Expert: Shasta McLaughlin - 9/26/2008

Question
Hi:  I make a piece of apparel for my special needs granddaughter and the school she attends would like me to make the same and sell to them.  In CA do I need a license to do this?  The pattern I use is greatly changed from a similiar British version so I don't see a problem there, but am wondering if there is a money limit I can make at home as arts and crafts before I have to pay taxes. Thanks.


Answer
Mary,

The requirements for licenses, permits and taxes vary by city, county and state.  Unfortunately I can't know what the requirements for every location are.  To find out I would call the city offices where I lived and ask them where to call to get a business license.  The reason I would do that is the people who sell the business licenses would be most likely to know what the requirements are and if you need one.  They might also have a number to call for your county and state.

Before going to all the trouble I would ask myself some questions, i.e.
Am I going to be doing this regularly or is it a one time thing?
If my  granddaughter's school needs it do other schools need it as well?
Can I make enough money to make it profitable for me?
Do I want to spend the time, money etc. to make this a business?
Do I want to create a website and involve other marketing efforts?

Also I never recommend using anyone's pattern (even if greatly changed) for profit without their permission.  If you've changed the pattern so much it is almost unrecognizable that might be different.

If I can help you further please let me know.

Thank you,
Shasta McLaughlin