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Split vs booth rental
#1
Right now I am in a salon on a split basis 30/70 and I pay the salon the 30% rent every week. I have no problem with that. The salon owner is dictating my hours, when I come in, how long I have to be there etc. Can she do that? The salon is not a walk-in one, appt only. So I am building my client base slowly. I do not book on my own, the stylists can also book something for me. I feel if I don't have an appt till 11 am, why go in at 9 and stay til 6 pm? I am very new and not sure if I am being pushed around. Any help is appreciated!!
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#2
The salon owner is treating you as an employee and taking a % = you are an employee not a booth renter. If you want to control your business, promotions, prices, hours, etc - you need to get a contract written up and become a booth renter.

She should also be paying your taxes - by calling you a booth renter she is trying to get away with NOT paying her taxes. Tell her your doing her a favor going to a flat booth rent fee so she wont get in trouble for not paying your taxes. Figure out a good rate for booth rent that you can live with, and approach her with it. Once you are a REAL booth renter, its like a landlord/apartment situation.... they don't tell people when to come and go. You should also have a key as a booth renter.
Jessica Hoel
Nail Professional
Akzentz Distributor & Educator
http://www.luvnailz.com
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#3
Yes the salon is taking 30% of what I bring in per week. We have a contract that states the split is week to week until I build enough client base or am ready to rent then it goes month to month. I pay for my own products and misc items so even tho I am not technically a booth renter yet, I am paying a percentage of the services I offer and paying for products out of the rest, I feel I should have my hours I want to come in and work. Am I over reacting?
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#4
Quote:reesenails :
> Yes the salon is taking 30% of what I bring in per week. We have a contract
> that states the split is week to week until I build enough client base or am
> ready to rent then it goes month to month. I pay for my own products and misc
> items so even tho I am not technically a booth renter yet
If your saying that your not a renter yet, then who is paying your taxes? If it's you, then you need to set your own hours and build your business on your own. Pay a flat rent. There has been a debate here on whether or not renters can pay a percent in rent, the IRS site is confusing, and it states a independent contractor can pay a percent but they define independent contractor as someone who travels to different locations and does not work one salon week after week.
Booth rent: pay your taxes, provide all supplies, control hours, product, menu, ads, phone, schedule, business line. And handle your own money.
Employee, hourly paid or commission, taxes are withheld, you get a w-2, they control the books, hours, uniform, products, insurance.
Your in the middle it seems and that means the owner is not having to pay her taxes on you as an employee but will control you like one. Nip it now.
But if your saying the owner is allowing you to build before you go to renter, then you need to have taxes withheld and be be paid, for your time there.
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#5
Regarding the hours you work:
When you are new and just building your clientele, it's almost "required" that you put in the time even if you're not booked for appointments. That way the other clients of the salon get to know you. It's also an excellent opportunity for you to "pick up" business during those times when you aren't booked. You can approach the stylists clients and ask if they'd be interested in one of your services, you just happen to have an opening. They don't need to know that you actually are open for a couple hours and are just wanting to make some money! :wink:
It's a hard time in the beginning, and I hated having to be at work when I wasn't booked, but now I know that I had to do it to build my clientele. :lol:
Good luck to you!
Nothing But Nails
Galleria of Salons
123 W 3rd St
Dover, OH 44622
330-827-8878
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