Cannabis Bookkeeping & Accounting Services

Professional financial systems designed for cannabis businesses

It is true that running a cannabis operation means organizing more than only inventory and daily transactions. The financial structure behind the business has an important role—particularly considering the pressure of IRS audits and license compliance as well as the limitations imposed by Section 280E.

That's why Cannabis Tax Advisors focuses exclusively on cannabis bookkeeping and accounting services built for the industry. We work with dispensaries, growers, manufacturers, and distributors to establish reliable, audit-ready systems.

Cannabis Bookkeeping Services

Why Cannabis Bookkeeping Is Different

Cannabis businesses face challenges that do not apply to traditional industries. Section 280E restricts the deductions available to plant-touching businesses. In other words, it puts more weight on how expenses are classified and how inventory is tracked.

Here's what sets cannabis bookkeeping apart:

280E accounting rules limit deductions

Only the cost of goods sold (COGS) is able to be written off, making precise inventory tracking fundamental. Misclassifying expenses or mixing up cost categories can result in major tax liabilities.

Heightened scrutiny from the IRS

Financial records should be consistent and well-organized. Poor documentation naturally can raise red flags during audits or threaten your licensing status.

You need a cannabis chart of accounts

Standard accounting structures don't cut it. Cannabis businesses should leverage industry-specific accounts, built to properly reflect inventory movement and COGS in accordance with 280E.

Seed-to-sale accounting is a must

Every transaction—from cultivation through distribution—should be captured and fully aligned with systems like Metrc, BioTrack, or Flowhub. Proper cannabis POS integration ensures the numbers match from plant to product.

What We Offer

At Cannabis Tax Advisors, we custom tailor every aspect of the cannabis bookkeeping system in order to match the demands of your license type and business model alongside state regulations. Our focus is to present aid in maintaining transparent records, lower audit risk, and support investor and lender confidence with accurate reporting.

Our cannabis accounting services can be listed as follows:

Daily, weekly, and monthly bookkeeping in parallel to your operational needs

COGS tracking and inventory-based accounting aligned with 280E rules

Cash flow management and customized financial statements (P&L, balance sheet, and more)

Custom cannabis chart of accounts for dispensaries and growers along with manufacturers

Seed-to-sale accounting integrated with systems like Metrc, BioTrack, and Flowhub

Cannabis POS integration that syncs transactions and inventory in real time

GAAP-compliant reporting to satisfy investor or lender expectations

We also present support in terms of the setup of systems that scale with your business. No matter if you are just launching or managing multiple licenses, our team makes sure that your accounting foundation is strong and cannabis-compliant.

Why Work with Cannabis Tax Advisors?

Collaborating with Cannabis Tax Advisors is actually about establishing an optimized financial system that supports your long-term growth and protects your license—it means more than just standard bookkeeping routine.

Here's what our clients gain from our cannabis bookkeeping and cannabis accounting services:

Lower risk of audits

We simply keep your records clean, professionally-documented, and 280E-compliant, lowering the chances of costly mistakes or red flags.

Better financial insight

With organized books and reports, business owners and operators can take timely actions in line with the accurate data.

Tax strategy that works in real time

Our accounting process is built to support the tax filings by maximizing possible deductions while remaining fully compliant.

Compliance support at every stage

No matter if you are renewing a cannabis license, preparing for an investor pitch, or expanding into a new state, we make sure that the financial records are ready.

Who We Serve

At Cannabis Tax Advisors, we proudly work with licensed operators across the entire cannabis supply chain. Our cannabis bookkeeping and accounting services are custom-tailored to fulfill the needs of businesses at every stage of growth:

Retail dispensaries — both single-location shops and multi-site chains

Indoor and outdoor cultivation operations

Manufacturers of edibles, concentrates, oils, and infused products

Vertically integrated companies managing production, distribution, and sales under one roof

Multi-State Operators (MSOs) requiring consolidated financial systems and seed-to-sale accounting

Whether you're setting up your first cannabis chart of accounts or scaling your cannabis POS integration across multiple states, we help you protect your compliant status and be financially clear from day one.

Book a Free Consultation

Curious if your cannabis bookkeeping is helping or holding you back? Cannabis Tax Advisors offers a no-cost bookkeeping health check in order to assess your financial system.

What you'll get:

A review of your current accounting and reporting setup

Identification of potential issues with 280E accounting, COGS tracking, or documentation

Suggestions to improve your cannabis chart of accounts, POS integration, and inventory workflows

In the case of launching a new business, we'll help you lay the groundwork—everything from seed-to-sale software alignment to building a reliable accounting structure.

FAQs

Do cannabis businesses need a different chart of accounts?

Yes. A cannabis chart of accounts is designed to separate deductible COGS from non-deductible expenses under 280E accounting.

Can QuickBooks or Xero be used for cannabis bookkeeping?

They can, but they require custom setup and proper integration with seed-to-sale systems to stay compliant.

How do I track COGS for 280E compliance?

Leverage inventory-based accounting methods that link purchases and production in addition to sales directly to COGS through your cannabis chart of accounts.

What's the best accounting software for cannabis companies?

The best tools are those that support cannabis POS integration and allow seed-to-sale accounting customization—generally paired with QuickBooks or similar platforms.