Our premier CPA firm provides expertise in a wide range of areas within the cannabis industry. We can help you make sure your cannabis business is set up to succeed from the get-go.
We can provide consultation and advice in a variety of subjects:
A well-honed, detailed, and differentiated pitch about your specific cannabis venture. This may include:
Investors will pay close attention to the potential for your business to grow. Depending on your state and local jurisdiction, our market research section is customized to cover the following details:
How will you attract and retain customers? The cannabis industry is highly competitive. Though adult-use cannabis is projected to be a multi-billion-dollar market, your venture will need a strong sales and marketing strategy. Our experts can provide advice on:
Anyone making an investment in your business will want to see financial projections. Showcase how you will grow and thrive in the legal cannabis market with input from our analysts. We can help you build:
The average cannabis company generates $250,000 to $350,000 in monthly sales. Our experts can help you project a timeline for how long it will take to reach profitability, among other key metrics.
The process of obtaining proper licenses is a necessary evil when starting a cannabis business. To further complicate the process, each state law determines who may cultivate and sell marijuana. Although the sale and cultivation of cannabis is considered a federal crime, following local and state laws will reduce and likely minimize serious problems.
The type of licenses and documentation your cannabis business requires will depend on both the location of your operation and the type of business you are conducting. For example, as a grower, your requirements will be vastly different than that of a retailer. GreenGrowth CPAs has helped over a dozen cultivation and manufacturing companies successfully secure their licenses and we would be thrilled to help you obtain your license.
We can help:
Attract the right funds and additional partners for your business is vital. Investors may be intrigued by the cannabis industry, but its newness may create a level of risk that turns away funders. In addition, cannabis businesses are a bit more capital intensive than most, with estimations of $50,000-$65,000 in start-up expenses.
Broadly speaking, there are two ways to get capital for a new business: debt and equity.
Though there aren’t many traditional funding sources open to a cannabis business, crowdfunding is still an option. The SEC allows anyone to invest $2,000 in small businesses in exchange for a stake. Companies can raise up to $1 million through crowdfunding sources. Check out Fundanna, CannaFundr, and 420fundme.
Traditional banks often can’t offer your cannabis business a loan, but there are other investors who will invest if you can show a solid ROI (return on investment). These general rules will help your chances:
Look for venture capital funds that are familiar with the industry. Research Privateer Holdings, which has raised more than $100M to fund legal marijuana businesses. Others include Tuatara Capital, MedMen Capital, and Snoop Dogg’s Casa Verde.
Online loan companies have an easier time lending than traditional banks. Do some research to see if an online loan company can legally extend a loan to a cannabis company (as regulations will vary by state). Online loans often have an easier application process, lower interest rates, and higher approval rates.