How to Start a CBD Gummies Business with Cannmed Products

November 5, 2021
how do i start a cbd gummies business

The CBD industry is a relatively new industry, especially in the UK. That doesn’t mean it’s a small market though. In fact, the market is constantly evolving and growing. As we learn more about the cannabinoid, we’re able to come up with new and innovative ways to take advantage of the benefits. This means that there are plenty of opportunities for you to tap into this revolutionary industry. Here, we’re talking about CBD edibles in particular. They’re a fun, effective, and convenient way for your customers to enjoy the benefits associated with the cannabinoid. Let’s take a closer look at how to start a CBD gummies business in the UK, so you can get started!

Building a Business Plan and Understanding Your Target Market

Starting a CBD gummies business is the same as starting another other business when it comes to knowing your market. As we mentioned, the CBD industry in the UK is constantly changing, so it’s important that you’re up to date with the newest regulations, trends, and products. Gathering information about the market will help you identify gaps where certain demographics of people or specific needs are underserved. This will help you find the perfect niche for your brand to slip into.

Whilst the CBD market is awash with different products and methods of taking the substance, CBD gummies offer specific benefits that may appeal to certain target groups. For instance, whilst oils and tinctures are some of the most popular CBD items, they might not suit everyone. This is because of the oily texture and aftertaste that you experience when you take oils or tinctures sublingually. Gummies, on the other hand, are often flavoured with fruit juices, so they mask the natural, earthy taste of CBD.

Are CBD gummies profitable? Absolutely! Due to their unique qualities, they’re ideal for potential customers that wish to enjoy the benefits of CBD, but they’re not fond of the natural taste or texture of CBD oil. By conducting market research, you can gain an in-depth understanding of these potential customers, and this will guide you in forming a business plan, branding and marketing strategies. Some of the other unique selling points (USPs) of CBD gummies include:

  • Slow and steady release of CBD into the system over a couple of hours
  • Long-lasting effects, so there’s no need to top up often
  • Each gummy contains a precise amount of CBD
  • Extremely discreet, so can be taken on the go
  • Easy to use

Researching Regulations

Once you have completed market research and used the information to put together a detailed business plan, you will need to move on to the next step. If you want to learn how to start a CBD gummies business in the UK, you will need to do a lot of homework. Whilst this is time-consuming initially, it will pay off in the long run.

There are many regulations and restrictions when it comes to farming, extracting, producing, and marketing CBD. This knowledge will help you to stand out as a reputable CBD gummies business, but it will also help you recognise trustworthy suppliers when it comes to sourcing CBD extract/products for sale.

THC Restrictions

One of the main restrictions when it comes to CBD products is THC content. Tetrahydrocannabidol (THC) is another cannabinoid, like CBD. However, because it has psychoactive properties, it is considered to be a controlled substance in the UK. You will find THC in very small amounts in CBD extracts, as it is found in the hemp plant itself.

So, is CBD legal? Of course it is, provided it adheres to legislation. At the moment, in the UK, finished CBD products cannot contain more than 1 mg THC per product. As long as you can guarantee there is less than this (trace amounts only) in your products, they’re perfectly legal and safe.

Why Is a Certificate of Analysis Necessary?

To ensure that your products are compliant and safe, you should always look out for third-party testing. Whilst it’s not a legal requirement, third-party testing is a sign that your CBD supplier is dedicated to adhering to legal requirements.

How will you know if your supplier has opted for independent testing? They will be able to provide you with a Certificate of Analysis (COA) for each product. This is a report which shows which cannabinoids are present in the product, and the potency of each. Therefore, you can clearly see that they are compliant with THC restrictions.

Novel Foods Approval

As of March 2021, to sell CBD products in the UK, you will need corresponding Novel Foods approval for each product. This means that each product will undergo rigorous testing to make sure it is safe and compliant with government regulations. This can be a long and costly process, but it is necessary if you wish to sell CBD products within the UK or EU.

However, Novel Foods applications are not applicant specific. This means that if you’re opting for ready to sell white-label products, you can use the same Novel Foods approval accreditation as your supplier.

Here at Cannmed, we have approval for each of our white-label products that our customers can use too. If you’re here to learn how to start a CBD gummies business, using wholesale CBD to make your own products, we can also help with this. Our team can talk you through the entire process and offer expert advice along the way.

Food Business Regulations

If white-label services aren’t for you, you can buy wholesale CBD extract and use it to make gummies in your own processing facilities. However, you will need to adhere to regulations for food businesses. This means that you will need to give your local authority at least 28 days notice before you intend on opening your business. You will need to provide them with basic information about your premises, and you may be subject to in-person audits to ensure health and safety standards are met.

You will also need to familiarise yourself with Hazard Analysis and Critical Control Points (HACCP) principles. These principles outline how to store, process and handle foodstuffs to ensure the safety of consumers. This means that you will need to implement hygiene and food safety procedures to prevent cross-contamination within your facilities. You’ll need to keep a record of these procedures, as well as a log of where your raw materials have come from and who you have supplied with your finished products. This is to ensure full traceability.

haccp certifcation for cbd gummies

Labelling Requirements

There are also many requirements when it comes to labelling. If you’re here because you wish to learn how to start a CBD gummies business that operates online, you will need to make sure your website contains the same in-depth information as your product labels. According to legislation, consumers need to be able to review this information before they purchase the product. But what do you need to include on your product labels?

You can find more information on labelling requirements here, but the main things you will need to include are:

  • The name of the food, as well as the name of your brand
  • A full ingredient list
  • All allergens must be labelled in bold letters
  • Quantity in grams or kilograms

You will also need to make sure it is clearly labelled, how much CBD is in the product, and how much each gummy contains too. This will help your customers decide which CBD gummy products to buy based on their own individual needs.

Registering Your Business

Once you have decided on a brand name, you will need to register your business and get in touch with your supplier. We recommend registering your business first, as many suppliers will need your company and tax information before you can place an order.

Where Are You Going to Sell Your Product?

When you have made it official, it’s time to get your company up and running. How to start a CBD gummies business online? First, you will need to purchase a domain name that matches your brand name. You should also claim social media accounts with your brand name too.

It’s worth mentioning that there are additional requirements for selling foodstuffs online. For instance, you will need to include certain information about your products on your website, in addition to detailed product descriptions. You can find out more about these requirements here.

When you’re putting together your e-commerce store, you should make sure that you include ample information about your products and how to use them. Not all of your customers will be experienced CBD users, and so beginners might need more information when choosing a product that suits their needs.

You want to help your customers make informed decisions about your products, because choosing the right products for them will yield better results. For example, if you are selling multiple strengths of gummies, you should advise your customers that they should start with a weaker strength if they have never tried CBD before. Taking too strong a dose at the beginning could make your customers feel sleepy, and it might be off-putting. They should start small and work their way up until they see their desired effects.

Your site should show your customers that you are an industry expert, and they can trust the information that you’re giving them. Therefore, you should work with a copywriter who is experienced in the industry, or make sure all of your content is fact-checked before publishing. Making unsupported claims about your CBD gummies is not only unethical, but it could damage your reputation.

Build a Detailed but Flexible Marketing Plan

Based on the market research that you conducted, you will know who your target audience is and how to make sure your products appeal to them. This information will help you form a detailed marketing plan for your products. This should be a long-term plan, showing how you will put your products in front of your potential customers. It should be flexible and revised often to make sure it is still effective.

There are regulations surrounding how you advertise CBD products that you will also need to be aware of. You will need to research this thoroughly to make sure your campaigns are compliant. The main concern in CBD advertising is unsupported medical claims. You must make sure that you do not imply that your CBD gummies will treat, cure, or prevent any illnesses or medical conditions.

As we said, making unsubstantiated claims could damage your reputation as a trustworthy CBD retailer. It will give your customers unrealistic expectations about your products, thus they will inevitably be disappointed. In this case, they won’t return to your business, and they are unlikely to recommend your products to others.

Start Selling CBD Gummies

Now that you know how to start a CBD gummies business in the UK, you are ready to start selling your products. Whether you would like to purchase wholesale CBD to manufacture your own products, or you wish to avail of a white-label service, Cannmed is here to help. All you need to do is get in touch with our dedicated sales team, and we can take care of the rest.

Cannmed White label CBD Gummies

Simply complete the enquiry form, and one of our representatives will be happy to assist you.

You may also want to read: How to Start a CBD Business

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