales beginning on Oct. 1: CeresMED in Burlington, Mountain Girl Cannabis in Rutland and FLORA in Middlebury. Several more retailers are expected to quickly follow. Read more here.

Heritage Cannabis Reports Rising Revenue, Trims Losses

Heritage Cannabis Holdings Corp. (CSE: CANN) (OTCQX: HERTF) reported its financial results  for the third quarter ended July 31, 2022. Heritage delivered revenue of $10 million, an increase of 111% over last year’s $5.1 million. Heritage said the growth was attributed to a continued increase in its vape and concentrate offerings as well as the launch of the flower vertical. Read more here.

Safe Harbor SPAC Complete

Safe Harbor Financial, technically known as SHF Holdings (Nasdaq: SHFS) has completed its special purpose acquisition corporation (SPAC) deal with Northern Lights Acquisition Corp. (Nasdaq: NLIT). Northern Lights is now officially known as SHF Holdings, and the stock will continue to trade on the Nasdaq marketplace. SHFS Shares began trading at $9, down 12% as the broader market experienced selling and Norther Lights shares closed at $10.81 on Wednesday. Read more here.


Canadian cannabis grower Sugarbud seeking creditor protection

Calgary, Alberta-based Sugarbud Craft Growers Corp. “expects that it is likely to default on several material debtor agreements due to ongoing liquidity constraints,” the company said in a Monday news release. The cannabis producer is seeking creditor protection. Read more here.

High Tide to Acquire 2 Jimmy’s Cannabis Shop Locations in British Columbia

High Tide (Nasdaq: HITI) (TSXV: HITI) (FSE: 2LYA), a retail-focused cannabis company, entered into a definitive agreement to acquire 100% of the equity interest of 1171882 B.C. Ltd., operating as Jimmy’s Cannabis Shop BC. Under the deal, High Tide will acquire two of the five retail cannabis stores currently operated by Jimmy’s in British Columbia for $5.3 million. Read more here.

Irwin Naturals Acquiring Ketamine Media

Irwin Naturals Inc. (CSE: IWIN) (OTC: IWINF) (FRA: 97X) has agreed to acquire all of the issued and outstanding shares of Keta Media LLC dba Ketamine Media, the nation’s leading growth platform for clinics offering ketamine-assisted therapy. With a global network dedicated to improving patient outcomes, KM has established relationships with clinics in more than 45 states and three countries connecting providers and patients using a unique patient-centered approach to communication. Read more here.

Debra BorchardtSeptember 29, 2022


Safe Harbor Financial, technically known as SHF Holdings, Inc. (Nasdaq: SHFS) has completed its special purpose acquisition corporation (SPAC) deal with Northern Lights Acquisition Corp. (Nasdaq: NLIT). Northern Lights is now officially known as SHF Holdings and the stock will continue to trade on the Nasdaq marketplace. SHFS Shares began trading at $9, down 12% as the broader market experienced selling and Norther Lights shares closed at $10.81 on Wednesday.

“Today represents a significant milestone in Safe Harbor’s journey,” said Sundie Seefried, founder and Chief Executive Officer of Safe Harbor. “We are thrilled to complete this transaction and eager to continue scaling our business and expanding our offerings to meet the needs of the cannabis industry in the United States. With the strong leadership from our executive management team, Board of Directors, and support from NLIT’s sponsor team, Safe Harbor is well-positioned to be the platform of choice for financial services providers to cannabis operators.”

The deal stumbled a bit on its way to completion, but ultimately was successful. Safe Harbor also closed on September 28, 2022 a PIPE in the amount of $20.45 million of convertible preferred stock and warrants.  To offset the reduced PIPE amount, Partner Colorado Credit Union, Safe Harbor’s indirect parent, agreed to a further amendment to the Unit Purchase Agreement, dated February 11, 2022 to provide for the deferral of approximately $57 million of the $70 million due to the Seller at the closing of the business combination. The increase in the Deferred Cash Consideration will provide Safe Harbor with additional cash to support its post-closing activities.

John Darwin, Co-CEO of NLIT prior to the closing, stated, “With its established leadership position in cannabis-related compliance services and continued growth in its financial institution clients, this is an exciting time for Safe Harbor to become part of a Nasdaq-listed company.”

Safe Harbor Financial was conceived in 2015 as a solution to a major problem that plagued the nascent legalized cannabis industry in Colorado– access to reliable and compliant financial services. Safe Harbor presently processes funds from 20 different states nationally.

Safe Harbor, realizing the funds from the cannabis industry were better banked than unbanked, ventured forward to do the right thing for everyone, bank the deposits under Partner Colorado Credit Union as a DBA up until 2021. Cannabis related funds were already finding their way into the financial system one way or another via hidden, misrepresented accounts and criminal banking behaviors similar to money launderers. After great research, it was obvious that every agency wanted to have accountability and transparency from the industry, but legislation was not supportive of such.




StaffMarch 17, 2022


Safe Harbor Financial

Sundie Seefried, CEO Safe Financial Harbor

A 35-year veteran of the credit union industry, in 2014, she saw that CRBs needed financial services and that Colorado communities would be safer if the new industry had access to banking solutions.

  • What is your proudest accomplishment in the cannabis industry?

Providing uninterrupted banking services to an underserved emerging market, which took a great deal of regulatory compliance and diligence to create and sustain. The cannabis market is emerging and requires constant attention to ensure there is no interruption in our ability to provide seamless banking services for our clients. Surviving 16 state and federal examinations within seven years is no small feat. On a personal level, this took sustaining performance for eight years. Careers often allow for a ‘down time’ – when things slow down, one can think, recreate a path, etc. But I had no opportunity to relax on this journey and somehow, I kept finding the energy to sustain demanding performance and consistently delivering what was necessary to solve a major problem. Motive really matters and I had great motivation to right a wrong (limited access to financial services for this emerging market.) 


  • Do you feel that the cannabis industry has more opportunity for female-identifying people than other industries?

At this point, that isn’t really the case. In the early stages, I saw more female-led companies. However, as the market has emerged and we have seen a great deal of M&A activities, those numbers are decreasing quickly. However, the focus on diversity and social equity in the industry may very well set this on a positive trend.


  • Do you feel you have to work twice as hard as male colleagues or do you think the industry has moved past that?

In the finance world, it isn’t about working twice as hard, but about working in the smartest manner possible. While the industry is still male dominated, no matter your gender, you must work twice as hard as the person next to you to succeed. It’s just part of the industry’s DNA. Old stereotypes and age-old networks that have excluded women do still exist. To share an example, I just finished approximately 30 to 40 investor pitches and other than the women that helped facilitate the calls, only ONE meeting had another woman listening to the pitch to raise capital. Having self-confidence and being aware of this inequity is the first step to overcoming the challenge. As it pertains to the cannabis industry, everyone has had to work twice as hard just to do normal business.  Everything in this industry is an uphill battle due to the stigma attached to cannabis as well as the illegal status of cannabis not only at the federal level but also in certain states and in many international jurisdictions.


  • What was your biggest challenge in business and how did you overcome it?

Finance is still very much a ‘man’s world’. Men often looked at me as the ‘loose cannon on deck’ not because I just shot off for no reason, but because I wasn’t afraid to call it like I saw it and could ignore people’s looks and comments. I had to let go of being liked and of being included in the inner circle of men’s clubs. They still do exist from decades of developing such support systems. Unfortunately, women who stand up and move independently get labeled in all sorts of ways, but that’s what I consider true leadership. I always tell myself that the board didn’t hire me to follow the men in the industry, but to lead with courage and that means breaking away and moving in a different manner when needed. 

The last thing I will say about overcoming the ‘man’s world and their clubs’ is that the new generation of men aren’t following those old rules, nor do they see women as secondary achievers. They were raised by single, independent, capable, intelligent mothers and they are helping level the playing field for women in the workplace…. Time will correct some of the issues we face today.


  • What has you or your company done to help give more opportunities for women?

When I took over as CEO in 2001, I made it a point to open a mentoring program and personally mentored several female employees to assist them with managing their career but more importantly, in teaching them to support other women in the workplace. There is often a harmful perception about women fighting and competing against each other in the workplace. But there is nothing stronger than a group of women that put their minds in the same direction to accomplish bigger things and I wouldn’t get in their way. The old ways are outdated, and today this is no longer the case when the right leadership promotes solid networking and support. I have seen some of the women I mentored moved into leadership positions and revert back to what I consider ‘high school games’, but the really successful ones learned the true lessons of networking and have gone on to build their own support systems and groom their peers for bigger things. I believe women need to buck that old system and take control together and help each other succeed. 


At Safe Harbor, we have a culture of Relate, Educate and Appreciate, which has permeated our interactions with each other and the outside world. When one leads with relating, it’s difficult to step on each other and more likely to create the right environment for all to succeed. One doesn’t have to be on the golf course anymore to succeed because relationships can be created right in the workplace over lunch, coffee and corporate problem solving. 


  • What are your personal goals for 2022?  

I haven’t had a vacation since 2016 as I have been hyper-focused on making Safe Harbor a success. The ever-changing industry demands complete attention to avoid any wrong steps. A misstep in this regulatory environment impacts a number of businesses and I felt it necessary to keep Safe Harbor as a reliable partner from the beginning. 

Now that we have evolved to this next chapter of our company, and we have a strong and stable leadership team in place, my goal for 2022 is to give my family a little more attention and take some much-needed personal days. Another key personal goal for this year is to remain healthy. The last seven years have been extremely stressful, which has not allowed me to manage a healthy lifestyle. During the Covid shutdowns, I was able to focus on health again as it afforded me more time to eat well and exercise. I’d like to continue on that path as it helps in staying focused on the future endeavors at Safe Harbor.

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The Green Market Report focuses on the financial news of the rapidly growing cannabis industry. Our target approach filters out the daily noise and does a deep dive into the financial, business and economic side of the cannabis industry. Our team is cultivating the industry’s critical news into one source and providing open source insights and data analysis


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