What Classified Someone as a "Hobbyist"?

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Discussion Overview

The thread explores the concept of being classified as a "hobbyist" within the context of Pampered Chef consulting. Participants share their personal experiences and definitions related to the frequency of show submissions and income consistency.

Discussion Character

  • Opinion-based
  • Anecdotal

Main Points Raised

  • One participant, identifying as a consultant, mentions submitting one show per month and questions if this makes them a hobbyist due to limited time commitment.
  • Another participant shares their view that definitions of a hobbyist may vary depending on who you ask, noting that the IRS looks for profit within three years to classify a business.
  • Several users mention that having consistent income, even if modest, could indicate a part-time commitment rather than a hobbyist status.
  • One participant expresses that missing a month of submissions is acceptable and emphasizes the importance of submitting at least $150 in sales to maintain progress.
  • Another participant reassures that there are no severe consequences for not submitting a show in a particular month and highlights the flexibility of running a Pampered Chef business.

Areas of Agreement / Disagreement

Views differ on the definition of a hobbyist, with some participants suggesting that consistent income is a key factor, while others emphasize personal circumstances and flexibility in submissions.

Contextual Notes

Participants share their experiences and perspectives based on their individual situations as Pampered Chef consultants, reflecting a range of approaches to managing their businesses.

Who May Find This Useful

Consultants who are navigating their commitment levels and definitions of hobbyist status may find the shared experiences relevant to their own situations.

BadGirl
Gold Member
Messages
175
I usually submit one show per month, sometimes from a cooking show...sometimes from a catalog show. My sales for each submittal is usually above $350. At this point in time, I really don't want to put too much time in to this business, seeing as I don't have a lot of spare time to appropriately devote to it.

Does that make me a hobbyist?

Another thing: it looks like I'll be unable to submit a show for the month of September. Will I burn in hell for it? Will that make me go inactive? What are the ramifications of not submitting a September show.

For what it's worth, I already have two shows book for October.
 
I would think it depends who you are asking. Your Director or HO may have a different definition than the IRS. My understanding (and I'm no expert) is that the IRS wants to see a profit within 3 years to consider your business a real business.

From a consultant perspective, I would personally think of a hobbyist as someone who doesn't have a consistent income each month. If you consistently have an income every month, even if it's $200-300, I'd consider that part-time.
 
You will not burn in hell , yes you would be called a hobbyist and that's fine
you have 6 months of not putting in 150.00 in sales then you would have to rebuy your kit, So it's ok to miss a month Iwould atleast try to get in 150 each month ........ Catalog shows really help at least you know a show is going in That's the beauty of Pamperedchef
 
chef131doreen said:
You will not burn in hell , yes you would be called a hobbyist and that's fine
you have 6 months of not putting in 150.00 in sales then you would have to rebuy your kit, So it's ok to miss a month Iwould atleast try to get in 150 each month ........ Catalog shows really help at least you know a show is going in That's the beauty of Pamperedchef

This is true. but if you skip 2 months (less than $150 in sales per month) you lose your lifetime sales toward your 2% raise. Sounds like you are doing over $300 consistantly so you are on your way. Don't lose your progress if you can help it.

While it's a GOOD idea to ALWAYS submit $150+ every month, nothing will happen if you skip one month. ...well, except you won't get a paycheck for that month.
 


Hi there! It sounds like you have been successful with your submissions and have been able to balance your time with your other responsibilities. As a Pampered Chef consultant, there is no set requirement for how many shows you must submit each month. You are free to run your business at a pace that works for you. Whether you consider yourself a hobbyist or not is up to you, but it's great that you are still able to generate sales with your submissions. As for not being able to submit a show for September, it's totally okay! Life happens and sometimes things come up that prevent us from being able to do everything we want. There are no consequences for not submitting a show in a particular month. Just be sure to communicate with your customers and potential hosts about why you won't be able to submit a show in September and offer to work with them in October. It's great that you already have two shows booked for October and I'm sure you will continue to have success with your business. Keep up the good work!
 

Frequently Asked Questions

What is a "Hobbyist" in the context of direct sales?

A "Hobbyist" in direct sales refers to a consultant who primarily engages in the business for personal enjoyment rather than as a primary source of income. They may sell products occasionally, often to friends and family, without a strong focus on building a large customer base or achieving significant sales goals.

How can I tell if I am a Hobbyist?

If you find that your primary motivation for selling is to enjoy the products, socialize, or earn a small income rather than to build a substantial business, you may be classified as a Hobbyist. Additionally, if you spend limited time on marketing or recruiting and do not actively pursue sales targets, this further indicates a Hobbyist status.

Are there any benefits to being a Hobbyist?

Yes, being a Hobbyist can offer several benefits, such as flexibility in how much time you dedicate to the business, the opportunity to earn discounts on products you love, and the chance to connect with others who share similar interests. It allows you to enjoy the experience without the pressure of meeting strict sales quotas.

Can a Hobbyist transition to a more serious business approach?

Absolutely! A Hobbyist can transition to a more serious business approach if they decide to invest more time and effort into their direct sales activities. This may involve setting sales goals, actively recruiting new team members, and participating in training and events to enhance their skills and knowledge.

What are the potential downsides of being a Hobbyist?

One potential downside of being a Hobbyist is that the income generated may be minimal, which may not justify the costs associated with running the business. Additionally, Hobbyists may miss out on opportunities for growth, networking, and the benefits that come with being more engaged in the direct sales community.

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