How to make a career out of cannabis accounting

Published Sep 15, 2020 11:00 a.m. ET
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Canada legalized cannabis on October 17, in 2018, and this change gave birth to an estimated 4.3 billion dollar Canadian marijuana industry. This date had accountants and bookkeepers sitting up and paying attention, as a whole new revenue stream was opening up in the second country in the world to legalize cannabis.

Cannabis jobs were emerging quickly, and among the many different employment opportunities evolving is the cannabis accounting field. Popping up faster than the cannabis companies themselves were the regulatory, banking, and convoluted taxes, prompting the need for financial experts who could navigate their way through this budding green opportunity. Does a career in the green interest you?

Cannapreneurs are facing challenges that the average accountant may not be cannabis trained for to provide the best financial guiding. The inexperienced cannabis business owner may have fallen into the “gold rush mentality” and failed to establish proper accounting systems, as some of the early Cannapreneurson that path are now in need of professional cannabis accounting services.

Accounting cannabis challenges

An effective investor deck is paramount to the newly cannabis investor who needs to raise funds to establish their businesses. This is where the need for a professional that has experience in securing capital investment comes into play. The cannabis entrepreneur may not have the experience or knowledge in which to accomplish this task on their own.

Canada is a country poised for the long term growth of cannabis, but cannabis entrepreneurs will need to design viable financial models. Having experience is essential for the successful completion of these models, which can be challenging without the assistance of a professional, experienced cannabis accountant. Many cannabis entrepreneurs will not be successful in developing a strategic plan that is viable and sustainable as few of them have the experience and knowledge to complete this.

Cannabis startups have dozens of highly-nuanced rules and regulations, and any companies that do not follow these regulations and laws could receive penalties and face complete closure. The cannabis accountant is vital in ensuring that these businesses'  have financial controls in place to remain compliant. The cannabis accountant must be prepared for an audit at all times.

The cannabis accountant could be your link to start-up monies necessary for a brand new venture because cannabis still holds a stigma today. Due to this, financial funding can be challenging to secure, and that is where a cannabis accountant can be valuable in networking and providing the proper investment banker suitable for your cannabis business.

The cannabis accountant is invaluable to the new cannabis company that needs assistance in reviewing tax-related filling and counsel prepared documents, and having one is necessary for the fulfillment of enhancing profit margins while avoiding paying off any excess taxes. The correct tax and structure knowledge related to the area the business is being conducted in is also a vital component that the cannabis accountant should know about.

Final thoughts

Business classes specifically for the cannabis space are the best direction to take for those looking for a fast-paced long term career. With accounting and book-keeping abilities, you could have the grace of entering this space on the ground floor. If you like numbers, mostly green numbers, cannabis business classes could be for you. Cannabis is a fast-moving industry that could be your entrance into an ever-evolving multi-billion dollar global industry.

The number of people seeking cannabis jobs is exploding

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