5 Essential Steps to Start a CBD Business

Planning increases your chances of success

Starting any business involves planning, making financial decisions and completing a series of legal activities. If you are passionate about CBD and want to start a CBD business, make sure to follow these 5 essential steps to make the process less daunting and overwhelming. 

  1. Know the Law and Restrictions Regarding CBD

In many European countries it is absolutely legal to sell CBD, as long as the THC content is below 0.3% (or 0.2%, in some cases, such as in the UK). Any company which fails to provide proof of their CBD products not containing an illegal amount of THC put the business at risk of criminal charges.  

The most important thing when starting any business in an industry with laws and regulations which are continuously being reviewed and updated (such as the CBD market) is that you be aware of all the changes, first of all to ensure to operate within the law but also to not miss the possible benefits or opportunities. 

Make sure you treat CBD and your customers in a serious and mature manner. You must never suggest in any way that your CBD products are medicine and a cure for any specific affection or diseases. 

Licenses for CBD oil as a medicine have not been granted yet (at least in the UK), so if you are selling any type of CBD oil or products you cannot make a claim about their medical effectiveness (on the other hand, it is allowed to sell CBD products as nutritional/food supplements).

  1. Develop a Business Plan

The greatest CBD product without a way to sell it will make you lose money. Your business plan is the foundation, the roadmap of your new business. Business plans can help you get funding or bring new partners. 

In that sense, make sure your CBD company has a clear objective: identify your goals and budget accordingly. Also, think about your identity. Remember that the brand’s name is really important. It needs to be easy to remember and to pronounce. Keep it simple, avoid acronyms and always check the availability of the domain (the easiest way to do it is running an online business name search on Google). 

  1. Choose the Right Suppliers

Identifying the right supplier is the key for your business. If your supplier is not reliable or does not provide high-quality products, your company cannot be able to deliver well-priced CBD products that meet your customer’s expectations. Also, the supplier will not be held personally responsible by the end-user, the responsibility will be all yours as the business owner.

When choosing the supplier, it is extremely important to consider their value for money and service. Be thorough with your analysis, and if possible, visit them at their premises to make sure they fill your expectations for your company. 

  1. Build Your Online Presence

Although it sounds obvious, it is extremely important to set up a high-functioning and professional website. Your online presence is the most efficient way to market and sell your CBD products


Make sure you have high-quality photos with easy navigation on your website. Also, create and publish quality content (update your website with new and relevant content as frequently as possible).
The better your website design and content is, the higher your site will show up on search engine result pages

Building a website is not a difficult task. However, if your goal is to make your CBD brand look trustworthy, hire a professional. They can optimize your site for functionality, searchability and aesthetics, while you can put your efforts in other aspects of your CBD business. 

  1. Know Your Target Audience

Grouping your potential buyers based on certain criteria will help you focus your marketing efforts (packaging, ads, deals): once you identify your target audience, tailor your marketing materials to them. 

Studies show that young people, mostly women, are nowadays the biggest consumers of CBD. They see CBD as a treatment for anxiety, while older people are more open to the idea of using it to relieve certain types of chronic pain.

Also, do not forget to provide exceptional customer service. It can keep customers coming back (they are the key to success) and set you apart from other competitors.