Our services are designed to provide cannabis businesses with a fully outsourced back office accounting department. In collaboration with our integrated cloud-based partner applications, we are able to provide the following high value services in our comprehensive package that sets us apart from many other bookkeeping and accounting firms.
Chart of Accounts
Implementation of a chart of accounts exclusive to the cannabis industry and specific to the type of cannabis operation whether cultivation, manufacturing or dispensary.
Implement a workflow for separation of duties for proper controls to pay approved supplier or vendor bills.
Implement an invoicing system to issue customer bills for collection on credit terms and perform follow up on receivables past due.
Set up, maintenance and oversight needed to comply with labor and payroll tax laws.
Day-to-day transaction review and entry into books
A cannabis specific chart of accounts allows for proper identification and coding of transactions into the general ledger in preparation for absorption cost accounting.
Reconciliation of POS system / Track & Track system to accounting software and general ledger account reconciliations for tie out of the trial balance.
GAAP / Cost Accounting
Full cost accounting under the accrual method to optimize 280e and minimize tax liabilities. Proper implementation of IRC 471-11 or 471-3 to determine inventoriable costs. Divisional allocations between cannabis and non-cannabis activities.
Perpetual Data Room
Online data warehouse where all financial and legal documents are stored, always audit ready for investor or auditor review.
Implementation of standard operating procedures, internal controls, cash management and inventory management to maintain compliance and eliminate risk.
California Cannabis Taxes
Calculation and reconciliation of cultivation tax, excise tax and sales and use taxes. Remittance to state and local agencies with accurate and timely filing of returns.