In Colorado alone, the CBD industry contributed $700 million in tax revenue during the first year of legalization.
This created a precedent for increased legalization and acceptance of the CBD industry and CBD products throughout the country. As a result, more entrepreneurs are jumping into selling CBD products.
If you’ve considered starting a CBD business, this detailed guide is all you’ll need. Before you sell CBD make sure you know how to get started with this new business.
Here’s what you must know:
Learn the Laws for a CBD Business
Even with increased legalization, there are still many strict laws that govern the CBD industry. Make sure that if you pursue starting a new company in the CBD industry you always abide by these laws.
It’s always best to hire a lawyer who works specifically within the CBD industry. They’ll inform you of what the laws are and they’ll always keep you posted about the updates to the laws and regulations within the CBD industry.
It can’t be stressed enough that you must follow these laws. Even the most minor infraction can destroy your company’s reputation. You must remember that a new CBD business launches almost every day, so you can easily get pushed aside by any new company that’s seen as more legitimate.
Choose Your CBD Products
Once you’ve decided to start a new company in the CBD industry, you must choose which CBD products you want to sell.
In the beginning, it’s best to focus on one or a few select products rather than selling any and every CBD product you can. You might also want to consider selling CBD products that haven’t yet become mainstream. This is a great way to distinguish yourself from your competition.
For example, you might consider selling CBL Cannabinoid. This is a rare cannabinoid and it’s likely to slowly become popular as it becomes mainstream. Now might be the perfect time to start selling it before the market becomes too saturated.
Register Your CBD Business
Once you’ve decided what CBD products to sell, you’re ready to start your CBD business.
Your lawyer will help you apply for the necessary licenses to start a CBD business in your locale. They’ll also help you decide what’s the appropriate business structure for a CBD business.
Your lawyer will be with you during the entire process of registering your company. One thing that you’ll have to take upon yourself is considering the name of your CBD business.
This will be your brand name and this is how you can attract interested buyers to your new business. As mentioned earlier, you’ll have lots of competition with other CBD businesses.
Choose a name that sticks out and differentiates your brand. This is also the time to consider branding and how you’ll make your CBD business instantly recognizable to others.
Make sure you wait for the entire business registration process to get completed. Once it is, then you’re ready to create your online store and order your supply of CBD products.
Establishing Yourself In the CBD Industry
Once your business is off the ground, you’ll have to make an effort to become known in the CBD industry.
This is when you network with other industry professionals, medical professionals, researchers, etc. This is when you attend events focused on the CBD industry.
For example, in addition to selling your CBD products directly to the consumer, you can also consider being a supplier to clinics and pharmacies. Go to every local clinic and pharmacy in your locale and introduce yourself.
If they’re interested in supplying CBD products to their clients, then you can tell them that you’ll provide the products. You can offer discounts to any clinic or pharmacy that buys CBD products from your company.
If your local universities conduct research on CBD products, make sure you introduce yourself. You can consider donating samples of your products for their research.
While you won’t earn any money from giving away free samples, you’re building your reputation. These researchers are often the best people who can refer your business to others.
If there’s ever a convention in your locale about the CBD industry, you must attend it. Distribute business cards and let everyone know who you are. This is how you make contacts and find future customers for your CBD business.
Promoting Your CBD Business to Customers
Once you’re known in the CBD industry, you must now make yourself known to potential customers.
The fastest method is to use social media to promote your CBD products. Instagram and Facebook are perhaps the best options for promoting the products.
You can share photos and video demonstrations of CBD products on these platforms. With Instagram, you can write a short product description as a caption. Facebook lets you write detailed descriptions of what to expect from the product.
Use platforms such as Twitter to share content about the CBD industry. With LinkedIn, you can network and write articles about the industry. These platforms help develop your reputation in the industry.
Another way is to consider direct mail advertising. Direct mail is still commonplace among medical products. Consider creating flyers promoting your products and sending them out to a mailing list.
Again, make sure that openly marketing CBD products is permitted in your locale. Even if selling CBD products is permitted, there might be strict regulations regarding advertising.
Make sure you always carry a small business card with your company’s website and images of the products with you. This ensures you can always give it to a potential customer.
Start Your CBD Business
Now you can start your CBD business and embark upon an exciting venture in this thriving industry.
You must first understand the laws of selling CBD products in your locale. Afterward, you can hire a lawyer to help you create your business.
Do your research on which CBD products you want to focus on selling first. Once you’ve set up shop, make sure you always promote yourself and your CBD business. You need to promote to your colleagues and to consumers.
You can find more articles about the trends in the CBD industry on our website.