Taking Care of Business in 2008!
by Melody Fee
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As home-based professionals, we've come a LONG way this year. Industry suppliers are taking BIG notice of your sales and production and your professional accomplishments in the industry!
Last year, in December, I wrote an article which stated one of OSSN’s goals for 2007 was to work side by side with OSSN Allied Suppliers to help them build more successful business relationships with our members. One of those objectives was to help these suppliers IDENTIFY home-based professionals and communicate with them more effectively. In that article, there were several paragraphs that outlined the different industry codes home-based agency professionals were using to be recognized by industry suppliers. We wrote that outline because we knew that so many suppliers were in need of clarification of what each industry designation required before an “agency” could be issued one code or another. We realized that there were suppliers that were really working hard to separate the serious agents from the “hobbyists,” and it was a big concern that needed to be addressed in 2007.
We still see that suppliers are working hard to identify YOU, the home-based seller of travel. In addition (and this is very important), suppliers NEED to know that new agencies who are registering with them are establishing their business legally and meeting the registration criteria their respective states have established. If you are working directly with suppliers and you are using an IATA-based TRUE code, OSSN requires that you prove IN WRITING you have met the state registration requirements if your state has established these laws. However, we came across many CLIA agencies this year who were issued their CLIA numbers (new and renewing) and were operating without the state registrations. Unfortunately, CLIA presently does not ask agents to submit proof that they have met the registration laws.
One agent in particular contacted us AFTER he had been fined more than $1,000 by the state of Florida for NOT being in compliance, even though he thought he was operating legally with his CLIA number.
Issuing a code to agents which sets them up to do business and accept client funds without any written proof of legal registration, as CLIA has been doing for years, is ASKING for trouble. It is also a misdemeanor in some jurisdictions, with fines up to $5,000 for operating without proper registration. We get calls from agents every year who tell us they have had their CLIA number for years and have NEVER registered with their state. This is operating illegally in those states, and it puts an agent at risk for fines and other charges against them in their respective states.
Suppliers need to be able to COUNT on the fact that, IF agents contact them to set up accounts and HAVE VALID INDUSTRY CODES, the agents HAVE PROVEN in writing to the "issuing entity" such as IATA, CLIA, or OSSN that they have met the state laws.
OSSN has more than 7,000 active members presently. More than 2,000 of these members are now recognized by suppliers by using their IATA-based TRUE codes. Each year, these agents have to prove to OSSN and IATA that they have met the state travel promoter laws in their state by submitting a legal copy of their registration to OSSN. They also have to prove that they have a professional business bank account by faxing us actual copies of recent bank statements showing that the business name on that account agrees with the business name we send to IATA to secure their IATA-based TRUE code. So, suppliers can know that these locations have met all legal qualifications in their states.
As an agent, you may feel that it is a bit of a hassle to send this registration proof to OSSN EVERY year. However, by making this a requirement, we KNOW that we are also assisting you to build credibility among suppliers that you want to establish relationships with.
As you lay out your plans for 2008, you have so many business decisions to make! Your first one needs to be to take care of legal registrations (including state AND municipal, if they apply to your city). Can you operate from home legally (in your county) without getting a business license for the city or county in which you reside? Many agents are NOT aware of local laws that may affect them. It only takes a few phone calls to find out. MAKE SURE you document the name of the person and the office that you speak with. As you establish new accounts with suppliers in 2008, along with your agency information and your ID certificate (TRUE, IATA, or CLIA), ALSO send them a copy of your state registration to prove that you have taken the legal steps to register if required.
Even with an economy that is challenging, tourism is booming! The sky is the limit and your PROFESSIONAL SERVICES are in demand. Make sure that you are always ready to "open your doors" to new business and new adventure in the year ahead!
As an association, it is our goal to move forward building YOUR credibility! We have spent many hours on the phone with suppliers who wanted to know more about how to capitalize on the home-based professional in the year ahead. We know that they, too, are looking forward to continued sales growth due to YOUR business in 2008.
We hope each of you has learned and enjoyed the benefits and services we have provided during this past year, and we appreciate your support of OSSN. Here's wishing ALL of you a VERY prosperous new year!
Melody Fee serves as vice president of the Outside Sales Support Network. She may be reached at info@ossn.com.
(Credit: OSSN)
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