A few Newbie Questions...

[Former_Member]

Hi Everyone,

I'm gearing up to start doing shows in a couple months and have a few things I'm wondering about. If you have time, please give me your insights on the following: Any info is much appreciated!! :)

1. When a show says they take, say 10% of sales, does this mean 10% of gross sales, or just 10% of your profit for each item? If it's the latter, and I have multiple different items for sale, is there any easy way to figure this out on show day? Will I need to provide any kind of proof of expenses? And finally, when figuring your expenses on making an item, do you figure in any of your time, or just strictly materials? (okay, okay so that was lots of questions...sorry)

2. I've seen several applications that say "If you are required to carry insurance..." How do I know if I'm required to carry insurance? Is it liability in case someone trips in my booth or something? Do I just get it through my car or home insurance agent? Is it expensive? Do you purchase it for a single event or a season?

3. What does anyone use for receipt books? Do you create your own or just get one from an office supply place? What information is needed on a customers receipt other than price, method of payment and item description?

4. The first show I'm hoping to get into is being held at my Alma Mater. I was wondering if I should include a little bio in my booth, maybe include my grad photo...thinking it might be a good ice breaker and make the students etc feel like they could relate to me a little. In your opinion, is this a good idea, or would it seem like a plug or something?

Thanks Guys! I really appreciate the advice! :)

[Former_Member]

I'm sorry I'm not able to answer any of your questions - I'd love to know the answers to them myself!

One more thing you might need to look into is i BELIEVE you need a vendor license in order to sell anything. depending on your state that could take up to 6 weeks to receive one. I would check with the host of the show and ask them if it's required.

By Law you have to collect sales tax on any item you sell - I think thats correct but if not someone please correct me :)

[julsofparadise]

Just my opinions here, but...

1. The few shows I have done that take a % instead of a registration fee, its 10% of your gross sales. So if you sell $150, you kick in $15 at the end of the show. etc. I have never had to fill out any paperwork or anything. Kind of on your honor.

Figuring out your costs related to time/materials is a whole big question that takes a lot of research and you thinking about your value of your time. There are lots of formulas to use to figure out what works best for you.
I basically use 3x the cost of materials and add a certain amount for the number of hours it takes me to create something.

2. Regarding insurance, the only time I have ever seen that on an application, it only applies to food vendors.

3. I dont use a receipt book. I just keep an inventory list so I know what I sold. I dont think Ive ever gotten a receipt at a show for purchases. (I usually buy more that I sell! ha!) Maybe if it helps you with your inventory you might use a 2 copy receipt book.

4. That might be cute to let shoppers know that is your school, unless the show prohibits a sign. Maybe make a cute little pin you can wear w your graduation picture and "Class of ####"

In reply to Julie S's comments, good idea to check with your state about a vendors license. I have never needed one. All of the people I know who do shows do not add tax. I just say it is included in the price. I dont want to mess around with change, everything I sell is even dollar amounts. But I dont get a tax break when I purchase materials and I never sell enough to report anything, but be sure to check laws in your state.

Good luck and have fun with your first show!

[Former_Member]

Hi Ladies,

Great advice & comments so far! :-) Thank you!

@Julie S - That's a good point & something I hadn't even thought about. I just did some research on it & apparently I'm OK. I'm fortunate to live in Oregon where we don't have sales tax. As far as I can tell there aren't any other specific permits required. I'll poke around some more just to be sure, but I think that's right. Good thinking though!

@Julie #2 :-)

Great to hear your experiences! According to that 3x formula, I'm seriously undercharging for my stuff right now! I'll definitely need to put some more thought into that & not short myself on profit!

Yeah, insurance for food vendors makes sense. That may be why it doesn't read "insurance required" just "if you are required..." Liability would probably still be on the venue if someone got injured, I would think. I'll double check this first event just to be sure.

That's a good idea to just keep an inventory list, rather than have to scribble receipts for every sale. That does lead me to yet another question, though. Do you post Etsy type shop policies at shows or is it just assumed that the buyer is purchasing "as is"? Do you offer return/exchange?

I like your pin idea! That's probably even better than taking up booth space, and still gets the idea across.

Thank you, both! :-)

[Former_Member]

lucky you on not needed a vendors license! I'm from Ohio and boy do they make you chase your tail trying to figure out where the forms are. We have to file 2x a year even if we don't sell ANYTHING. It's crazy and im pretty nervous about it.

Good luck with everything! I'm glad we dont need insurance!

[AYarnKat]

I have been doing craft shows for over 6 years now and I certainly can help you with your questions.

1. In my dealing with organizations that want a percentage of sales, it is based on your booth sales. Just like Julie stated.

2. I, myself, have never run into a craft show asking for insurance. I am sure you can always ask the person running the event.

3. I use a sales book, carbon free, so you can keep track of your sales, the items sold, and the customer gets a receipt. I usually put my name, email, and phone number on the receipt, if not a business card, so the customer knows where they got the items from.
Its also good to keep an inventory sheet so you know what has sold, what is popular, and what just sits around.

4. Absolutely, use an old school photo, maybe have an old yearbook, and its always nice to read a bio on the crafter. They are great icebreakers.

Also if you have an Ipad, take your photos and run a slideshow of the items you have made. That gives the customer an idea of the things that can be made if you don't have any at that time.

Have fun, and don't be discouraged if you don't make a lot of money. It takes time to get a customer fan base. You might also want to have a sign up sheet with email, to let your customers know where you will be at the next show.

[DancingClouds]

The local craft shows we have done, have not requested insurance,but we use to travel around the US and sell at different annual shows. (Our booth was 50'x10') and we sold a variety of merchandise . We did carry insurance at that time. (If someone comes into your booth and falls, etc. you can be liable for that. Our homeowners insurance did not carry it at that time. We live in the state of KY. and got it thru Ewbank Insurance LLC, Warsaw, KY their number is 859.567.4141 ( This was back in 2003, so not sure if the still write that kinda of insurance. You may also try Glauber & Shelton Insurance Agency 502-732 4942. Hope this helps. Also we do have a tax ID#. This is helpful if you do alot of shows. I have found that the smaller craft shows just give you paperwork "if they come thru" and have you send in $ on your sales. (They have to trust that you are honest about the amount of your sales.

[Former_Member]

Thanks so much, you guys!! This is sooo helpful! Kathy, I love the slide show on a tablet idea! That's fantastic! Pam, thanks for taking the time to provide that insurance information! I'll definitely look into it! :-)

[Former_Member]

WOW! So much to learn about.

Thank you Leonie, Pam, Kathy, and Julie for this discussion. Seems as though each state has its own requirements.

In Vermont I was informed that one's trade name has to be registered with the Vermont Department of State and then a sales license (with number) has to be secured from the Vermont Department of Taxes, and taxes paid accordingly on a quarterly basis. (6% Charged to customers at point of sale). Does anyone know if this is all really necessary in order to be a legal vendor in Vermont? Welcome any and all comments. What about New Hampshire, Maine and Massachusetts....seems they are all a bit different. Do we need to know the laws of each state to which we might travel?

[chris903]

I did my first craft fair in November, and it went really well. I used a lot of advise I got from the etsy community. I did'nt need a liscense, I never even thought about it! That's something to keep in mind for the next show. I also took a few photos of my booth from all angles, and some close ups of my ornaments, in case the next show I sign up for is juried (meaning they require you to send in photos of your booth & product, before they let you know if your accepted or not!) So also check out the application deadlines, in case you need to send photos!

[ClaybyStacia]

3. I have a receipt book I got from wal-mart. But must people pay with credit card, (I use Square) so I can email or text them a receipt. Once in a while people will ask for a paper receipt, but almost never. It is nice to have on hand, though, and super cheap.

For personal reference, I bring my laptop along, and record my sales as I go. It makes balancing the cash box easier, and taxes easier.

[Former_Member]

Answer to your third question. I use a 2 part carbonless sales order booklet (Adams #DC3705). You can purchase at Staples, Office Max, etc. I print 2/3" x 1 3/4" 3M adhesive labels (which has my company name, and phone number) and place those at the top of each original ticket. The customer gets the original and I keep the copy. Since I take credit card transactions on Square, I have found that by using these for each transaction eliminates the need for the customer to have an electronic copy.

[cosmichippodesigns]

I see that most of your questions have been answered. Here's my take on Insurance: I've only been asked once by a promoter to provide insurance for a show. My homeowner agent put me in touch with an insurance agent who wanted $600 for the show day. Outrageous! I phoned the promoter to cancel the show. She immediately waived the insurance requirement.

In order to calculate the percentage of gross sales you need a standard receipt book that has carbon-less copies. Your local office supply has these.

I use Square so that I can accept credit cards. You can find Square online. It's great! They charge 2.75% of each sale and it's well worth it. They also send an email receipt to the buyer. .

To calculate expenses add the cost of materials plus time spent making your product. Labor intensive items are trickier to price out. I don't charge on an hourly basis for handbags because some of them take 1-2 days to make so I generally charge a reasonable blanket rate -- it doesn't cover all the time I spend but at least I'm not devaluing myself.

Best of luck to you!

[Former_Member]

From a person who has a tax license (which in the state of OK to sell anything you have to have) perspective, make sure you keep a receipt of everything!!! Travel costs, costs paid to the folks to put up your stand (i.e the 10%) as that is cost to run your business, if you itemize it might end up being larger then the the standard deduction! PS I am new too just have a soon to be mother in law doing shows for a long time so a little bit of a sounding board.