So you’ve heard the buzz about this popular wonder product, CBD Isolate, that everyone’s raving about and decided you want in? Congratulations – you’re jumping on a fast moving train that is going places! CBD has everyone’s attention right now and since the U.S. just recently legalized hemp, that means even more action and opportunity awaits in the industry. The CBD Isolate business is being regarded as the next big gold rush, attracting hopeful entrepreneurs formulating new, more powerful and enticing products to take the top spot in the industry.
However, the world of CBD sales isn’t quite as cut and dry or simple as, say, beauty or fashion e-commerce. There’s plenty of research you’ll need to do before you can jump in. Once you’ve learned about the basics, such as what CBD Isolate is, its benefits and how it is used, start your next phase of research with the legality of the products you’re about to sell; not just on the retail/selling end, but also on the end user’s end, so you can answer any questions your customers may have (and they will) in an educated, honest way.
Understand the Legality of CBD Isolate
Laws concerning CBD and its sources exist federally and then on a state by state business. Let’s start with the federal status. Hemp-extracted CBD products are legal according to the federal government – hemp being the particular source from which it is legal. If THC levels are under the the legal threshold of 0.3%, then oils, supplements or other products are legal to sell. This also applies to most state-level legislation. However marijuana derived CBD is still up for debate, although slowly becoming less and less rigid. Marijuana derived CBD is usually above the 0.3% threshold which makes it federally illegal. If you’re considering starting a CBD Isolate business, it’s important to take a careful look at your individual state’s laws and the their stance on the legality of CBD Isolate.
Setting up the Business
Along with having a solid, well fleshed out business plan, you’ll also want to set up with the proper entities, obtain the required licenses and such to make sure your business is set up the way it should be and according to the law. You’ll want to obtain the proper incorporation, business licenses and EIN/TIN for your CBD business; make sure that your CBD products are really being made from hemp and not marijuana, to avoid getting into hot water later on, legally. You’ll also want to provide full transparency and add any required wording on your product packaging in accordance with the country or state you’re in. Be sure all your setup is in adherence with the state laws set forth by your region’s government so you don’t get into hot water later.
You’ll also want to steer clear of any claims that your product prevents, treats, diagnoses or cures a disease. This can get you in trouble with the FDA owing to the fact that most CBD health claims are not federally approved or backed by hard research to support their validity. Enlisting the help of a lawyer that is familiar with the industry might be your best bet to staying on the right side of the law with your CBD business.
Understand the Perception of CBD Isolate and Prepare Yourself Accordingly
Hopefully you’ve already done extensive personal research on CBD to drive you to consider starting a business around it; however your consumer might not be as well versed in it as you are and will look to you to be their guide as they near a purchasing decision. Conversely, your consumer might actually already know a ton about CBD – and if you’re just now entering the industry, you’ll want to be sure you’re caught up enough on the information that you can maintain a knowledgeable stance as you discuss your product with the consumer. No matter what, you’re basically better off being an expert when it comes to the product you’re about to sell.
When it comes to the perception of CBD, you’ll definitely get questions regarding its legality, so again, be sure about the status of selling and buying it in your state so you can inform your customers confidently should they ask. Some common customer questions include but are not limited to:
- Is that Marijuana Oil/Extract?
- Will it Get me High?
- Will I fail a Drug Test if I take CBD Isolate?
- Is it Legal for you to sell/for me to buy?
- How much dosage should I take?
- How do I take CBD Oil?
- What is it Good for?
- Wouldn’t it be better for you if it were full spectrum or had THC?
It’s important to know the answers to these questions and to be honest and transparent with your customers. At this point in the industry, you have a responsibility and will make more sales if you are an educator with your product and if you show that you can be relied on to give accurate, helpful information.
In regards to the press, if there is any news story that comes out talking about authorities seizing store products or closing stores – there isn’t as much of a need to panic as you might think; the effect it has on the market has actually shown to be positive. Sales tend to spike and there tends to be a mad dash to get CBD Isolate, as if it were about to go out of stock forever. It can also be attributed to the fact that many people’s first time hearing about it might be that news story, leading them to researching the product – and lastly, it might be attributed to the fact that maybe people didn’t even know it was for sale in the area and will then begin a search to find some. In the case of CBD Isolate, bad publicity tend to be good publicity.
Know your Source
Again, this goes back to legality and being informed about your product. Make sure you can prove that your CBD Isolate is hemp derived, not marijuana derived. You’ll want to be sure it aligns with the details in the 2018 Farm Bill or 2018 Agricultural Improvement Act baseline. Researching your source as thoroughly as possible is key and ensuring that if you’re getting your product wholesale that your CBD Isolate wholesale provider has all their certifications, including the certificates of analysis. This is a certification that breaks down the makeup of the product.
The more prepared and knowledgeable you are about your product, the better your CBD Isolate business will do. Good luck!