By Daniel Casciato
In recent years, more states, such as Florida, have been relaxing laws which prohibit the use and sale of cannabis. Some have legalized it for medical use, and a few, for recreational use. But, since marijuana remains illegal under federal law, businesses in the cannabis space find it challenging to meet tax compliance obligations.
Many banks also are hesitant of accepting deposits and afraid of violating money laundering laws. That’s why it’s imperative to work with an accounting firm that has the financial knowledge and applicable skills to help those in the cannabis industry.
As an accounting firm located in Winter Park and North Palm Beach, Florida, Moss, Krusick & Associates (MKA) has been proactive in preparing for accounting needs that will arise in the cannabis industry.
“We are positioning ourselves to be a leader in the Florida cannabis industry by understanding reporting for state/investor/banking needs as well as compliance requirements,” explains W. Ed Moss, Jr., managing partner of the firm.
MKA has approximately 60 professional and administrative personnel including seven partners, two who have been in the Orlando and North Palm Beach area for over 25 years each. As a boutique firm, it was formed as an alternative to a national firm.
“By providing proactive, personal and prompt services utilizing our business acumen and leveraging our indepth knowledge of specific industries, we are confident our association will be mutually beneficial and profitable,” says Moss.
The firm offers tax planning and preparation, auditing and accounting, outsourced financial statement assistance and IT services to small and medium size business at competitive prices without sacrificing quality.
“We have a concentration of clients in the cannabis, real estate, non-profit, health care, and employment benefit plan industries,” adds Moss.
Moss points out that MKA has worked with four Florida cannabis companies in performing inventory and audit procedures which gives them valuable industry experience.
“We have also worked closely with an accounting firm from California who specializes in the cannabis industry,” he says. “In addition, we are a member of the BDO alliance program, giving us access to the 5th largest accounting firm in the world.”
Some of the accounting challenges that cannabis companies face are allocating expenses between selling, general and administrative expenses and cost of goods sold expenses, inventory valuation and tracking, and state/investor/banking reporting needs.
Also, since most of these companies are startups, Moss says that accounting is usually the last part of the company to get implemented.
“This is where we can step in and ensure the appropriate procedures are in place,” he says.
The firm’s target audience is not only companies that are startups but companies that are in place, specifically companies that need monthly/quarterly/year round accounting and tax help, along with any audit, review, compilation and compliance services.
“Since this is a new industry, we can help these companies navigate the ever changing environment,” says Moss.
Moss, Krusick & Associates provides services to companies throughout the State of Florida. For more information, please contact them at 501 S. New York Ave, Ste 100, Winter Park, FL 32789. Visit them at www.mosskrusick.com, call (407) 644-5811, send a fax to (407) 644-6022, or email moss@mosskrusick.com.
