If you live in the USA, and you want to make some real money, then jumping into the currently exploding hemp and cannabis market is a fantastic idea. The simple reality is that the hemp and cannabis markets are expected to expand dramatically in terms of value and size within the next few years. They’re already worth billions of dollars in individual states, thus making Delta 8 dropshipping a very real money maker.
Just to really put this into perspective, in 2022, the estimated size of the cannabis market in the USA was $27.7 billion. However, the projected market valuation for the cannabis industry in the year 2027 is $82.3 billion. Therefore, the size of the cannabis market is projected to nearly quadruple within the next few years. For anybody who wants to make some serious and easy money, selling hemp and cannabis products online is now more profitable than ever.
Now, what needs to be said is that Delta 9 THC, which is the main cannabinoid found in marijuana plants, is still technically not legal at the federal level. This means that selling regular D9 THC products, such as plain marijuana flower, is not really possible. However, there are other cannabinoids, such as delta 8 THC, which are technically considered legal at a federal level so long as they meet certain requirements.
Delta 8 THC is available in many different forms, including infused hemp flower, vaporizer products, concentrates, edibles, topicals, and much more.
This provides anybody who wants to start dropshipping business with Delta 8 THC products a massive opportunity to make some very real profits. What we’re here to do today is to provide you with a delta 8 THC dropshipping guide to provide you with all the information that you need about dropshipping this specific cannabinoid.
What is Delta 8?
What many people are probably wondering right now is what Delta 8 THC is. As we already explained above, D9 THC is the regular type of THC that is found in most marijuana and hemp plants. If somebody refers to THC, such as the THC content of the specific marijuana product, it is D9 THC they are talking about.
However, the issue is that at a federal level, D9 THC is not yet considered legal. In fact, according to the 2018 Farm Bill, for any cannabinoid product to be considered legal, it must be derived from a hemp plant, which means that it may not contain more than 0.3% delta 9 THC.
Both the plant that the product is derived from, as well as the final product, are not allowed to contain more than 0.3% delta 9 THC. However, the story with Delta 8 THC is a bit different, and it may technically be considered legal at a federal level.
Now, delta 8 THC is of course another form of THC, although it doesn’t occur in very high quantities in cannabis and hemp plants. In fact, delta 8 THC occurs in such small quantities that extracting it from plant matter is not feasible. Instead, delta 8 THC is usually made out of CBD through various processes, with hydrogenation being one of the most common ones.
Delta 8 THC may only be about half as strong as D9 THC, but it still contains psychoactive and intoxicating properties, which is why it is so popular with many people. There are plenty of different Delta 8 THC products out there, including infused flower, concentrates, topicals, edibles, and much more.
Is Delta 8 Legal?
The next question that many people have here is if Delta 8 THC is truly legal. So, let us explain to you the intricacies of the 2018 Farm Bill. The 2018 Farm Bill is a specific piece of federal legislation which was signed while President Donald Trump was at the head of the White House. This is a bill which officially legalized the use, possession, and sale of hemp products.
Marijuana products were not legalized, but hemp products were. The distinction here is that if cannabis plants contain more than 0.3% delta 9 THC, it is considered a marijuana plant, but if it contains less than 0.3% of delta 9 THC, it is considered a hemp plant. To be clear, at a federal level, marijuana is considered illegal whereas hemp is considered legal.
You might think that Delta 8 THC is therefore illegal, but no, it is not, because Delta 8 THC is not the same thing as D9 THC. The 2018 Farm Bill specifically refers to D9 THC while making no mention of delta 8 THC.
Furthermore, the Delta 8 THC that we know, the type that is available for purchase within the USA, is derived from the hemp plant. If delta 8 THC is derived from the hemp plant, and as long as it does not contain more than 0.3% delta 9 THC, it is considered legal at a federal level.
With that being said, you do need to consider individual states, because as you might know, the federal government in the USA may have conflicting laws with individual states. Although Delta 8 THC is legal at a federal level, it may not be totally legal in all states.
Therefore, before you start attempting to drop ship any Delta 8 THC products, you need to do some research to ensure that it is indeed legal in the state you are selling to. As long as you stick to the states where delta 8 THC is legal, you should have no problems on this front.
What is Dropshipping?
Now that you know everything there is to know about Delta 8 THC and its legal status within the USA, let’s take a closer look at what dropshipping is. Dropshipping is a relatively new type of online sales method.
To explain, let’s first refer to the old and traditional online sales method. With the traditional online sales method, you, the retailer, would purchase inventory and have to store it in a physical location. This means that you would have to purchase a warehouse and then store all of the Delta 8 THC products in there, after having already spent a whole lot of money on them.
In essence, this means that you now are the proud owner of a whole lot of inventory that you must sell before it goes bad, or else you don’t make a profit. As you can imagine, this can cause some serious issues, both in terms of storage costs and what happens if you can’t sell the product.
This is where dropshipping comes into play, which is essentially an online sales method that removes the need for you, the retailer, to purchase and store inventory. Instead, you, the retailer, are nothing more than a sales funnel. Here, you would make your own website and load it full of Delta 8 THC products that you then sell.
The difference here, however, is that you don’t actually purchase or store any of this inventory yourself. Instead, what you need is a CBD dropshipping supplier. This is more or less a middleman who holds on to all of the products for you. This way, a customer comes to your website, places an order, and instead of you having to fulfill it, you relay the order to the dropshipping supplier, which then fulfills the order.
The big benefit for you here is of course that you don’t have to purchase massive amounts of inventory that you then have to sit on until you manage to sell it.
You don’t need to worry about purchasing a warehouse to store inventory, you don’t have to worry about property taxes for your warehouse, you don’t have to worry about security and protecting your inventory from theft and damage, and you don’t have to worry about not selling it.
This is because the Delta 8 THC dropshipping supplier owns the product until the minute that you sell it. Only when a sale is made on your website do you technically pay for the product. Exactly how Delta 8 THC dropshipping works in terms of payment depends on the Delta 8 THC dropshipping supplier in question.
In some cases, the payment may go directly to the Delta 8 THC dropshipping supplier, with you taking a small profit out of the middle. In other cases, the payment may first come to you, and you then have to make a payment to the Delta 8 THC dropshipping supplier for their services.
However, the bottom line here is that dropshipping is a much more efficient, cost effective, and time effective way of doing business. Therefore, if you plan on selling Delta 8 THC, and you don’t want a physical store, then it’s dropshipping that you want to use.
Is Dropshipping Delta 8 Legal?
Just to be perfectly clear, dropshipping Delta 8 THC should be totally legal at a federal level in the USA. However, once again, Delta 8 THC is not legal in all states in the USA. Therefore, dropshipping delta 8 THC is only legal insofar as it is legal in the states you plan on selling it to.
Once again, you absolutely need to do all of the necessary research to determine which states you can and cannot operate in. If you make a mistake here, it can land you in some really serious legal trouble.
How to Start a Delta 8 Dropshipping Business
Now that you know all of the most important facts about Delta 8 THC as well as about dropshipping, let’s take a closer look at how exactly you can start your own Delta 8 dropshipping business.
1. Register Your Business
For most businesses in the United States, to be legally compliant, you must first register. Generally speaking, this means that you need to choose a type of business structure, whether sole proprietorship, partnership, LLC, or even a corporation.
At the very least, you’ll have to register your business with the state that you are operating in in order to be legally compliant. Of course, the taxman always wants his fair share, and for you to pay taxes, you have to register your business.
Technically speaking, to pay taxes, to get company loans, to open a company bank account, and more, you need to have what is known as an EIN or employer identification number.
Without an employer identification number, you won’t be able to pay taxes through your business, which essentially means that you would be operating illegally. Therefore, you need to follow the necessary procedures to register your business with the Secretary of State in the state that you live in, and then also apply for the EIN.
2. Choose a Delta 8 Dropshipping Supplier
Once your business is officially registered under your name, you then need to go about choosing a Delta 8 dropshipping supplier. Choosing a dropshipping supplier is very important, because this will determine the type and selection of products that you have available in your retail store.
Once again, in dropshipping, you don’t have to purchase all of the inventory and hold on to it to then sell. Instead, you just choose a dropshipping supplier. In essence, really just selling products or somebody else and taking a neat profit out of the middle.
Therefore, you need to do some research in terms of what the best Delta 8 THC dropshipping suppliers are, something we’ll take a closer look at further below. Keep reading if you need to find out exactly how to choose a Delta 8 dropshipping supplier.
3. Choose Your Payment Processor
Seeing as you are selling something, you need to find a way to allow people to pay you. Unfortunately, since this is all happening online, people cannot pay with cash.
However, what you all seem to be aware of is that many major payment processors, including all major credit cards as well as PayPal, currently don’t work with hemp or cannabis companies. One of the only options you have at your disposal here is Square.
4. Set Up Your Online Store
Once everything else is completed, all you have to do is set up your online store. Unfortunately, platforms such as eBay and Amazon do not allow for hemp or cannabis sales, but luckily for you, Shopify does. In fact, Shopify has positioned itself as one of the leading authorities in terms of online cannabis retail stores. (You can sell products with up to 0.3% Delta 8 THC on Shopify).
Therefore, you need to set up a Shopify ecommerce website, or an ecommerce website on a different platform that will allow for it. You can of course just create your own site as well.
Create your homepage, your sales pages, make everything easy to navigate, do some search engine optimization, and just create a website that people will enjoy navigating through. Once you’ve done that, you can then go about choosing specific products to add to your list of delta 8 items for sale.
Choosing a Delta 8 Dropshipping Supplier
The only thing we haven’t covered yet today is how to choose a Delta 8 dropshipping supplier, so let’s do that right now.
When choosing a Delta 8 THC dropshipping supplier, always take a look at the product selection. Exactly what type of products you sell depends on what is and what is not legal in the state you plan on selling to.
However, if we are talking about the most legally relaxed states in the USA, you should be able to sell Delta 8 THC infused flower, vapes, concentrates, edibles, beverages, topicals, and more.
If you want to provide your customers with the biggest possible selection, then you need to choose the delta 8 dropshipping supplier that has a huge inventory for you to choose from. Just make sure that whatever you put on your website is legally compliant with the states that you are operating out of.
The product selection isn’t the only important factor to consider here, because the product quality may be just as important. You might have heard the old saying, quality over quantity, which in many cases holds true. Although having a great selection is ideal, it doesn’t make much of a difference if none of the products are very high quality.
Personally, we recommend going with a dropshipping supplier that might have a slightly smaller selection, but guarantees that their products are very high quality. Generally speaking, this means that the delta 8 THC is extracted from the plant matter or converted from CBD in very clean and green ways. We don’t want to see any solvents, unwanted substances, or poisonous toxins in the products.
We also want to know that all possible precautions and hygienic safety measures were taken when producing any such products. One of the best ways to get information about product quality from the consumer side is to read some reviews and testimonials from people who have already purchased those products.
Transparency and Reputation
Besides looking at reviews of the individual products themselves, we also strongly recommend doing some in-depth research into the various dropshipping supplies that you are considering.
You want to go with Delta 8 THC dropshipping suppliers that have immaculate reputations for producing high quality products at reasonable prices, for their excellent shipping practices, for great customer service, and more.
Simply put, whatever your customers look for in your online cannabis store are the same things that you should look for in a dropshipping supplier for delta 8 THC.
You want that company to be transparent as well, which means that you should be able to easily find who is in charge, where the company is located, and where they source all of their products from, if they don’t produce them themselves.
Third-Party Testing and Legal Issues
One of the most important factors here is that you ensure that whatever Delta 8 dropshipping supplier you go with is legally compliant. More than anything else, this means not selling products that contain more than 0.3% delta 9 THC, especially at a federal level.
Furthermore, this means that every single delta 8 THC product, whether concentrate or edible, needs to be tested by a third-party laboratory.
A third party that is approved by the government needs to confirm that the products in question do not contain elevated levels of delta 9 THC or any other unwanted substances. If you don’t see any mention of third-party testing, move on and find a different supplier.
Costs and Shipping
The other factor that you might want to consider here are costs and shipping. Some delta 8 dropshipping suppliers may sell their products for a much higher cost than others.
Of course, if you have two delta 8 dropshipping suppliers that sell the same products for different prices, you should choose the more cost-effective one.
You then also want to pay attention to the various shipping methods and shipping times that the Delta 8 supplier in question can provide with the customers who purchase from you.
At the end of the day, it is clear that the help and cannabis industries are growing exponentially, and this provides anybody who wants to open a Delta 8 dropshipping store the opportunity to make absolutely massive profits. If you follow the tips that we’ve outlined above, you should have no problems turning a profit in this market.
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