Accounting is the financial backbone of your business. It paints a picture of your business’s operations, financial strengths, opportunities and weaknesses, all from a numbers perspective. As a marijuana microbusiness, accounting best practices should be at the forefront of your business planning and continued day to day procedures.
Financially intelligent business owners, investors and other stakeholders can learn many things about a business just by looking at its financials. When financial and accounting information is not well kept, it can cause undue stress on the business owner, miscommunication to investors and regulators, and poor management and financial decision making. We’re here to help change that, and be your one stop resource for all of your microbusiness’s accounting needs!
At LC Solutions Michigan PLLC, our team of accounting professionals provide clients with unparalleled accounting support, professionalism, and industry specific knowledge that is crucial to their marijuana microbusiness operations. We understand our client’s needs and the special purpose bookkeeping, cost accounting, tax compliance, and industry standards they require. We also understand business and what it takes to run one! This allows us to provide first hand insight and advice for effective financial accounting, management and reporting. Finally, we understand the cannabis industry like we understand assets and liabilities, debits and credits. It’s second nature to our firm and founders! We are excited to help move the industry forward by offering a solid foundation of proactive accounting and financial service offerings to the microbusiness market. Some of the services we offer include:
Bookkeeping, Financial Record Keeping & Accounting System Set Up: We work one on one with small businesses to provide full service bookkeeping, record keeping and accounting system support. Our team of professional accountants and Quickbooks ProAdvisors will help you and your business stay on track with proper recording of all financial transactions, helping to ensure you have confidence in your business’s books and ledgers consistently being up to date and organized.
Our accounting experts will help your marijuana microbusiness integrate a thorough process that accurately reflects your business’s operations and their transparent transition in its financial records. A well designed accounting process compliments the procedures performed in a financial review or audit. Always be prepared with a matched audit trail and complete record keeping process!
As a marijuana microbusiness, your accounting records and processes will also need to be compliant with Internal Revenue Code Section 280E. Our professionals will help ensure you understand fully how §280E impacts your business and its different activity segments of cultivation, processing and retail. We can help your business determine appropriate cost allocations, maintain consistent accounting applications, and implement strategies to control and reduce the exposure to §280E and the associated tax burden.
CFO & Controller Services: Our CFO and Controller services take accounting to the next level! Our professionals can assist your business with financial reporting and analysis, budget and forecast preparations, cash flow projections, accounts payable/receivable management and other accounting department services customized to need. These are all important tools for a well run business! Reporting and analysis of your business’s financial activity offers valuable tools for decision making, financial control and compliance needs.
It is a proven statistic that many small businesses fail within the first 5 years of operating. Why? Well, quite frankly because most did not have the right tools in place to monitor their financial activity and spot negative trends before they became a problem! Proactively monitoring and analyzing financial trends, and preparing forecasts for cash flows, tax expenses and inventory needs are crucial to all successful businesses!
Business Start Up Consulting: Our Accountants can help start up businesses in many ways! Start up businesses need to be mindful of how their corporate tax structure, start up expenses, and expectations of future business operations impact their goals. Entrepreneurs are busy, and starting a marijuana microbusiness will certainly keep you on your toes! Unfortunately, proper accounting is often put on the back burner in the meantime, while business owners struggle to keep their financial information coherent and usable. With our help, you can focus on your business and let us make sure everything is how it should be accounting and finance wise on the back end!
Many start up businesses also find themselves in unique situations pitching to investors or trying to prove their business’s worth to others, long before it has even started. As a marijuana microbusiness owner, you will also be required to submit a financial forecast for your license application, not just to any potential investors. Our team can help your start up microbusiness prepare a formal set of financial projections, including full income statement, balance sheet and statement of cash flows. From here we can also help prepare valuation calculations and supporting schedules based off of these numbers, so that you can be ready to go when discussing your business’s financial future.
Tax Preparations & Planning: Our professional accountants offer annual income tax preparation services for businesses and individuals, as well as monthly and quarterly filings for sales, excise and withholding taxes. We also offer tax planning, entity structure planning, and estimate preparations.
With our full services approach, you will not need to worry about how to respond to an IRS or Department of Treasury notice. Simply forward the notice to us, and we will handle the response and communications from there, helping to ensure a timely resolution!
Internal Controls and Systems Consulting: Our experts can help your marijuana microbusiness plan and implement internal controls over assets (like cash and inventory) and financial reporting processes, as well as overall general internal controls to help protect your business from internal or external fraud and theft. Our thorough approach and onsite training and onboarding will help your business and its employees know what to expect in financial compliance and have the processes in place to ensure consistency and conformity to management’s action plan!
Vertically integrated microbusinesses should also implement systems intelligent enough to manage supplies at an optimal level, and monitor for when issues arise. With plant counts limited, these limits need to be well analyzed and planned for optimization. The right accounting and seed to sale inventory management software should have the reporting capability to allow management to make these insightful decisions.
These are just a few of the services our team of professional accountants and advisors can help your marijuana microbusiness with. We are able to customize services as needed.
Ready to get started? Don’t make the mistake of putting accounting on the backburner for your marijuana microbusiness! Contact us today!