As a cannabis tax accounting, they speak with many new cannabis business owners who have worked exceptionally hard to get their license but then need extensive assistance with the day-to-day operations of their company.
If you’ve been taking calls from cannabis company owners, you’ve probably seen that they have a documented business plan but don’t always know how to apply it. Other times, they’re stumbling about in their finances, unsure of how to optimize their profit, pay proper taxes, and grasp what the figures in their books indicate for their overall profitability.
Services required for your cannabis business
When a cannabis company owner approaches you about services, remind them that they want to keep their money clean and concentrate on efficient growth. They will need expert assistance from:
1. A consultant who will help them meet their licensing criteria and boost their chances of being permitted to run a cannabis business.
2. An attorney who will aid them with compliance rules and real estate, intellectual property, and trademark issues.
3. A security firm to guard their cash and merchandise, which they will almost certainly have to remain on-site.
4. A bookkeeper, accountant, and tax preparer to get insight into the most important aspect of their company’s finances.
Many of these responsibilities overlap. An attorney might be used as a consultant. An accountant may assist businesses with cash management methods that preserve their bottom line.
After you’ve shown them the terrain, the conversation shifts to what you can do to assist them in developing a viable company structure. What advice do you have for good inventory systems? Consider how important it is to utilize time-tracking software that distinguishes between tax-deductible and non-tax-deductible work.
What it means to “complete their studies.” “Can you handle my accounting?” Ultimately, it is what the circumstance necessitates, even if it is not always clear what that entails. Here is where you may assist by breaking it down.
You’ll need to assist them to realize that “Getting their books done” entails more than just reconciling every single transaction in their firm — albeit that is an important aspect of it to keep the business running. It also extends beyond comparing income and spending.
The services a cannabis seller needs are heavily influenced by the sort of company they own and how they run it. Do they need installation, systems, or pos implementation? Other services that your cannabis customer may need include:
1. Required bookkeeping for compliant, clean books, as well as giving monthly or quarterly financial statements and commentary on trends from month to month or quarter to quarter.
2. Controller or CFO services provide comprehensive advice on enhancing processes, efficiency, and profitability, as well as monitoring of your in-house finances and regular financial assessments.
3. Tax preparation services to help you get the most out of your tax refund.
Remind your customer that professional accounting services will provide them trust in compliance and will greatly assist them to expand. The combination of your and your client’s strengths will result in something extraordinary.