So Annoyed (A Little Long)

Business By circleinn Updated 19 Sep 2010 , 11:59pm by EvMarie

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kristanashley Posted 15 Sep 2010 , 7:57pm
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Quote:
Originally Posted by circleinn



I'm not sure if I should just ignore her and hope she will go away or pick up the phone and call the health department?




I'm sorry everyone got their panties in a twist over this. You didn't deserve all of the ugly comments. But I don't think it's worth calling the health department over. I would just politely tell her no, and tell her that you don't want to be involved in anything illegal.

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Ladiesofthehouse Posted 16 Sep 2010 , 6:37pm
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If she really knows what she's doing and really needs the money, why not hire her as a subcontractor? It's relatively inexpensive to get the licensing for that (at least in my state it is) and she can work for you. She is not an employee, she is recognized as a separate entity by the IRS because she will be able to work independent of you and must have her own tools. She can then go and sub herself out to other bakeries too if she wanted.

My husband and I only have subs with our contracting business and it works out really well for everyone involved. If I didn't have my own bakery I would sub myself out to the other restaurants/bakeries in town.

If she is a capable baker wouldn't that help both of you?

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jason_kraft Posted 16 Sep 2010 , 6:39pm
post #63 of 77
Quote:
Originally Posted by Ladiesofthehouse

If she really knows what she's doing and really needs the money, why not hire her as a subcontractor? It's relatively inexpensive to get the licensing for that (at least in my state it is) and she can work for you. She is not an employee, she is recognized as a separate entity by the IRS because she will be able to work independent of you and must have her own tools. She can then go and sub herself out to other bakeries too if she wanted.



If commercial home baking for DTC retail is illegal in a state, it stands to reason that commercial home baking as a subcontractor would be just as illegal. The person hiring the illegal subcontractor would probably also have some legal issues.

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Ladiesofthehouse Posted 16 Sep 2010 , 6:48pm
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Sorry, should have clarified my suggestion.

Subcontractor working out of OP's kitchen, not her own home kitchen.

Current food handler's card (free online) and in my state she would also be required to complete a food manager's course one time.

Woman with 6 kids would have legal work, OP would gain qualified help without having to go through the madness of employee paperwork nonsense.

The IRS is happy as long as sub has their own tools, can work independently and of course, reports all of their income from the lovely 1099 she will receive from bakery owner.

Frankly, I am surprised more people on this forum don't go that route that can't legally bake out of their homes???

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jason_kraft Posted 16 Sep 2010 , 6:53pm
post #65 of 77
Quote:
Originally Posted by Ladiesofthehouse

Frankly, I am surprised more people on this forum don't go that route that can't legally bake out of their homes???



Most small-scale legal cake decorating businesses probably either don't have enough work to hire someone else or could not remain profitable if they had to pay another employee.

I've heard many stories here about people getting their start at grocery store bakery depts, restaurants, or other more established bakeries, so it's certainly possible. Not as creatively fulfilling, but it can still pay the bills.

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scp1127 Posted 19 Sep 2010 , 1:44am
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Just to throw this out there... I also have my contractor's license... with all of the insurance that goes with it. I have been around job sites for ten years. If an unlicensed contractor even attempts to bid on a job and someone finds out, that person is turned in immediately. Contractors do not put up with unlicensed people taking the food off their table. Licensing is only meant to protect the public and to collect taxes and fees.

Why do you cakers who have sacrificed and spent huge amounts of money to become legal think it is immoral to protect your investment? It's just good business. I am legal and I have never had to turn someone in, but I would. And if the health department doesn't do anything, I can assure that the state tax department and the IRS will listen.

I have been a mom on my own and I have occasionally struggled. But I have always been licensed, paid my taxes, kept receipts, and followed the law. I believe in the law and its purpose. There are many occupations that require a license... and all for a good reason. If a person is struggling, pick a profession that doesn't require a license!!!

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myslady Posted 19 Sep 2010 , 2:10am
post #67 of 77

out of curiosity, which professions don't require licensing or have some sort of licensing to it

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jason_kraft Posted 19 Sep 2010 , 2:30am
post #68 of 77
Quote:
Originally Posted by myslady

out of curiosity, which professions don't require licensing or have some sort of licensing to it



This site should help you answer that question:
http://www.acinet.org/acinet/licensedoccupations/lois_keyword.asp?nodeid=16&by=keyword

Depending on the state, 6-30% of workers are in jobs that require some form of licensing. Of course, many of those licenses would still allow you to work out of your home...for example, certified public accountants (CPAs) often work from their home.

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scp1127 Posted 19 Sep 2010 , 2:51am
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You can clean houses, chop wood, craft, wash cars, rake leaves, mow lawns, etc with just a business license, not a specialized license.

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myslady Posted 19 Sep 2010 , 6:01pm
post #70 of 77

thanks for that link jason, but I actually wanted to know what are the unlicensed ones because I cannot think of any.

scp1127 - in your previous post, you said that if a person is struggling, they should pick a profession that doesn't require a license. I just wanted to know which professions you were referring to because I couldn't think of any. Beyond cleaning houses, the other ones are more seasonal positions and you agree that you should still have a business license to operate.

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jason_kraft Posted 19 Sep 2010 , 6:27pm
post #71 of 77

Most IT-related jobs do not require licenses (in fact my day job is in IT, I work from home and do not have any kind of license). Customer service jobs also do not require any licenses.

But even for those jobs that do require business licenses, in most fields it is really easy to get a license for your home business, you just need to fill out a form and pay $50 or so to city hall. Food service (along with other fields where people ingest your products) just happens to be one of the most restrictive fields, as you are subject to health department oversight to ensure people don't get sick.

Someone in our community actually runs a semiconductor manufacturing company out of his house. He handles the sales, marketing, and customer service from his home, while manufacturing and logistics are outsourced to a company overseas.

Not everyone is cut out to run their own business though. For someone who is just making ends meet, a more traditional job working for someone else is a much better way to make money, as most businesses take a while to turn a profit.

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fairmaiden0101 Posted 19 Sep 2010 , 6:30pm
post #72 of 77
Quote:
Originally Posted by mombabytiger

I'm sorry, but this just sounds snobbish and unkind. If she were baking out of a McMansion with no kids running around would you have the same attitude? Kudos to a woman with six kids making an honest attempt to support them. You don't know her story, cut her a break. Calling the health department with an anonymous tip is just about the lowest thing I can think of. Just let it go.




I absolutely agree!! I do not understand ppl on this site. I have read so many threads where ppl are ripping unlicensed bakers up and down and now it seems ppl are ripping up someone who wants to be licensed!! I don't get it, seems like petty rubbish!

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jason_kraft Posted 19 Sep 2010 , 6:32pm
post #73 of 77
Quote:
Originally Posted by fairmaiden0101

I absolutely agree!! I do not understand ppl on this site. I have read so many threads where ppl are ripping unlicensed bakers up and down and now it seems ppl are ripping up someone who wants to be licensed!! I don't get it, seems like petty rubbish!



If you read the OP's followup posts, this person is actually not trying to be licensed, she just wanted extra kitchen space to make her products.

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scp1127 Posted 19 Sep 2010 , 7:29pm
post #74 of 77

I agree with jasonkraft... the person did not say she was looking to be licensed... just a better place to bake.
As for licensing, I meant a specialized license, such as baking. The law is the law. And I will say this again... it is for the public good. If you want a certain career, you have to follow a path. Sometimes those paths are short, such as an unskilled employee on her first job. Sometimes those paths are long, at the extreme, a surgeon. And there is everything in between. We all choose our paths. If you want to be a baker, get on the path. I saved and spent every spare dollar on pans and equipment, all stored. Then I saved for the construction. And I have never sold a cake to finance this business, but I gave alot away. If there is a will, there is a way. It just may take awhile.

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Joyfull4444 Posted 19 Sep 2010 , 8:36pm
post #75 of 77

Wow, I'm amazed this thread is still going? The OP is long gone. I doubt she'll add anymore comments, that was pretty clear a few pages back. Time to put this topic rest.

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cutthecake Posted 19 Sep 2010 , 11:48pm
post #76 of 77

1. Be very careful when utilizing independent contractors. Laws vary by state; and there's the IRS, too.
2. Some communities prohibit manuacturing of any kind from the home. The licensing guy told me he'd have to shut down his own grandmother if she knitted scarves at home and then sold them.

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EvMarie Posted 19 Sep 2010 , 11:59pm
post #77 of 77

So much for the American dream...??????

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