Mike Sill is the 26th CEO and co-founder of Sunday Scaries, a CBD company with stress-relieving products. As founder and owner, this is my opinion on the crucial development issues in my industry, along with predictions about what will happen. CBD companies currently offer a fairly wide range of products, but this diversity will increase as more companies introduce products that hyperconcentrate on each of the more than 100 minor cannabinoids found in the hemp plant. Formulations focusing on cannabinol (CBN), cannabigerol (CBG) and other compounds and mixtures will be developed for specific use cases.
Despite being legal at the federal level, CBD companies still have problems obtaining capital and standard services from banks and other financial services institutions. And the ability to market CBD as a safe and effective substance is limited by the FDA classification. In addition, more precise federal regulation of product quality will be a rising tide that will lift most boats, as bad players abandon fishing in order to survive the fittest. Once companies are able to market CBD as a dietary supplement, it will reach the mainstream of physical retail.
In particular, large chains will offer a range of topical and ingestible products in various product categories and applications. This new distribution could greatly expand the market and, at the same time, benefit several components of the supply chain, including hemp producers and laboratories that carry out the extraction, distillation, crystallization and isolation of CBD from plants. A particular benefit will be to encourage more quality laboratories to participate in the CBD game, as many centers are now hesitant to deviate from their core competencies. The price of commodities will also increase dramatically as retail demand grows.
Large companies have been hesitant to adopt CBD, as their “Wild West” market is initially struggling to grow. But once the regulatory landscape clears and stabilizes, many corporate giants will seek to diversify their product lines with CBD and add new products that open up avenues for growth. Companies like Procter & Gamble, Johnson & Johnson, Coca-Cola, Unilever and more can get in the game, and they will do so by acquiring current leaders in the CBD market. An historic record in public education on cannabinoids will accompany the addition of CBD.
This way, consumers will be able to feel safer and more secure when buying regulated products in a smart way. Many CBD companies, which are now primarily self-regulating, will be forced to improve their quality assurance and compliance efforts to survive. And suppliers that already sell high-caliber products will ultimately benefit from their investments in R&D and production, which have necessarily reduced ROI. The future of CBD is promising, but still depends on crucial developments.
In a way, the CBD industry is an unstoppable giant. It is already a multi-billion dollar sector that will only grow, as millions of consumers have made their preferences clear. However, CBD companies still have to overcome many unique obstacles, from raising capital to using standard payment processing and being able to market on regular channels. The crucial advances that will remove these barriers are the FDA's classification of CBD as a dietary supplement, the industry's unrestricted access to financial services, and an intelligent regulatory framework that increases product quality and safety across the board.
The potential of the CBD industry has led many people to explore how they can launch a CBD business. However, the industry is not without challenges, especially around the evolving legal landscape, but the opportunity is significant. If you're thinking of getting involved in the CBD industry, you should first understand more about cannabinoids and the products that use them. CBD is one of more than 100 cannabinoids, compounds found in cannabis and hemp plants.
The most famous cannabinoid is undoubtedly tetrahydrocannabinol (THC), responsible for poisoning associated with cannabis use. However, CBD does not produce an intoxicating effect; instead, it offers potential therapeutic and health benefits, although research is ongoing on its potential medical applications. CBD products are generally created in several steps. First, the raw material must be cultivated and harvested.
For example, if you're planning to use industrial hemp to create your CBD products, you'll need to grow or buy a large amount of the plant. From there, CBD oil is extracted from the plant by a variety of methods. Once again, you can do it yourself or outsource the process to an extraction company. Once you have extracted the CBD oil, it can be sold as a concentrate or used to infuse a variety of products.
Some of the most common CBD products on the market today include sublingual tinctures, infused foods, and topical products such as gels or creams. Industrial hemp contains less than 0.3% THC and is considered legal under federal law to cultivate, harvest and process to obtain finished products. Cannabis contains more than 0.3% THC (often much higher levels) and is still illegal at the federal level; hemp and cannabis are closely related; industrial hemp is actually Cannabis sativa L., with its name mainly due to a legal definition setting a threshold for THC content - flowers of hemp plants contain little or no THC while flowers of cannabis plants contain much higher levels of THC. The key difference between hemp CBD oil and cannabis-derived CBD products is THC; depending on extraction methods used for obtaining oil from plants it may contain other cannabinoids and compounds found in source plant; if you've done any research on CBD market you've come across terms “full spectrum” or “isolated” - full spectrum means oil contains all compounds found in source plant while isolated means only one compound was extracted from source plant.
