If he thinks that's how something should be done, I'd stay away from him in the future.

You can't summarize years in just one year.

You can't file taxes for a year where the entity didn't exist.

You file taxes by tax year reporting the activity for the year. Think of this as building a brick wall = one row at a time, not just the top row and call it good.

You mentioned testing. That might mean there is equipment (asset costs, not expense) and analyzers are not cheap, and it makes one wonder what happened to that equipment? If they didn't "touch" cannabis, they were not a retail operation, is that what is meant here? That makes them an ancillary service and they still fall under cannabis operating regulations.

They had payroll, and you know you are going to run into 1099-NEC issues, which includes horrendous penalties.

This is not going to end well.