Did you know:
> There is pretty much no such thing as an independent contractor in the beauty industry. Only 0.5% of industry workers actually qualify as independent contractors.
> You cannot pay someone a commission or percentage and call her an independent contractor.
> You should not give your staff a 1099 at the end of the calendar year for money paid out to them over $600. That’s a red flag for an audit.
> If you have booth renters, you can only charge a flat rate for rent, and it needs to be what is considered normal in your geographical area in terms of the type of salon and price structure.
According to Ken Cassidy, these are some of the most common mistakes salon owners make, but by no means the only ones. Cassidy, president of Kassidy’s Salon Management Consultants, offers a series of recorded seminars to help you navigate these sometimes confusing issues.
Geared towards salon and spa owners, “How To Set Up and Run a Business for Booth Renting” furnishes step-by-step guidelines for making booth renting both legal and profitable above base rent. For booth renters, “So Now You’re a Business Owner/Booth Renter” explains why an owner/ landlord gives you a contract to sign, what is in that contract, how it will protect you, and why you should sign it.
For more information, go to www.kassidys.com. Got questions for Cassidy? Send them to judy.lessin@bobit. com.