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The 2018 Farm Bill opened up the world of CBD. The market has become so popular that entrepreneurs all over the nation are heavily considering joining the ever-growing list of CBD oil distributors.  Online eCommerce has made it easy to become a business owner with very little overhead. So, more than ever, business owners can consider new markets that are trending with little to no risk.  In this guide, we will discuss everything that you need to know about starting a CBD business. 

What is CBD?

Most of us have at least heard about CBD hemp products before, but if you are considering starting an online CBD business or brick-and-mortar store then you need to become more familiar with what it can offer your customers. You can put your research and knowledge to good use when narrowing down companies to source your CBD oil from.  CBD is also known as cannabidiol. There are more than 100 cannabinoids within the cannabis plant. The most popular cannabidiol in cannabis is tetrahydrocannabinol (THC). While CBD is a cannabinoid, it does not produce the same effects as THC.  There are loads of differences between THC and CBD, and you may want to do some research on the similarities and differences. CBD actually comes from the hemp plant. This will be important to know and understand when discussing your products with customers.  The Farm Bill, which made CBD legal, states that all CDB products must bear less than 0.3% of THC. If the THC level of a product goes over this mark then it is illegal. There are loads of CBD products available, including oil, edibles, CBD flowers, vape oil, and much more. However, the most popular products tend to be CBD oil.  In an industry that is new and so popular, it can be hard to know where to start when actively pursuing the possibility of starting a business. Research and product knowledge will only enhance your ability to offer great customer service and high-quality products. 

Why Become a CBD Seller?

Every entrepreneur has a different motivation for entering a specific industry. However, it typically comes down to the desire to make money, and CBD business opportunities are certainly on the rise.  The benefits of becoming a CBD distributor include the fact that you are helping others with overall wellness. Be sure that you are passionate about the market that you are entering, as this will increase your abilities to succeed. 

Identifying Your Target Audience

You first need to identify your target audience. This will help clarify your business plan. With this information, you can easily map out an approach that will cater to your customer’s interests in your products. This is one of the most pivotal parts of becoming a CBD oil distributor. It is near impossible to market your newly found business without knowing what they are looking for. 

Business Plan

You will want to outline your business plan. From there, start by registering your business. You will then want to consider if you need employees and how many, as well as if you need investors to get your business started.  If you are looking to start with a large operation, then employees and investors are something you will need. However, if you are just looking to ease into the market, you could consider having a CBD home business. In this case, you can properly handle most things on your own, or you may need to hire someone to help you. 

Online eCommerce CBD Distributors

Online eCommerce businesses are ideal for those who have more than one business venture. According to Disruptive Advertising, eCommerce business racked up $3.5 trillion in 2019. This is expected to hit $4.9 trillion by 2021. With these facts, it is easy to see that online eCommerce is a highly profitable option. Selling CBD oil from your home will require that you set up an online store. It is important to understand that even though it is an online business you still have to register. When you choose to sell online, you will not have to worry about a physical storefront. This means that you will not have the added cost of rent and utilities, which will allow your business to be more profitable.  Even if you have a physical location you may still choose to sell your products online. Let’s face it, we live in a highly technical world where most individuals spend hours searching the web. If you do not have some sort of digital presence you are missing out on a lot of potential business. Be aware of stipulations that platforms may have. Some platforms do not allow the sale of CBD oil. You will want to make a list of possible options and cross the ones who do not accommodate your products.  In addition, some merchant processors may consider you a high-risk business and deny you processing services. These are all hurdles that you will have to overcome, but realize that there are thousands of merchants and eCommerce platforms available, so you just have to find one that will cater to your needs.  There are both pros and cons when it comes to selling CBD oil from home. You will have to weigh your options and see which is best for you. Make sure that you are always complying with your CBD state laws. If a specific state does not allow CBD products, then you will not be able to ship them there. 

Resale License

It does not make a difference if you decide to sell CBD oil from your home or open a physical location, you will still need to apply for your resale license. All reputable CBD suppliers will ask that their distributors have a resale license or EIN.  Supplies who do not ask for this type of license from you are not someone that you want to be dealing with. This means that they are doing some shady business that could cause you trouble down the road. 

CBD Oil Suppliers

While the CBD industry is still in the process of growing, there are many gray areas when it comes to rules and regulations. This has caused some misunderstandings for many suppliers. It will be vital that you understand the laws and regulations of the industry so that you can properly identify mistakes and know which suppliers offer high-quality products. Quality should always be at the forefront of your mind. This is what will bring customers back time and time again.   Here are some guidelines that will help you when wanting to source high-quality CBD oil:

  • Grown in the USA (there are strict requirements for agricultural certification at the state level)
  • Ethanol or CO2 extraction
  • THC level of 0.3% or less
  • Full-spectrum or Whole-plant profile
  • Third-party lab testing

CBD Oil Distributor

There are several steps that you will have to take to become a CBD oil distributor. However, the results at the end will be rewarding. Here at CBD Flower USA, we offer CBD flower wholesale. If you are interested in learning more about this product or getting some wholesale information, use our online form to contact us Visit our blog to find out more about Smoking CBD, hemp strains, hemp terpenes, and more! 

Disclaimer: CBD Flower is not used to treat, cure, or mitigate any disease, illness, ailment, and/or condition. We make no representations as to intended use or suitability for use.