CBD OIL DISTRIBUTORS
If you ever thought about becoming a CBD oil distributor and starting your own business, this can be the right time to do it. Currently, the cannabis business is literally exploding and there’s a lot of money in cannabidiol (CBD) products. Actually, the CBD industry is expected to reach US$21 billion in revenue in 2020. There’s a high demand among the ever-growing number of users, who rely on CBD to relieve an array of health issues, instead of resorting to traditional chemical-based medicine.
A CBD distributor is basically a retail or wholesale provider of CBD products. Cannabidiol or CBD as it’s better known as a cannabinoid present in the cannabis plant. Nevertheless, cannabidiol should not get mistaken for tetrahydrocannabinol (THC), which is the cannabis compound that gets you “high”. CBD is not a psychoactive substance, but it rather offers you relief for common health issues.
- Get Organized and Write Down Your Business Plan
As with any business, anyone wanting to enter the CBD industry needs to devise an action plan. That initial business plan should include topics like costs. Finances could be the first obstacle you encounter, so you have to make decisions on what type of business will be better money-wise. Usually, going online is less expensive than having a physical shop. You also have to take into consideration who will be your target audience, because that’s key for marketing your business. You will need a good, comprehensive website and strong presence on social media, as well as attending industry-related events.
- Give Your Business an Identity
First of all, you need to find a name for the business that sounds good and also is easy to remember. That’s important because your business name will tell your customers about your expertise in the field as well as giving you credibility and dependability. As important as a name is to decide if your business will be the decision of running a physical store or an online CBD oil products store. Both of them have pros and cons. While a physical store allows you to interact directly with your customers, which could lead to a bond with them so they become repeating clients, it also has a lease and other maintenance costs. On the other hand, with an online store you can reach out to more people, maintenance costs are lower. Of course, you won’t have a real “relationship” with your customers. Nevertheless, you must know you can always do both at the same time. You just have to be aware that it is almost double the effort.
- Pick Your Products
Though becoming a CBD oil distributor is a very profitable business as it is, eventually you will want to diversify. This way you can broaden your audience. Some of the products you could add to your stock include CBD tinctures, edibles, and vaping paraphernalia.
- Work on Your Finances and Set Up a Bank Account for Your Business
It’s never a good idea to mix personal and business finances. That could lead to a tax mess. So ask your bank to set up a business account with low maintenance fees, business credit cards and the possibility of getting a loan in case your business may need money.
- Get the Necessary Licenses
You must know that selling CBD products is legal and its commercialization requires a business license, nevertheless, you may want a reseller’s license if you want to go online. Check your local regulations to see if you need any other licenses or permits.
- Join Forces with Already Established CBD Distributors
There are many companies around the world that are wholesale CBD distributors. Your choice must be taken following these rules:
- Get references to make sure they’re legitimate. While many companies are honest and offer high-quality products, a few offer low-quality products or even overprice them. Make sure they work with third-party test labs and look for references from other sellers. If a wholesale company fails to provide any reference, chances are they are not very dependable.
- Verify their customer service. It’s important that a company does whatever it takes to provide the product you asked for. Their customer service contact must be on their home page. Otherwise, it can be a sign they don’t care as much for their customers.
- Go to their social media. Dependable CBD oil distributors have a lot of social media activity. They have a good number of followers on Facebook, Twitter. Instagram and enough contacts in the industry on LinkedIn.