Independent sales consultants won’t need business licenses

Posted 11/7/19

By Tim Schmidt Record Managing Editor In most communities, dozens and dozens of independent sales consultants are marketing their products — anything from weight loss programs to makeup and …

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Independent sales consultants won’t need business licenses

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Record Managing EditorIn most communities, dozens and dozens of independent sales consultants are marketing their products — anything from weight loss programs to makeup and jewelry.A question that was debated at a recent Warrenton Board of Aldermen meeting is whether or not these sales consultants should be required to have a city business license.Eventually, the majority of the aldermen agreed that attempting to enforce the matter would be difficult and decided to begin interpreting the license requirement differently than what they have done in the past.At their Oct. 6 meeting, aldermen voted 5-1 not to require a business license for the independent sales consultants. Ward 3 Alderman Jim Dreyer was the lone board member who opposed the move.The new interpretation means consultants who sell products for companies such as Mary Kay, Avon, SABA, It Works, Pampered Chef and Thirty-One won’t have to worry about obtaining a business license.As city officials learned more about the situation, it was determined that many of the independent consultants were paying sales taxes on the products they are selling. However, only two were operating with a city business license.“I don’t think anybody is trying to do this because they don’t want to get the license,” Ward 2 Alderman Damion Frederick said. “They just don’t know they need them. Quite honestly, we’ve collected sales taxes from dozens and dozens of them. They are operating the way they are supposed to outside of the license.”The issue was raised after a consultant was sent a letter from the city stating that a business license was required.Aldermen agreed the city would have trouble with enforcement. One example presented was dealing with out-of-town consultants in addition to those who reside locally.“It’s a waste of our city employees’ time tracking them down,” Mayor Eric Schleuter said. “You may find three, but three more pop up next week.”Ward 1 Alderman Karen Casserly added: “I think it’s next to impossible to enforce it.”The consultants also won’t feel they are being singled out, Frederick said.“I think it’s a positive step with our relationship with the businesses in town,” he remarked.According to Director of Operations/Finance Officer Terri Thorn, the city required the business licenses in the past to help track down individuals should an issue or complaint be received.Warrenton


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