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Square, Block Inc.’s merchant-processing unit, announced Wednesday it has partnered with e-commerce technology provider Jane Technologies Inc. to process online payments for cannabis dispensaries in Canada serviced by Jane.
Square will initially begin processing for dispensaries in Ontario, Canada, through its Early Access Program. That will allow dispensaries in the province serviced by Jane to test Square hardware and software. Square declined to reveal its timeline for expanding the agreement to dispensaries outside Ontario.
Jane, which specializes in dispensaries, provides e-commerce technology to more than 2,500 stores and brands across Canada and in 39 U.S. states. Canadian consumers can use Jane’s platform to place orders online for in-store pick-up and delivery. Major credit and debit cards are the only forms of payment accepted for online purchases by cannabis dispensaries in Canada, according to Canada Public Safety, which is part of the Canadian government’s Department of Public Safety and Emergency Preparedness.
“Through our partnership with Jane, we’re now able to allow cannabis dispensaries processing with Square in Ontario to supplement their brick-and-mortar business with an online store,” Roshan Jhunja, head of retail for Square, says by email.
Canada’s recreational-cannabis market generated $3.35 billion in sales in 2022, a 17.9% increase from the previous year, according to Statistics Canada, a Canadian government agency.
“Cannabis dispensaries, just like other retailers, are looking for an easy-to-use, fully integrated omnichannel solution to help them run their businesses in person and online,” Jhunja says. “They want access to valuable insights to help them manage their inventory and tools that integrate with one another. Since the cannabis space is a highly regulated one, cannabis retailers need tools that help them stay compliant.”
In 2021, Jane struck a deal to partner with Kirkland, Wash.-based payments-technology provider POSaBIT Systems Corp. to service cannabis dispensaries in the U.S. POSaBIT offers several alternative payment options to cannabis merchants, including POSaBIT ACH, which allows customers to log in and store their banking information within POSaBIT’s payments portal for in-store and online payments.
