QuadraPay offers services to Hemp Oil Merchant Account solutions. Our solutions comply with industry standards and come with built-in fraud reduction tools.
Hemp Payment Processing Is Lot Easier in 2022
So you have accumulated the stock of Hemp oil and hemp products, and your website is ready. The website is getting traffic, but you are making no good money. One of the reasons may be that you don’t have the correct Hemp Payment Processing Solution.
Hemp-based products were illegal under USA federal law until very recently. These are now considered legal in select US and EU locations. Some European countries allow people to purchase and distribute hemp products in which THC % is under the government’s prescribed limit. The USA Farm Bill has also offered a sense of comfort to Hemp merchants and hemp-friendly banks.
The payment processing landscape for hemp-derived products is still very dynamic, and banks’ behaviors often keep changing. Still, an experienced high-risk provider like QuadraPay will ensure that you access payment solutions for your business.
What Are The Requirements To Get A Hemp Merchant Account?
You will need the following to start the pre-application process.
- An ecommerce website/retail store
- Bank statements up to the last three months.
- Processing volumes statements up to the last three months.
- IDs of directors/major shareholders.
- Lab certificate of the products that you wish to sell
- Utility Bill of company
Hemp Merchant Processing And Associated Risks.
Hemp is a high-risk product for the banking industry; getting access to merchant services for Hemp is difficult and expensive. Here are a few reasons why these products are considered risky:
Hemp Oil Benefits And False Commitments. It is unethical and creates a challenge for the entire Industry. Most Hemp products are still not validated by government agencies like FDA for efficacy. So merchants must not over-claim the effect of Hemp oil and related products. False claims attract chargebacks, increasing the credit risk of the acquirer.
Hemp And Marijuana. The Taboo Combination. Although The USA is the 3rd largest producer globally, banks do not love the hemp and cannabis connection. They see a reputation risk in this mother and baby relationship. The good news is that all five fingers are not the same, and many banks have opened their doors to hemp merchants. Most of these banks are ok with offering bank accounts to merchants. We call them the Hemp Friendly Banks.
Choosing The Best Hemp Payment Processor
A Multi-Pronged Approach is Better Than Single-Prong Approach
Single-Pronged Approach To Find Hemp Merchant Account. All you have to do is send your application set to one bank. If the bank is not Hemp friendly, then search for another one and keep searching until you get a yes. The fact is that there are very few banks that may say yes to this vertical. There are thousands of providers out there, and all have their own prohibited list of industries. Finding these is like mining.
Multi-Pronged Approach To Find Hemp Merchant Account Providers. Your application will only go to providers that assist merchants from high-risk industries like Hemp for more tremendous success. Please apply with a provider like QuadraPay because it works with a vast network of banks and payment processors. Key account managers at these prestigious firms will review your application quickly.
Factors to consider while finding Credit Card Processing For Hemp Business
Pricing: You must be aware that high-risk hemp processing is expensive. The challenge is there is no transparency. Different providers charge different fees. Still, it would help if you worked with an acquirer that offers rates on the lower side. Our solutions are possible as merchants get the right to negotiate even after receiving the offer.
Contracts: Sign a balanced contract that protects the interest of the merchant and acquirer. Read the fine lines about early termination fees and locking periods.
Customer Support: Hemp Merchant Service Works best with excellent support. The merchant acquirer must offer support for the merchant and the customer.
E-Commerce Integration Support: Many merchants use ready-made web platforms like Square, Wix, Shopify, and Weebly. Make sure that your processor offers integration with these platforms.
FAQ Hemp Industry
How To Sell Hemp Products In UK, EU, Canada And USA.
Many nations and states have legalized the use of Hemp for select purposes. But, there are procedures that you must follow to sell Hemp products. You have to follow specific local and international guidelines and comply with all applicable laws to produce and sell your product legally. It is advisable to consult with the law attorney or qualified consultant to determine the specific requirements that apply to your business and your location before starting it.
For more regulation related information pertaining to each nations visit these links.
Canada Industrial Hemp Regulations
USA Hemp Production and the 2018 Farm Bill
UK Industrial hemp: licensing guidance
EU Cannabis legislation in Europe
Why Do You Need A Hemp Payment Processing Solution?
As a business owner, you might already know that your businesses come under the high-risk processing category. Most financial institutes and banks generally deny merchant account applications for such risky companies. It creates a lot of issues for new business merchants to get the right payment processing solution.
But with the Hemp product payment processing solution by Quadrapay, you can achieve better processing solutions and even reasonable processing rates.
Can QuadraPay Offer Solutions That Cater To High Monthly Volume Processing?
For businesses like yours, there is also a requirement for a high-volume processing solution. With our solution, you can easily process high-volume sales and settlement into your business bank account.
