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How To Start A CBD Business

How To Start A CBD Business

Posted by Zero Friction Marketing on Apr 10th 2020

If you are looking into starting a CBD business in 2020 we have a quick guide and checklist you should follow before you dive in! We know you’ll get bombarded with information on the internet with the do’s and don’ts of the industry so we'll be sure to keep it simple for you with 5 tips to keep in mind when you are starting your CBD business.

First, What is CBD?

CBD is short for cannabidiol which is a compound that can be found in the hemp plant or marijuana plant. CBD is the compound that does NOT get you high. Unlike its cousin THC (tetrahydrocannabinol) which does get you high.

What Is The Difference Between Hemp and Marijuana?

The main difference between the hemp and marijuana is the percentage of THC in the plant. Both are a type of cannabis plant, however, hemp is a plant with less than 0.3% of THC and marijuana contains a lot much more. While this is the most important factor in the difference between hemp and marijuana there are multiple other ways you can define the difference between the two. Other ways you can tell the difference between the plants are by appearance, chemical compound, and agricultural cultivation.

CBD is normally extracted from hemp because it has significantly less THC than the marijuana plant. Doc Patels CBD Products are all 0.00% THC which means they can’t get you hide.


Now that you know a little bit about CBD, here are the top 5 most important components to keep in mind when you are starting your own CBD business.

1. Stay Up To Date With CBD Legalities

While it is true that the CBD industry is booming and continuous to do so year after year with that also means that laws surrounding CBD are evolving as well. At the moment, the FDA is still exploring the regulations of CBD leaving the industry unregulated. This means that if you are starting your own CBD business you can’t make claims of health benefits. These types of claims are not tolerated.

You should also familiarize yourself with the 2018 Farm Bill which removed restrictions on CBD if it is extracted from hemp plants. According to federal law, hemp can’t contain more than 0.3% THC (tetrahydrocannabinol). Any product with more THC is considered federally illegal and a schedule 1 drug by the Drug Enforcement Admiration. The only approved health use of CBD is Epidiolex, a seizure drug.

Currently, if CBD is derived from the hemp plant containing less than 0.3% of THC you can sell it under federal law. Nonetheless, you should still check state laws depending on where you will be selling to in the United States.

2. Know How To Market Your CBD Products

After the 2018 Farm Bill was passed it did make it a bit easier for sell CBD. However, like every business there are difficulties you’ll have to overcome. For instance, selling CBD online on platforms such as Amazon, eBay, or Facebook can come with problems but you can easily overcome these challenges but understanding how to market your CBD products properly.

You should learn how you want to stand out amongst the competition. Engaging with your audience and creating compelling content makes a huge difference. Moreover, there are many customers in need of CBD education so you should focus on a specific niche.

  • Facebook: As of June 26, 2019 Facebook announced that it would lifting the bane on CBD products. So, advertisers can start to publish paid ads that promote topical hemp products.
  • Twitter: Twitter does not allow the advertising of CBD or any other herbal drugs. Nonetheless while you can promote the products you can build brand awareness with consistent posting and engagement. It is recommended that you stay away from making health claims about CBD. If you do, your account could get deactivated.
  • Instagram: Instagram is slightly more lenient than Twitter. You should look to post relevant and engaging content with images and videos that reflect your CBD marketing strategy.
  • Google Ads: Recently, Google has been exploring the world of CBD and is going through a trial run of allowing CBD to be advertised with certain companies to see how it goes. However, it is still a platform to be careful advertising on.

3. Build A Compelling Website

There are a few important key components when you’re building your website and starting your CBD business. Having a successful business varies on strategic planning and implementation of proven processes to perform successfully.

  • Pick a Name For Your Business: It is recommended you stray away from using the word CBD in your name. If you include the word CBD in your name you can encounter problems marketing your brand and have issues with your Bank or Merchant provider since CBD is still not fully regulated. Try and choose words that speak more to your brand and the audience you are targeting. Additionally, you want to choose a name that people can easily remember and spell which makes it easier for family and friends to recommend your CBD business. Lastly, verify that the name you want is available to register through GoDaddy.
  • Design A Logo To Represent Your CBD Business: You have multiple ways you can go with designing your logo. One way is crowdsourcing your logo through 99designs. This gives freelance designers a chance to design a logo for you with just a few pieces of information. At Doc Patels, when you partner with our CBD White Label or CBD Wholesale program we provide a CBD logo design for your business along with custom CBD packaging.
  • Choose An eCommerce Platform To Launch Your Website: You have multiple options when it comes to eCommerce platforms such as WooCommerce and BigCommerce. When it comes to choosing a platform you need to think about what the best platform would be for you and your CBD business. When you are choosing the best eCommerce platform for your CBD business you want to keep in mind a few things such as how customizable it is, the checkout process, etc. WooCommerce is a powerful tool for e-commerce. However, without the technical skills you could run into a lot of issues. Another great SaaS (Software as a Service) you could use is BigCommerce which has advanced tools and is great for creating customized and optimized pages.  

4. Choose A Trustworthy CBD Supplier

There are tons of CBD Distributors to choose from. You always want to ensure you are providing the best CBD products that would result in returning customers. You want you CBD products to be safe and effective. If you don’t sell safe and effective CBD products this will speak volumes to your brand identity and youll most definetly have people returning you product left and right.

To avoid any negative brand reputation and to have a successful CBD business partner with a CBD company you put your trust in. This is where Doc Patels steps in. AT Doc Patels all of our CBD products are 0.00% THC ensuring your CBD products won’t get anyone high and all of our prodcuts have been tested for safety and consistency. Most importantly Doc Patels doesn’t just claim this, you can find through our lab results for microbiological, mycotoxins, pesticides and solvent residue tests to verify the quality, safety, and consistency. Additionally, all our CBD products are backed by trained and licensed healthcare professionals during each step of our process to creating the most trusted CBD products in the industry.

5. Hire A Team That Aligns With Your Business Goals And Mission

Having a passionate and dedicated team to work with you to help take your CBD business where you want it to go is crucial in such a booming industry. Partner with a team of experts with business experience in all of the above tips we have discussed. Having a successful CBD business in 2020 takes a whole team of passionate individuals that are available to help steer your company in the right direction.

Overall, the key takeaway from our 5 tips to follow when starting your own CBD business in 2020 has a lot to do with the partners you choose to work with. At Doc Patels, we know the ins and out of the CBD industry and know what it takes to have a successful CBD business from choosing quality CBD products to understanding how to market them in every aspect youre covered. We provide an array of educational videos and material for you with research that is backed by professionals in the CBD industry to help take your business to the next level.

Connect With Doc Patels

If you have any additional questions about starting a CBD business in 2020 connect with our specialists today!