CBD Business

CBD Business Maps New Frontier


According to Bruce Bernstein, founder, president and CEO of UBIX Processing, his first experience with CBD was “like catching lightning in a bottle.” At the age of 48, Bernstein, the executive director of telecommunications, learned the devastating news that he had prostate cancer. He was adamant that conventional treatment was not for him. Bernstein says: “I like to keep all parts of my body in place, so I was one of those crazy people looking for a natural solution. Usually, as you know, this type of person commits suicide. I don’t think I’ve realized enough to understand that this is potential. But I turned out to be one of those idiots who actually succeeded – I’m cancer-free. “

While researching naturopathic therapies, Bernstein came across information on the Internet that cannabis could cure cancer. Although he found the term “absurd”, he tried it and began making his own cannabis and CBD oils on his dining room table. Through experiments, he found that cannabis oil caused him unbearable dizziness. But after taking CBD oil for the first time, Bernstein – who suffered from chronic insomnia – began to sleep better than he had for years. Even more significant, however, was how quickly his PSA numbers began to fall.

“Once this started happening, where the numbers started to turn, my wife Brit [Stanford], and I basically said, “We have to do something,” says Bernstein. “It’s almost like we caught a flash in a bottle. I wanted to run down the street and shout like Paul River, “This is amazing. This is something that everyone, whether they want to accept it or not, should at least know is a powerful compound for good.”

As a result, in May 2014, Bernstein and Stanford founded UBIX, a company in Colorado Springs, Colorado, offering a private label and wholesale of CBD hemp-derived products for humans and pets.

The CBD market is growing impressively

CBD, abbreviated cannabidiol, is one of the compounds or phytocannabinoids found in cannabis plants. As Bernstein explains, there are more than 120 known cannabinoids in nature. Most people are more familiar with another compound in cannabis, THC or tetrahydrocannabinol, which is the chemical responsible for most psychoactive reactions to marijuana. While CBD is a component of marijuana, it does not cause “high” in itself.

According to Bernstein, one of the biggest misconceptions about the cannabis industry is that there is a clear distinction between industrial hemp and cannabis. “At the end of the day,” he says, “it’s all cannabis.” The difference is in the legal distinction established by the U.S. Farm Act 2018. According to the bill, cannabis and related products containing 0.3% THC or more are classified as marijuana, which remains a Schedule I drug and are regulated as such. But cannabis plants and products containing


See: Despite the confusion about CBD, sales are expected to grow


As Bernstein explains, CBD works with the body’s own endocannabinoid system. “ECS is a network of receptors that spreads throughout our body and controls some of its most important functions, including your immune system, memory, appetite, mood and pain sensations,” he says. “When I first discovered this, it was almost like discovering a continent.”

UBIX operates a 20,000-square-foot facility in Colorado Springs, Colorado.UBIX operates a 20,000-square-foot facility in Colorado Springs, Colorado.When there are diseases in the body, the ECS system is activated at high speed, and ECS deficiency is associated with a number of common diseases, including migraine, fibromyalgia and irritable bowel syndrome. “So what cannabinoids do is feed your endocannabinoid system so that it can help regulate all the functions in your body,” says Bernstein. “In other words, our bodies need cannabinoids.”

Studies show that CBD reduces anxiety, attention deficit and depression, and can also provide pain relief and reduce the frequency and severity of seizures. It is also used by users for a variety of other conditions, including post-traumatic stress disorder, allergies and asthma, nausea, sleep disorders and migraines, among others.

Given its 100% natural healing properties, CBD products have seen rapid growth in both use and popularity over the past few years. In 2019, a Brightfield Group report notes that the hemp-derived CBD market is set to grow to $ 23.7 billion by 2023, with most of the growth coming from large retailers such as CVS, Walgreens and Kroger.

A complete CBD source with a full range of services

When UBIX was launched, its services included everything from extracting CBD oil from the hemp plant all the way through the formulation, production, packaging and execution of the product. Since then, however, Bernstein has switched to buying the oil from farmers who are able to offer him a better price than what it costs him to extract it himself.

“We are a private label manufacturer, but we do research and development, we make prototypes and we pack together,” he said. “We also do a lot of reverse engineering and replication. And we do some research and development for a private equity firm, where we make seven products for the client. So, some customers have a very clear, short list of ingredients, and then there are others who have no idea, so we will develop a formulation for them. “


See: Design of the CBD-oil brand, illuminated by the spirit of the ocean


Most of UBIX’s business is privately owned, but it also produces its own lines, which include a line of wellness products under the Nu Apothecary brand and Nu Remedy cosmetics.. The company’s product mix includes approximately 85% local funds and 15% acceptable. Topical remedies include balms, ointments and lotions. His cosmetic line includes moisturizing oil, hyaluronic creams and serums, face creams, face washes and much more. Absorbents include tinctures, capsules and chewing gum, among other products. UBIX offers a large stock of ready-to-deliver CBD products or, as mentioned, can customize products and packaging to meet customer needs.

During the press, Bernstein said that UBIX is in the process of launching five different websites: two excellent sites – one called Baxter for pet products, and one called Golden, which will include products for the 50’s and up demographic; two, including mid-range products, for their Nu Apothecary and Nu Remedy lines; and a liquidation site called Big Bad Bear. “So we can be bolder to try new things,” he says, “because if they don’t sell, we have a high class that we can move to the middle class, and if it doesn’t sell there, we can eliminate it.”

According to Bernstein, what distinguishes UBIX is its creativity, its flexibility and its analytical nature. “There are a lot of products for me, too, and we do a really good job of personalizing products and creating ensembles. For example, we just collect beauty cream, eye cream, hyaluronic acid and a complex of moisturizing products, ”he says. “We can also quickly make product modifications to meet customer requirements. We try to work somewhat on time so that we are not overloaded with products on the shelf. ”

As the CBD industry is not currently regulated, third-party testing, which leads to a certificate of analysis (COA) for a product, ensures its quality and purity. According to Bernstein, UBIX’s analysis is on par with that of some of the larger CBD players. “I think maybe only 25% of the market does all the right things and meets the requirements,” says Bernstein. “So, from the level of compliance, we’re there.”

Automated filling maintains product flow

While many co-packers keep their packaging processes extremely manual to remain flexible enough to produce different product sizes and configurations, UBIX works and works with a number of automated filling systems. Among them is an automatic linear liquid filling machine from REB, Inc., for its topics. REB-IVS has six filling heads and can produce about 75,000 units per day. The containers are closed using a semi-automatic device from SureKap.

As UBIX changes its local product formulations and packaging quite often, it was important to change the machine quickly and easily when choosing the machine. Preliminary design, including cutting a channel in the factory floor and some piping in the machinery, means that REB-IVS can be disinfected and rinsed in approximately 30 to 40 minutes. The universal pressure regulation for the filling heads allows UBIX to quickly change the viscosity of the product by turning the switch. Regarding the change of different sizes of packaging, Bernstein explains that there are different sizes of pistons for packaging over eight ounces. “But I would say that at the moment, one hundred percent of the product I fill is 1.7 to 2 ounces or 3.4 to 4 ounces, and from time to time we will get eight ounces. So we rarely have to change pistons. ”


Look: New CBD packaging simplifies product history


For its tinctures UBIX has two refills Flexicon FlexFeed 20 from Watson-Marlow, each of which can produce about 3500 units / day. Secondary packaging operations are currently manual.

A UBIX operator uses a semi-automated bottle closing machine.A UBIX operator uses a semi-automated bottle closing machine.As for the packaging itself, UBIX provides a range of packaging types and sizes, depending on the product, and offers in-house graphic design teams to help customers create their own labels. Bernstein says that while the biggest concern for packaging for cannabis companies is the requirement for a child-resistant container, the biggest challenge for packaging for CBD manufacturers is the lack of sophistication. “I encourage my customers to choose their packaging game and use better bottles that are more aesthetically pleasing,” he says. “I tried to make our cosmetics look more like Lancôme by silk screen printing and I have a really elegant look of white on black or white on gray. I just think there’s a lot more ahead of us when it comes to performance. “

UBIX is also working to add recycled packaging and recyclable packaging to its offerings to meet consumer demands for these types of materials.

Opportunities for partnership in the package

The potential for CBD products is huge and just beginning. “The market is going to be so huge,” Bernstein said. “We are talking about the cannabis space. I say this is a micro-market, where it’s almost like a liquor store setting. In Colorado, it is almost normal where there is a cannabis dispensary and people or companies are doing enough for their store. And these are small batches. You will not see cannabis in Target or Walmart – you will see CBD. I’m already watching it in King Soopers and Kroger.

Therefore, he adds, it provides many opportunities for co-packagers to cooperate, including regional outsourcing of items such as food or beverages that are expensive to deliver. He added: “And working with well-known players in the industry will limit unpleasant surprises, especially when co-packagers have links to CPGs and large stores. I think that will make this whole transition to retail and big stores a lot easier. ”

In conclusion, Bernstein shared: “I have great respect for this union, because it really saved me. So we don’t make products just to make money; we make products because we really believe that it is a powerful medicine. And if done right, we will have a profound impact on the people who use our products. ”



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