Delurking & Question Selling

Hello everyone,
My name is Beth and I've been lurking around this group for several months
now...it's time I "came out." First, I need to compliment ALL of you on your
work. There is so much talent on RCB, it's busting at the seams!

I have a question that I hope someone out there can help me with. I started
making beaded jewelry as a hobby which has turned into a little business
selling through word of mouth and a website. A small gift shop opened in my
area. Because the owner works at another job during the week, the shop is
open on Saturdays only. She wishes it could be open more often, but that
would mean having to hire people (she's hesitant to deal with payroll tax
filings so early). I jumped in and offered to "man the shop" on Sundays if I
could have a small space to sell my jewelry...any proceeds from the sale of
my items come back to me. She wouldn't have to buy wholesale and have an
inventory and I'd record the income on my personal taxes.

Well...she is familiar with the concept and was intrigued with my offer!!!!
She wants to make sure there wouldn't be any employer/employee relationship
with this arrangement. and is going to check into a few things and get back
to me. Has anyone sold their work through this type of arrangement? I'd be
interested to hear how it was handled.

Thanks!
Beth (IA)
workerbead.home.att.net

On Mon, 19 Jan 2004 16:01:32 GMT, "Beth \(IA\)" wrote:

Hello everyone,
My name is Beth and I've been lurking around this group for several months
now...it's time I "came out." First, I need to compliment ALL of you on your
work. There is so much talent on RCB, it's busting at the seams!

I have a question that I hope someone out there can help me with. I started
making beaded jewelry as a hobby which has turned into a little business
selling through word of mouth and a website. A small gift shop opened in my
area. Because the owner works at another job during the week, the shop is
open on Saturdays only. She wishes it could be open more often, but that
would mean having to hire people (she's hesitant to deal with payroll tax
filings so early). I jumped in and offered to "man the shop" on Sundays if I
could have a small space to sell my jewelry...any proceeds from the sale of
my items come back to me. She wouldn't have to buy wholesale and have an
inventory and I'd record the income on my personal taxes.

Well...she is familiar with the concept and was intrigued with my offer!!!!
She wants to make sure there wouldn't be any employer/employee relationship
with this arrangement. and is going to check into a few things and get back
to me. Has anyone sold their work through this type of arrangement? I'd be
interested to hear how it was handled.

Thanks!
Beth (IA)
workerbead.home.att.net

I am not a lawyer but it sounds to me like a lot of legal question will turn up?
What if an accident occurs while you are in the shop? Robbery? Theft?
I would be concerend about ME getting sued or injured and nothing to
fall back on. Employee and employer is automatic as soon as you walk
through the door and sell anything. As I said I am not a lawyer, but I would
dig a bit deeper into this matter. I am happy however for you and wish you
all the best.

Harry
My Ebay Auctions are at http://snipurl.com/3okw

Employee and employer is automatic as soon as you walk
through the door and sell anything.

not so, Harry. Without signing a W2 form and all that, you are not legally an
"employee". Perhaps contract labor, if a contract is signed. She could also
work as an Artist In Residence, which is something like an apprenticeship in
some places, more like a Guest Speaker in others.

Some storefronts DO work the way Beth described--in an Arts Co-op, members
share the work, often putting in a set number of hours, in order to also have a
place from which to sell their items. They are then in charge of tracking sales
and doing taxes for their items. The other things brought up about insurance,
liability, etc, would all need to be worked out as well.
Sarajane

Sarajane's Polymer Clay Gallery
http://www.polyclay.com

On 19 Jan 2004 16:47:27 GMT, atspam (Sjpolyclay) wrote:

Employee and employer is automatic as soon as you walk
through the door and sell anything.

not so, Harry. Without signing a W2 form and all that, you are not legally an
"employee". Perhaps contract labor, if a contract is signed. She could also
work as an Artist In Residence, which is something like an apprenticeship in
some places, more like a Guest Speaker in others.

Some storefronts DO work the way Beth described--in an Arts Co-op, members
share the work, often putting in a set number of hours, in order to also have a
place from which to sell their items. They are then in charge of tracking sales
and doing taxes for their items. The other things brought up about insurance,
liability, etc, would all need to be worked out as well.
Sarajane

Sarajane's Polymer Clay Gallery
http://www.polyclay.com

I agree, but, if she is in the store and is selling items that belong
to someone else, would that make her the other person's employee?
Easier version for me to understand:
I am selling my item in your store. I sell your item in your store. I give
you the money for your item and I keep the money for my item. If
I sold your item and you get the money? I am confused... I will stay
home and be quite.

Harry
My Ebay Auctions are at http://snipurl.com/3okw

"Beth (IA)" wrote in message
...
Hello everyone,
My name is Beth and I've been lurking around this group for several months
now...it's time I "came out." First, I need to compliment ALL of you on
your
work. There is so much talent on RCB, it's busting at the seams!

I have a question that I hope someone out there can help me with. I
started
making beaded jewelry as a hobby which has turned into a little business
selling through word of mouth and a website. A small gift shop opened in
my
area. Because the owner works at another job during the week, the shop is
open on Saturdays only. She wishes it could be open more often, but that
would mean having to hire people (she's hesitant to deal with payroll tax
filings so early). I jumped in and offered to "man the shop" on Sundays if
I
could have a small space to sell my jewelry...any proceeds from the sale
of
my items come back to me. She wouldn't have to buy wholesale and have an
inventory and I'd record the income on my personal taxes.

Well...she is familiar with the concept and was intrigued with my
offer!!!!
She wants to make sure there wouldn't be any employer/employee
relationship
with this arrangement. and is going to check into a few things and get
back
to me. Has anyone sold their work through this type of arrangement? I'd be
interested to hear how it was handled.



I am a member of a crafter's co-op with forty members. We each have our own
tax id number, maintain our own space in the store [uniform sized spaces],
work two full time days per every 35 days open, report our own state sales
taxes [hence the tax id number]. All the sales made on my stuff returns to
me, less my $45/month rent to the co-op. The rent covers the building rent,
electricity, phone and similar utilities. There is also a one time
membership fee of $50 plus a door key fee [I think it is five dollars]. You
and your friend may want to consider something like this. If you are
interested in more details email me at aula a t c f l do t r r d otc om.

-Aula, in Florida
--
see my creative works on ebay under http://snurl.com/369o
and on zazzle at http://snurl.com/38oh

Hi Beth:
As a former HR Director and attorney, let me direct you to the IRS
determination of employee, contractor...there are 20 "tests" of whether you
are a contractor or employee. Both MicroSoft and Toyota got in deep
trouble for their choices!!

This list can really help determine which you are/

Elgee


"Beth (IA)" wrote in message
...
Hello everyone,
My name is Beth and I've been lurking around this group for several months
now...it's time I "came out." First, I need to compliment ALL of you on
your
work. There is so much talent on RCB, it's busting at the seams!

I have a question that I hope someone out there can help me with. I
started
making beaded jewelry as a hobby which has turned into a little business
selling through word of mouth and a website. A small gift shop opened in
my
area. Because the owner works at another job during the week, the shop is
open on Saturdays only. She wishes it could be open more often, but that
would mean having to hire people (she's hesitant to deal with payroll tax
filings so early). I jumped in and offered to "man the shop" on Sundays if
I
could have a small space to sell my jewelry...any proceeds from the sale
of
my items come back to me. She wouldn't have to buy wholesale and have an
inventory and I'd record the income on my personal taxes.

Well...she is familiar with the concept and was intrigued with my
offer!!!!
She wants to make sure there wouldn't be any employer/employee
relationship
with this arrangement. and is going to check into a few things and get
back
to me. Has anyone sold their work through this type of arrangement? I'd be
interested to hear how it was handled.

Thanks!
Beth (IA)
workerbead.home.att.net

Here's the official 'party-line" from the IRS;
http://www.irs.gov/pub/irs-pdf/p1779.pdf
and here' s a really simple explanation:
http://www.finance.ohiou.edu/accounting/contractor.htm

as always, checking the irs link to see what's been updated is your best
bet.

lg
"lgreene" wrote in message
...
Hi Beth:
As a former HR Director and attorney, let me direct you to the IRS
determination of employee, contractor...there are 20 "tests" of whether
you
are a contractor or employee. Both MicroSoft and Toyota got in deep
trouble for their choices!!

This list can really help determine which you are/

Elgee


"Beth (IA)" wrote in message
...
Hello everyone,
My name is Beth and I've been lurking around this group for several
months
now...it's time I "came out." First, I need to compliment ALL of you on
your
work. There is so much talent on RCB, it's busting at the seams!

I have a question that I hope someone out there can help me with. I
started
making beaded jewelry as a hobby which has turned into a little business
selling through word of mouth and a website. A small gift shop opened
in
my
area. Because the owner works at another job during the week, the shop
is
open on Saturdays only. She wishes it could be open more often, but that
would mean having to hire people (she's hesitant to deal with payroll
tax
filings so early). I jumped in and offered to "man the shop" on Sundays
if
I
could have a small space to sell my jewelry...any proceeds from the sale
of
my items come back to me. She wouldn't have to buy wholesale and have an
inventory and I'd record the income on my personal taxes.

Well...she is familiar with the concept and was intrigued with my
offer!!!!
She wants to make sure there wouldn't be any employer/employee
relationship
with this arrangement. and is going to check into a few things and get
back
to me. Has anyone sold their work through this type of arrangement? I'd
be
interested to hear how it was handled.

Thanks!
Beth (IA)
workerbead.home.att.net

Thanks for the info Elgee. Applying the rules to my proposed situation, it
looks like an independent contractor relationship would exist. I will share
this information with the owner. I am also going to contact the local SBA
office tomorrow to discuss this and insurance. Tried calling insurance
agents today and nobody is giving me a straight answer.

Thank you everyone for providing your knowledge and resources!
--
Beth
http://workerbead.home.att.net


"lgreene" wrote in message
...
Here's the official 'party-line" from the IRS;
http://www.irs.gov/pub/irs-pdf/p1779.pdf
and here' s a really simple explanation:
http://www.finance.ohiou.edu/accounting/contractor.htm

as always, checking the irs link to see what's been updated is your best
bet.

lg
"lgreene" wrote in message
...
Hi Beth:
As a former HR Director and attorney, let me direct you to the IRS
determination of employee, contractor...there are 20 "tests" of whether
you
are a contractor or employee. Both MicroSoft and Toyota got in deep
trouble for their choices!!

This list can really help determine which you are/

Elgee


"Beth (IA)" wrote in message
...
Hello everyone,
My name is Beth and I've been lurking around this group for several
months
now...it's time I "came out." First, I need to compliment ALL of you on
your
work. There is so much talent on RCB, it's busting at the seams!

I have a question that I hope someone out there can help me with. I
started
making beaded jewelry as a hobby which has turned into a little business
selling through word of mouth and a website. A small gift shop opened
in
my
area. Because the owner works at another job during the week, the shop
is
open on Saturdays only. She wishes it could be open more often, but that
would mean having to hire people (she's hesitant to deal with payroll
tax
filings so early). I jumped in and offered to "man the shop" on Sundays
if
I
could have a small space to sell my jewelry...any proceeds from the sale
of
my items come back to me. She wouldn't have to buy wholesale and have an
inventory and I'd record the income on my personal taxes.

Well...she is familiar with the concept and was intrigued with my
offer!!!!
She wants to make sure there wouldn't be any employer/employee
relationship
with this arrangement. and is going to check into a few things and get
back
to me. Has anyone sold their work through this type of arrangement? I'd
be
interested to hear how it was handled.

Thanks!
Beth (IA)
workerbead.home.att.net

Welcome, Beth!
~~
Sooz
-------
"Those in the cheaper seats clap. The rest of you rattle your jewelry." John
Lennon (1940 - 1980) Royal Varieties Performance
~ Dr. Sooz's Bead Links
http://airandearth.netfirms.com/soozlinkslist.html

I agree, but, if she is in the store and is selling items that belong
to someone else, would that make her the other person's employee?

Not necessarily...what you need to understand is that ..sometimes...what is
done and what is legally mandated are two different things. When my hubby goes
to the gas station/convenience store and the owner, who likes and trusts him,
has him watch the counter for five minutes because the guy needs do do
something or other and his brother the real employee hasn't shown up yet, my DH
is simply a trustworthy set of eyes, NOT a legal employee. The insurance people
probably would not like it. If the place was robbed, the police and the other
guardians of the law might not like it either--its not criminal to help out,
but its not orderly and neat on paper either.

I rented my first storefront as a sublet of space in a larger bookstore. I was
an independant contractor, not a bookstore employee, even though sometimes I
would wait on their customers if Ruth was on break or RoZie was late back from
lunch. Somethings are done through courtesy and not through law. However, its
best in long term things to cover your self with righteousness and legal
protections---sometimes things don't stay courteous!!


Sarajane

Sarajane's Polymer Clay Gallery
http://www.polyclay.com