CBD startups and businesses may be wondering if they should or can sell bulk CBD. Finding the right product offering for your company can make all the difference. While it may seem like a good idea to add bulk CBD to your product offering, here are a few things to consider:
Determining If Your Company Should Sell Bulk CBD
- Licensing: There is no additional licensing required for selling bulk CBD. Any company can sell these wholesale products. There are no restrictions as to who can sell bulk CBD and who can purchase it.
- Profit margin: The profit margin for selling bulk CBD can be quite minimal if you’re reselling this product. Companies that grow their own hemp and/or extract their own CBD have a better opportunity for a more significant profit margin. If you plan on purchasing wholesale bulk CBD from an existing wholesaler and selling it under your own brand, the profit margin can be considerably less.
- The risk of low prices: If you’re able to find a CBD wholesaler with really inexpensive prices that may facilitate a better profit margin for reselling, you can run the risk of purchasing poor quality CBD. Bulk CBD advertised with significantly low prices can contain toxic ingredients and fillers like synthetic CBD, toxic solvents, and more.
Focusing On Finished CBD Products Instead of Bulk CBD
For most companies, selling bulk CBD, unfortunately, isn’t worth the minimal profit margin. It is extremely difficult to find high-quality bulk CBD with up to date COAs with low enough prices that would make this product offering worth your while. We recommend focusing on finished CBD products. If you’re interested in the B2B space, offer a white label or wholesale program for your CBD company.
Work with the Nation’s Leading CBD Wholesaler
Hemp Depot is proud to share all the current rules and regulations in the current CBD industry. It may seem like a good business strategy to sell bulk CBD but when you take a closer look, the value just isn’t there for many companies. As a seed to label provider, we’ve been able to achieve the highest quality bulk CBD available at the most competitive prices. We’ll handle your bulk CBD needs while you focus on our finished CBD product line! For more information regarding bulk CBD, please contact us!