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Getting started selling in a boutique

Hey all - A local children's clothing coutique is interested in carrying some of my patchwork skirts and dresses that I make. I'm excited but scared!! I've been selling some things on a casual basis for a while now (to friends and referrals, etc) but now i need to figure some stuff out. First and foremost- do i need to get a tax ID and become a legitimate "business" to sell in the boutique? If so anyone know how I go about getting one? Also does anyone know what typically one would charge to a store owner for things? For instance I make a patchwork dress for girls (say up to 5T) that I have sold for $60. I know the store owner would buy a few off of me and then turn around and sell them for more so I guess I need to know how much more they'd normally go up. I mean will this store owner want to spend $60 on my dresses and then try and sell them for what? $100? Not sure they'll think it's worth it. Does anyone have any experience with this?

I'm nervous and excited so hopefully it works out!! Thanks for any input!

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Permalink Reply by Alanapr on July 1, 2009 at 8:35pm: You need to talk to the store owner about how she foresees this working. Does she want them on consignment? Or does she want to purchase them from you? If on consignment, you do need to know something about how much will be charged, because that will impact your price. If she wants to buy them, then the final selling price is really not something you need to worry about. She should know how much she can price things for and see them sell.

I have sold small quantities of items to stores, etc. in the past and not needed a business licence (not sold enough to qulaify). However, when I started an actual business, I did need to get a permit. But you have to check out the rules where you live.; ▶ Reply to This

Permalink Reply by Jodie Hickman on July 3, 2009 at 12:58am: Yes you do have to get a business license. I got one in my state Arkansas for around $35.00. I am a sole proprietor and have to charge taxes in state. I got mine to sell on line. I do not want any troubles with IRA. If you business grows enough you might want an LLC which is more expensive but you can right off and depreciate part of your home used for sewing, sewing machine, computer, printer, ect. The can all be to your advantage. I am very new at it. With you City/State business license you can also sell at craft shows, farmers market, etc.

Sorry I can't be off much more help than that.
Buttons and Sweetpees
Jodieth; ▶ Reply to This

Permalink Reply by cheryl on July 3, 2009 at 8:46am: ok cool so is a business license the same as a tax ID? Or is that separate?; ▶ Reply to This

Permalink Reply by Jodie Hickman on July 4, 2009 at 1:29am: Mine is two letters followed by numbers. I do not think it is a Tax ID. For a sole proprietorship "part-time"
out of home I believe I will use my social security number. What I got is basically a City permit to sell things I make on-line under my shop name "Buttons and Sweetpees". This also allows me to sell at craft fairs and farmers market.; ▶ Reply to This