* We have no direct relationships with banks, but a number of payment merchants do.
What is the difference between a payment gateway and a business bank account?
While the CBD industry is considered ‘high-risk’, finding a payment gateway for your website and opening a business bank account can be one of the trickiest processes when launching your online store. The payment gateway is what customers use on your website to make payments for a product. A business bank account is where this money is stored for you to actually use.
There are a number of payment gateways that are available for CBD businesses, which we’ve covered in previous blog posts. However finding a banking solution that accepts CBD businesses can be more difficult.
Which banks accept CBD companies?
CBD is seen as a high-risk niche and there are many examples of banks that don’t accept CBD companies. The financial institutions that work with CBD companies continue to change.
Viva Wallet is probably the best all-around solution when looking to set up a website selling CBD. They provide an easy to integrate payment gateway for both Shopify and WooCommerce that allows customers to purchase products using all major debit and credit cards. As well as this, they also provide a business bank account, with your own card upon request. To add to that, they also offer a card reader with a monthly cost.
While Viva Wallet has had mixed responses over the last couple of years, they are still the best solution out there. As with most companies offering such services for businesses selling CBD, their response times can seem a bit slow but they do offer the most and the plugin is the easiest to integrate.
A possible solution could be to open a business account with Starling Bank. Viva Wallet used to use Starling until Starling removed its support for Viva Wallet CBD customers. This does not seem to be specifically related to CBD products because they do provide bank accounts to CBD businesses on a case by case basis.
We use Starling for our own business bank account for our CBD company, yet I do know other clients have had difficulty. CBD is still a misunderstood area, we would recommend that when setting up the company, you choose a name unrelated to Cannabis or CBD. When applying for the business bank account, being economical with the truth would be the best way to have an account approved.
CBD is considered a food supplement and it is completely legal to sell CBD products in the UK. So is there any reason to tell your bank exactly what you’re selling? As long as your products fall within the law, and you’re selling a legitimate CBD product, you don’t technically have to go into any details about the product with your bank. But there is a small risk that they could give you notice and shut down your bank account. This worst-case scenario has serious implications for your business – with no bank account, you won’t be able to take payments through your website.
Related Article: Payment Gateways & Accepting Payments Through Your CBD Oil Or Cannabis Website For WordPress & Shopify
Related Article: How To Accept Payments For CBD Products In Europe, Including CBD Bud/Flower