Why It Seems Difficult To Get A CBD Account?
Let’s start with looking at what makes getting (and keeping) an account so difficult in the first place.
Since the 2018 Farm Bill indirectly removed CBD from the list of illegal controlled substances and passed the responsibility for regulating it to the FDA, the production and sale of CBD products have skyrocketed.
The problem is that while the federal government had the time to make that one significant move, they still haven’t had the time to actually decide how exactly they will regulate this new market.
Stricter regulations could be entered at any time; until then, what is legal in which state is hard to figure out. And since all of this means that a CBD-related business could technically be slapped with a huge fine or be entirely shut down for crossing some hard-to-see line, all CBD businesses are considered high-risk.
This may not be an issue if you’re not looking for a loan or other type of funding, but it is an issue when it comes time to set up a CBD merchant account and a payment gateway to process credit card payments.
Banks don’t touch high-risk businesses unless they are already heavily backed by big money, and mainstream processors like PayPal and Stripe have very strict rules that typically follow everything that the regular banks decide.
And if you do happen to find a provider that is willing to give you an account, it will come with extremely high fees that make it impossible to run a profitable business.
Solution To Get Merchant Account For CBD Business
- Instead of banging your head against the wall with regular banks and mainstream solutions, you need to look to a high-risk merchant account provider instead.
- Such account and payment gateway providers are specifically designed to work with high-risk businesses that can’t get a merchant account elsewhere.
- At 5 Star Processors, we work with high-risk businesses every day. As we already have many CBD businesses as customers, we understand the needs and the complications that come with your business and can help you with solutions that work around them.
- Not only can we get you started with a CBD merchant account, but we can also give you fast approval and lower fees than anyone else out there.
This means that you can get started ASAP and at price low enough for you to turn a profit with every sale you make.
Get In Touch To Get Started
To get started on getting approved, or even if you still have some questions before you want to start, call or email us today. We can answer any questions that you have and get you started on the approval of your CBD merchant account. Call (888) 253 9692 now or send 5 Star Processing an email at [email protected].