Starting my own e-liquid business?

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Stownz

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Dec 29, 2010
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Which merchants will accept payments for e-cigarette items?
The merchant accounts are not exactly easy to get in relation to e-cigs. The processors primary concern is charge-backs, and this should be your utmost concern as well. The banks are looking for easy/no hassle/credit card processes and e-cigs has developed a HORRIBLE reputation in regard to hassles. The huge amount of companies selling junk products, and re-sellers all over the place re-selling junk stuff, people get really upset. Look around the forums here at the people taken advantage of. 1st thing to do when you get jipped online?---->chargeback. Chargebacks are becoming a horrible mode of theivery. You will have to search far and wide, my choice initially was my own personal bank. They were the most receptive.

The liquid will be made by myself, what kind of regulations are there on this? You will get sued, be prepared. Pre-paid legal is an awesome thing. Your ambulance chasing lawyer vs theirs for only $100 a month.

Where to get labels made for bottles? Make them yourself. Online labels.com will sell you sticker sheets, and give you an access code to their software which is pretty great. For cheap, use non laminated white stock, and just buy full page sticker paper and cut it out yourself: then stick to bottle.

I'll thow a bit of extra advice out there: You can make more money with e-cigs from one night bar hopping then you will in a year online. I use a webstore from volusion as an online catalog for $30 a month so I don't have to list the 50+ flavors I keep in stock. I hand out business cards and tell them too have a look. I let them hit 1 of the 30 or so labeled cartomizers I carry around in a bag. I change the voltage on the Provari for them, and explain why I carry the low resistance cartomizers and attys that I do. I show them the entire range of voltages and the differences in vapor and flavor so they can see that not all PVs are the same. Then I sell them an Ego for $30 because thats what it cost me.

2 days later, they call you. "You have any more juice?, I want to try some other flavors"

All business is successful based on how much effort you put in.

You want to dump $30 grand on a cheapy little proprietary atty/battery unit that lasts about a week and charge people $150? That will work

You want to get online and make videos telling everyone how your vaporizer is so special, and AWESOME VAPOR, and HEALTHY !! Then charge them $150? That will work

You want to quit your job, invest a couple of grand and order stuff from china, then re-sell it online? Join the club, ahahaha. Invest more, buy banners on websites, hire people to bump threads for you, do fake reviews, defend your product from "Trolls"? That will work

Want to just help people get away from cigs? Keep your job and career and sell stuff out of the trunk of your car? Don't care about the money, just want to help people not get ripped off by some scumbag online re-seller? That will work as well.

It's all a multifaceted industry. You need to explore as much of it as you can afford, not just juices. Yes, the money is in the juices, but they need a good unit that will do something fantastic before they will buy juice.
 
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atom48

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Mar 27, 2009
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Starting out, you may want to go with paypal....and yes they do not accept anything with the terms e-cig, e-liq, etc. Most payments to vendors through paypal use "gift" or other such "description" for the funds transfer.

Paypal will be the easiest to utilize as a start-up biz.....and will keep your overhead costs down till you see how you do with this venture.

I would be careful here and find another payment avenue than PayPal. From what I've read in the forum here if they get wind of you selling eliquid they will shut your PayPal account down for life. That also means you won't be able to buy anything through PayPal.
 

NCVaper

Unregistered Supplier
ECF Veteran
Feb 13, 2011
652
69
North Carolina USA
Which merchants will accept payments for e-cigarette items?
The merchant accounts are not exactly easy to get in relation to e-cigs. The processors primary concern is charge-backs, and this should be your utmost concern as well. The banks are looking for easy/no hassle/credit card processes and e-cigs has developed a HORRIBLE reputation in regard to hassles. The huge amount of companies selling junk products, and re-sellers all over the place re-selling junk stuff, people get really upset. Look around the forums here at the people taken advantage of. 1st thing to do when you get jipped online?---->chargeback. Chargebacks are becoming a horrible mode of theivery. You will have to search far and wide, my choice initially was my own personal bank. They were the most receptive.

The liquid will be made by myself, what kind of regulations are there on this? You will get sued, be prepared. Pre-paid legal is an awesome thing. Your ambulance chasing lawyer vs theirs for only $100 a month.

Where to get labels made for bottles? Make them yourself. Online labels.com will sell you sticker sheets, and give you an access code to their software which is pretty great. For cheap, use non laminated white stock, and just buy full page sticker paper and cut it out yourself: then stick to bottle.

I'll thow a bit of extra advice out there: You can make more money with e-cigs from one night bar hopping then you will in a year online. I use a webstore from volusion as an online catalog for $30 a month so I don't have to list the 50+ flavors I keep in stock. I hand out business cards and tell them too have a look. I let them hit 1 of the 30 or so labeled cartomizers I carry around in a bag. I change the voltage on the Provari for them, and explain why I carry the low resistance cartomizers and attys that I do. I show them the entire range of voltages and the differences in vapor and flavor so they can see that not all PVs are the same. Then I sell them an Ego for $30 because thats what it cost me.

2 days later, they call you. "You have any more juice?, I want to try some other flavors"

All business is successful based on how much effort you put in.

You want to dump $30 grand on a cheapy little proprietary atty/battery unit that lasts about a week and charge people $150? That will work

You want to get online and make videos telling everyone how your vaporizer is so special, and AWESOME VAPOR, and HEALTHY !! Then charge them $150? That will work

You want to quit your job, invest a couple of grand and order stuff from china, then re-sell it online? Join the club, ahahaha. Invest more, buy banners on websites, hire people to bump threads for you, do fake reviews, defend your product from "Trolls"? That will work

Want to just help people get away from cigs? Keep your job and career and sell stuff out of the trunk of your car? Don't care about the money, just want to help people not get ripped off by some scumbag online re-seller? That will work as well.

It's all a multifaceted industry. You need to explore as much of it as you can afford, not just juices. Yes, the money is in the juices, but they need a good unit that will do something fantastic before they will buy juice.

That's some great advice! I understand the whole merchant thing. They're not gonna want to mess with anything that they don't think they can make money at. I looked into starting an LLC and it's a couple hundred bucks. Not too bad, could be worse. I've found a credit card merchant that I think I can use, but I just gotta get all my ducks in a row for that.

I would love to make a living off of something I love, and I love my e-cigs! So sick of the vendors though... I don't understand how these companies even sell get by with their crappy products, and horrible service. I'm thinking about maybe doing a pay it forward type of thing with my business, cause I know how it is when you run out cash, and need some liquid. It's easy to bum a cigarette off of someone, but scoring some e-juice is almost impossible!

I just started an ordering thread if anyone is interested you can find it here:
http://www.e-cigarette-forum.com/fo...t-10-orders-will-receive-free-3ml-sample.html

And if you can't afford it, just shoot me an e-mail, and I'll see what we can work out.
 

NCVaper

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Feb 13, 2011
652
69
North Carolina USA
Hey, I live in NC< if you make juice ill buy a little, but I was reading about Liability, but the way I think is the hell with it.. Liability is whats killing this country to begin with dammit :D

I believe in liability to an extent. Drug makers purposely put out unsafe drugs all the time, because they know they can get sued and still make money. I would never purposely put something in my e-liquid that would harm someone, that's just not right... Oh hey one of my best friends lives in Zebulon, but I'm about 45 mins from you. If you're interested in buying some e-liquid, check out my ordering thread.
http://www.e-cigarette-forum.com/fo...t-10-orders-will-receive-free-3ml-sample.html
 

NCVaper

Unregistered Supplier
ECF Veteran
Feb 13, 2011
652
69
North Carolina USA
I would be careful here and find another payment avenue than PayPal. From what I've read in the forum here if they get wind of you selling eliquid they will shut your PayPal account down for life. That also means you won't be able to buy anything through PayPal.

Yeah I found that out in a hurry. I will use paypal for payment processing until now, but the first person that messes that up will be signed up for a life up junk and spam mail! :laugh:
 

sandyk

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Aug 24, 2009
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Clarkston, Michigan
you might want to expand on the PayPal by taking USPS Money Orders also. I do not use PP, I hate the place....so usually if they take PP, I ask can I send a Money Order....most take it.

By the way, KBV got into this also via the PIF thread....they are kind people and were trading and giving away their juice for a long time. Hey, you reap what ya sow and they gave their all to the PIF and they are now reaping the profits. I personally don't like to order and pay my hard earned money on a new vendor unless I try the juice. I tried theirs and was awesome and so did many other people....just a thought....or price your goods for just a little profit at first, and if people like it, they will come back. Keep your shipping at First Class....Priority is a rip-off....most people get their First Class may in 3-4 days anyone. I try not to order from anyone that does not give me an option of Priority or First Class. I want to be the one to decide whether I want to spend the extra couple bucks....those extra couple bucks add up over time for more juice, not in the USPS' pockets.

lol...just went to selling thread...you got it right...fair price and fair shipping!

Just saying....something to think about from a veteran vaper!


That's some great advice! I understand the whole merchant thing. They're not gonna want to mess with anything that they don't think they can make money at. I looked into starting an LLC and it's a couple hundred bucks. Not too bad, could be worse. I've found a credit card merchant that I think I can use, but I just gotta get all my ducks in a row for that.

I would love to make a living off of something I love, and I love my e-cigs! So sick of the vendors though... I don't understand how these companies even sell get by with their crappy products, and horrible service. I'm thinking about maybe doing a pay it forward type of thing with my business, cause I know how it is when you run out cash, and need some liquid. It's easy to bum a cigarette off of someone, but scoring some e-juice is almost impossible!

I just started an ordering thread if anyone is interested you can find it here:
http://www.e-cigarette-forum.com/fo...t-10-orders-will-receive-free-3ml-sample.html

And if you can't afford it, just shoot me an e-mail, and I'll see what we can work out.
 
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Stownz

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Hope I didn't bomb all vendors out there. I have done business with TONS of them to get to the point I have, Some are fantastic and set the bar for others out there. Actually, most of them will try hard for you, and answer emails. Their product is just fail, and they gotta sell it right? I'm actually starting to see more of the basement juice vendors coming down on thier prices, that is nice to see as well. Never understood why they charge so much for 3 cents worth of juice and a 20 cent bottle.
 

pm2006

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Jan 24, 2010
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Hope I didn't bomb all vendors out there. I have done business with TONS of them to get to the point I have, Some are fantastic and set the bar for others out there. Actually, most of them will try hard for you, and answer emails. Their product is just fail, and they gotta sell it right? I'm actually starting to see more of the basement juice vendors coming down on thier prices, that is nice to see as well. Never understood why they charge so much for 3 cents worth of juice and a 20 cent bottle.

Because we buy it. I am getting into DIY now. I have only one juice that I just LOVE and finally got it on sale so I bought 90mls. IT WAS TERRIBLE! I don't know what he did to it but . . . . yuck. I may be out $36.00. And that my friends is why I am DIYing.
 

Mayasveil

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May 13, 2010
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Yes, there is liability insurance for these products. Call any insurance agent and they will / should point you in the right direction. Also call your state's Department of Business and Regulation. They will assist you with any needed codes, business type (classification) criteria.

Kuddo with avery labels and you can buy labels in bulk online pretty cheap. Just make sure when you use Avery's format, you've got the correct size.

Concur with paypal ... also check on authorize.net

GOOD LUCK
 

CurlyBmore

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ECF Veteran
Feb 17, 2011
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52
Baltimore
I think you would do well if you are making a high quality product. Each additional supplier helps keep competition alive and better ensures quality products and service as reputation and word of mouth spell failure or success in a new industry such as this.

+In additions to your own insurance policy, Be sure to get proof of liability insurance from your suppliers of the base ingredients and flavors and request copies of their insurance certificates with your business listed as an additionally insured. This is common in business when you are selling products from another company. This can protect you if a problem arises that is traced back to the ingredients they sold to you. Talk to your insurance provider and lawyer to determine the level of insurance you will need from your supplier ie 1mill per occurrence and 2mill general umbrella.

For each ingredient ask for any applicable MSDS sheets, certificates of purity, etc. Ask for their FDA registration number-the suppliers of the food grade flavorings should all be registered. I am not sure about the suppliers of the nicotine and vg/pg.

For labels, you can use MS Word which has Avery label templates, MS Publisher, and the Avery website offers their own free software if you register.

You also may want to develop a small logo. As I look at some of my juice bottles, I have no idea who I got some of them from. If I want to reorder, I will have to go back through the packing slips.

See if you can join a credit union that may be more willing to process your credit card transactions. Another option although it is a pain would be to open a new bank account in a large multi-state bank such as BOA that seems to be everywhere. Buyers could be sent the bank account # and can go and make a deposit of the funds owed ( cash or check) into the account at any branch close to them. This is actually quite safe and done in business. The account is set up so others can only deposit into it and that's all. Also, some money check cashing chains are beginning to offer banking type services including accounts but I am not sure if they are FDIC insured.

If you also sell starter kits, go around to restaurants especially the back alleys where servers go to sneak a smoke and sell to them. As much as the antis talked about the health of restaurant and bar employees, I my experience working in restaurants, a high percentage of servers and bartenders are smokers. Now when they sneak a smoke everyone knows it and they can't blame the smell on having served a table in the smoking section.

Be sure to check the forums on some of the chemicals that buyers are wary of.

Good luck with your new business.
 

CurlyBmore

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Feb 17, 2011
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CurlyBmore, can you or anybody else provide links to these threads?

I am still quite new. How do you easily add links to other threads or posts? Can you start a reply message as a draft as you go back and find each other thread to include links? Is there some internal way to add the links or just the full url?
 

CurlyBmore

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Feb 17, 2011
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CurlyBmore, can you or anybody else provide links to these threads?

Here you go. I hope these work. I had to open a new tab and then search for each one. If there is an easier way to search the forums and embed links while composing a new post, let me know.

These came from threads in the Health section off the main page of the forums.
http://www.e-cigarette-forum.com/forum/health-safety-e-smoking/162118-getting-little-freaked-out-e-juice-flavors.html

The main concerns seem to be with buttery flavors and flavors that use this flavoring including butterscotch and surprising ones such as cream. Also, vanillan, and even cinnamon seem to have some potential problems although there is not much research based on our form of ingesting them. The one flavoring used for buttery flavors may be the same one implicated in "popcorn lung" experienced by workers who made microwave popcorn. There may also be problems related to the substitutes.

http://www.e-cigarette-forum.com/forum/new-members-forum/128738-diacetyl-e-liquid-please-lets-find-out-suppliers-who-do-not-use.html?highlight=popcorn+lung

http://www.e-cigarette-forum.com/forum/general-e-liquid-discussion/149688-diacetyl.html?highlight=popcorn+lung

http://www.e-cigarette-forum.com/fo...uppliers-remove-diacetyl-their-e-liquids.html

http://www.e-cigarette-forum.com/forum/health-safety-e-smoking/118716-allergic-cinnabomb-i-think.html
 

NCVaper

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Feb 13, 2011
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I had never heard about anyone having allergic reactions to cinnamon flavors, that's pretty weird. I could understand if the guy was allergic to cinnamon, but he didn't think so. I looked into starting an LLC the other day, and it's gonna cost around $380 just to get started. Do I have to pay for the proof of liability insurance from suppliers? I'm pretty new to this whole possibly getting sued thing...

I've almost got my website done, and have found a CC merchant that's cool with e-cig sales. Just trying to get more money together, and all my legal issues straight. I'm trying to take small steps at a time, I don't want to jump into this and get overwhelmed. Every flavoring supplier I use advertises that they are diacetyl free, but I haven't really seen any documents that prove that. And what's to keep them from having diacetyl in them anyway? Just cause they have one test done, that doesn't convince me.
 

Mayasveil

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May 13, 2010
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Do I have to pay for the proof of liability insurance from suppliers? Simply put, no. You are their customer, having the right to ask for proof of claims.

I've almost got my website done, and have found a CC merchant that's cool with e-cig sales. Excellent! Who did you go with?[/B Every flavoring supplier I use advertises that they are diacetyl free, but I haven't really seen any documents that prove that. And what's to keep them from having diacetyl in them anyway? Just cause they have one test done, that doesn't convince me.
Eventually those that false advertise will learn the hard way.
 
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