A popular nutritional supplement derived from hemp called CBD oil lines the shelves of natural food stores and head shops across the Twin Cities. Although it hasn’t been approved for medical use, customers use CBD oil to treat everything from anxiety to restless leg syndrome.
There’s a lot of confusion out there when it comes to CBD. From its legality to what it actually is, cannabidiol (better known as CBD) leaves a lot of people scratching their heads. Is it marijuana? Is it even a drug? Where can I buy it (if I can legally purchase it at all)?
As demand grows for the oil, farmers and entrepreneurs in the world want a piece of the market. But the murky legal status of the supplement, and hemp itself is a challenge for an industry that already brings in an estimated $700 million a year nationally.
Merchant account solutions for CBD OIL are considered to be high risk in the online merchant account world due to the nature of how the oil is cultivated; this sends the banks and lenders an immediate red flag and your CBD oil merchant account is deemed as a high risk right from the get-go. This doesn’t mean you’re out of luck when it comes to eCommerce and payment processing online (also known as card-not-present transactions), it just means that you need to choose the right company to handle all your needs for CBD merchant processing.
The CBD oil industry has been booming over the past few years with these products becoming legal in more countries. If you are thinking of getting into this industry, you need to know everything you can before you start. One of the most important aspects of your business to focus on will be the Merchant account solutions for CBD OIL . There are a number of issues that you will face with payment solutions for CBD oil products, but there are also some innovative solutions that you can use.
Before you can look at the innovative payment solutions that you can use for a CBD oil product business, you need to know the hurdles that you face. A business that sells CBD oil products will not be able to use the traditional payment gateways offered to other retail businesses. This is due to the fact that CBD oil is still illegal in certain states and the state and federal legislation do not match in some areas.
This has led to a limitation in terms of merchant account solutions for CBD OIL/payment solution for people in the CBD oil industry. Banks will not allow you to open a merchant account with them if you have this type of business because it is still technically illegal on a federal level. Other traditional online payment gateways are also wary of CBD oil businesses because of the regulatory uncertainty.
Traditional merchant account providers will also generally reject applications from CBD oil businesses. This is why you need to look at other solutions for your payment system.