Like many entrepreneurs interested in the natural health and wellness industry, you might be feeling immense pressure to open your business now. It’s pretty simple to start a website and obtain products, so you could technically have a functioning business selling CBD oil online by the end of the week.
But if you’re looking at starting a successful CBD business, it’s better to slow down, take your time, and do it right from the start. You can still get a jump on the CBD business before it becomes too overcrowded, but you’ll do much better in the long run if you avoid common mistakes and plan carefully beforehand.
Some of the best CBD oil companies use a few basic best practices. These tips won’t guarantee that you’ll be successful, but it will certainly help! Here’s what you need to know.
Study the Industry
The CBD industry is slightly more complex than many because of the controversy surrounding the products. Even though it’s basically legal all over the U.S. in the right forms, there are negative stigmas surrounding it and tricky laws you should know.
Study everything you can about how CBD is derived, what pure CBD looks like, who your audience is, how to handle naysayers, and more. Understand the different kinds of products, their uses, recommended dosage, and studies that promote their use.
There’s never too much you can learn about CBD if you’re planning to go into business in the industry. Additionally, develop a habit of continued research after you start your business. Subscribe to CBD news publications that will keep you up to date with the latest in the industry. This will help you better represent your brand and avoid major pitfalls.
Know the Competition
It’s certainly not too late to join the CBD industry as it’s still a relatively new market. You can build a competitive brand, but not if you don’t know who your competitors are.
There are certain brands like Penguin CBD that have been around for longer with a great reputation and plenty of customers. Examine brands, while learning what they stand for and how your brand measures up. Read their content, check out their product pages, watch their social sites, and even try their products.
As you evaluate your competitors, you’ll be able to identify what they’re doing well so you can copy it. You’ll also be able to define what’s missing – what value can you add to the industry that’s not already being used? If you can define this missing value proposition and use it for your company, success is yours.
Select a Strong Name
Choosing a name for CBD companies is challenging. You must choose something that will rank well in search without raising red flags for Google and social media search bots. You may also have a difficult time getting funding from a lender.
Many of the names that rank well in search engines have already been taken, but you can still build a competitive brand with a strong name. It could include the word “organic” or “natural” to indicate that you’re a health and wellness company.
Source Your Products
In your research of the industry, you probably quickly discovered that not all CBD products are made equally. In fact, some products are significantly better than others, primarily because of where they were derived.
There’s no federal regulation of CBD products, so you can’t be sure that the products you’re getting are perfect. If you’re not going to make your own CBD, it’s important to research vendors carefully to make sure they have a great reputation and will do right by you and your customers.
Establish Your Business Incorporation
There are many options for setting up an incorporation for your business. It’s all about the goals you want for your business, who you’re going into business with, and the best tax breaks you can receive.
Typically, CBD business owners will establish an LLC, or limited liability corporation. It’s the simplest format and is very affordable to setup and maintain.
If you’re not sure which format is right for you, speak with a business or financial advisor who will guide you in the right direction.
Build a Website
Now that you’ve taken care of all the background work, you’ll need a website. Even if you’re planning to sell CBD locally, it’s still recommended that you set up a website to expand your reach – some people won’t feel comfortable buying CBD in person but are happy to have it shipped to their door.
Choose a good ecommerce template that will drive conversions and keep you in business. It should include a CBD oil list and descriptions of all your products. You might consider hiring someone to build your website for you. A good website could mean the difference between massive success and slow orders, so this is worth considering.
Check the Laws
As you go through this process, keep a close eye on all the laws about selling CBD in your state. Typically, laws are fairly relaxed around CBD because it’s an in-between category in the cannabis industry.
Law enforcement typically has bigger fish to fry and won’t quibble over minor infractions, but it’s still a good idea to know what you’re up against. You should also know the strictest laws that could get you in trouble.
Advertise Like Crazy
Once your website is launched (and maybe a little before), it’s time to put the pedal to the metal and spread the word! Word typically spreads quickly about the amazing uses of CBD, and you need to channel all that positivity around your brand.
There are restrictions to advertising on most social platforms and in online settings. They ban all blatant advertisements of CBD. Therefore, storytelling will be your best asset in the realm of marketing.
Present as much content as you can about customers and individuals using CBD (your products, if possible), and how it changed their life. With the right marketing strategy, individuals will come to you!
Disclaimer: This article is intended for information and entertainment purposes only and is not intended to reflect the specific views of the publication.