In order to promote your CBD products online, you probably already have a good understanding of cannabidiol and its growing importance in the medical and healthcare industry. CBD products, including oils, pills, supplements, and cosmetic remedies, are offered in an ever-growing variety of physical retailers and online e-commerce sites to meet customer desire for the products.
In order to legally conduct business, you will need to be aware of the regulations in this high-risk industry.
CBD companies have four main choices for processing:
Credit card processing for domestic customers
Therefore, there is only one bank left that can offer this service, and that is Elavon. Don’t spend your time signing up before the dust settles for organizations that haven’t applied or aren’t earning close to $200,000 a month in revenue.
A high-risk processor is required for CBD
CBD is a high risk business, even though it is legal in most versions of the majority of the United States. For now, the FDA regulatory framework is largely undefined in this market. Your offline and online CBD shop can succeed despite the risks if you are willing to take advantage of it.
CBD is a highly regulated cannabinoid, meaning any product containing it is high risk under regulations. Therefore, most payment processors may be hesitant to engage with businesses. But having a CBD Merchant Account with shark treatment can easily solve all these problems in one step as they are one of the best CBD merchant account service providers.
A few unscrupulous CBD producers are making things difficult for everyone by discouraging payment processors from engaging with digital CBD providers. What is the answer? Locating a high-risk processor that isn’t even afraid to help you set up a payment channel so you can transact like any low-risk business.
E-Check for home use
Businesses of all sizes can take advantage of local electronic check solutions. Therefore, this alternative payment option has hardly been affected by the current adjustments. Additional monthly and setup fees come with processing e-checks, which is often less expensive than using an overseas processor.
Pay with a credit card from a foreign country
Businesses of all sizes can take advantage of this opportunity in Europe, where CBD regulation has been relatively lenient. Nevertheless, situations have become tender over the past week. MasterCard now requires EU merchants to have an EU location to handle MasterCard payments, and it’s safe to assume Visa will follow suit before the end of the year.
Terminals for accepting payments
If you use an online payment terminal on site, you may have been lucky. Pharmacies use it as a standard method. The funds from the magnetic card are sent as a direct deposit to your bank account using this device.
When choosing a CBD payment processor, what should you look for?
A reputable payment processor will be needed even if your business is only responsible for selling CBD items. For those looking for a reliable CBD merchant account issuer, here’s what you should look for in a payment processor:
Helps CBD e-commerce businesses grow
Make sure the CBD payment processor is capable of delivering complex transactions before anything else. Indeed, the CBD industry may be vulnerable to credit card theft and refunds, which is why it happens. Few payment processors are willing to take a chance on this deal since the industry is still in a legal quagmire.
Payment gateway solutions are needed in a number of high-risk businesses, such as:
Adult goods and services are available
To play online
Into the world of online dating
Transaction
Business sales
travel services
Products such as pharmaceuticals, etc.
Fees are low
Several high-risk companies are anxious for payment processors. Therefore, many payment processors charge absurd prices. CBD payment processing costs start at 4.2% for each transaction, according to a recent study.
It is therefore crucial to select a merchant account that is cheaper than the accounts offered by many other issuers and that does not hide costs that will increase over time.
It would be best to find out if you are able to afford the fees imposed by the payment gateway. And look for a supplier that matches your profitability. Before using a payment processor, you should check if there are any additional fees associated with refunds.
The payment processor is very easy to integrate
To employ a payment processor, you need to move your online business to a new infrastructure. A lot of work and money has gone into building your CBD store, so these steps are quite remarkable. When looking for an e-commerce solution, be sure to choose one that allows you to seamlessly integrate its processing system into your current platform.
When your business grows, you’ll want to work with payment processors that provide these solutions. For this reason, Bridges can be linked to virtually any platform, allowing our customers to accept payments while staying on their console. Most payment processors use payment gateway API connectivity.
As a business president, you can keep tabs on how your e-commerce store looks from a consumer perspective using an API-based payment method.
Customer support
Shopping for products online can be risky, so planning for something worse is essential. Have you noticed that organizations with established fraud protection strategies saved 42% on the costs of responding to a fraudulent attack?
Learn about dispute resolution policies and fraud prevention measures before choosing a payment platform to use for your business.
Accepting all card payments is also a good rule of thumb
If the processor can’t accept a certain brand of credit card, you’re essentially back to where you were. Debit card payments are preferred by 44% of respondents in a Harris Poll. Look for a payment gateway that accepts all card payments to avoid confusion.
Conclusion
If you want to optimize profitability and customer retention levels, you need to be on top of the CBD Marlet. You will no longer have to worry about administrative tasks, accounting or general business maintenance with such a payment processor.
