Cannabis is a complex industry because many providers, institutions and firms may not want to work within the industry due to the stigma. At MyBookly we can help you with accounting, bookkeeping and tax.
The cannabis industry has come a long way, and as popularity increases along with further legalization across different provinces, its crucial to have your finances in order, and to keep up to date with updated tax compliance.
Sales Tax: Ensure sales tax compliance across Canada (federal and provincial compliance and regulation)
Sales & Refunds: No more hassle with tracking sales and refunds within your bookkeeping software.
Inventory Management: Managing your cannabis inventory, expenses, sales tax within your inventory management software.
Whether you’re managing a dispensary, a grow operation, or any other aspect of the cannabis business, understanding and managing your finances is crucial for long-term success.
Today we will explore some of the key financial challenges faced by cannabis companies and how an experienced accountant specializing in the cannabis industry can help address these issues, ensuring your business thrives in this rapidly evolving market.
Running a cannabis business can be tricky. With everything from constant tax regulation changes, to providers and banks not wanting to work with you, it can make everything more tricky and complex.
Challenge: A common challenge we hear from cannabis owners is that a lot of the major banks and financial institutions are unwilling to work within the cannabis industry, which makes things more difficult when managing cash flow, applying for loans and working with payment processors.
Solution: We can help you navigate this issue by connecting you with institutions that work with cannabis companies and software’s to help you manage your accounting more efficiently.
Challenge: Cannabis companies have strict tax regulations that may prevent certain deductions of expenses like operations. This leads to much higher tax rates.
Solution: Tax planning is vital if you want to minimize your tax rates as much as possible. We can help you understand how to be tax compliant and how to navigate tax regulations in whichever province you’re located.
Challenge: The laws around cannabis are complex and intimidating, especially as each province has its own, and then federally. This can be frustrating when it comes to tax compliance, tax filling, permits, and cash flow management. You have to constantly be updated with the latest changes.
Solution: We work with lawyers and law firms who will be able to help you navigate the complex world of cannabis. They can assist you with incorporation, regulatory changes, and tax compliance.
Challenge: Managing your inventory is a key component to managing your cash flow. It also helps you from a financial perspective to understand your profits, expenses and overall financial health. Managing and setting this up can be time-consuming.
Solution: We’ll help with setting up your inventory management using software and integrating this with your preferred accounting software. We’ll help you understand your margins, profits, sales and areas of opportunity.
Challenge: Audits happen more frequently in the cannabis industry due to the tendency to clean-money, accept and not file cash payments, which is not reflective of your business, but it sometimes happens. Not only this but with the constant changes in laws and regulations, its easy to miss something that could result in an audit.
Solution: Audits are costly, time-consuming and require a lot of your resources in order to complete. Everything from a financial perspective needs to be in order, and if not this can lead towards more difficulties. We will help you ensure your records are organized, accurate and compliant.
There are many tax accounting firms to choose from, below you will see how we stack up against them.
We understand the challenges you face as a cannabis organization, as we’ve worked with a number of them.
We’ll develop a personalized tax strategy for you
We’ll integrate with your trading platforms
Strategic financial and market advisory
How to incorporate to maximize tax deductions
A lot of accountants avoid cannabis businesses due to the nature of the business and the legality around it.
Inexperienced with the world of day trading
Lack of understanding with tech integrations
Lack of experience with day trading tax rules
Don’t provide incorporation services
– Danny Khanna, Managing Director
Below you will find written reviews from our clients who are satisfied with our services and promises.
The cannabis industry is tricky as many financial institutions, firms and providers may not want to support financially. This is where our cannabis industry experience can be helpful for you. We’ll help you overcome the hurdles you face financially.
Here’s how we can help:
We offer continuous support and advice, keeping you informed about regulatory changes, potential financial risks, and opportunities in the cannabis world.
From generating regular financial reports to preparing year-end statements, we provide comprehensive reporting services that offer clarity on your cannabis business’s financial health.
We develop personalized financial strategies that align with your business goals and business structure, whether you operate as a self-employed business owner or a corporation.
Our services include integrating your accounting system with various platforms for streamlined financial tracking such as inventory management.
Managing Director
“I’ll be your main point of contact for all things cannabis accounting.”
Senior Accountant
“I’ll help setup and manage your accounting, bookkeeping & tax.”
Oakfront Accounting has been operating for 6+ years helping a wide variety of clients including construction and contracting.
Because accounting is a service which is fully customized based on your needs, we suggest you schedule a demo with us to get a final price.
Currently we support QuickBooks, Xero, FreshBooks, and Wave. If you have another accounting software outside of these providers, reach out to us and lets see if we can help.
Depending on whether we’re able to support your current accounting software it can take 1-2 days. However if you’re using a software that we’ll need to migrate its data too, this may take 5-7 days.
We can help you setup your corporation, or sole-proprietorship. If you’re looking to incorporate in other countries, reach out to us and we’ll see how we can assist you with this as well.
We work with all types of cannabis companies such as dispensaries, grow-ops, and more. Many accounting firms do not due to there risk of missing something due to the constant changes in tax regulations.
– Dilan Ropero, Senior Accountant
