Having an experienced cannabis Accountant can promote growth for your business as well as help you to avoid major obstructions. More cannabis dealers are emerging because more states are on the way to legalize cannabis use for medical and recreational reasons as well as for commerce. Whereas cannabis dispensaries as well as grow operations have a lot of the same problems that new businesses need to contend with, their set of challenges are likewise unique.
1. Bank Account Opening
A most fundamental problem, among many others,
facing those in the cannabis industry is how to get a bank account. With cannabis still being a substance that is controlled on the federal level, most banks are hesitant to take on clients who are engaged in the cannabis industry. Although there have been guidelines issued by the federal government to banking institutions regarding permissible cannabis state companies, most of them are not keen about taking the risk of accepting a cannabis business as an account holder and client.
Accountants can be very helpful if you are getting any banking service that you need and at a nominal possible cost.
2. Utilizing GAAP to Stay Away from Trouble
GAAP, the acronym for Generally Accepted Accounting Principles, refers to a set of standards governing how a business is expected to save their books as well as account for items such as depreciation.
A number of federal bureaus are aggressively observing cannabis businesses as well as scrutinizing their practices in the business. Two very dangerous agencies that cannabis businesses have to contend with are the SEC as well as the IRS. Both of them are not only able to impose a fine on businesses, but they as well can file criminal charges.
By using GAAP, you and your cannabis business will be able to evade any of the terrible consequences once these agencies go for an examination of your books. Visit this website at http://www.ehow.com/how_6742969_tell-found-pot-plant.html for more info about cannabis.
3. Getting Around Tax Traps
Taxes are forever complicated for any business. But, things have been especially tougher for cannabis businessmen because the IRS by severely putting a limit as to which expenses can be deducted from their taxes. An Accountant who is proficient in this industry can help in the preparation of your taxes together with tax compliance.
4. Outlasting an Audit
Audits are never easy, but if the auditing agency considers the as illegitimate in general, audits can even be more agonizing. An Accountant at your side during an audit is perhaps the only way you will be able to outlast the ordeal.
5. Familiarity with the Numbers
An Accountant at advirtualservices.com has been trained to compute and figure out the main financial indicators for the business you have. With the cannabis industry being very competitive, you will need an Accountant to help you understand the strengths and weaknesses of your business as regards of its finances. At the same time, you will need their calculated guidance about making the best tax as well as investment decisions with regards to your business future.