The global cannabis market is currently growing at an exponential rate. If your company is stepping into this business, it’s essential to have a chief financial officer specializing in cannabis virtual CFO services on your team! A Cannabis Company CFO with expertise specifically tailored to this industry will keep your cannabis business financially on track and profiting.
Accounting and bookkeeping for cannabis companies are more complicated than other industries. A chief financial officer specializing in cannabis CFO services has experience regarding the 280e and COGS deductions. Furthermore, a cannabis company CFO has niche accounting tools necessary to serve the industry.
Companies in the cannabis industry experience higher federal tax rates, and it’s imperative to pay the correct amount. If you overpay, you will miss out on profit. Conversely, if you don’t pay enough, the IRS will penalize your business. Fortunately, a virtual CFO with specialized experience in the cannabis industry will manage all financial aspects of the company. They know the strategies to ensure you don’t lose out on profit during tax season.
The CFO handles financial reporting. They are the person keeping a close record of your company’s profit and losses. Additionally, they review all numbers for accuracy. These services are imperative for businesses in the cannabis industry because many companies in the industry are still in the startup phase. Close attention to financial reporting and detail will keep your cannabis business on track for financial success.
Cannabis borrowers pay a cannabis premium, meaning rates on real estate are up to twice the standard rate. Since cannabis is not federally legalized, cannabis business loans are frequently inaccessible. The loans that are available are more expensive because they come at higher interest rates. Fortunately, a chief financial officer specializing in cannabis CFO services can help you navigate this process and direct you to find the best loan terms.