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Know What Every Pound Actually Cost You.
A grower can carry more of its spending into inventory than a dispensary ever can, but only when the books show where the money went. We cost every harvest so your tax return and your pricing start from the real number.
Cannabis Grower Accounting For Michigan Cultivators
Cultivation is a production business, and the tax code treats it like one. Where Section 280E applies, it takes most ordinary deductions off the table, but a producer can generally carry production costs such as grow room power, nutrients and cultivation labor into inventory, well beyond what a cannabis retailer can. Those costs come back through cost of goods sold when the crop sells.
That advantage only exists on paper if the paper is there. Our cannabis cultivation bookkeeping runs monthly in QuickBooks Online, costed by room and by harvest, for growers across Michigan and virtually. When you want an outside advisor on pricing or expansion, fractional CFO services sit on top of it.
Behind the harvest costing is real training. People on our team completed both a Cannabis Associate Program and a Cannabis Specialist Program and hold both certificates, we follow the DOPE CFO method for cannabis businesses in our daily processes, and all of our partners are QuickBooks Online ProAdvisors. Cultivation is one of four cannabis operations among our industry specialties.
Where Cultivation Money Slips Out Of Inventory
Most of it leaves through records that were never set up to follow the crop.
How A Harvest Moves Through Your Books
The same routine runs every month, so each harvest comes out with a cost you can stand behind.
We Build Cost Pools Around Your Rooms
Before the first close, we set up a chart of accounts for cultivation that keeps production cost apart from selling and office cost.
We Assign Costs To Each Harvest
Utilities, nutrients, growing media, supplies and labor are allocated to the rooms and batches that used them, with weekly or bi-weekly payroll coded so hours follow the crop.
We Record Waste And Destruction
Trim waste, failed crops and destroyed plants are written off in the month they happen, matched to your destruction records and the state's seed-to-sale tracking.
We Turn It Into Cost Per Pound
At harvest you see what each pound cost to grow, room by room. That number feeds the prices you quote to dispensaries and cannabis processors, and the tax planning we do with you during the year.
Indoor Rooms, Outdoor Seasons And A Michigan Calendar
Indoor rooms can harvest on a rolling schedule, while an outdoor grow in Michigan usually spends from spring through summer and brings in its crop once, in the fall. That puts months of cost in front of the revenue, so a cash flow forecast matters as much as the harvest itself.
We work with growers all across Michigan, remotely. Everything runs by phone, video and secure file exchange.
What Growers Ask Before Handing Us The Books
Can you cost a harvest that has already been sold?
Often, yes. If the payroll, utility and supply records exist, we can rebuild harvest costs from them and bring inventory in line before the return is prepared. We tell you up front what the records can support and scope that catch-up in writing before starting.
Do we need a separate account for every grow room?
Not necessarily, but you do need some way to see cost by room or by harvest. We set the books up to match how you actually grow, so the detail is there without making daily entry harder for your team.
We sell wholesale to dispensaries. Does that change anything?
It changes the questions your numbers should answer. With cost per pound in hand, you can see which wholesale prices leave a real margin and which only move product. If you want pricing and planning help beyond the monthly close, we take that on as your outside advisor.
Where Your Harvest Goes Next
Extraction and production costs followed batch by batch, from input material to finished product.
Cannabis processors in detail Cannabis TransportersSecure transport operators with cost per run, driver payroll and every manifest tied to an invoice.
Cannabis transporters in detail Cannabis RetailersDispensary books where inventory, cash, cost of goods sold and excise and sales tax are reconciled every month.
Cannabis retailers in detail All Industries We ServeCannabis, food and beverage and retail, with the credentials and detail behind each specialty.
Return to IndustriesBring Us Your Last Harvest And Your Next One
Tell us how you grow and how the books are kept today. The first consultation is free, and we will show you what it takes to know your cost per pound every month.