- KushCo will be helping CBD brands to understand regulations of the market, partner with retailers, and more.
- The FDA may soon be releasing tighter regulation over CBD companies, due to unsubstantiated health claims that some brands have released.
Last year’s Farm Bill made a major change in the way that the United States approaches the use of CBD. While there are many companies that are already familiar with the kind of regulations and rules that this sector of the cannabis industry much abide by, newcomers don’t have that familiarity. Rather than allowing these potential competitors to fail, KushCo Holdings recently partnered with C.A. Fortune to help them. Now, the company is taking its efforts a step further by launching a Retail Services division.
This decision coincides with the timing of many new CBD-based products entering the market, including both internal and external remedies. With the changes in the legality of CBD, these types of products can be found at gas stations, standalone shops, pharmacies, and even major grocery chains. In doing so, there are many rules that these companies need to follow to remain in compliance, which is what the Retail Services division will help to achieve.
KushCo’s new unit has already assigned Ryan Savage to be the Vice President. Julie Andler has been assigned the task of being Director. Savage enters the role after a decade in the consumer-packaged good industry with companies like Kroger and Trader Joe’s. Andler has spent the last ten years in retail analytics and customer relationship development.
With this leadership team, the division will be offering retail solutions for CBD brands that need guidance in the navigation of the regulatory atmosphere. The division will also be helping with distribution networks and establishing partnerships with various sales agencies.
The Chief Revenue Officer, Jason Vegotsky, spoke on the creation of this new division, saying,
“The maturation of the cannabis industry has opened up countless avenues for business development across the industry’s supply chain. The additions of Ryan and Julie, two performance-driven individuals with track records of developing strong working relationships with their clients, will provide the additional strength we need to continue servicing our customers at the highest level.”
Since the Farm Bill has gone into effect, CBD products, as well as THC products, have been a major topic in the headlines. There have been existing companies like KushCo that have found a fast and productive pace in the changing sector, and organizations in Canada are aiming to cash in on the market as well. In an effort to progress in the market, Cronos Group Inc. purchased Redwood Holding Group, securing the Lord Jones CBD brand to profit from.
Unfortunately, the Food and Drug Administration may put a damper on this progress, since they are starting to crack down on unsubstantiated health claims that some of these companies are making. New regulations are expected to be released soon, but there will be no clarity on how much of a stall this will put on the market until more details are released.