Launching your own small business can be difficult enough, but when you are a business owner involved in natural health products like CBD, almost all aspects of business can be trying. One area that you will need to especially focus on is your finances as your small business will rely on your continued investment in order to thrive.
If you are one of the many entrepreneurs looking to join in the Cannabidiol craze, here are three money-saving tips for starting your own CBD company.
1. Seek Out Legal Services Prior to Launch
The level of care that you will have to exercise with your CBD business will largely depend on the types of products you decide to sell. For example, if you are selling CBD oil that is extracted from industrial hemp and falls below the legal level of THC (.03 percent), chances are that there will be less due diligence that needs to be taken care of on your side.
If you plan to sell CBD products that contain ingredients like THC or if you plan on selling CBD as a part of a dispensary that also sells medical marijuana and other such products, you will need to make sure that your business meets regulatory compliance laws and has the proper licenses.
If you plan on selling anything other than CBD and launching a cannabis business, make sure to reach out to cannabis lawyers who are well-versed on cannabis law and providing legal counsel to those who operate within the marijuana industry. Fortunately, there are plenty of cannabis attorneys available in states that have made marijuana legal, such as the state of California.
Make sure to reach out to a cannabis lawyer in California that can provide you with legal advice and handle any litigation that may be needed as you grow. You should also take the time to look into other important topics like personal injury laws on a physical job site, trademark laws, intellectual property rights, and patents for your brand, and business law such as what your contracts will look like with your distributors or what you will need to do if you find yourself so big that you could make mergers and acquisitions happen.
2. Find Suppliers Who Can Help You Cut Costs on Your Products
Beyond legal help, you should be looking for growers and suppliers who can provide you with affordable, safe access to the CBD oils and ingredients you need and help you minimize costs. As collective owners of cannabis companies and CBD companies will tell you, getting a deal on the ingredients you need (while still making sure that your supplier has years of experience and can provide high-quality products) is vital to keeping your new business afloat.
At the same time, you are looking to cut costs in this manner, you should also be trying to find affordable ways to produce your products. The more you do to cut down on costs,
the better you are going to sell in a retail environment as well.
3. Focus on Free (or Inexpensive) Marketing Tactics
Marketing CBD products doesn’t have to be expensive. Social media, high-ranking SEO strategies, and customer referrals are all relatively free or cheap ways to make sure that you are increasing overall exposure to your target market.
If you are looking for traditional methods, you can always invest a small amount of money to produce business cards and other printed goods that will help spread the word of your business in your area. Once you have more extensive experience, you can aim to be featured on great review platforms like The CBD Insider.
Having a solid plan for your CBD or cannabis business is vital to keeping your business in operation for years to come. If you want to make sure that your CBD business thrives, use the three money-saving tips provided above to get started on the right foot.