Delurking & Question RE: Selling

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

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

Harry :) My Ebay Auctions are at

On Mon, 19 Jan 2004 11:56:11 -0500, Harry wrote (in message ):

No, think independent contractor. The contractor makes her own hours and sets her own rules, and is responsible for her own taxes. Many, many salespeople are independent contractors. When DH was in the clothing business, almost all the sales reps were IC's for several different clothing lines. They sold the clothes, and the company set the prices, but otherwise, they were on their own.

The only gotcha might be the physical storefront. The original poster should probably check with her state's department of revenue to make sure that having to work at a specific place doesn't negate the agreement.

I'd also consider getting my own insurance for liability, theft, etc. As an independent contractor, the original poster probably wouldn't be covered by the store owner's insurance. Or maybe she would - it's well worth a call to the insurance agent to find out for sure.

Kathy N-V

vj found this in rec.crafts.beads, from Kathy N-V :

]No, think independent contractor. The contractor makes her own hours and ]sets her own rules, and is responsible for her own taxes. Many, many ]salespeople are independent contractors.

so are transcriptionists, a lot of them.

----------- @vicki [SnuggleWench] (Books)

(Jewelry) newest creations: ----------- The measure of the menace of a man is not what hardware he carries, but what ideas he believes.-- Jeff Jordan

relationship

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

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

relationship

Here's the official 'party-line" from the IRS;

and here' s a really simple explanation: as always, checking the irs link to see what's been updated is your best bet.

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!

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