Challenges That are Commonly Faced by CBD Retailers

The CBD industry is an industry that has grown exponentially over the last decade. CBD, for those who are unaware, is a derivative of the Cannabis plant that can have some very positive effects on the human body and is not an intoxicant. CBD is entirely natural and, when sourced organically, can have a great effect on your health and improve your quality of life. The growth of the CBD industry has been absolutely massive, and it is predicted to double in the next few years. If you are hoping to get involved in the CBD industry – now is a better time than ever.

The industry, however, is fraught with challenges and problems, and is not as simple as just ‘starting up’. There are many things that CBD retailers must endure to see their businesses become very successful. This page will hope to tell you a few of the challenges that CBD retailers must endure and how they can overcome them. CBD is a great industry to start up in if you are patient.

If you are interested in starting your own CBD business selling full spectrum CBD oil and are interested in learning of some of the challenges commonly faced by CBD retailers, then look no further than here, as you will find them all here.

Finding a Wholesaler

A huge component of the CBD industries appeal to consumers is its potential to be organic. Because of this, it is crucial that you find an organic wholesale CBD partner, so you can meet your customer’s wants and needs. Finding an organic CBD wholesaler is not that easy, however, and can be quite difficult. Many CBD wholesalers are not forthcoming and honest about their growing methods and how they extract CBD from the Cannabis (or hemp) plant. You can, through painstaking research, reviews, and studying, find an organic wholesaler, but it will take a lot of effort. This is one of the challenges that CBD retailers face. Many people in our part of the 21st century will simply refuse to purchase something if it is not entirely organic and sustainably grown.

Licensing

Another challenge endured by CBD retailers is the painstakingly long licensing process. The licensing process is fraught with difficulty, with many CBD retailers being turned away, or being subject to extortionately priced license fees. When applying for a CBD-retailing license you are required to pay for your license and other license acquisition costs without any promise of actually having your license granted. This is, for many, a deterrent to becoming involved in the CBD industry. The licensing process can last for many months and, as aforementioned, may wind up, after you have paid for licensing, being denied. If you can manage to complete the licensing process, then you will be able to embark on a career as a CBD retailer but will face more problems and challenges further down the road. It is important you see the licensing process out until the end so you have the best shot at becoming a CBD retailer.

Negative Perception

The Cannabis industry has a very negative perception. While it has been legalized in many countries and states in North America (Cannabis), it is still considered by many to be a harmful drug and an illegal one. Because of this, CBD retailers are often tarnished with the same brush as the Cannabis sellers themselves, and their stores and shopfronts are avoided by members of the public who have a negative perception of the Cannabis industry. This negative perception can massively hinder a CBD retailer if they set up their business in a more conservative area where the people are less accepting of Cannabis.

Regulations

Because CBD is derived from the Cannabis plant, it is subject to the same regulatory changes as Cannabis and any other Cannabis by-products. This, for many CBD retailers, can be a massive headache. Legislation on Cannabis is always changing, growing less strict, and stricter. The regulations surrounding Cannabis can be a massive challenge to keep up with, and it can become very disorientating for many. If you are thinking of starting a CBD business, it may be worth hiring an attorney and having them on retainer so that they can keep you up to date on all of the changing Cannabis legislation that may affect or impact your business.

Transaction Issues

It is very common for credit card vendors to be reluctant to allow CBD retailers to use their platforms to sell their products and receive money through. This can become very problematic, especially now, during the COVID-19 epidemic, when our governments are insisting that we should avoid using cash as it can contaminate and potentially be a vector for viral transmission. The transaction issues faced by many CBD businesses are a deterrent for many to get involved.

Competition

The CBD industry is fraught with competition. This highly competitive industry is one of the main reasons that people do not even bother getting involved in it. The CBD industry is very oversaturated – but it can still yield huge profits if you market effectively and target your demographic. The competition, providing you are a unique and hardworking businessman (or woman), should not be much of a problem. It can still be a challenge, but one that can be managed. The CBD industry is undoubtedly one of the most competitive industries in the entire world – and that is because there are so many people trying to establish themselves in it at once.

Land

If you are planning on growing Cannabis (or hemp) yourself, then you will need to own a lot of land. Many people decide to grow their own plants to cut down on wholesale costs, so they can directly manufacture and produce their own products. The land required can be a lot, which is another challenge people without significant net worth from the offset can experience. Without land, you will be resigned to raising money for some or purchasing from a wholesaler.

Now, with the help of this page, you know all of the challenges one may experience when starting their own CBD business. CBD is a great industry to get into, but one wherein you may experience frequent problems. Keeping an open mind and accepting that you may experience difficulty is a great attitude to have when going into the world of CBD.