CBD Oil has been a hot and trending industry in the past few years. Nevertheless, not every state in the United States is allowed to market CBD oil. Due to CBD’s ingredient and the way it is produced, some nations are prohibiting the retail sale of CBD Oil based products.
Why market CBD Oil?
Some business research supports the claim that CBD (Cannabidiol ) has health benefits and therefore medical cannabis became legal in many states. CBD oil with the low dose of THC (tetrahydrocannabinol) or without THC does not cause any addiction, which is the principal reason that lots of CBD oil consumer are always looking for CBD products.
Regardless of the legal issues from the respective state authorities, CBD Oil is known and employed by many people for their own purpose. It’s mainly because of its’ pain relief capability for both humans and pets. So it’s popularity has grown faster than other supplements in the market and industry.
Why selling CBD is considered a high-risk business?
Many banks, payment processors and payment gateways consider selling CBD a high-risk business because CBD isn’t legal in certain nations. The liability, the expense of the item and higher chargeback rate makes selling CBD oil an extremely risky business.
Most merchants that look to market CBD Oil online or within a retail environment don’t know that it’s nearly impossible to get approved for a CBD Oil credit card processing merchant account. Currently, banks in the United States don’t approve merchants that sell CBD Oil-related products online and have no acceptance for a cbd oil merchant account solution. Many stores are selling CBD Oil along with e-cigs, cigars, glassware, pipes, and lots of smoke-related products. It’s only a matter of time before their merchant account supplier realizes that they’re selling any CBD Oil risky item. It is very likely, a retail business that sells CBD Oil will get their CBD oil merchant account solutions shut down if they’re working with a conventional domestic processing solution.
Ipaytotal has ideal CBD oil merchant account solutions for selling CBD oil online (eCommerce) or in the retail store. We have the right kind of payment solutions, both credit card processing, and eCheck, which will approve and support merchants that sell CBD Oil. The CBD Oil credit card processing merchant account and the eCheck solution supplied through iPayTotal’s CBD oil merchant account solutions is very compatible with lots of the most famous shopping carts, like Woo Commerce.
Why is it so tough get the merchant account if you’re dealing in CBD right now?
There are many concerns with any product associated with the Cannabis family. Due to cannabidiol’s association with marijuana, most banks and payment processors shy away from doing business with CBD vendors. This is even more apparent for newer companies, who lack the processing history and credibility of bigger brands and struggle to find willing service providers for their CBD oil merchant account solutions. The Federal stance on the plant itself is the main concern for any bank or financial player in the space. On April 30th, 2018, the 9th US Circuit Court rejected a petition from the Hemp Industries Association, thus establishing the classification of CBD as a Schedule I Drug. This ruling could lead to problems for CBD merchants, who are marketing (in the eyes of the federal government) a substance on the same level of illegality as cocaine and heroin. Finding the proper credit card processing solutions can be difficult to find, and while the CBD oil business has propelled into a billion-dollar industry, we understand that the best way to expand your market is to share your services and products via an online presence. However, iPayTotal has solutions that may help these merchants in need of a CBD merchant account solution.
Does CBD fall under the same restrictions of the marijuana merchant accounts or a dispensary?
Yes. As it’s related to the cannabis plant itself, the same difficulties should be expected when locating a merchant account. What iPayTotal does this is different from other merchants accounts services from the cannabis area? Our intention is to build a longstanding business relationship. Regardless of the size of your organization, we’ll be there, work with you, each step along the way to get your CBD oil merchant account solutions. We realize that you have enough to cope with as you are building and growing your business, so leave the payment side of things to us.
Plus, each of our processing banks is totally aware of the merchandise you are selling. There aren’t any hidden descriptors, nothing dishonest on the application to acquire an acceptance, and there aren’t any surprises in any way. You are going to know about everything upfront since we anticipate the same in return to get you the best CBD oil merchant account solution for your business.
Is it easier or more challenging to get cannabis or hemp-based merchant accounts away from the USA?
Even though you can have more international banks that are eager to play with a ball, than you have domestically – the process may still be very complicated. Most offshore banks will ask you to register your company in their nation, which can be very costly and time-consuming.