Curious about common pitfalls in running your salon or spa? This episode of "The Business of Style" podcast, called "Risky Business," has got you covered. Hosted by Greg Robins, this episode dives into the nitty-gritty of staying on the right side of the law and avoiding costly mistakes. **Episode Overview** Greg discusses three hot topics that often trip up salon and spa owners. Let's break them down: 1. **Renting vs. Employment**: Are you clear on the difference between renting space to independent contractors and treating them like employees? It's vital to get this right to keep the Canada Revenue Agency (CRA) off your back. 2. **Employment Insurance (EI) for Hair Professionals**: Did you know you still need to pay EI for your hairstylists and barbers, even if they rent space from you? This little-known rule can save you a lot of headaches. 3. **Commission Pay Deductions**: Think you can deduct business costs from your staff's commission pay? Think again. Greg explains why this practice can land you in hot water. **Renting vs. Employment** Picture this: you're a landlord with a tenant. You wouldn't tell them what hours to keep or what furniture to use, right? The same goes for your salon or spa renters. They're independent contractors, and your job is to provide a space, not to micromanage. Keep it professional and hands-off to avoid any CRA issues. We have a handy guide in our members area to help you get this right. **Employment Insurance for Hair Professionals** Here's a curveball: even if your hairstylists and barbers rent a chair from you, you still need to pay their EI. Surprised? Many are. This rule doesn't apply to skincare or other beauty services, but if it involves hair, you're on the hook. Better safe than sorry, right? **Commission Pay Deductions** Let's clear up some confusion: you can't deduct business costs from your staff's commission pay. So, if a stylist charges $300 for a service, you pay commission on the full $300, not on $270 after subtracting product costs. It's the law, and following it keeps everyone happy and your business in the clear. If you're a BeautyCouncil member, don't forget to tap into our resources. Need a quick consultation or some legal advice? We've got you covered. Not a member yet? Join us today and get the support you need to thrive.