Why Hire a Cannabis Accountant?
Having an accountant with experience in cannabis accounting is the best way to grow your cannabis business and avoid major hindrances. The reason for the growth in number of cannabis businesses today is the increasing number of states that are legalizing the use of medical and recreational cannabis. The issues faced by cannabis business is very much the same as the issues face by any other business. But the cannabis businesses have a unique set of challenges.
Cannabis business owners have problems opening their own bank accounts. A lot of banks are reluctant to take cannabis business owners as clients since cannabis is still a controlled substance of a federal government. Although there are already guideline given by the federal government to banks regarding legal state cannabis businesses, banks are still hesitant to take the risk of having a cannabis owner as an account holder or client. A good cannabis accountant can help you find a good banking service for your needs. Your advantage is having an accountant who will try to get the lowest possible cost for you.
Generally accepted accounting principles is important for business success. If you wan to survive your cannabis business then these principles should be followed closely. This is because when you are in the cannabis business, it is like operating under a microscope. Every small detail matters.
Federal agencies still closely monitor the cannabis businesses and closely examine their business practices. Cannabis business owners have to always watch out for the SEC and the IRS. These agencies have the ability to fine businesses as well as refer criminal charges.
Using GAAP is the only way to avoid serious consequences when the agencies examine your books.
Many business owners find taxes difficult. There is a great limit given by the IRS to cannabis business owners in their tax deductible expense. But cannabis accountants can greatly help you in tax planning and tax compliance.
More than other businesses, the cannabis businesses have a much higher chance of being audited. You can have a painful audited from an auditing agency if he does not feel that your industry is legitimate.
With a good cannabis accountant you can fully comply wit the document requests from the audit and can challenge their unreasonable claims. You can survive the ordeal of an audit if you hire the services of a cannabis accountant.
You can view here for more on cannabis industry accountant services. If you view here for more you will find cannabis accountant services. If you use the services of AD Virtual Services, then you can find the best accountant for your cannabis business. Learn more here about AD Virtual Services.