Recover real money for the development work you already do. Federal & state R&D tax credits — sourced through Royse Partners and handled end to end by Hydro Supply Co. Start with a free, instant estimate.
Unlock the tax credit hidden in your R&D. The federal Research & Development credit is a dollar-for-dollar reduction in tax for work you already do to develop or improve products, processes, and systems — and many states stack their own credit on top. Through our partnership with Royse Partners, Hydro Supply Co. delivers the full assessment, documentation, and audit-ready substantiation, so you capture every dollar you’ve earned without the headache — all handled in-house with one point of contact.
Cannabis operators face a tax landscape all their own — and most leave real money on the table. 80% of eligible U.S. businesses don’t know they qualify, and 6–20% of qualified R&D costs can come back as credits. Here’s how it actually works for cultivation and cannabis-adjacent facilities:
Qualifying R&D happens on the grow floor — cultivars, climate, fertigation, automation.
If you pay employees or contractors to develop or improve how you grow, you likely qualify — no minimum revenue, and startups with no profit have a payroll-offset pathway. Qualifying work includes:
Developing cultivars, formulations, or product lines.
Engineering grow rooms, fertigation, and production workflows.
Building or integrating environmental and control systems.
Experimental designs, pilot runs, and testing.
Industries served include agriculture & cultivation, manufacturing, engineering, biotech, and software.
A no-cost assessment of whether a credit makes sense for you.
We review your work and provide a credit estimate.
Documentation collected and run through a three-layer review.
A final Credit Letter with federal/state schedules and filing instructions.
A full report with methodology and audit-defense support.
Qualified R&D expenses generate a direct credit against federal or state tax liability — not just a deduction.
Amend prior-year returns to recover unclaimed federal or state R&D credits you already earned.
Qualified small businesses can apply up to $500,000 of R&D credits each year against payroll taxes — even pre-profit.
For informational purposes only. Businesses should consult a qualified professional for guidance specific to their circumstances.
The full landscape — 280E, state credits, qualifying activities, key benefits & real results. Click the cover to read it right here, no download needed.
Answer a few questions for an instant ballpark of your federal R&D credit. Royse Partners then confirms your exact federal + state number — everything handled in-house by Hydro Supply Co.