Understanding the financial performance of your cannabis company empowers you to make smarter business decisions, attract investors and improve internal and external confidence. Maintaining an accurate and compliant financial record is critical to understanding your business and we can help reduce the time it takes to close your books and reduce errors in the closing process. GreenGrowth CPAs will help you architect a consistent process that abides by SEC reporting guidelines and streamlines your ability to report to all stakeholders of your company.
The financial close process includes a few different steps. First, we review and reduce the account balances before the accounting cycle is due to close. We begin by looking at the journal entries for each transactional activity.
This then will guide us to the review stage. We close financials within 10-15 days by helping your company upgrade their current close process. This helps shorten the number of days to close books (within that 10-15 day range) and designs processes around closing which improves the accuracy of numbers presented.
This requires moving the credit balances in the revenue accounts to a clearing account called the Income Summary.
This requires moving the debit balance of the Dividends account to the Retained Earnings account.