(Part 1: Cash Flow Issues)
Cash is the lifeblood of your cannabis business, and cash flow issues can be a constant headache operators.
In this video, we will walk you through a framework of how to prioritize your cash on hand so that you can avoid a cannabis business collapse and sustain during challenging financial times.
An overview of the framework includes:
- Stage of Your Business in Relation to Cash Flow Issues
- Allocating for Upcoming Taxes
- Secured Debt
- Critical Vendors
- Misc. Other Expenses
Cannabis markets continue to mature and legalization expands around the country. However, there will be a point where sales growth is no longer parabolic and operators will need to prioritize cash resources to survive. While operating costs continue to increase, business owners spend more than ever before on labor wages and marketing efforts. In addition to daily inputs due to inflation and a struggling workforce.
For assistance with avoiding the collapse of your cannabis business, reach out to our team of financial experts at GreenGrowth CPAs. We can review your current financial health and find solutions to help you sustain your business. Moreover, we employ several financial programs that can assist the company with its fiscal responsibilities including, tax planning and compliance, outsourced CFO support, audit preparation, tax controversy support, and much more.
For recommendations and assistance with tax planning and accounting services, schedule a free consultation or contact us at 1-800-674-9050.