cbd wraps legalDecember 15, 2021
In this post, we’ll explain how to ship CBD oil across state lines, the legality of shipping CBD-based products nationally and internationally, regulations for USPS and private shipping companies, and how to properly package products for mailing.
The USPS has issued detailed guidance on how to legally mail hemp and hemp-based products. According to USPS regulations, CBD can be mailed provided the following two conditions are met:
The short answer is yes, provided your CBD products are hemp-based. It’s important to note that CBD can also be derived from the marijuana plant. Marijuana, the close cousin of the hemp plant, remains illegal at the federal level. Your CBD products also can’t contain more than 0.3% THC, the naturally occurring psychoactive compound found in both marijuana and hemp plants.
Can You Mail CBD Oil Legally?
Other countries like the UK allow CBD products shipped from the US, provided the product complies with UK law and doesn’t contain more than 1 mg of THC, regardless of how large the container is. CBD products remain illegal in some countries, like the UAE and Malaysia.
CBD and other hemp-based products aren’t just popular in the United States; it’s an international trend. So can you mail CBD oil overseas? The answer to that depends on where it’s going. Some countries like Canada have stringent laws about selling CBD products from the US. Legally selling CBD products to Canadians requires a lengthy and complicated application process with Health Canada, their licensing agency. Unless you’re dead set on making inroads into the Canadian market, you’re likely to find the red tape outweighs any potential benefits.
The popularity of CBD-based products has skyrocketed in the US in recent years. CBD has experienced a meteoric rise from a virtually unknown compound to rock-star status in the health and wellness market. That’s excellent news for those interested in starting a business selling CBD-based products. The global CBD market is valued at $2.8 billion. But one question that often comes up is the legality of shipping CBD in the US and abroad.
Selling CBD oils and other hemp-based products online can be a fun and profitable way to start an online business. But shipping CBD across state lines and internationally comes with some important caveats. Knowing and following the regulations for legally shipping CBD oil and other CBD-based products will help keep you on the right side of the law, saving time and money in potential legal headaches and ensuring your company prospers.
If you plan to sell CBD oil outside of the US, you must understand the regulations of the countries you’re shipping it to before you make the sale. Failing to properly understand what’s legal and what’s not in other countries has consequences ranging from a fine to jail time.
Getting CBD oil or other CBD-based products properly labeled and ready for shipping requires a little more prep work than your average online order. Here’s how to do it like a pro.
Shipping CBD or Hemp with UPS and FedEx.
It’s unlikely you’ll be asked to present lab reports or any other documentation listed above to mail the products. But the regulations state you may be required to present them if there’s a question about the item’s mailability or the legality of the recipient to receive it. It’s better to be safe than sorry, so keep these handy each time you’re preparing to ship a batch of orders.
Recent service delays with the USPS may have you considering using a private shipping service like UPS or FedEx to ensure on-time deliveries. It’s legal to ship CBD-based products like CBD oils, as well as hemp, provided your products have THC contents below 0.3% and have been derived from hemp plants and not their psychoactive relative, the marijuana plant.
Some online retailers also sell raw hemp or other hemp-based products. It’s common for questions to arise about how to legally ship these products to consumers. Regulations regarding mailing raw hemp or other hemp-based products through the USPS are the same as those outlined above for CBD oils and other CBD-based products. Nothing in your order can exceed 0.3% THC, and you’ll need to be prepared with documentation to prove you’re operating legally. An example of documentation that may be requested would be third-party testing results verifying the products you’re shipping contain less than 0.3% THC.
Frontier Label has helped many CBD companies create high-quality labels for their products. Our experts would be happy to talk to you and help you with your unique needs — whether that’s helping you decide on the right labels for your CBD products or talking over your packaging options as you’re getting started. Let’s connect.
Can You Mail Hemp Legally?
Any product with more than 0.3% delta-9-THC is federally illegal in the US, but each state has different requirements for what they consider to be the amount of THC in a product. Some states require less than 0.3% delta-9-THC while others require THC to be more accurately reported as delta-9-THC + THCA, multiplied by the amount of THCA that can be activated and converted to delta-9-THC when heated. This more accurate THC calculation is not always the calculation used on labeling.
In this article, we will be looking at the legality of hemp derived CBD in selected countries across the world.
Hemp-derived CBD is the only type of CBD that is legal in most countries. CBD is also found in the marijuana plant. Marijuana-derived CBD is not legal in most countries because the growth and cultivation of marijuana are not legal.
The US is unique because all 50 states have different laws for CBD products. There are some CBD products that are explicitly illegal federally like CBD gummies, and any product where CBD is added to food or drink. However, just a small handful of states do have laws that seemingly permit CBD that is added to food and beverages. Labeling requirements for CBD products also vary by state and not all products can be legally retailed in all 50 states.
But there is more to know. While cannabis might be illegal in some parts of the world, its derivative CBD – the focus of this article – is often legal for use for health and wellness purposes.
CBD Laws in the United States.
The legality of Cannabis, Marijuana and/or their derivatives CBD and THC varies from country to country. Cannabis laws around the world vary in the areas of possession, distribution, cultivation, how it can be consumed, and what medical conditions it can be used to treat.
It is worthy to note that while medical cannabis and its derivative CBD is legal in all 50 states that make up the Union, the substance remains a class A drug federally and possession of the substance is in clear violation of federal laws. A bit tricky you might say, but that’s the reality of most cannabis control regulations in the United States.
Because hemp is sometimes confused with marijuana, there is still some stigma towards hemp-derived CBD. However, from a legal perspective, hemp-derived CBD is legal and possession should pose no legal issues in most of the United States and many countries, but it is important to understand how the law around CBD use and possession works in whatever country you find yourself.
When it comes to CBD in the US, it is very important to actually read the state laws and understand that a product that is not produced in your state might not be legal to buy, sell, use, or possess. A good example of this are Louisiana, Indiana, North Carolina, and Kentucky which prohibit any smokable CBD or hemp product including flower, concentrates, and vapes! There are also states like Idaho where hemp and CBD are both illegal and heavily penalized.
When evaluating CBD suppliers consider the following.
Avoid CBD products from suppliers that:
Since traditional financing options like loans can be limiting and risky, CBD sellers can take advantage of alternative options like merchant cash advances. They aren’t technically a loan and still give you short-term access to the capital you need to run your business.
Payment Processors for CBD Stores.
While legal on a national level (with restrictions), you also need to be aware of CBD laws that vary by state. Some states:
What works to build your community will vary from brand to brand. Your decisions should be based on a deep understanding of your unique audience and meeting their needs.
So, is it legal to sell CBD? Yes, CBD with less than 0.3% THC is legal nationally in the United States.
Cash advances differ from loans in many ways. Unlike loans where the business borrows money and pays it back over time in fixed monthly payments, merchant cash advances or MCAs work differently. They are not technically debt. Instead they are a purchase of your future receivables or sales. So an MCA will purchase your future sales and collect a fixed percentage of what you sold (usually weekly or daily). So if sales go down, you pay less that day, month, or week, if they go up, you pay more. There’s usually no long approval process with cash advances, and many (including Payability) do not do credit checks. Unlike loans, MCAs never require you to put up collateral such as your house to secure the funding.
High-quality CBD oil products will be:
Credit cards alone though don’t realistically support your entire business operations. Low credit limits and maxed out cards can still limit sellers, especially if your business is growing faster than your credit limit will allow.
You won’t be able to fool customers with low quality products either. They’ll be quick to call out sellers who do and be sure to let their friends know too.
Here’s a few financing options to consider:
But, keep in mind that CBD is not generally legal.
In 2020, high quality products and savvy marketing will only get you so far though.
Before you start selling your own CBD products online though, there’s a few things you should know about.
But, one option is called a “bridge loan”, which is a short-term loan a seller can use for immediate needs like rent, inventory, and utilities. These loans though typically have high-interest rates and require you to put up collateral, which is typically a hard asset like commercial real estate, or your home.
Merchant Cash Advances.
What CBD products are legal to sell? How do you comply with your eCommerce platform’s rules? How do you finance a CBD business?
Common CBD oil or CBD-infused products include:
Due to the evolving nature of CBD regulations, it’s best to connect with local representatives and keep up on statewide laws of where you sell.
While this bill is a significant step for CBD sellers, there’s still serious restrictions on how hemp is produced.
Leading brands find creative ways to interact with their communities. They understand their buyers needs and wants, and foster authentic relationships based on that.
As CBD becomes a high-demand product, regulations around selling it are evolving. It’s your responsibility to understand the latest laws and what it means for your online business.