Licensing authorities for this industry vary from state departments of health to departments of agriculture to marijuana licensing boards. And, many states either do not have specific licenses for this type of business or allow only licensed medical marijuana establishments to sell these products.
While a small number of states have licenses specific to retailers of hemp/CBD products, almost all states require licenses for the sale of food items. Therefore, it is imperative to familiarize yourself with state, local, and federal definitions of "food" to determine if a license is required for your business. Most CBD products are meant to be ingested in either oil, powder, or smokeable form, requiring different license classifications depending on exactly what products you sell.
States that license retailers of hemp/CBD products usually require adherence to state guidelines for product labeling, marketing, and percentage of delta-9-THC in the products. Businesses can expect to be required to submit to random inspections by licensing boards of both their facility and their individual products to ensure compliance with regulations.
Fingerprinting and background checks of owners and officers are common, as well as submission of facility layout plans, samples of labels, and product descriptions. As with any industry, state incorporation filings, tax registrations, and basic local business licenses are more than likely required.
Businesses functioning without the proper license are generally penalized based on the size of the operation and the gravity of the offense.