The CBD industry is booming, and more merchants are entering the space for various reasons. If you want to open a Shopify store to sell CBD products, you’ll want to read this entire article. There are specific policies for CBD on Shopify that you need to be aware of before opening your shop. You’ll also need a CBD-compliant merchant account compatible with Shopify, which we will also discuss.
Shopify CBD Table of Contents
Can You Sell CBD on a Shopify Site?
The sale of CBD products on Shopify is generally allowed, but there are some restrictions and guidelines that you need to follow to ensure compliance with applicable laws and regulations. Some essential things to understand when starting your CBD business on Shopify.
CBD products on any platform or brick-and-mortar store must comply with all applicable laws and regulations, including those at the federal, state, and local levels. Rules and regulations around CBD are constantly evolving, and what is allowed today may not be allowed tomorrow. Therefore, staying current on the latest policies is essential to ensure that you operate within the legal framework.
Shopify’s payment processing system will not allow the sale of CBD products, so you need to use a third-party payment processor. There are a variety of these processors on the market. You need to find the one that suits your needs the best.
What is the Shopify Policy on CBD?
To sell CBD on Shopify, you must provide clear and accurate product descriptions and include all necessary disclaimers. For example, you must state that the products are not intended to diagnose, treat, cure, or prevent any disease.
Hemp-derived CBD products containing no more than 0.3% THC by dry weight are generally allowed on the platform. You must ensure that your products adhere to this standard. You must also provide third-party lab test results to confirm the potency and purity of your CBD products.
CBD products on Shopify must comply with all applicable laws and regulations, including those at the federal, state, and local levels. Shopify’s payment processing system does not allow the sale of CBD products, so you will need to use a third-party payment processor that is CBD-friendly and compliant.
Finally, Shopify’s policy on CBD may be subject to change based on evolving legal and regulatory requirements. Therefore, merchants need to stay current on the latest laws and regulations to ensure that they operate within the legal framework.
How to Sell CBD on Shopify
If you want to sell CBD products on Shopify, here are the steps you need to follow:
- Create a Shopify store or add a CBD category to your existing store. You can do this by logging in to your Shopify account and navigating to your dashboard’s “Products” section. If you don’t have an account yet, go to shopify.com and create one.
- Review the Shopify regulations regarding CBD products and complete the Shopify Attestation for Sale of Hemp.
- Ensure that your CBD products comply with all applicable laws and regulations, including those at the federal, state, and local levels. Also, check to make sure they comply with the Shopify policies.
- Add your CBD products to your store, ensuring that you include clear and accurate product descriptions and all necessary disclaimers.
- Obtain third-party lab test results to confirm the potency and purity of your CBD products.
- Set up a payment processor that accepts CBD transactions. Shopify’s payment processing system does not allow the sale of CBD products, so you need to use a third-party payment processor compatible with Shopify. There is a list of options in the next section of this article.
- Setup email-only notifications for shipping and sales receipts
- Consider using an app or plugin to manage your CBD product inventory, track sales, and comply with the latest laws and regulations.
- Market your CBD products through various channels, such as social media, email marketing, and advertising.
Shopify CBD Payment Processors
Shopify’s payment processing system does not allow the sale of CBD products due to the complex legal and regulatory landscape surrounding the industry. However, several third-party payment processors are compatible with Shopify and specialize in processing payments for CBD products. Some of the popular CBD payment processors that are compatible with Shopify include:
- Allied Payments
- Square
- Authorize.net
- Green Payments
When selecting a processor for your CBD business on Shopify, there are a few things to consider. You need a processor that complies with regulatory requirements in the industry. You also need one that is compatible with Shopify. Beyond those two items, there are some other things we recommend researching before making your decision.
First, check out the fee structure for the payment processor you’d like to use. Is there a monthly fee? Annual fee? What are the per-transaction fees and are there additional flat fees involved in processing payments for your store? Payment processing for CBD products may involve higher fees and other requirements, such as obtaining specific certifications and providing additional documentation to the payment processor. Therefore, it’s essential to research and carefully evaluate your options before selecting a payment processor.
From a versatility perspective, you need to know what payment methods the processor can support. Most processors can take card payments, but what are the options beyond that? Do they offer mobile wallets? ACH processing? How about crypto? Knowing the answers to these questions will help you choose the processor that can best serve you and your customers.
You also need to find a processor who follows all best practices and regulatory standards in security. Protecting your customers’ data is a huge responsibility and should not be taken lightly. The cheapest processor is not always the best if it can’t offer fraud protection and detection features.
Final Thoughts
Opening a Shopify store to sell CBD products is a simple process but requires some research on the front end. Ensuring your products comply with all applicable laws and Shopify’s standards is an important puzzle piece. Additionally, you need to find a suitable payment processor to handle your payments. If you educate yourself initially, your experience as a CBD merchant on Shopify will be much better.
