In the event of an audit or to resolve conflict, the first item the IRS or a judge would look for is a written contract. With no written agreement in place they would declare that you have an employee-employer relationship. That could mean you would owe back taxes, penalties, and interest for the time period being audited. It is clearly the salon owner/landlord’s responsibility to provide a legal contract for her renters to sign. A contract protects both sides involved in the arrangement if done correctly. Without it, you have nothing to stand on if the owner walked in tomorrow and told you to leave. You have nothing in writing to protect you or her. – Ken Cassidy is president of Kassidy's Salon Management Consultants (www.kassidys.com)
Business
Is a booth renter ok without a signed contract from the salon owner?
September 1, 2009
More FAQ
Should business owners tell all to staff?
Transparency is a buzzword in politics these days, and the notion of increased openness, two-way communication, and accountability is taking hold in the business world as well. Salon owners are among the business owners who are opening up their books and sharing sensitive financial information with staff . We asked salon owners and technicians: How much financial information should a salon owner share with her staff ? ... read more
Reader to Reader: Do you give away free services to your family?
Do you give away free services to your family? When does it begin or stop (moms, sisters, mother-in-laws, etc.)?... read more
Reader to Reader: What's the most worthwhile trade show, professional networking event, or continuing education class you've ever been to and why?
What's the most worthwhile trade show, professional networking event, or continuing education class you've ever been to and why?... read more
Can a booth renter make a commission for retail in the salon she rents from?
Can a booth renter make a commission for retail in the salon she rents from?... read more
I’m tired of competing against all the discount salons in my area and am thinking of throwing in the towel and quitting. Do you have any advice?
I’m tired of competing against all the discount salons in my area and am thinking of throwing in the towel and quitting. Do you have any advice?... read more
Reader to Reader: Where do you turn when you have a technical question about nails?
Where do you turn when you have a technical question about nails?... read more
I’m having a hard time getting my clients to show up on time and also let me know when they can’t make it. What should I do?
I’m having a hard time getting my clients to show up on time and also let me know when they can’t make it. What should I do?... read more
How do I get clients to book their next appointment after their service is finished rather than calling just before they want to come in or even just
How do I get clients to book their next appointment after their service is finished rather than calling just before they want to come in or even just walking in?... read more
I am trying to keep my hours down and work shorter days but I just can’t say “no” to my clients. Any advice?
I am trying to keep my hours down and work shorter days but I just can’t say “no” to my clients. Any advice?... read more
Reader to Reader: How do you turn a new client into a regular?
How do you turn a new client into a regular?... read more
Reader to Reader: How do you keep your client information safe?
How do you keep your client information safe?... read more
Reader to Reader: How do you let your clients know you're raising your prices?
How do you let your clients know you're raising your prices?... read more
