Becoming a boothie or choosing to live the suite life can be liberating, but with independence comes more responsibility. Here is a description of what being a solo artist is according to the

IRS and federal Department of Labor.

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• Commercial tenant leasing space within a salon

• Self-employed, micro salon owner

• Signs lease agreement with salon owner to establish status as an independent contractor with the Internal Revenue Service (IRS)

• May need to obtain a booth rental and/or independent contractor license in addition to cosmetology license per individual state law

• Pays for space within salon, not time

• Collects client payments and keeps their profits

• Does NOT receive any type of payment from salon owner for any reason

• Collects all client payments; payments are NOT to be run through centralized location

• Chooses & pays for all their own materials/tools/supplies

• Is not required to participate in a promotions/discounts unless agreed upon in writing

• Is not required to use the salon’s branding or promote the salon’s name in any of their marketing materials

• Pays set rent amount to landlord according to lease details

• Decides their own business hours (within salon operating hours) & schedules at their own convenience

• Has access to building during operating hours stated in lease agreement

• Solely responsible for obtaining clients, tracking information & booking client appointments

• Creates service menu & sets own pricing

• Has complete control of client services from start to finish

• Cannot be fired, must be properly evicted according to lease agreement or commercial tenant laws of the state

• Can NOT leave before lease is up; if so, this is considered breach of contract, tenant can expect to pay time remaining on lease unless stated otherwise

• Responsible for own taxes

• Has the right to retail their own salon products without interference from the owner

• Have their own clientele, the salon owner/landlord should not be soliciting sales from the renters’ clientele

• Obtains sales tax permits under their business name

• Responsible for collecting sales tax on retail items sold & paying back according to individual state requirements

• Keeps track of all sales, purchases & mileage

• Maintain their own books, including filing and paying quarterly income taxes

• Create & pays for advertising and market themselves to attract new business

• Receives no benefits, no vacation time, retirement plan, etc.

• Implements own policies (cancellation policy, head lice, ill clients, bad weather)

• In charge of marketing & advertising for their own business

• Carries personal liability, health & disability insurance

• Lists salon as an entity in liability insurance policy & provides copy to salon owner

• Keeps their station clean, cleans up after self & clients, disinfects/sanitizes equipment according to state board regulations

• Carries own business license, obtains separate EIN from IRS

• Provides non-corporate salon owners with 1099 for rent paid over $600/yr

• Does NOT accept IRS form 1099-Misc from salon owner

• Maintain state-issued cosmetology license & displays according to individual state requirements

• Responsible for behavior & actions of their clients

• Is not entitled to call/walk-in clients to the salon unless requested by name, unless detailed differently in lease

• Has the right to hire own employees (assistant) & is solely responsible for the employees actions, pay, & employee taxes

• Responsible for any damages caused by self, clients, or guests

• Has the right to take their own clients with them when they leave

• Has the ability to work at another competing salon

• Does not adhere to dress code

• Does not attend mandatory salon meetings or training

• Sells own gift certificate/cards (GC), does not accept GC from salon as payment

• Responsible for fixing/refunding services