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Garth Anderson
09-08-2005, 11:41 AM
Just wondering how many of you lampwork and run a retail and/or wholesale business out of your homes? Did you have any problems getting a business license, resellers license, getting the "okay" from the fire department and homeowners insurance, etc. for your businesses? Any advice/tips based on your experiences would be much appreciated. Thanks!

mandala
09-08-2005, 01:19 PM
Hmmmm.. I wonder how many of us have actually gotten permission from fire dept., insurance company, zoning dept. etc.
I know of a hot shop that was denied zoning and now just answers the phone with hello instead of "hello joe's glass studio"
I have heard of 2 suprise visits from insurance companies, one shop failed, the other passed. It has alot to do with the placement of the tanks, 30 ft from the studio i think.
I have known a flameworker who had the DEA knock up to inquire about the tanks outside and reports of a meth lab. He gave them a tour of the small rental town house with his studio in a spare 2nd floor bedroom. He never heard any more about it. So i guess he passed something.
From what i understand from my accountant begging me to pay for one, business licenses are easier to come by and can save you money when it comes to taxes. Around me i think it's 150$ a year.
I think if you have the finances and flexibility setting up a completly legitimate shop/studio is priceless. Getting an accountant to aquaint you with the license process can be a good idea. I'm not sure what to do if you are purchasing a space ( maybe a realtor) But if you are renting then a land lord should help you check appropriate zoning and insurance problems. Then again there's always the outlaw artist last resort if you really can't work it out. Hope this helps ! I know it's no where near textbook information- just my experience so good luck to you!

skip
09-08-2005, 01:24 PM
Well I just went from running a retail store / studio in a commercial retail space into a home based business situation. I am dealing with the city today as a matter of fact about what it will take. I beleive from previous experience that if you are in city limits residential neighborhood A retail situation wont work. You probably can''t have foot traffic, a store sign, and will need neighbors approval for the business.

I am saying I run a wholeslae website from home selling jewelry. I don't expect to run into any problems because blowing glass on premises is not something I am mentioning. I just need my DBA here in the state of Oregon and a new sellers permit. I'll ley you know more when I get it all taken care of.

Garth Anderson
09-08-2005, 02:34 PM
I'm just starting to do the research for running a business from home (that we own) and definitely want to be legit. I wouldn't have a retail store in my house. The neighbors would have no idea I'd be running a business unless they asked. Any retail sales would be conducted online. I'd have no employees and all my shipping/receiving would be done at the local UPS store down the street. I'm not worried so much about the selling aspect of the business...more of the "making" part. I have a one torch setup in my garage and I feel it's pretty darn safe as I've obsessed over safety ever since I started lampworking. I'm wondering if I should start off by getting the fire department over here and making sure everything is up to code before trying to get my licenses/permits and contacting my insurance agent.

rumplephorskin
09-08-2005, 04:48 PM
I just bought a home in a small town in northeasern PA and am going through it all right now myself. The house was dirt cheap(3 bedroom for $75,000!!!!!) because it needs a fair bit of remodelling. The first thing I did was to research the uniform construction code that this state uses as a template for it's safety standards etc..... In many cases; local fire departments and building inspectors are VERY impressed if you take the initiative and show them the respect of calling them. It shows a respect for authority that makes them sing a completely different tune then they would if you were to wait until some neighbor bitches and they come by for a surprise visit. I would look up the local and state codes that apply to your location and build everything as close to the codes as humanly possible and then invite the fire dept to come over and take a look. Many places find it to be acceptable to keep the oxygen tanks chained to the wall inside but not the propane. That seems to be a big no no. Another thing is making sure that your wiring is all up to code. They love gfci wall recepticals. 2 or 3 fire extinguishers and multiple exit points from the building are a crowd pleaser as well. HARDWIRE ALL YOUR FANS AND LIGHTS!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!
There are many loopholes that you can abuse if youre a single user home studio. You might be able to apply for the home business permit stating that your business is buying and reselling glass and you may be able to apply for a residential hobbyist permit for your work space. It might be wise to look into business insurance as well; right now im looking at $2,000,000.00 in coverage for about $850 a yr. Its not that bad really. If you get the right type of policy it will cover you no matter where youre working (home, public studios, festivals etc....) If all is up to code and your business is insured as a seperate entity.. your problems should be minimal. If youre really worried about drawing attention to yourself too quickly make your calls and do your homework from a friends house so they dont track you down through your caller ID.

duh
09-08-2005, 05:07 PM
you run into bit zoning problems when you sell things from your home... period...
but you can make all you want at your house.. as long as you sell it elsewhere....

rumplephorskin
09-08-2005, 05:29 PM
That depends on the state bro and the town. There is a home based gift store about a block from me on a quiet residential street and right across the street from me is a home based beauty salon. Both of these are clearly marked with signs that designate that they are businesses. All towns are different. This is within the city limits of an incoorporated town incase I need to clarify.

Paxton
09-08-2005, 07:19 PM
All towns are probably have their own little idiosyncracies; that being said, here is a more specific situation. A buisiness license in my parish is $50 dollars a year, but first you have to get a buisiness permit with the zoning commision, which is another 50. With that I had to have a notorized lett6er from my landlord, an a abstract of the property, a brief detail of what I would be selling, and a hand drawn schematic of my home showing the office/work area. The permit I have is for home office, and I sell outside of my house (there is more store front). After you have a buisiness liscense, you will be given local and state tax ID#'s, and will be legitamite in the eyes of those branches, as well as paying a percentage of my sales tax to individual parishes respectively. I am not going to sue myself if I get hurt, so I haven't got any insurance for my company, but I could, and hope to soon, get insurance for myself. I have had no inspections of my home, because although I put that I would be making glass jewelry at my house, I was not pressed as to how or asked about anything else. At least for the time being, all the government is interested in is me sending them money when I make sales. At a later date if I start making money hand over fist, they might want to send in a tax accesor to figure out how I make my glass, evaluate the worth of my equipment, and charge me an annual tax based on the value of that equipment (which is what would happen with the home hair salon mentioned in the other post) but for now I am at the most basic level, home office. Things become more complicated when you sell out of your house, as opposed to producing in your house, and I want to keep it as simple as possible. This is the same liscense I would get if I was to be an independant contractor for someone (I also do renovations). Wheather you want to be a buisiness or sole proprietor is no concern of the people issuing permits, and is only reletive to how I file and withold my taxes. I personally am a sole proprietor, once again because of the simplicity of the record keeping process. Happy hunting.

Paxton

NUBBLET
09-08-2005, 07:39 PM
Here it is 50$ unless you are in a residential setting , then you have to pay a "home occupation fee" of 300$ , they have been to my house and said the lampworking is fine they were worried about a big hot shop thing , like a furnace and crap . He saw the kiln and asked about it ,but only said "and this is your kiln to fire the glass in ?" . It went way more smooth than I thought it would , but they still charge the home fee even if you only make the product at your house , I am still trying to get them to wave the fee I think they may but , I may have a few hoops and such .

Udai Hussien
09-08-2005, 08:13 PM
I run a business from home, my house is a crackhouse

Garth Anderson
09-08-2005, 08:58 PM
Great information....thanks for all the responses!

Here in Nevada 2 business licenses need to be aquired...a State ($100/year) AND Local ($75 first year) business license!!

I was looking over the "Home Based Business Requirements (http://www.co.washoe.nv.us/comdev_files/licensing_info/bl_1_business_license/bl_home_occupation_docs.pdf)" (.PDF document) and noticed a few things that stuck out:

Regarding exhaust fumes:

*Hazards and nuisances. The home-based business shall not create or cause dust, vibration, gas, fumes, toxic or hazardous
materials, smoke, electrical interference or other hazards or nuisances either on or off the premises. Noise and light will comply with the
provisions of Article 414, Noise and Light Standards, of Washoe County Code Chapter 110

Propane tanks??:

*Storage. There shall be no outdoor storage of materials, equipment, supplies, or solid waste used or associated with the homebased
business nor shall goods or merchandise be displayed in a manner so they are visible from outside the dwelling.

:ohwell:

rumplephorskin
09-08-2005, 09:20 PM
" I am not going to sue myself if I get hurt, so I haven't got any insurance for my company"
The insurance I was speaking of has nothing to do with any injuries you might personally suffer. I'm surprised your landlord went for the idea of you playing with fire in his space without business insurance. He must be exceptionally cool. The kind of stuff that you insure your business for is the things that OTHERS will sue you for. As an example; God forbid that your glass studio were to catch on fire and the building it is in were connected to your house that you rent from your landlord. His homeowners insurance would come through for him as far as his loss went and then they would come at you for that money that they paid him. Being a sole proprietor; they would take you for everything you had and keep asking for more. The unfortunate reality is that as a sole proprietor; they would have the right to come after both your personal and business assets. That is one of the reasons many people in business seem to opt for limited liability companies as opposed to sole proprietorships. It is also the reason that almost ALL businesses should be insured. A few days of work a year to pay for that kind of coverage is really insignificant compared to the amount of work any of us would have to do to pay even $100,000 if we were sued for it. And $100,000 might barely cover the legal costs of a law suit if you lose and have to pay the plaintiff's legal fees and yours as well.

skip
09-08-2005, 10:00 PM
Even renters insurance will cover a hobby shop If you don't want to go through the business insurance (Renters insurance is less than a $100 a year in most cases)..... Get it. If your tools are stolen also... it's covered!!!! And like wrinkledforeskin said a lawsuit is pricey.... Real pricey

Stagger Lee
09-09-2005, 07:48 AM
I run a landscaping biz out of my home in a middle class neighborhood. I had a license at my other home but I'm not getting one here. Way TOO much hassle. They have to approve the whole thing with the nieghborhood.... blah, blah, blah....... get extra (non refundable) money..... blah, blah, blah....... I doubt they'll let me "run" it outa my house here, so fudge'm........ There's really no reason to have a license. It's just another way for Uncle Sam to keep an eye on you.