On the subject of being legal, I have a question. Pretty sure I know the answer to it already though.
I am not a legal baker. Currently I am just a hobbyist baking for family and friends. So no commerical kitchen which I believe is required for La. home bakers/sellers.
This morning I was approached by my aunt to make cookies for her store. She has a catch-all type store. She calls it a flower shop but its also a seed & feed store, gift shop, antique, etc., etc.
She asked me to bake cookies for her store to sell individually. I told her that I couldn't do that b/c I'm not legal. But what she really wants is to put my cookies in flower arrangements, gift baskets, etc. So it would be her selling the cookies, not me. She would be reimbursing me for my ingredients. I'm interested in getting the experience and polishing up my talent. How does this fall legal wise? As I don't know much about this type of set-up. Can anyone help me out w/this?
Sounds like you already know the answer, but if you're receiving payment of any kind for your product, then you're selling it and you need to be legal. That's what the IRS says, anyway!
Look at it this way...If a customer who bought the basket with your cookies in it said that they got a piece of glass in a cookie, do you think that your aunt would take the blame for it? It would fall on you, so the product liability is still yours regardless of whether she's selling the product or not. You'd essentially be wholesaling to her, which opens up another can of worms with different licensing.
Im also in La, and if you arent baking it in a legal kitchen, youre not suppossed to sell it. Im not legal either and only bake for friends and family. It would be great to just give them to her and not have to worry about it. but if something happens you could wind up in a whole heap of trouble. Do you mind me asking where in La you are? We could neighbors!!
vanna, I'll pm ya.
I am with ya on this one.
I am in Texas and would love to be a "legal" baker. Right now it's friends and relatives only because I can't afford an extra kitchen nor have the ability to rent a kitchen somewhere.
I have mentioned making a separate kitchen for my cakes and my husband cringes because that means him losing his garage. I have faith that eventually he will allow this to happen. But until then it's a hobby for me.
But I agree with others on here. Even though it is your aunt- and you might not ever have an issue come up- IF something was to happen you could be in a heap of trouble for doing this "under the table" so to speak. Everyone will say that they would take the blame if something went wrong but when push came to shove you would end up in trouble. Especially if someone tried to sue her. You would feel bad and it could hurt your relationship with her.
Don't know that what I have said helps but just thought I would let you know I understand totally just from a different state.