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Should You Start A CBD Business?

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CBD is not a It's a business.

CBD oil is gaining a lot of popularity as more and more people realize the many medical benefits of using it. CBD oil can improve many ailments and help in the treatment of some of the most dangerous diseases in the world such as breast cancer, tumor and even cancer of lungs (Source). Chronic pain conditions and rheumatoid arthritis are some of the many other conditions that can see improvements when CBD oil is used (source) (source).

What Exactly Is CBD Oil?

CBD oil is short for Cannabidiol. Found in industrial hemp and cannabis plants, is a cannabinoid found along with more than 80 other cannabinoids in cannabis plants. What makes CBD oil so popular today is the fact that it has extremely low levels of THC (tetrahydrocannabinol), a component that has a very high psychoactive effect. What this means is that the use of CBD oil will not make a person feel high. It is also non-habit-forming in nature coming from sativa strain whereas most psychoactive components causing the “high” effects are obtained from indica strain.

High Risk = High

So the answer is YES. If you can find a good CBD oil manufacture or supplier, you should consider starting a CBD retail or wholesale business.

Solution for Businesses Selling CBD Oil Online

Since the case of legalizing marijuana and the use of CBD oil keeps going back and forth, the businesses related to these products are considered high-risk businesses by major merchant providers and banks. Since the existing merchant system (VISA, MasterCard, AMEX, Discover, etc) for accepting payments from customers does not suit marijuana and CBD industry, a CBD oil merchant account specifically designed for the marijuana industry is the best way to go. Looking at the results of modern research on the medical effects of CBD oil, it can be predicted that this industry has a lucrative future. If you understand the scope of the industry and what the future holds for high risk CBD oil businesses, here is some important information to start the application process for a CBD oil merchant account.

  1. You need to have a nice looking working and compliant website. Your company name, phone number, address, and email must be displayed.  Your website needs to be SSL secure.  You must display the terms of service and return policy.  Clearly listed prices per item and a clear item description.
  2. The estimated monthly volume for processing should be projected at $10,000 or more a month. If you are processing $100,000 or more worth of orders on a monthly basis, you’re considered a good investment for the bank processor.
  3. The balance in your bank account should also fall within the category of “healthy” and “worthwhile”. Having a negative bank account balance or overdrafts occurring does not signal a financially stable company.
  4. Low chargebacks are important for being considered for approval. The optimal range in chargebacks is less than 1% of your total monthly volume and less than 1% of your total monthly transactions.  Having a chargeback history above 1% makes it more difficult to receive an approval for a CBD Oil merchant account..

With these points in mind, you can apply for a CBD oil merchant account with only select online service providers that can support and actually approve credit card processing for this industry. Keep in mind that some merchant account providers will accept you only for eCheck and not for an actual credit card processing account. They will not accept you if you are selling marijuana, kratom, or other non CBD Oil products.

Why choose Moneck Payment Solutions for High Risk CBD Oil Merchant Account

When you already understand the nature of your business and the additional challenges you have to face when compared to other industries, you need to pick your CBD oil merchant account provider wisely. Moneck Payment Solutions is one of the most highly recommended solutions for you because the company has been around for a long time and has the right reputation to be trusted by you or any other business. Here are the top reasons for picking Moneck Payment Solutions as your high risk CBD oil merchant account provider:

  • We offer solutions that provide reliable payment gateways, email invoicing, credit card processing and eCheck services, and a department dedicated to customer service.
  • Our application process is one of the quickest and easiest to complete.
  • We typically only require 3 months of bank statement and processing history from you.
  • Easy integration into some of the most common e-commerce platform for selling CBD Products.

We have always made things easier for our customers. We are sure once you sign up with our services, you will never look back at any other options.

* Restrictions apply. Merchant account availability & approval qualifications can change at any time. All files are subject to final approval and underwrite.
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