CBD retailers: 7 mistakes to avoid

The CBD trade is subject to strict legal regulations. The first mistake a CBD retailer could make would be to ignore the regulations in force in France. Among the rules that must be followed: the products sold must come from authorized hemp varieties and must contain a maximum THC content of 0.3%.

It is also prohibited to present CBD as a therapeutic product or even as a medicine, under penalty of sanctions. Finally, the law requires that your products be traceable and accompanied by a certificate of analysis stating, among other things, their composition, the origin of the ingredients, and the THC content. Otherwise, the products are considered non-compliant and therefore illegal.

> See also: CBD regulations in France: what professionals need to know

Choosing the wrong supplier

To ensure the sustainability of their business, all CBD retailers must pay particular attention to the reliability of their suppliers. Be wary of abnormally low prices, suppliers located abroad, or those who are difficult to contact. If the products are of poor quality, delivered without a certificate, if the composition is unclear and the THC content is not specified, the retailer will be held responsible in the event of an inspection. Choose a supplier based in France that offers high-quality, traceable products for the safety of your customers and your business.

At Thitan, we guarantee reliable, high-quality products and complete transparency regarding their composition and origin. Whether you are a specialist store, a tobacconist, or an emerging CBD retailer, we are committed to the success of your business and the satisfaction of your customers every day. 

Neglecting administrative obligations

Launching a CBD business without a clear legal structure is a common mistake, and often a fatal one for CBD retailers. It is necessary to register your business, choose a solid legal status (LLC, SAS, SASU, depending on your situation, etc.), draft terms and conditions of sale and legal notices, and establish a privacy policy for online product sales. 

Failing to take these steps exposes you to a tax adjustment or even administrative closure. If in doubt, do not hesitate to seek assistance from a lawyer or the CCI.

Prioritizing quantity over quality

Another common mistake is trying to sell a lot by offering low prices, at the expense of quality. This policy never works in the long term: poor-quality products that are poorly packaged or incorrectly measured give your company a bad image. Customers will buy your products once, but not twice!

The ideal is to strike a balance between competitiveness and quality. Offer reliable, tasty products that meet consumer expectations, while achieving a realistic margin. This method is more effective in the long term and will strengthen your customers' trust.

Ignoring communication

To sell well, you first need to sell yourself well. Even if your products are high quality, your communication will enable you to reach a wider target audience and highlight your added value: premium or unique products, an unrivalled selection, etc. Don't neglect direct communication with customers either, and make sure you know your products inside out so you can give reliable, clear advice.

Neglecting continuous monitoring

The legal framework surrounding CBD is evolving rapidly and continuously. Failure to keep up with regulatory changes could cause your business to become illegal overnight. To avoid this pitfall, set up a regular regulatory monitoring system or surround yourself with professionals who can keep you informed of the latest market developments.

Underestimating financing difficulties

The sale of CBD is still relatively unknown, and even if your business is completely legal, it may scare off some lending institutions. Before you get started, it is therefore essential to develop a solid business plan and learn about all the assistance available to you to ensure the sustainability of your project and consolidate your financing over time.

> See also: What financing and assistance is available for CBD companies in France?