5 Things to Know About the Cannabis Industry

Getting into the cannabis industry has never been a hotter topic than it is now. From sports stars to wellness enthusiasts, everyone wants a piece of this industry. And who can blame them? In the past decade, cannabis has undergone a transformation in the public eye, and much of this is thanks to the rise of CBD (cannabidiol). The CBD industry is predicted to be valued at $20 billion by 2024, and with the rising interest in health, wellness, and natural alternatives – this figure is only looking to rise.

However, like all good things in life, breaking into the cannabis industry entails hard work, dedication, and the right knowledge.

We’re here today to help you get a head start on your venture into the cannabis industry with the five things you need to know before you start a CBD business.

The difference between hemp and marijuana

This is a crucial place to begin. Although public education on cannabis has improved massively in recent years, there is still some way to go. Initially, when you tell people you work with cannabis you may be at the receiving end of some inquisitive faces or some pushback. You will find yourself explaining that no, you are not a drug dealer, and neither are you a massive stoner.

What needs to be explained and understood is the crucial difference between hemp and marijuana.

The cannabis plant family reaches far and wide, and hemp and marijuana are just two types of cannabis. But although they belong to the same family, there are crucial differences in their chemical compositions and consequent effects.

Plants from the cannabis family have an effect on the human body due to compounds known as cannabinoids, or more specifically when they originate in a plant, phytocannabinoids. Marijuana has a particularly high amount of the phytocannabinoid THC (tetrahydrocannabinol). This compound is wholly responsible for the psychoactive effects of marijuana, the feelings associated with being ‘high’.

Meanwhile, hemp – the plant from which CBD is extracted – has minimal THC content. The strains of hemp which are cultivated in order to produce CBD are chosen due to the high amount of CBD, and the low amount of THC. In fact, it is a legal requirement for all CBD products to have a THC content of less than 0.2%, so you will never experience any mind-altering effects as a result of taking CBD.

So if it’s not mind-altering, how does CBD interact with the body? Good question! Inside all of us, there is a system, made up of sets of receptors, called the endocannabinoid system (or the ECS). This is how all cannabinoids and phytocannabinoids take effect within us. When CBD meets these receptors it signals in a number of ways, including controlling the release of certain hormones which affects the way we experience stress and pain. Additionally, CBD has anti-inflammatory and antioxidant properties.

Who are you trying to sell to

One of the many incredible things about being a part of the cannabis industry is the diversity of the demographic. CBD has many effects and can be formulated and marketed towards different needs and requirements.

Let’s take a look at some of the uses of CBD:

  • To soothe pain
  • To better the quality of your sleep
  • To relax sore muscles
  • To boost the immune system
  • To address skin conditions such as acne, eczema, and psoriasis
  • To aide recovery between workouts and sports games
  • To calm down and relax

First of all, we should acknowledge how amazing it is that one natural chemical compound can do all of these things. But it’s also crucial to recognise that the same product will not suffice for multiple uses. For example, while a CBD facial cream will help calm down products, you probably would not be keen to try and use that to boost your immune system. Depending on the issue you are trying to address, it’s so important to pick the right product form.

Luckily, CBD is a very versatile ingredient. On the market today you can find it in essentially every form: as an oil, a vape juice, face cream, skin cream, massage oils, in food and drinks, in capsules, and as a spray – amongst many other creative innovations. Once you have decided which issues you want to concentrate on with your CBD business, find the product form which best matches your target audience’s wants and needs. For example, if you want to help those with arthritis you won’t be producing a flavoured CBD vape juice for them, and if you want to help athletes, they probably won’t be looking for a facial cream.

How the cannabis industry works (and how it is growing)

While we are celebrating the success and boom of the cannabis industry (which is ongoing), in many ways this sudden expansive growth is a double-edged sword. Owing to the fact that the legality of CBD based products can differ not only from country to country but actually from state to state, this makes it incredibly difficult for there to be one established regulatory body.

The cannabis industry is one of the fastest-growing markets in the world.

The cannabis industry is one of the fastest-growing markets in the world, yet this lack of regulation has given way to the emergence of low-grade companies who wish to cash in quickly on something they view as a trend. Consequently (and unfortunately), this means that there are a fair amount of products on the market that arent what they claim to be, either in quality or in CBD content. This can make people mistrusting, and can also give CBD a bad name if customers feel like they have bought an ineffective product.

You need to ensure that you are within the regulations of your country or state when setting up a CBD business. This for example could be a lower limit of THC content allowed or a limitation on the types or amount of products you can sell. And after having established that you are within your legal rights, you will need to establish your business as legitimate among the competition; we will look into how this can be done in the next two tips so stay with us.

The limitations in advertising

In the same way that the legality of CBD products can vary from country to country, and state to state, so do the limitations on how you can advertise a cannabis product. Establish what you can and can’t do before you set out to do anything. The limits can mean that sometimes you can promote your brand but not the product, you may have more freedom online or in print, and any medical claims will need to be handled extremely sensitively – or avoided. A popular method of promotion for many cannabis businesses is through collaborations, this could be with influencers, other brands, or initiatives. For expert guidance in the area, we would suggest that you find a partnership with an established CBD manufacturer to guide you through.

Finding the right support

Hopefully, you haven’t been daunted by any of the prospects in this guide because after all, the hard work that is put into entering the cannabis industry is rewarded ten times back. But why go into something blind, when someone who knows the way could share a map and show you the way?

By partnering with an established player in the CBD industry you can gain a wealth of knowledge, which will save you time and money. But this is not all, by finding an established partner who offers either CBD wholesale, CBD white-label, or CBD private-label services, you could start your journey at least 20 steps ahead. This kind of partnership is beneficial for newcomers in multiple ways.

First, you have the assurance that you are using a quality product from seed to shelf without having to do the work or investment required to cultivate hemp or extract CBD.

Second, you can already see how the market reacts to these products and how effective they are.

And finally, you will have a partner to mentor you through the high strung hoops which make up the CBD industry, from branding and marketing to regulatory advice.

There are a few more than five things that you will need to consider prior to entering the cannabis industry, but this is a solid jumping-off point. Establish an understanding of the natural compound (that being the CBD) you’re going to be working with and bringing into people’s lives, ask yourself what this product is going to do for your customers and how you’re going to bring it to them, and never be shy to find a partnership with a company already in the industry. Know your product, know your market, and know how you wish to move forward.

Reakiro offers CBD Wholesale, CBD White-label, and CBD private-label services with our premium grade CBD which is grown under EU regulation. If there’s anything you want to discuss from our services to beginning your journey into the cannabis industry (and everything in between) do not hesitate to get in touch with a friendly member of our team.

White-label solutions for businesses looking to expand into the CBD industry

The CBD industry is one of the fastest-growing markets in the world right now, and it shows no sign of slowing down anytime soon.

CBD (cannabidiol) started to shoot up in popularity around five years ago. Until then, the cannabis-derived (cannabis sativa) compound was not associated with the health and wellness industry, but rather people assumed it had similar qualities to cannabis (cannabis indica) that is used recreationally and associated with mind-altering effects.

But as indicated through the two different names, cannabis sativa and cannabis indica, these are two different types of plants, and consequently two different end products. CBD is a compound, also known as a phytocannabinoid, which interacts with our bodies through a diverse set of receptors, present in the nervous system and immune system. Studies have found that when CBD communicates with these receptors, it can affect the process and regulation of many hormonal and chemical processes and responses in our body. This is why CBD is used for a wide variety of conditions, including pain management, muscle recovery, relaxation from stress and anxiety, and skin treatments.

CBD products have permeated an eclectic and impressive number of sectors in their rise to prominence. The medical world is constantly researching how this compound could be used to treat illnesses such as epilepsy, arthritis, and Parkinson’s. The sports world has adopted CBD as a natural alternative for pain management, as well as a way to manage performance nerves and fine-tune focus and attention. The cosmetics industry has clocked on to the natural anti-inflammatory and antioxidant properties of CBD, making it the ultimate skincare ingredient. And last (in this list, which is certainly not exhaustive) the food and drinks industry has been formulating all kinds of products for people to get a good boost from this natural supplement.

Owing to the fact that CBD is beneficial across such a wide range of sectors, it is not surprising that not only new CBD companies are springing up, but also that existing companies are expanding their business to incorporate CBD. In light of the industry’s growth, in 2019 Forbes predicted that the market could reach $20 billion by 2024, and a year on this summer the publication proclaimed that CBD is here to stay.

One of the biggest issues within the CBD industry is the wild nature of the unregulated market. The speed at which the industry went from largely unknown, to CBD products being seen on every high street, has meant that the growth beat people’s ability to educate themselves on how CBD can be and should be produced and used. Consequently, this has left space in the market for low-grade operations who do not care to produce high-quality hemp-based products. These companies simply wish to cash in on something they believe to be ‘a trend’ and will sell ineffective and misleading products to both businesses and consumers.

All CBD consumers and honest vendors find this side of the industry incredibly frustrating. Particularly when they are a business that wishes to bring hemp into people’s lives to improve their wellbeing while educating about the plant’s potentials (separating it from the ideas and notions attached to marijuana).

As a business looking to expand into the CBD industry, there are a couple of things that you want to take care of in the best way possible to ensure that your venture is meaningful and successful. Both of these ultimately can be taken care of with a white-label solution (which we will visit in due course).

Decide your purpose

You need to ask yourself, and your team, why do you want to bring more CBD products into the market. What will your brand of CBD do differently, and who could it reach? As mentioned previously, the uses of CBD extract spreads across industries from food to skincare. And although one plant can do it all, you will probably not be able to cover all bases when starting out. When you know who your audience is, you can start shaping your product identity. But this isn’t a journey you need to go on alone …

Find a trusted CBD manufacturer

Entering the CBD industry can be a daunting, not to mention expensive, task. To do it all alone, you would need to establish hemp cultivation, an extraction facility, and the expertise needed to extract the compound properly. And even then, you may have a product which is not proven to be good just yet, and you would still be lacking a lot of knowledge about how the market works.

This is why teaming up with the right CBD manufacturer and finding a white-label solution will make your expansion into the CBD industry easier, cheaper, and more effective.

If this is the first time you’ve heard about or considered a white-label solution, let’s take a look at what exactly this entails.

A white-label CBD partnership would allow your business to team up with an established manufacturer who has had plenty of experience in the industry. Essentially you would be able to use their product models and formulations (for example CBD oil, CBD spray, CBD skincare) but with your own branding, so that it fits in with an existing range, or you can launch something entirely new. As the established manufacturer would be taking care of the cultivation, extraction, and formulation of the CBD product – as a business you are able to enjoy the end result without the heavy lifting!

Reakiro offers a bespoke CBD white-label service for businesses who are looking to expand into the CBD industry.

Here’s what we offer, and what we can do with and for you, in order to help launch a successful range of CBD products:

Carefully cultivated hemp

Starting from the beginning to the CBD lifecycle, and at the beginning of Reakiro’s life as an established company, a lot of care and attention was dedicated to laying the foundation. That is to say, before going to market, Reakiro spent two years researching the best strains of hemp for CBD extract as well as finding the most arable fields for the cultivation of the plant. In the end we settled on two locations in Europe: Spain and Lithuania. All of our fields are compliant with strict EU regulations.

Expert extraction

So we have some superbly grown hemp, full of all the cannabinoids and terpenes which will bring all the health and wellness benefits we’re after – but this is only just the start! Of course, in it’s raw form you cannot sell a hemp plant as CBD. In order to make it accessible we need to undergo the extraction process. In our extraction facilities we have employed the knowledge of extraction experts as well as innovative technology. To set this up is neither a cheap nor straight-forward task, which is one of the reasons why it is highly advisable to use a white-label solution when joining the CBD industry.

Third party independent lab testing

We claim that our extraction facility is far above the rest, and earlier we warned of low-grade operations. But what separates the men from the boys? How can we prove to people that our extract is in fact of superior quality? The answer: third party independent laboratory testing. Again, undergoing this process is not a low expense, so when a company can display test certificates it’s a sign that their operation is to be trusted. The test results (which are carried out for every batch of our extract) report the potency of the extract, the presence and amount of differing cannabinoids, terpenes, and flavonoids – as well as checking the purity of the extract and confirmation that there are no contaminants such as pesticides of heavy metals.

Brand creation and consultation

Thanks to the white-label solution, we will have taken care of the last three steps for you. Now you will have an almost final form of your CBD product (whether it’s oil, capsules, skin care, or another form) and you can market it in the optimal way for your business. Obviously, no one knows your business and brand identity better than you, but at Reakiro we have CBD market expertise which we want to share. By partnering up we can work together to create and market your CBD range in the best way possible.

If you’re looking to move into the CBD market with your business, we highly recommend looking into a white-label solution. The CBD market is such an exciting and evolving place to be right now, and the bigger it grows the more everyone is learning about the positive wellness benefits of this natural plant-based compound. From professional athletes to medical researchers, so many people’s lives are being touched by CBD. However, all this excitement doesn’t come without its drawbacks. As a consumer and a vendor, you need to be aware of low-grade operations who are not honest to the trade and are selling an ineffective ‘CBD extract’. To bring a high quality product to market, with minimal stress and maximum yield, partner up with a trusted CBD manufacturer who will guide you through the process quickly and smoothly. Before you know it, your own business will be the sought after place to buy CBD.

Successful CBD Business: Your definitive guide

The natural potential of CBD (cannabidiol) is no longer a secret. More and more people are learning how CBD could improve their wellbeing and quality of life, and an ever-increasing number of businesses are discovering how they could utilise this natural resource. This boom in the CBD market has been so colossal that leading cannabis researchers BDS Analytics predicted that the US market alone could reach $20 billion in sales by 2024. This study took place in 2019, prior to the Covid-19 which Forbes noted provoked a soar in demand for CBD products. In short, CBD is here to stay – so are you getting on board?

Here’s your definitive guide to starting a successful CBD business, whether it’s wholesale, white label, or private label.

Knowing your CBD

Cannabidiol is a phytocannabinoid and is extracted from the hemp plant, which is part of the cannabis family – but CBD is not the only phytocannabinoid, which can lead to crucial differences in your CBD extract. In fact, there are more than 100 phytocannabinoids found in hemp and cannabis plants. The two most powerful of these are CBD and THC (tetrahydrocannabinol) which you may know as being responsible for the psychoactive effects of cannabis. CBD-based products do not have mind-altering effects, the levels of THC in hemp is significantly lower, and in most countries, the levels must be kept below 0.2% to be legal.

However, although CBD is the crucial phytocannabinoid, you may not necessarily want to extract it on its own. It is possible to obtain an extract which is only CBD, but studies have shown that when the phytocannabinoids (as well as terpenes and flavonoids) are kept together in the extract as they present naturally in the plant – they synergise and the overall effect is more impactful. Full-spectrum extracts contain all the natural elements which are found in the hemp plant, meanwhile broad-spectrum has 0% THC but contains everything else.

In general, full-spectrum CBD extract is the most favourable choice. But depending on your business and product line, your chosen CBD manufacturer will be able to advise you best.

What kind of CBD business is best for you?

CBD Wholesale

If your business is set up, you’re raring to go, and the only thing you need to do is find the right CBD products to add to your shelves, then wholesale CBD could be the best option for you. By partnering with a wholesale service, you will know exactly what the finished product is and how it performs before you go to market. It also means that you can ride on the wave of the label’s establishment in the CBD market, which is incredibly beneficial as breaking into a booming industry comes with all kinds of challenges.

CBD White Label

White label products allow you to create your own, branded line of products, with the guarantee of high-quality CBD. Setting up your own CBD operation, from start to finish including cultivation and extraction, is a costly and time-consuming endeavor. Of course, you don’t want to cut corners, and you want your customers to have access to the very best CBD. Consequently, pairing with a trusted white label CBD manufacturer will allow you to use their extract and formulated products with your own label. Entering the market as a newly established brand allows you to set your own price points and choose your competitors.

CBD Private Label

White label and private label are often confused, but there is a crucial difference between them, and this could make all the difference to your CBD business. Private label allows you to collaborate with the CBD manufacturer during the formulation process, meaning your CBD product will be completely unique and a creation of your company, while benefiting from the knowledge, expertise, and resources of the experienced CBD manufacturer. 

When choosing a CBD manufacturer and identifying the right kind of partnership it is important to take your ideal product range into consideration. Today, CBD comes in all shapes and sizes – starting with the original CBD oil, this has expanded into vapes, capsules, sprays, topicals, and skincare products amongst others. Depending on your brand identity and target demographic, your choice of product may differ. This will help you identify which manufacturer is best for your CBD business, and also help to decide whether white label or wholesale is the wisest choice, or if you would prefer to help formulate a new product.

While an excellent product is at the core of a successful CBD business, there are other factors that play a key role in the elevation of a company. The CBD industry is booming, but still largely unregulated, which has given way to a large number of loopholes and low quality companies. Partnering with the right manufacturer will help to avoid being caught up in the wrong end of the market, and there are certain ways to identify who can help you. Look for a company that is transparent, in both their production and the quality of their products which can be understood via independent third party lab testing (provided by all high grade companies). Another way of understanding your manufacturer is by reviewing the products that they already have on the market and how they perform.

5 Tips to Help You Choose The Right CBD Manufacturer

So, you’re thinking about launching a CBD business or a CBD product range within your established business, and this is a great moment to do it. People across the world are becoming more and more conscientious about their health and wellness, and in the past few years, the cannabidiol (CBD) industry has developed in leaps and bounds thanks to pioneering research and manufacturers. Today, CBD is used for a wide variety of conditions and ailments, from sports recovery and improved wellness to reduced anxiety and pain management. There is barely a demographic out there who can not benefit in one way or another from the natural therapeutic properties of plant-based CBD products. Helping people be happier and healthier thanks to the effects of a natural plant-based product is a project which you should be immensely proud of, but there may still be pitfalls and growing pains.

Whether you’re looking to go to market with wholesale products, white label, or private label – the first thing you need to do is find the right manufacturer. But this is easier said than done; due to the largely unregulated nature of the CBD market, there is an abundance of low quality products made by unreputable manufacturers.

Finding the right manufacturer is one of the primary concerns for new CBD businesses. The right manufacturer will make your CBD journey easy, efficient, and beneficial – so we’ve compiled our top five tips to help you find the right CBD manufacturer. 

Top five tips to help you find the right CBD manufacturer


Good CBD needs to be the best from the beginning, and this means using the best strain of cannabis and cultivating it in the optimal environment.

Companies such as Reakiro recognise the importance of prioritising the process of cultivation, this is reflected in the time Reakiro took to research the best strains of hemp for CBD extraction and find the most arable fields in Europe to grow it. By having control and overview of the cultivation process, a manufacturer can offer consistency and full transparency about their operation from seed to shelf. With seed to sale transparency, you can also track the potency of CBD extract and determine the presence of certain phytocannabinoids and terpenes. Additionally, depending on where the hemp plants are grown, as a business partner, you will want to verify what certifications the manufacturer has and which regulations they comply with – which can vary from country to country. Reakiro’s hemp is all grown in compliance with the European Union’s regulations.


When picking a CBD manufacturer, do your research to learn about their extraction process and the transparency of the methods used.

The most complex and expensive part of manufacturing CBD-based products is the extraction process, which is why when you’re getting started in the CBD industry it’s best to pair with a trusted manufacturer who can show you the ropes without incurring the cost of setup and the learning process. However, due to the recent boom in the market, many low-grade operators have seen this moment as a good opportunity to quickly cash in. Consequently, the quality of their product is not of premium grade as they have no intention of making a name in the industry, rather their interests lie in turning over the largest profit in the shortest amount of time. When picking a CBD manufacturer, do your research to learn about their extraction process and the transparency of the methods used. If you have any questions someone from the company should walk you through their methods in detail.


All legitimate CBD manufacturers should obtain and openly supply third party independent laboratory testing certificates.

Throughout this guide to help you find the right CBD manufacturer, we have mentioned the need to make sure the product you’re dealing with is high quality and also consistent. And maybe you are wondering just how you can verify these things before jumping into a partnership. All legitimate CBD manufacturers should obtain and openly supply third party independent laboratory testing certificates which show the dosage and potency of the CBD extract, consistency between batches, suitability for vegans, while also checking for the presence of heavy metals, pesticides, and other contaminants. These documents are called COAs (Certificates of Analysis). Another aspect to verify is whether your manufacturer is GMP (Good Manufacturing Practices) certified, a certification awarded by the FDA (Food and Drug Administration) for the highest manufacturing practices.


From a less technical standpoint, you will also want to know how the chosen manufacturer’s product performs from the customer’s experience. Reading what people candidly think about CBD products from your chosen manufacturer will be the closest prediction of how your products (wholesale, white label, or private label) will perform when they go to market. Check out review sites such as Trusted Shops where customers can only leave a review after confirmation of buying a product or head to social media so find out how people are reacting.


While you may think you are only looking for a CBD manufacturer to supply you with the core product, launching a CBD business can be quite a complex process so having a partner to guide you through the aspects is invaluable. Perhaps you will seek advice regarding the regulations from country to country, branding and design consultancy, or launch strategy. Pairing with a CBD manufacturer who is prepared to go that extra mile and give a helping hand to a new business in the CBD industry will give you a head start thanks to their own experience and expertise. Excellent customer service is one of the pillars of an excellent business, so understanding how your potential manufacturer interacts with you is a reflection of how they run their operation.

Whichever direction you hope to take your CBD business in, hopefully, this guide will help you find the right manufacturer. Be patient when doing your research and talk to members of the team and get to know them, to learn and understand more about how the company works and the industry operates. Making rushed decisions will not serve well for the future of the business, especially given the ever-evolving and largely unregulated nature of the CBD industry. Nevertheless, finding the correct CBD manufacturer to guide you through your wholesale, white label, or private label venture will make for an exciting and informative journey.

Why now is the right time to start your CBD business

Over the past few years, the CBD (cannabidiol) industry has been going from strength to strength. For early pioneers in the hemp and CBD industry, it hasn’t always been a smooth ride. But thanks to the work that has been done regarding educating both the public and businesses about the natural benefits of this plant, many have woken up to the potential of CBD.

Less than a decade ago, most people hadn’t heard about CBD, and those who did know about it made associations with cannabis, marijuana, and the psychoactive and mind-altering effects. In short, this was not the therapeutic health supplement that it is today. Nevertheless, in recent years people have begun to understand more about the potential of CBD – which has increased funding for scientific and medical research.

Studies have shown that due to the numerous ways in which CBD interacts with the human body, the effects of it range from anti-inflammatory and pain management to reduced stress and anxiety.

So why now?

One of the greatest benefits of CBD is its natural restorative properties. This means that when there is a chemical imbalance in the body, the phytocannabinoid will communicate to restore the natural balance. Consequently when the body needs to rest and heal, CBD is the perfect aid to this process.

Owing to the global pandemic that we’ve been living with for the past six months, and a long impending winter, people are thinking about their health more than ever. We’re being encouraged to do everything we can this winter to stay safe, from getting flu jabs to protecting our immune systems. For many, CBD is a part of their daily routine not to treat a pre-exisitng conditions, but rather to offer an internal strengthening and prevent future health threats.


Due to the established and evolving nature of the CBD industry, today there are countless product forms. This makes it easy for businesses to establish exactly what type of CBD experience their customer base would want. At the beginning of the CBD boom, CBD oil was the most common, and often only, option. For those who were unfamiliar with the compound, starting with an oil could seem daunting, inaccessible, or tricky to use. But now there are the options of capsules, sprays, and skincare products – to name a few.

And not only is there a variation in CBD-based products, but also variation in the different industries and markets that CBD touches. Here are just a few of the worlds that CBD is making a splash in right now:


The wellness industry is one of the most lucrative markets in the world right now. Everybody is constantly trying to keep in check with their health and fitness, both mentally and physically. This requires creating a routine of healthy habits, these include a balanced and nutritional diet, exercise, and selfcare. CBD lends a helping hand to all of these facets, helping you manage your stress, improve your sleep, and boost your immune system.


More and more professional athletes are speaking out to champion their use of CBD. In sports, often people want to keep their diet, routine, and recovery programme as natural as possible. CBD has helped a number of sports stars, from golfers to rugby players, in their practise and in their recovery thanks to its natural anti-inflammatory properties.


As mentioned prior, CBD has incredible anti-inflammatory properties which is making it a fond favourite as a skincare ingredient treating a range of issues including eczema, psoriasis, and acne. Cannabidiol is also a natural antioxidant, working to fight and neutralise the damage that can be caused by free radicals. In essence, this keeps the skin looking young and feeling nourished, working as an anti-ageing agent.


Preliminary clinical studies are showing that CBD could have a massive impact on the medical world, particularly for those with chronic conditions who have tried all options available thus far. One of the hottest areas of study for medicinal CBD is epilepsy. In 2012 there was a well publicised story about a young girl with Dravet syndrome who was having up to 300 seizures a week. After she started taking CBD oil this number was reduced to two or three a month, meaning Charlotte could play, eat, and connect with those around her unlike before. Studies confirming the medicinal properties of CBD are still ongoing in the meantime, so it is not advised to make any medicinal claims.

Now you know why it’s the right time to start your CBD business, how exactly do you do it?

The first step is to get in touch with an established and trusted supplier. By partnering with a known member in the CBD industry you can gain a wealth of knowledge that can only come from years of experience working in this market, whether it’s tackling legal regulations or a new launch strategy – being able to get advice from someone in an established position will be invaluable for your companies growth.

Setting up a CBD business operation entirely independently, from seed to shelf, is a mammoth (not to mention extremely expensive) endeavor. Wouldn’t it be incredible if you could enter the market with a product you knew was high quality and well performing? When choosing to go down the route of wholesale or white label, you can pick a product which has proven success rates and happy customers.

At Reakiro we offer wholesale, white label, and private label services with our premium quality CBD oil. We’re a a leading European HACCP/GMP certified manufacturer and supplier of full-spectrum and broad-spectrum CBD products, including CBD oils, CBD creams and CBD capsules. And we’re always ready to go the extra mile for our partners and customers, so if you have any questions from product design to marketing, we’re always here to help.

The development of the CBD industry in the past decade, combined with a reinforced global focus on health and wellness, makes now the right time to start your CBD business.

Is CBD legal? The status of CBD Oils and Hemp Oils in the EU

We’re seeing CBD (cannabidiol) everywhere nowadays: online, health stores, and in cafes. But for some there is still a stigma around what CBD is, what it does, and whether it is legal. Obviously if you are buying or selling a product or ingredient, you want to know about its legal status – which we will go into now.

CBD is a naturally occurring compound extracted from industrial hemp. Industrial hemp is a strain of cannabis, which is where confusion is caused. CBD is one of over 120 cannabinoids found in cannabis plants, the other well known cannabinoid is THC (tetrahydrocannabinol) – responsible for the psychoactive effects of marijuana. However, industrial hemp has an incredibly low amount of THC (maximum 1% compared to 30% in marijuana). 

Although it differs from country to country, generally the law states that if CBD is legally available, the THC content must be below a certain amount. For example, in the UK CBD products must have a THC content of less than 0.2%. This means that during the extraction process manufacturers must be careful to keep all the other components as they are naturally presented, but lower the THC level if it is above the regulated amount. THC levels should be displayed in both the product info and on third party laboratory results displayed on the CBD supplier’s website.

There are specifications in EU guidelines as to what classifies as a food product and what counts as a novel food product. To qualify as a food product, the ingredient in question must have been widely available to the EU market prior to May 15 1997. If the ingredient was not available to a significant degree before this time, it receives the title of ‘novel food’. Subsequently, different legal requirements must be met for each category.

Hemp seed oil was widely available on the EU market prior to 1997, consequently meaning that it can be classified as a food product. Additionally, hemp seed oil is made from pressing hemp seeds and does not contain any cannabinoids. This makes its legal stance much easier to define.

All EU countries must abide by the regulations of selling a novel food product if CBD is available on the market. Additionally, no medicinal claims can be made due to its status as a novel food product. CBD is currently legal across the majority of EU countries, although due to constant changes in regulation it is important to check the latest information for your country.

CBD Industry Growth and Covid-19

COVID-19 has had a major impact on the global economy with nearly every industry feeling the impact.  With so many people sheltering at home, most retail businesses are struggling to stay afloat or closing all together. The CBD industry is one of the few that has continued to grow throughout the lockdowns. So what is CBD and why is it continuing to grow during the pandemic?

CBD (cannabidiol) is a naturally occurring compound found in the hemp plant, which is now legal to cultivate in all 50 American states and across the European Union. There can be a confusion between CBD products and marijuana, because they both come from the same family of plants (cannabis), but CBD products are extracted from hemp with has little to no trace of THC (tetrahydrocannabinol) which is the psychoactive component – providing the ‘high’ when smoking weed. 

With so many people forced to stay at home due to the coronavirus lockdowns, unable to work or socialize, a recent study revealed that 60% of people in the UK have experienced increased levels of anxiety. One of the primary reasons people use CBD is to help calm their feelings of anxiety.  

According to the World Health Organization, depression is the single largest contributor to disability in the world, with anxiety ranking 6th.   Anxiety and depression are most often treated with pharmaceutical drugs with a number of negative side effects including: sexual dysfunction, insomnia, headaches, drowsiness, etc.  These medicines also tend to be addictive and can sometimes be abused. 

CBD is not addictive and does not lead to the negative side effects listed above, but has been successful in studies of people and animals living with anxiety and depression. This is due to the CBD effect on the brain’s receptors of serotonin, a neurotransmitter that regulates mood and social behavior.  

According to a 2019 study, up to 6 million people in the UK have tried CBD at least once. The most common reasons listed for using CBD are its calming and therapeutic effects.  The study also demonstrated an increasing percentage of people who support the legalization of cannabis, which may stem from their experience with the benefits of CBD. 

Many people in these times are also turning to CBD  to combat insomnia. For some, the stress of isolation is compounded by financial stress and general concern for the future. They are getting less exercise, sunlight and stimulation, and more couch time than ever. When the mind is full of thoughts and worries, and the body is aching, sleep can be elusive. Insomnia affects so many other health and quality of life issues, which may also be a major factor in the continued growth of CBD use. 

The current crisis may also be a factor in the increasing size of CBD doses. According to a recent study by the Brightfield Group, 15% of users planned to buy a higher dosage product due to the coronavirus and the struggles they are experiencing.  

If you’re experiencing symptoms of stress and anxiety due to the pandemic, and you’re considering increasing your dosages, be sure to do your due diligence, consult your physician and stick with trusted brands.

Starting your own CBD brand

So, you’ve been thinking about starting your own CBD (cannabidiol) brand. Honestly, there is no better time to do so than now. Cannabis is moving into the mainstream and people are waking up to the true therapeutic benefits which can be brought about by this naturally occurring compound. 

Preliminary research is showing us that up to six million people in the UK have already tried CBD and the market is flourishing. CBD products can now be found in major high street stores and also across ecommerce sights. However, although it seems like you’re seeing it everywhere, there are in fact a considerate amount of preparation that goes into starting a CBD business. 

Type of Business

The first thing to decide when starting a business is what kind of business you want it to be. Market research is fundamental for these first stages of conceptualising your company. A few questions you might want to ask yourself are: who is my target audience? What kind of products would they respond to? How do I make my brand accessible and attractive to them? As soon as you decipher who your customers are, you can begin to build your brand.

Building your brand is a challenge of two parts, the creative and logistical. We will come back to the creative aspect later on, but first we should address the question of how you will source your CBD products. This can be done one of three ways: wholesale, white label, and private label.

Wholesale, White Label, and Private Label

Depending on the type of business you want to run, you need to decide which avenue to go down in terms of relationship with your supplier – wholesale, white label, or private label. Wholesale involves reselling an already branded product. This is often the easiest route to go down for a new small business, or a startup, due to the fact that the products have been established in the market alongside all the necessary documentation (which we will come on to later). 

White label and private label, on the other hand, let you develop and distinguish your own brand identity – with varying levels of involvement from your CBD supplier. White label products are formulated and manufactured by the original supplier, and then rebranded by a second company. While your formula may not be unique, your branding will be completely your vision. Meanwhile, private labelling allows you to create a unique custom-built product, or in this case – formula. To be successful via wholesale, white label, or private label, you need to build a strong relationship with a trusted CBD supplier who has a guaranteed quality product.

The Necessary Documentation

To start a CBD business you will need a thorough and comprehensive understanding of all the laws and regulations which surround it (as well as other cannabinoids, such as THC). CBD is legal across the majority of EU countries and all 50 US states, however due to the constantly changing legislations it’s important that your business stays within regulation. Failure to do so could result in fines or penalties.

Labelling requirements, particularly within the EU, fall under the umbrella of necessary documentation. In the EU you must comply with rules which require you to state the ingredients of your products and their safety. Once again, failure to do so can result in significant repercussions.

Getting your Products on the Market

Obviously you want to sell sell sell, that’s why you’ve started a business! To start generating revenue you need a strict and tight business plan, what you’re going to sell, who you’re going to sell to, where you’re going to sell, and how you’re going to sell. All of these are interconnected and start with some good market research which will probably lead you to your target market; this will probably be within either health and wellness, sports and fitness, or cosmetics and beauty.

Budgeting and planning for marketing strategies is important for any business model, but particularly for CBD due to online restrictions. Currently Google and Facebook paid digital advertising is off limits for CBD ventures as these corporations restrict cannabis product advertising. This means you will have to get a little bit more creative. Nowadays, advertiser’s best friend (and colleague) are influencers who have organically built up a platform of followers.

If you have any questions or want to talk about starting your own CBD brand don’t hesitate to get in touch with Reakiro. Reakiro is a certified and trusted European CBD producer and supplier who has been a leader in their field for the past few years, and would now like to reach out and help new businesses begin and grow.

CBD Wholesale: Are You Prepared for Explosive Growth?

The CBD industry is growing and expanding at an incomparable rate, this is currently one of the fastest growing markets in the world. Forbes has predicted a market value of $20 billion by 2024. Why is this? Cannabis has moved into the mainstream, this plant is no longer surrounded by its associations to underground ‘stoner culture’. Instead, people are tapping into the new found health and wellness benefits which can be found in cannabis. This movement is not only seen at the grassroots level, but governments are paying attention to the potential in cannabis, particularly CBD. In late 2018 the farm bill was passed, legalising hemp across all 50 US states. CBD products are also legal across the European Union.

CBD Wholesale

The health industry has been growing from strength to strength over the past decade. Now more than ever, people are making health and wellness their priority. The number of gyms is on the rise, whilst Europe is the world’s number one fitness market. But exercise is only half of the story. The fitness market extends far and wide, from clothing to food and supplements. Clean eating has been an unavoidable phrase over the past few years, but people want to do more than avoid bad products, they want to find the best natural ingredients with maximum health benefits.

Moreover, not only is the wellness industry a crucial player in the CBD industry, but also the potential health properties. The farm bill was passed in the US after it was discovered that CBD could be used to treat a rare form of epilepsy. Since then, scientific and medical research on CBD has increased considerably. Currently, links have been drawn between CBD and the treatment of anxiety, depression, insomnia, and chronic pain.

Joining the CBD market now makes perfect sense. The industry is booming, and above all, everybody is a potential customer. But whilst this sounds like the perfect business venture, there are some drawbacks to be aware of when launching into this new space.

The boom of this market is relatively recent, meaning that it is the perfect point to hop in, however – this is a double edged sword. The recent growth of the market means that there are currently boundless opportunities to tap into, but it also means that the market is unregulated, and there are lower grade operations who are trying to exploit CBD.

To avoid falling into the trap of being associated with a low quality CBD operation it is important to gather all the necessary education on preparing for a CBD business. This involves sourcing high quality CBD oil, having a well planned out business model, and being up-to-date on the changing rules and legislations of the industry.

Preparing yourself for this business venture and the explosive growth of the CBD industry can be made significantly easier by partnering with an already trusted manufacturer. In doing this you can first and foremost ensure that you are supplied with high quality CBD oil, this will cut out much of the logistical headache that comes with extracting CBD, and cuts the costs. Additionally, when partnering with an established brand, a proposed business or wholesale plan will ensure that your operations are consistent and trustworthy – helping you manage the explosive growth in the best way possible.

Reakiro offers a wide range of CBD wholesale propositions, from the white label and private label to a newly launched dropshipping program. Explore the site for more information and get in touch with any questions.

CBD Business Growth Obstacles

CBD industry could reach $66 billion by 2025

Growing a new CBD business is highly rewarding, but this is a task that does not come without its challenges. Forbes predicted in a recent article that the CBD industry could reach $66 billion by 2025. To some this may seem surprising, yet the fact remains that everyone single one of us (and our dog … and our cat) has an endocannabinoid system, so we could all benefit from this naturally occurring compound. Nevertheless, the rules and regulations surrounding CBD have been shifting and changing beyond recognition in the past few years, including the passing of the farm bill in the US in late 2018. Consequently it can be difficult to establish your business in this landscape, particularly for an international audience where situations vary.

Wholesale CBD or private and white label CBD?

The first important decision to make is with your CBD supplier about whether you wish to pursue wholesale CBD, or private and white label CBD services. Each route has their advantages, so it’s about deciding what works best for you and your business. Private label and white label will allow you to tap into the CBD production and extraction processes, which will greatly help your understanding and education of the compound. Subsequently, you will have the freedom to adapt the product into your own branding vision. On the other hand, wholesaling an already established brand will allow you to benefit from their position in the market without you having to do the leg work. As mentioned earlier, this is a choice which will differ from business to business and you must decide what is right for you.

Promoting and selling your product is all about visibility, but how do you achieve visibility? There’s visibility in the physical sense; grocery shops, pharmacies, health and wellness shops, bodycare shops, petrol stations, and supplement shops. Not every high street brand is willing to take on CBD as part of their stock due to the continuously shifting regulations and the uncertainty which can surround it. However this is shifting, fast. CBD is becoming more and more visible within our towns and cities.

Online visibility is the other hurdle to tackle. Online retail is a space of boundless opportunities which bypasses many of the challenges you will face when trying to achieve physical visibility. For online visibility, mastering SEO is one of the first port of calls. Levels of investment into SEO will vary depending on whether you’re marketing your product to a city, a country, or internationally. Using location-based search submissions and geotargeting technology is notably easier than trying to market your product nationwide using SEO. The question of customer base will also affect your proposed shipping options, its fundamental that CBD is legal in the customer’s location and that the courier/postal service allows industrial hemp products in their system.

Ultimately, to make overcoming all the obstacles above as easy as possible, the secret is to find out how your product stands out; this can mean two things.

Number one: when conceptualising your product or product range ask yourself:

  1. “Why does the market need this?”
  2. “Who is going to buy this?”
  3. “How does this differ from existing products?”

Number two: when it’s time to put your product on the market, ask yourself:

  1. “Is there a retailer who carry my product?”
  2. “Who would make a good partner for my brand?”

To make your business stand out in the early stages it might be worth thinking about promoting your range outside of the CBD space. It’s much easier when everyone else in the room isn’t doing the same thing!

The CBD market is growing and reshaping itself pretty much every day across the globe. In new booming industries you have to take the good with the bad. It’s become clear that there are obstacles concerning regulations and establishing your brand. However, once you get the ball rolling you’ll be unstoppable.

If you have any queries about CBD wholesaling, white label, private label, or partnership please get in touch so we can start the conversation.