Hemp is an immensely useful plant that’s utilized in a multitude of commercial products. Although it’s related to the marijuana plant and looks exactly like it, hemp contains little to no THC (tetrahydrocannabinol), the psychoactive compound that gets people high. Marijuana, on the other hand, contains higher levels of THC.While both plants contain CBD (cannabidiol), the hemp plant contains significantly monre than it’s counterpart. CBD doesn’t any psychoactive effects, making it a popular cannabinoid to extract for it’s medicinal properties and put into products like oils, edibles and other health and wellness products. There’s a growing body of scientific evidence to support the health benefits of hemp and CBD. So, if you’re looking to get involved in an industry with a lot of upside potential, consider starting a CBD business.
Before you get started, you may be wondering: what’s the legality status of CBD in 2022? Is selling CBD still profitable and which states have the highest demand? Where can a CBD dispensary open a proper banking account? We’ll be answering these questions in the following article. Read on.
Is CBD legal in 2022?
Yes and no. Although industrial hemp is legal in 50 states due to its uses in manufacturing fibers, bioplastics, and various other products, the legality of CBD is still a gray area in many places due to it being derived from the cannabis plant.
In order to be fully legal in a state, CBD products must be legalized on both state and federal level. As of this writing, 17 states have legalized both recreational and medicinal cannabis, provided that the user is of legal age. These states are:
- District of Columbia
- South Dakota
- New Jersey
Which states consume the most CBD?
Online searches for CBD have been skyrocketing across the United States ever since the Farm Bills of 2014 and 2018 have paved the way for this particular cannabinoid. As of 2022, the terms cannabidiol, CBD, and CBD oil have been seen frequent searches from these states (in no particular order):
- New Mexico
- North Carolina
CBD product sales are at their highest in the western states (27%), with California and Colorado topping the chart. The Midwest is second at 18%, while the Northeast and the South hover around 15%.
Is owning a CBD store profitable?
The CBD industry is expected to keep growing. According to Forbes, the CBD market could reach $22 billion by the end of 2022. As the CBD industry matures and customers become more discerning, CBD stores and growers must focus on not only ensuring compliance with current and future regulations, but also building brand loyalty and finding their own unique niches.
CBD businesses need to establish financial systems before they can expand and succeed in the marketplace.
A common challenge CBD businesses face is finding banks or other financial institutions that will work with the cannabis industry. Establishing the necessary financial systems that will improve customer experience would help the CBD businesses flourish.
Where can I open a CBD dispensary banking account?
At Confia, we supply CBD and other cannabis business operators with a complete suite of financial services they need to drive their businesses to success. Our services are specially designed to provide relief to 420 operators who have trouble obtaining the support they need from traditional institutions.Whether you’re in need of cash deposits, lending plans, legal compliance assistance, digital check deposits, B2B payments, secure digital payments, and so on, you can’t go wrong by partnering with us. Contact us today to explore the available membership options.