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Before the doors open: a direct sales business and its paperwork
Q: I am opening a direct sales business. Which licenses, permits and registrations may apply to me?
A: Think of this as a trail map for your direct sales business. Not every marker applies to every traveler, so we check which ones are on your path.
1. Business license: A business license for a direct sales business MAY ask what products you present, whether you sell at home parties or events, and who supplies your inventory.
2. Home occupation permit: A home occupation permit MAY apply if demo kits and stock sit at home or you host sales parties, typically with limits on guest traffic, parking and storage.
3. Sales tax permit: A sales tax permit MAY be needed because products sold at parties and online are generally taxable, even when a parent company handles the ordering.
4. Door-to-door solicitor permit: Selling in person at customers' homes may require a solicitor permit with a photo badge.
5. Seller of travel or product-specific license: Certain product types, like supplements or cosmetics, may add their own rules.
6. Distributor agreement: A copy of your contract with the company whose products you sell may be requested.
7. Photo identification badge: A badge showing your name and business is often required for visiting customers in person.
8. Company papers: A DBA, an LLC or a tax ID number MAY make sense for your direct sales business, and we prepare all of these documents on this site, so everything can be ordered in one place.
One service fee covers more than one license. If you order a business license and it turns out you also need another one, for example a home occupation permit, we obtain both for the service fee of the business license. Annual tax and application fees charged by the govt are not part of our service fee: we find the applications and fill them out for you.
Why it is worth the paperwork
You set your own hours, build a team of friends and earn from every party that turns into a reorder.
Picture it
Corinne lined up sample jars on her coffee table for the first Cedar & Sage launch party, license tucked in the host binder.
The reason owners form an LLC
A guest at your demo party reacts to a product and the claim names the host who sold it.
Your numbers
Business code (NAICS): 454390 (Other Direct Selling Establishments). This page lists 8 paperwork items for a direct sales business, and each one is marked as something you MAY need, since we confirm which apply.
Tip: Record every order and delivery date in a notebook so follow-up is never an awkward guess.
Direct sales is the only job where your relatives start leaving the room when you open your tote bag.
Ready when you are: start your order and we will find out what applies to your direct sales business, fill out the applications and keep the paperwork moving. |