Is it really worth it? - Page 2

The idea behind keeping it to close friends and family is that they presumably won't sue you if there is a problem.

sales and use tax in tennessee even covers items 'severed from the ground'

 

so when i had a tea room--if i grew my own tomatos--i'd have to declare them and pay tax on it

 

 

tennessee loves me some taxes

 

taxessee

 

tenetaxi

 

close friends and family--smaller occasions--family weddings

 

friend of a friend--you're a caterer

As a seller, sales and use tax should never be out of pocket, just tack it onto the price and remit the tax to the govt.

If you are breaking even or taking a loss you should not owe income tax, since tax is typically only due on net income. In fact if you have a loss you may be able to offset other taxable income.

the point, my friend, is that i can't even grow things to use that are not taxed

 

clever of those tax folks

 

probably true in many areas i don't know

 

i just thought it was bizarre/surreal

 

but not if i was a farmer i guess

 

however i did not grow tomatos i was too busy

 

i grew lots of dirty dishes though

 

I'd sue if someone injured my child from food poisoning due to irresponsibility (or just stupidity), you'd better believe it.   It wouldn't even be about the money, I'd probably give it away just to prove a point.  A friend deserves the same level of food safety as a complete strange who "might" sue.   Did I misunderstand? 

 

How many of us have ever been sick all weekend due to eating out or eating bad food at a party?  Would you go back?  If it's me, I can just not go back...if someone hurts my child the gloves are coming off.

From the UK perspective, you won't get sued for hospital bills etc, but the culture there is that there are too many laws, until something happens and then someone's head has to roll because there wasn't a law against whatever happened.

I'll use a recent storyline from a popular UK tv show to illustrate - a former contractor fixes a friend's boiler, something that wouldn't seem out of the ordinary, it's just a favor for a friend using skills he's trained in, but not currently licensed in. Except he makes a mistake and the friend ends up in hospital with carbon monoxide poisoning. The family and friends of the victim are ready to have the person doing the repair locked up and the key thrown away, because they've broken the law. But you know they all would have appreciated the same friend doing a free repair for them in a pinch.

I'm sure they would have appreciated the free repair had it been done correctly. Any time you provide a product or service (paid or not) for someone else you are exposed to liability, which you may be able to protect against with umbrella insurance (personal liability) and business liability insurance if applicable.

This doesn't mean you should never help anyone, just that you should approach each job with the same level of care and professionalism that you would expect from others. If you do things right and there is no negligence on your end you usually won't have anything to worry about.

I'm in the UK too and I've found it made a big difference with my house insurance - most companies wouldn't give me a quote as I was baking at home and had people coming to my house to collect cakes so when I did find somewhere that would cover me I'm paying a lot more than I was for just my house insurance (although my liability insurance is included too).  I don't earn enough to pay Tax or NI so that isn't a problem but I do have a business bank account which I have to pay a charge for each month and have to pay to put cash or cheques into my account too.  It does cost more money than just baking for family but if you do want to set up a business you really do need your liability insurance and all the legal bits and pieces in place (like having your kitchen inspected, registering for Tax etc).  I suppose it depends - do you just want to make cakes for your family or do you see yourself doing this on a more part/full-time basis in the long-term?

I think we are lucky here in Australia, in the state I live in our State organisation provides insurance for us for $40 a year . This covers even hobby bakers for up to 10 million and even if we do bridal fairs etc. 

 

Do any of the UK or US Cake organisations offer this?. We purchase the policy in bulk so the discount is huge. 

The laws are there to protect logical thinking people from the you-ve-got-to-be-kidding-me-who-does-thats and the no-way-would-anyone-stoop-so-lows.  They're the ones driving the bus here, folks.  There are people who put more energy into trying to beat the system and get something for nothing than they would have to expend just being reasonable, productive members of society.  Those are the ones who will charm you out of a cake for their precious and then sue you because she gave her idiot little self a concussion beating her head on the wall because the icing was too sweet and not the right color of pink.  It's tragic, but it's the truth.

yeah, kimmiesue, the laws protect...

and perturb

 

 

 

i don't know of any here

 

maybe the retail bakers association?

Perturb.  Such a lovely word. Better than pi** off.  Because, the "protectors" - the "powers that be" don't be on your side either.  Yes, we will protect you from the evil-doers.  For a price. And you will pay our price. No matter what it is.  Because we like to summer in the Hamptons and winter in Spain.  So, you will either be taxed to near starvation for our protection, or you will risk being sued to near starvation.  Ever get the feeling that nobody is on our side?

 

*Disclaimer - I am not a bitter, morose person.  I am joyful. Jesus loves me, so the rest of 'em can be hanged.

 

 

i am an eyes wide open joyful person too... fully armed

 

i'm a curmudgeon in training looking to get my wings if i can hit somebody hard enough to ring their bell

 

i mighta got that a little mixed up

 

Yes. This.  Ignorance is not bliss.  Love your enemies - but keep 'em out front where you can see 'em!