It seems that CBD (cannabidiol) is suddenly everywhere you look. Health stores, high streets, pharmacies, and even coffee shops are all excitedly stocking their shelves with CBD products. It’s a craze that’s quickly gathered momentum and is set to keep growing over the coming years.
It’s been forecast that the CBD market in the US alone will exceed a whopping $20 billion by 2024 – so if you’re looking for an opportunity in a growing market, you’re in the right place to get in on this CBD revolution.
But selling CBD comes with its own unique set of challenges – especially if you’re selling online.
To help you set up your sprouting CBD business for progress, we’ve assembled this broad manual for walk you through the tips and excursion ups that each CBD vender should know. We’ll ask significant inquiries like “What is CBD?” and “Is it legitimate?” prior to strolling you through the seven stages to setting up your own CBD online store:
How to Sell CBD Online
1. Do the research
2. Pick your products
3. Choose a reliable CBD provider
4. Start creating a brand
5. Build your online store
What Is CBD?
Let’s start with the basics, because there’s a lot of confusion and misunderstanding around what CBD actually is. CBD, or cannabidiol, is one of the main ingredients of cannabis – but don’t let that put you off.
CBD isn’t psychoactive – that means it’s not responsible for any of the “high” symptoms associated with cannabis (like paranoia or euphoria). The ingredient of cannabis that causes those symptoms is called THC.
You can get CBD from both hemp and marijuana plants. This guide will focus on hemp-derived CBD, because it contains much less THC – around 0.3%, which is the legal limit allowed when selling CBD products (we’ll cover the legal side of selling CBD next).
Why Do People Use CBD?
So, why is CBD so popular? Well, people believe it has medical benefits without the negative side effects that come with THC. These benefits include helping to:
- Relieve pain
- Reduce inflammation
- Relieve anxiety and depression
- Ease migraines and nausea
- Decrease seizures
There are plenty of different CBD products available. The main types include:
- CBD tinctures – place a couple of drops under the tongue.
- Edible CBD products – such as CBD infused chocolate, or adding it to coffee!
- CBD creams – applied directly to the skin to help with inflammation or arthritis.
- CBD capsules – tablets are a fast and familiar way of taking CBD.
- CBD isolates – “purified” CBD that has been turned into a powder.
- CBD vaporizers – vaping delivers quick results, and is a popular method of taking CBD.
- CBD patches – similar to nicotine patches, this gradually releases CBD into the body.
- CBD for pets – our four-legged friends can benefit from CBD, too!
Is CBD Legal?
A lot of the confusion around CBD is to do with the legalities of selling, buying, and using it. So we’ve picked out the key things you should know about the legal side of selling CBD online.
The first thing to make clear is that, yes, CBD is federally legal in the USA, as long as it meets certain requirements.
It is federally legal to sell hemp-derived CBD in the US, as long as it only contains up to 0.3% THC. If your CBD product contains more than 0.3% THC, it is legally defined as marijuana – not something you want to be selling!
Despite this, you do need to be careful – or at least mindful – about how you approach selling CBD online.
For one, different states have different rules and restrictions around CBD, and don’t always match up with the federal law. Because of this, you must always check your local legislation to make sure you’re not breaking any rules.
For example, some states require CBD to have 0% THC rather than 0.3%, and in a few states any CBD is still illegal.
Aside from always checking your state’s laws, there are two main things to know:
1. You can’t make medical claims about CBD
We know, this seems designed specifically to trip up CBD sellers. While the main reason most people use CBD is for its medical benefits, you can’t make grand medical claims when selling CBD products.
This is because CBD hasn’t been officially researched or approved by the FDA – until more is known about the effects of CBD, you simply can’t make claims about its medical benefits.
US sellers should avoid CBD edibles
While CBD edibles are legal in other countries like the UK, and are a familiar sight on US shelves, they’re actually illegal under US law. The FDA has banned adding CBD to food and drink under the Federal Food, Drug, and Cosmetic Act.
Until that changes – if it ever does – it’s best to avoid selling CBD edibles if you’re based in the US. Some companies market their CBD products as “dietary supplements” – do not do this. (You’ll get in trouble).
Instead, pick a CBD product that doesn’t involve food, drink, or diet, and sell safe in the knowledge that your business is totally above board.
CBD Dos and Don’ts
We realize that we’ve already given you a lot of information, and haven’t even started on the steps to setting up your business yet!
The upside to selling CBD is that it’s a fast-growing market, but you do have to be switched on to make the most of it. We want your CBD business to be a success, and to do that, you need to ensure you’re selling safely for both you and your customers.
Here’s a helpful list to remind you of the key CBD dos and don’ts – now is the perfect time to grab a cup of coffee and a slice of cake, before settling in for our seven steps to CBD success!
✔️Check local state laws before selling
✔️Source tested and high quality CBD for your products
✔️Label your products clearly and provide certification
✔️Understand how CBD works and carry out in-depth research
✔️Build a trustworthy brand for your CBD business
❌Sell CBD that contains more than 0.3% THC
❌Make medical health claims about your products
❌Use an unreliable or unofficial CBD supplier
❌Be careless when choosing a payment processor or website builder
❌Take risks that could affect your business or your customers