Cannabis Services

Cannabis Services

We can help you design and implement your basic accounting and internal control system that all businesses need. Secondly you can consult with us on the cannabis compliance issues that arise because state regulations have not been published.

The law is new and regulatory guidance has not yet been provided for this growing industry. While some of the problems a business owner faces are not new, like the basics of running a business, regulatory compliance will be.

Normally you have published regulations that help you interpret and comply with the law, however in this case the regulators are in the process of trying to figure out what the regulations should say. 

Elder & Isaac is a reliable source to find solutions the problems we can already identify. With our broad experience in highly regulated industries we can advise you in reaching solutions to as yet unforeseen compliance issues.
Potential Issues Include:
  • Tax planning and compliance – including the unique intersection between tax law and the sale of Federal Schedule I product. Since ordinary and necessary business expenses are not deductible, tax rates are much higher than non-cannabis businesses.
  • Sales tax and Sales reporting compliance at the state level.
  • Internal control issues of a “cash only” business. 
  • Cash needs / Capital requirements – Due to the unavailability of the normal bank financing you will need to make provisions for alternative funding sources. 
  • Ownership structure / Ownership changes – how to meet the state requirements of ownership change and how to plan for future changes.
Share by: