Financial Solutions for CBD Businesses
CBD business financing can help give you access to capital to expand or invest in your growing small business.
Stop giving away equity in your company by utilizing one of our CBD Financing Solutions.
The CBD industry scored a huge win when Congress enacted the 2018 Farm Bill, removing hemp from the list of controlled substances. Still, CBD businesses often face similar cash flow challenges as their counterparts in the cannabis industry. While there are more financing options for CBD companies vs. cannabis companies, there aren’t many viable lenders that understand the industry or offer the right interest rates. That’s where we come in.
FundCanna specializes in CBD business loans. We provide a wide range of services — including short-term loans, cash advances, invoice financing, and inventory financing — and we’ll help you secure the line of credit you need to thrive.
Applying for financing for your CBD company has never been easier.
Fill out the form below and have access to the capital you need in as little as 24 hours.
Get access to the funding your CBD business needs. FAST
The 2018 Farm Bill paved the way for CBD and its acceptance on the federal level in the United States. Since then, cannabis laws regarding CBD or other cannabis components have been introduced on the state and national levels.
With regulations incrementally shifting, cannabis companies are inching towards complete acceptance. At this time, CBD companies are in a moment of opportunity unlike any plant sector today.
Financing solutions, including CBD industry-specific business loans, are more available than in any other cannabis sector, allowing companies to grow, scale, and reach their full market potential easier than Delta 9 THC or Delta 8 brands.
Scaling Your CBD Business
Scaling a CBD business is essential as the nascent cannabis space becomes a mature, regulated market.
In most cases, businesses scale by either expanding into new markets, introducing new products, buying new equipment, or various efforts aimed at forming a connection with new and potential customers.
The same applies to CBD businesses. Expanding into new markets is self-explanatory, with numerous state and international markets to consider. Growing your product line can include various options. They include rolling out additional CBD products, including flower, edibles, topicals, tinctures, vapes, and other choices made from full spectrum, isolate, or distillate cannabis.
CBD companies can expand into Delta 9 THC production if the state has enacted adult use laws. Another option, especially if a state hasn't legalized adult use yet, is to expand into a legal Delta 8 THC line. While lawmakers often contest its legality, Delta 8 is proving to be a viable market for numerous brands in 2022.
On paper, scaling seems simple enough. But with numerous companies doing the same, every cannabis brand must demonstrate how it differs from the competition. Otherwise, why would consumers turn to you over the rest of the pack?
The rule applies across the industry. From the established full spectrum CBD lines to a startup Delta 9 or Delta 8 brand, each must find what makes its product unique and why consumers or business partners should choose them.
To scale, most companies will need financing options.
Thankfully, solutions are becoming more available even though most of
the cannabis plant remains prohibited at the federal level.
CBD (and Cannabis) Laws Continue To Change
Cannabis laws will continue to change in the US and abroad. CBD laws are no exception.
In 2022, most US states saw lawmakers introduce bills related to CBD in some form or fashion. Four federal bills were introduced as well.
Companies looking to succeed in the CBD space must stay updated on regulatory movements at home and abroad. Those with the latest information put themselves in the best position to grow, scale and thrive. The task can be daunting at times but immensely beneficial when successful.
Choose the Suitable Supply Partners
One of the more crucial decisions a CBD company must make is whom to partner with. Choosing the right supply chain partnerships can lead to growth and scalability. The wrong choices can lead to debts, damaged reputations with consumers, and closures in the worst outcomes.
Finding the proper business financing options is one of the most critical partnerships to consider. Working with established business lenders with clear guidelines, prompt responses, and a knowledgeable support team should help your company determine its best financing options and lending partners.
Start your research by surveying customer reviews. If the company seems like they're worth talking to, ask them every question you have. Then, assess if you feel like moving forward. Don't rush the process. Take your time, or as long as you can afford on the process.
Where To Sell Your CBD
CBD brands may be able to expand through their sales platforms. Brands can utilize traditional and modern methods for sales growth. Brick and mortar may still be viable with adequate market research and analysis before going forward. Brands may succeed with a dedicated store or through partnerships with established retail locations, cannabis or otherwise, having their brand sold in stores without taking on additional debts from property rent or land purchases.
Today, eCommerce is the preferred method in most cases. Using a company website, Amazon, third-party cannabis platforms, drop shipping, and other ways are beneficial with the right due diligence conducted beforehand. Like a retail location, companies need to assess their options and choose wisely before deciding. Otherwise, time and money could get wasted.
CBD Business Loans and Other Financing Options
Cannabis companies continue to run into red tape and roadblocks due to federal cannabis laws. Until reform arrives, many companies may struggle or unsuccessfully find business financing options for their brand.
CBD companies may still run into this issue on select occasions. However, with the legalization of hemp, CBD companies can find financing lenders to obtain working capital for their CBD, Delta 8, Delta 9 or other cannabinoid-focused ventures.
FundCanna is prepared to help you CBD brand obtain its business loan. Contact us today to learn more.
In 2022, cannabis companies have more financing solutions than ever before. While we await further legalization, CBD companies can take comfort in their legal federal status. Roadblocks still remain for those operators, but the road is much smoother than with any other cannabis brand.
With business loans and other financing solutions to choose from, CBD brands are beginning to have the access to capital they need to grow and scale.
Contact FundCanna today to learn more about your CBD business loans and other financing options.
FAQ's
Sure can! At Fundcanna, we provide access to capital to all hemp related businesses in the supply chain as well as all companies that service the supply chain. Apply today!
Just like THC related businesses, CBD companies have access to the full-suite of financial offerings provided by FundCanna.
CBD Businesses need to provide us 3 months worth of bank statements, our quick application, and ytd financials. That's it.
In most cases, no. The majority of our financial solutions do not require any type of collateral to get approved for funding.
CBD Business Loans
Vendor Financing
It’s no secret that few things are more frustrating for a small business owner than waiting for invoices to be paid. Irregular payments and long collection cycles aren’t just annoying, they can kill your momentum. You need to keep the cash flowing, and with FundCanna’s invoice financing, you can continue to invest in your business.
Don’t be at the mercy of other people’s payment cycles. Send us your invoices and we’ll spot you 80% of your invoice amount. Once your client pays the invoice, we’ll send you the remaining 20% minus fees. It’s that easy!
Working Capital
You need supplies and materials to meet your demands. But as small businesses everywhere can attest, cash flow can be a problem. After all, clients don’t always pay invoices when you want them to. It’s frustrating, and can slow your growth… if you let it. Don’t let it!
FundCanna’s inventory financing offers solutions to help get your products into your customer’s hands. Upon approval, we’ll pay your vendors for the supplies you need, and when your accounts payable come through, you pay us back for the supplies we bought, plus any accrued financing fees. You only pay fees on the amount of funds you use, regardless of how much you’re approved for.
Working Capital
You need supplies and materials to meet your demands. But as small businesses everywhere can attest, cash flow can be a problem. After all, clients don’t always pay invoices when you want them to. It’s frustrating, and can slow your growth… if you let it. Don’t let it!
FundCanna’s inventory financing offers solutions to help get your products into your customer’s hands. Upon approval, we’ll pay your vendors for the supplies you need, and when your accounts payable come through, you pay us back for the supplies we bought, plus any accrued financing fees. You only pay fees on the amount of funds you use, regardless of how much you’re approved for.
Get the funding you need. FAST.
Approvals in as little as 24 hours
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