Reply To: Herbal Business
Hi all,
I am trying to get my business off the ground and keep hitting a wall when it comes to insurance/registration/legality. I have a background in communications and feel very confident in my marketing capabilities and have written a business plan and developed a brand identity/creative strategy.
I would like to sell tea blends, body oils and salves as a core line and would love to sell tinctures and oxymels. I plan on selling direct to consumer at markets and online, and possibly stocking product at some local businesses in my area (BC, Canada).
I get so excited with product and branding development and then I hit a wall: what about the business back end, the legal side of things? I have reviewed the herbal business unit and rewatched Seraphina’s webinar many times and still find myself going in circles…
I understand the need to be extremely careful with wording re: health/function claims for legal safety. Is liability insurance still recommended/required on top of this? I tend to err on the side of caution and am leaning towards insurance but where do I find coverage? I don’t anticipate much revenue in the first 1-2 years and don’t want to be going into debt for insurance if I don’t need to.
Does the alcohol content of tinctures throw a wrench in the works insurance-wise? What about the mix of topical/internal? What about if I am growing/wild-harvesting some of the herbs used in the preparations?
I am also wondering if registering for sole proprietorship is necessary as a small DTC business? Should I do this now or down the road if/when I start to make more revenue (ie. get more legit … It’s hard to take oneself seriously!).
I am starting to feel completely overwhelmed—the lack of clarity around this is very discouraging. Is anybody else on the same journey as me? I would love to hear what other folks have opted for regarding business registration and insurance. Thanks 🙂