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aus+uk / aus.legal / Re: Business arrangement.

SubjectAuthor
* Business arrangement.Peter Jason
+- Re: Business arrangement.Rod Speed
`* Re: Business arrangement.Sylvia Else
 +- Re: Business arrangement.Rod Speed
 `- Re: Business arrangement.Peter Jason

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Business arrangement.

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From: pj...@jostle.com (Peter Jason)
Newsgroups: aus.legal
Subject: Business arrangement.
Date: Mon, 25 Jul 2022 11:54:10 +1000
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 by: Peter Jason - Mon, 25 Jul 2022 01:54 UTC

The factory next door has people in house producing & selling metal
items.

The business owner has these people making items for themselves.
They use the business owner's stock for these items, and use his
machinery/toilets/kitchen/forklift etc.

The Business owner is paid for the stock they use. and is paid a
toll/item for all the items produced. It seems they tally up weekly.

I'm considering this method too and I wonder if there's a downside.

Perhaps it's a sort of weird franchise.

Re: Business arrangement.

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From: rod.spee...@gmail.com (Rod Speed)
Newsgroups: aus.legal
Subject: Re: Business arrangement.
Date: Mon, 25 Jul 2022 15:01:01 +1000
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 by: Rod Speed - Mon, 25 Jul 2022 05:01 UTC

Peter Jason <pj@jostle.com> wrote

> The factory next door has people in house producing & selling metal
> items.

> The business owner has these people making items for themselves.
> They use the business owner's stock for these items, and use his
> machinery/toilets/kitchen/forklift etc.

> The Business owner is paid for the stock they use. and is paid a
> toll/item for all the items produced. It seems they tally up weekly.

> I'm considering this method too and I wonder if there's a downside.

Can't think of any.

> Perhaps it's a sort of weird franchise.

More likely it isnt.

Re: Business arrangement.

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From: syl...@email.invalid (Sylvia Else)
Newsgroups: aus.legal
Subject: Re: Business arrangement.
Date: Mon, 25 Jul 2022 22:26:37 +1000
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 by: Sylvia Else - Mon, 25 Jul 2022 12:26 UTC

On 25-July-22 11:54 am, Peter Jason wrote:
> The factory next door has people in house producing & selling metal
> items.
>
> The business owner has these people making items for themselves.
> They use the business owner's stock for these items, and use his
> machinery/toilets/kitchen/forklift etc.
>
> The Business owner is paid for the stock they use. and is paid a
> toll/item for all the items produced. It seems they tally up weekly.
>
> I'm considering this method too and I wonder if there's a downside.
>
> Perhaps it's a sort of weird franchise.

Might want to check the liability issues before you go down that path,
and in particular whether you'd be insured against those risks.

If the business owner has significant control over what gets made, in
what quantity, and the sale price, then a court might decide that the
people making the stuff are really employees.

Sylvia.

Re: Business arrangement.

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From: rod.spee...@gmail.com (Rod Speed)
Newsgroups: aus.legal
Subject: Re: Business arrangement.
Date: Tue, 26 Jul 2022 04:18:19 +1000
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 by: Rod Speed - Mon, 25 Jul 2022 18:18 UTC

On Mon, 25 Jul 2022 22:26:37 +1000, Sylvia Else <sylvia@email.invalid>
wrote:

> On 25-July-22 11:54 am, Peter Jason wrote:
>> The factory next door has people in house producing & selling metal
>> items.
>> The business owner has these people making items for themselves.
>> They use the business owner's stock for these items, and use his
>> machinery/toilets/kitchen/forklift etc.
>> The Business owner is paid for the stock they use. and is paid a
>> toll/item for all the items produced. It seems they tally up weekly.
>> I'm considering this method too and I wonder if there's a downside.
>> Perhaps it's a sort of weird franchise.
>
> Might want to check the liability issues before you go down that path,
> and in particular whether you'd be insured against those risks.

> If the business owner has significant control over what gets made, in
> what quantity, and the sale price,

No evidence of that.

> then a court might decide that the people making the stuff are really
> employees.

Not going to happen given they pay for the stock they use and don't get
paid.

Re: Business arrangement.

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From: pj...@jostle.com (Peter Jason)
Newsgroups: aus.legal
Subject: Re: Business arrangement.
Date: Tue, 26 Jul 2022 07:13:06 +1000
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 by: Peter Jason - Mon, 25 Jul 2022 21:13 UTC

On Mon, 25 Jul 2022 22:26:37 +1000, Sylvia Else <sylvia@email.invalid>
wrote:

>On 25-July-22 11:54 am, Peter Jason wrote:
>> The factory next door has people in house producing & selling metal
>> items.
>>
>> The business owner has these people making items for themselves.
>> They use the business owner's stock for these items, and use his
>> machinery/toilets/kitchen/forklift etc.
>>
>> The Business owner is paid for the stock they use. and is paid a
>> toll/item for all the items produced. It seems they tally up weekly.
>>
>> I'm considering this method too and I wonder if there's a downside.
>>
>> Perhaps it's a sort of weird franchise.
>
>Might want to check the liability issues before you go down that path,
>and in particular whether you'd be insured against those risks.
>
>If the business owner has significant control over what gets made, in
>what quantity, and the sale price, then a court might decide that the
>people making the stuff are really employees.
>
>Sylvia.

My understanding of the situation is of two concerns under the one
roof. The business owner (BO) gets more turnover of stock and more
income without employing anybody, and the people get no overheads and
pay only when they sell. I'll have to check out the insurance matter,
but perhaps it falls under public liability given the people are also
customers. One can sympathize with the BO given the cost and
politics of employing anybody.


aus+uk / aus.legal / Re: Business arrangement.

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