Financial Operations Insights, Guides, and Tools
How Indoor Growers Can Set Up Financial Systems that Scale with the Harvest
The cannabis industry is enjoying explosive growth nationwide as most states have now either partly or fully legalized and decriminalized its sale and use. While we still have a ways to go, there’s no question that business is booming.
Capitalizing vs. Expensing: How to Handle Facility Build-Outs the Smart Way
Building out a cannabis facility is never cheap. When you factor in construction, equipment, license fees, consulting, and all the other sundry expenses you might incur, the total cost can be upwards of $500,000 or more.
Tax Planning for Longevity Businesses: A CPA’s Checklist for Owners
Longevity businesses are a diverse and growing niche that straddles multiple industries, including healthcare, technology, and research. It includes biotech startups, supplement brands, wellness clinics, medspas, digital health platforms, and personalized healthcare, and as such, each requires a tailored approach to accounting and taxation.
Cost Accounting for NY Cultivators:The Secret to Surviving 280E
As all cannabis operators are acutely aware of, IRC 280E is the bane of the industry. Without proper cost accounting strategies in place, already-tight margins contract into a painfully tight place, threatening continuity and weakening any opportunities for growth and expansion.
The Ultimate Cannabis AccountingTech Stack for 2026
Cannabis businesses rely on software to navigate complex accounting, compliance, and tax reporting requirements. But when you’re swimming in a sea of options – all claiming to be the only solution you need – how do you choose?
Proper Tax and Accounting Treatment for Gift Cards and Package Credits
Wellness and longevity clinics operate on a different business model than most healthcare organizations. With retail, lifestyle, diagnostics, and health services under a single umbrella, deferred revenue is the norm. And while recurring payments from memberships and subscriptions can provide sustainable income, they come with some complexities.
Tips for Managing Cash Flow and Inventory Across the NY Cannabis Supply Chain
Tight margins, regulatory and compliance mandates, and the rigors of the highly competitive New York cannabis market challenge operators on a daily basis. How you handle inventory across the supply chain can be a mitigating factor, as every decision affects the bottom line.
Longevity Clinic Accounting: What to Track Weekly (Revenue, COGS, Provider Pay, Cash)
Longevity clinics are a unique aspect of healthcare, combining personalized wellness and premium services that don’t resemble your typical medical practice. Most clinics offer a hybrid mix of memberships, a la carte treatments, diagnostics, and performance-enhancing services.
280E for NYC Dispensaries: What You Can Deduct and What Will Get You Flagged
New York state’s decoupling from IRC 280E is good news for New York dispensaries, as it provides significant tax relief at the state level. Federally, 280E still applies, prohibiting all cannabis businesses from deducting normal business expenses, including payroll, office equipment, marketing, lease payments, and more.
ASC 740 for Cannabis Operators: What You Need to Know About Income Tax Accounting (and How to Avoid Costly Surprises)
Cannabis tax accounting is a complicated business; there’s no question about it. Part and parcel of this undertaking is adherence to ASC 740, which ensures that companies report their taxes accurately and in accordance with the relevant standards.
Pass-Through Entities in the Cannabis Industry: Structure Smart, Stay Compliant, and Save on Taxes
Structuring a cannabis business as a pass-through entity is—at least on the surface—an excellent way to reduce the tax burden for cannabis businesses. When a company is structured this way, it is not subject to federal income tax as the tax burden is passed on to the owners, who report the income on their personal returns and pay the applicable taxes, avoiding double taxation.
Internal Controls for Life Sciences Startups: The “Pre-Audit” Checklist
Life sciences startups are typically not laser-focused on anything beyond innovation and their current projects, and finding the funding they need to keep it all going. However, without proper internal controls and SOPs, compliance and regulatory approvals may be challenging.
The Benefits of Fractional Bookkeeping Services for Cannabis Companies
Despite all signs that point to a booming cannabis industry, operators are constantly challenged to stay profitable in this highly regulated environment. Margins are tight, and meticulous accounting and tax planning are essential to ensure compliance, maximize deductions, and minimize the tax burden.
What a Sample Cost Segregation Report Looks Like—and Why It Could Save Your Cannabis Business Thousands
Cannabis businesses are constantly challenged by federal and state tax laws that limit business deductions and over-inflate taxable revenue. Cost segregation is a tax-planning strategy that enables any cannabis business that has purchased new real property or has expanded or remodeled existing real estate to reduce taxes, increase cash flow, and accelerate depreciation, effectively deferring federal and state taxes payable.
High-Level Guidance: How Cannabis Business Coaching Can Elevate Your Operation and Your Profits
If you are thinking about launching a cannabis business—or looking for ways to improve your current operations—cannabis business coaching can help you in many ways. Coaching delivers niche expertise and insight into what makes a cannabusiness profitable, helping you develop the mindset and best practices you need to succeed.
Clinical Trial Accruals: How Finance Teams Avoid Quarter-End Surprises
Clinical trials are complex endeavors, often spanning years and rarely aligning with a company’s accounting periods. And therein lies the challenge: how do finance teams accurately track trial accrual and avoid nasty surprises when closing out the quarter? When the numbers don’t line up, there is a distinct ripple effect in financial statements, and investors and decision-makers will undoubtedly feel the consequences.
Dispensary Bookkeeping Done Right: Stay Compliant, Maximize Deductions, and Know Your Numbers
The cannabis business may be booming, but profits are always tight—thanks in no small part to the rigors of IRC 280E. Despite cannabis’s legal status in almost every state, it is still classified as an illegal substance, meaning that cannabis companies can’t deduct “normal” business expenses, like payroll, security, and marketing—virtually any expense that can’t be attributed to cost of goods sold (COGS).
Tax Accounting for Cannabis Businesses: Navigate 280E, Maximize Deductions, and Stay Audit-Ready
The cannabis industry is booming, but success does not happen without considerable sacrifice. Proper tax accounting practices are essential to ensure you maximize allowable deductions under IRC 280E and have audit-ready books.
Section 174 for Life Sciences: How to Treat R&E Costs and Plan for Cash Taxes
We must understand that Section 174 is a cash tax issue, not just a compliance change. Clinical costs are often more exposed than you might think, and foreign research activity can dramatically increase taxable income and inflate liabilities.
280E vs. Your Bottom Line: How to Minimize the Damage Legally
Every cannabis operator knows only too intimately the woes of IRC 280E. This tax rule prohibits legitimate cannabis businesses from deducting normal and customary business expenses like rent, utilities, payroll, marketing, and office equipment, or any business expense, unless it can be attributed to the cost of goods sold (COGS).