When or if I should "go big".....

[HotPepperQueen]

This year I grew so many wonderful and successful things from seed. I ended up with way more than I ever expected or needed so I decided to sell a lot of it. For the whole month of May, my phone was ringing off the hook and my email was being bombarded with customers. People loved the fact that I ws doing this out of my home and I was selling my stuff at a reasonable price. Everyone has had terrific luck with my plants so far and is sending me suggestions for things they would like for next year. I sold over 100 tomato plants and almost 150 pepper plants out of my garage. When I ran out of plants, I had to turn away twice as many people compared to how many had already bought from me. Word spread like wildfire. Lucky for me, my mom and dad helped me out a lot with distributing the plants. So now I'm stuck between a rock and a hard place- do I expand into something bigger and test my entrepreneur skills or just keep working out of my garage/basement? I have started a pros and cons list but would like to hear some of my TEG friend's ideas! You are all great people and I trust and value your opinions greatly. I can't wait to hear from you!

Biggest Pro- Providing affordable plants
Biggest Con- Taxes and other Uncle Sam interferences

This is the plan so far if I were to do this-
I would be open from 3-8pm Monday through Thursday and 10am-8pm Friday through Sunday. I would only be open from the middle of April to the middle of June (depending on the weather). I would have all kinds of tomatoes, peppers, other basic veggies and fruits, basic annuals/perennials, "plant and take" (bring in a empty container and fill with dirt and plant here- take your filled container home. Leave the mess here!).

 

[catjac1975]

Make sure you are reasonable but not crazy cheap. Your time is valuable. I an selling my daylillies this year for the first time and plant to use Home depot prices a s a starting point. I will sell at the same price, (very cheap in the world of daylillies) but will sell a superior product. Most are my own originally cultivars. Hope I have your luck!

This year I grew so many wonderful and successful things from seed. I ended up with way more than I ever expected or needed so I decided to sell a lot of it. For the whole month of May, my phone was ringing off the hook and my email was being bombarded with customers. People loved the fact that I ws doing this out of my home and I was selling my stuff at a reasonable price. Everyone has had terrific luck with my plants so far and is sending me suggestions for things they would like for next year. I sold over 100 tomato plants and almost 150 pepper plants out of my garage. When I ran out of plants, I had to turn away twice as many people compared to how many had already bought from me. Word spread like wildfire. Lucky for me, my mom and dad helped me out a lot with distributing the plants. So now I'm stuck between a rock and a hard place- do I expand into something bigger and test my entrepreneur skills or just keep working out of my garage/basement? I have started a pros and cons list but would like to hear some of my TEG friend's ideas! You are all great people and I trust and value your opinions greatly. I can't wait to hear from you!

Biggest Pro- Providing affordable plants
Biggest Con- Taxes and other Uncle Sam interferences

This is the plan so far if I were to do this-
I would be open from 3-8pm Monday through Thursday and 10am-8pm Friday through Sunday. I would only be open from the middle of April to the middle of June (depending on the weather). I would have all kinds of tomatoes, peppers, other basic veggies and fruits, basic annuals/perennials, "plant and take" (bring in a empty container and fill with dirt and plant here- take your filled container home. Leave the mess here!).

 

[digitS']

. . . "plant and take" (bring in a empty container and fill with dirt and plant here- take your filled container home. Leave the mess here!).

Why haven't I heard of doing this before?! I think this is a clever and fun plan, HPQ!

I have been filling out Schedule F for so many years, I don't see much of a problem with the federal taxes. I don't know how Minnesota handles things. In many states, local authorities cannot regulate direct from farm sales except as public health concerns. Sales tax may or may not apply to your sales. They may not apply to the sale of vegetable plants. I am confident that you have a "direct marketing" office in your state agriculture bureau. It is their responsibility to help farmers diversify and be successful.

You may not think of your business as farm sales but that's likely to be how it is defined. Greenhouses fall into the same category. Here's Wishing You the Best of Luck in Growing Your Business !

Steve

 

[NwMtGardener]

My only suggestion is to have a day or two when you're not open. Even though you're having limited hours, you may need a day just to prep, or do errands...etc. sounds good other than that!!

 

[catjac1975]

In Massachusetts there is no tax on food. I think this is true in most states.

. . . "plant and take" (bring in a empty container and fill with dirt and plant here- take your filled container home. Leave the mess here!).

Why haven't I heard of doing this before?! I think this is a clever and fun plan, HPQ!

I have been filling out Schedule F for so many years, I don't see much of a problem with the federal taxes. I don't know how Minnesota handles things. In many states, local authorities cannot regulate direct from farm sales except as public health concerns. Sales tax may or may not apply to your sales. They may not apply to the sale of vegetable plants. I am confident that you have a "direct marketing" office in your state agriculture bureau. It is their responsibility to help farmers diversify and be successful.

You may not think of your business as farm sales but that's likely to be how it is defined. Greenhouses fall into the same category. Here's Wishing You the Best of Luck in Growing Your Business !

Steve

 

[curly_kate]

You might want to look into zoning laws & such since you are selling out of your home. Depending on where you live (and what kind of neighbors you have), you might have some complaints about traffic & such. I really have no idea, since I've never done it before, but it seems like it's something the government would be sticking its nose into.

How did you spread the word about your plants? My driveway is an easement through my neighbor's property, so I don't think they'd be happy with the traffic back, but I've debated putting stuff on Craigslist & offering to deliver.

 

[catjac1975]

Neighbors can be terrible . It will surprise you who will complain about you. I would build slowly and really determine if you made any money. As you said you sold your extras.
I worked for 34 years as an art teacher. I decided I would never make my other love, plants, my work. I am set up to sell my original cultivars of day lilies this year. I am spending as little as possible, and working a lot at what I love. I will never make profit all important so that my love becomes work and stress. Of course you look very young so your goals will be different from mine. I want to keep it fun, not "work".

 

[HotPepperQueen]

I have some research to do regarding all the taxes and such. I'll be looking into it more tomorrow. As far as neighbors go, I really only have one who would be a problem. So far he hasn't complained about my chickens and it has been almost a year since i've gotten them. He also has a garden, so maybe I could use a peace offering such as half off plants or something to keep him quiet.

 

[digitS']

. . . maybe I could use a peace offering such as half off plants or something to keep him quiet.

There you go, HPQ, bribe him .

I hadn't really thought about zoning laws. Of course, it depends where you live . . . and your neighbors. Most of those "code enforcement" actions are neighbor-driven sorts of things.

I grow plants for the neighbors and gift plants. I'm a little disappointed with one neighbor, however. I have given him plants for a few years but the ones that I gave him in 2011 never showed up in his garden. In fact, only weeds showed up in his garden last year. I have to admit that I handed him the plants last Spring immediately before about the worst hailstorm I've ever seen! If he set those plants down where the hail could hit them - they were lost within minutes of arriving on his side of the fence. Still, I would have purchased some plants someplace and "faked it" rather than show such obvious lack of deceit (appreciation ) for a neighbor's gift.

Steve

oh, what did i find . . . 14 states tax food . . . i don't know whether that includes food plants but suspect many tax plants of all sorts. collecting & turning over sales tax doesn't have to be much of a bother.

 

[catjac1975]

Not everybody is plant crazy like we are. I have a friend that I go rose or flower shopping with a few times a year. I get home jump out of the car the plants are planted and watered by days end. Two weeks layer hers are still sitting waiting to be planted. Granted my soil is deep , lush, and easy to dig.

And yes food plants are considered food.

. . . maybe I could use a peace offering such as half off plants or something to keep him quiet.

There you go, HPQ, bribe him .

I hadn't really thought about zoning laws. Of course, it depends where you live . . . and your neighbors. Most of those "code enforcement" actions are neighbor-driven sorts of things.

I grow plants for the neighbors and gift plants. I'm a little disappointed with one neighbor, however. I have given him plants for a few years but the ones that I gave him in 2011 never showed up in his garden. In fact, only weeds showed up in his garden last year. I have to admit that I handed him the plants last Spring immediately before about the worst hailstorm I've ever seen! If he set those plants down where the hail could hit them - they were lost within minutes of arriving on his side of the fence. Still, I would have purchased some plants someplace and "faked it" rather than show such obvious lack of deceit (appreciation ) for a neighbor's gift.

Steve

oh, what did i find . . . 14 states tax food . . . i don't know whether that includes food plants but suspect many tax plants of all sorts. collecting & turning over sales tax doesn't have to be much of a bother.