It’s a great time to start a CBD company. More and more people are turning to cannabidiol to help them with their healthy lifestyle, which has created a healthy growth market for the calming cannabinoid. However, just as with any other business, starting out can be a confusing and daunting process. Not to worry, we’ve created an easy-to-follow guide that will get you started on your journey to becoming the next great CBD brand!
1.Secure all the proper licenses.
In accordance with the 2018 Farm bill, it is legal to sell CBD products that contain 0.03% or less THC. However, states like New York, California, and Colorado have a higher allowance, so it would be a good idea to look into the specific laws of the states where you want to sell to protect yourself from an audit by the Federal Drug Administration (FDA).
In the United States, you do not need a license to sell CBD products that are in accordance with the Farm Bill. You will want to form a Limited Liability Corporation (LLC) in order to legally do business in the US though. There are other types of corporations you could form, but an LLC is a good option for new CBD brands as the process is relatively simple and the cost is usually no greater than $100.
You will also need to obtain your reseller’s license if you plan to buy products in bulk at a lower price. This will be necessary for anyone who is not making 100% of their CBD products in-house.
2. Become an expert in your field.
As a CBD vendor, your customers are going to expect you to be an expert on the CBD brands you carry. It’s going to be difficult to make a sale if you can’t answer questions about the endocannabinoid system, and how cannabidiol affects the human body when it enters the bloodstream. If you’re feeling overwhelmed by all that information, just put yourself in the shoes of your customer and start asking the obvious questions.
Clients will be curious about the therapeutic benefits of CBD. You will often get questions about mixing CBD with melatonin and other relaxants from your patients with insomnia. Many will wonder about the anti-inflammatory properties of certain tinctures or will want to know about the side effects of mixing CBD with their vitamins. Of course, you will learn new things about CBD and the products you carry just through doing business, but the better you know your product, the easier it will be to connect that product to your clients and make a sale.
As you educate yourself on your product, you will find that reviews are going to be your best friend. If you are looking for the best deal on a sour worm CBD gummy, then it would be in your best interest to read through a few CBD gummies reviews to find the lower price among competing brands. Reviews are amazing because they address most buyers’ concerns and are very specific. As you build up your product line you can find reviews on anything from CBD isolate to pure CBD high fructose corn syrup apple rings and almost anything else you could possibly want to sell.
3. Stock up on your products.
As a young CBD brand, going out of stock in a popular item is the last thing you want. CBD companies that are known for selling out too often tend to lose their customers due to long wait times. Customers who suffer from chronic pain, epilepsy, or immunity issues might not have the luxury of waiting for you to restock on CBD oil.
The best CBD companies often invest in business storage for their CBD products, and with good reason: they don’t want to lose any customers over something as avoidable as being out of stock on THC-free gummy bears.
If you are starting your CBD brand on your own and you don’t want the hallways of your apartment filling up with boxes of gummies and CBD isolate, then it would be a good idea to do a Google search of “storage space near me” along with your zip code and see what you can find. Using a self-storage facility is a good option if you want to clear up some extra space in your house, and it’s a great choice if you have seasonal items that you aren’t going to use for a long period of time.