business

Is PayPal a danger to writers?

This entry was posted in Commentary News Writing Writing as business and tagged business PayPal writing on by

A change in PayPal’s policies has blown up in its face. PayPal claimed the right to debit accounts $2,500 for “misinformation.” It would be the sole judge of what constitutes misinformation. In the face of widespread user fury, PayPal backed down, claiming “the language was never intended to be inserted into our policy.” Even with the removal of that language, it still has language financially penalizing some forms of expression.

People often disagree on facts. Some people make claims which others say are false. Non-fiction writers are in the business of asserting facts, and sometimes they claim that what’s “common knowledge” is wrong. Many writers get paid through PayPal, and sometimes it’s the only option the customer offers. If PayPal decides your article is wrong, it could take away a large fraction of a month’s income.
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Can freelance writers work in Lakeway, TX?

This entry was posted in Writing Writing as business and tagged business law writing on by

The Institute for Justice has launched a lawsuit against the city of Lakeway, Texas, over its heavy restrictions on home-based businesses. The business at the center of the controversy is a daycare center, but it got me wondering how freelance writers are affected. The city had nineteen criteria to be met, recently reduced to ten. I can’t find a full list, but the hints I’ve seen suggest that writers are OK in principle. Freelance writers don’t normally have customers come to their homes, make lots of noise, or emit clouds of toxic fumes.
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The state of business licensing for writers

This entry was posted in Writing Writing as business and tagged business law writing on by

Most writers are freelancers. In many places in the United States, you need the government’s permission, in the form of a business license, to be a freelance writer. Convincing the government to let you earn money writing generally requires paying money. This is a direct violation of the First Amendment’s guarantee of freedom of the press. You aren’t free if you need to pay for permission to earn a living. Don’t count on the courts to agree with you, though.

If you choose to incorporate, that’s a separate issue; this article applies only to sole proprietorships. By definition, incorporation involves registration with a government office.

Zoning can be another concern. In some places, people aren’t allowed to operate a business from their home, even if it has no impact on anything beyond its walls. You can try to stay under the radar, but a neighbor could snitch on you. I don’t cover zoning issues here.

Some states require a license to operate any kind of business, but freelance writing may or may not be considered a “business” for that purpose. To a large extent, governments realize it would be bad publicity to ban people from writing or fine them for lack of permission, but it can happen. I’ve seen people say on freelancer boards that their state required them to get a license.

Corrections and additional information in the comments are welcome.
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Sunk costs and opportunity costs for writers

This entry was posted in Writing Writing as business and tagged business economics writing on by

Economics is more personal than most people realize. Every choice about how to allocate your resources is an economic decision, and time is your most basic resource as a writer. You expend time on your work in order to get income. Sometimes you know exactly what you’re going to do today and what you’ll get in return. A lot of the time you face choices. Which of your customers should get your attention first? Should you put them aside for a while and look for new income opportunities? Should you keep working on a time-consuming project or give it up as a lost cause?

Two economic concepts are useful in making these decisions: sunk cost and opportunity cost.
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Barnes & Noble data breach

This entry was posted in Administrative and tagged Barnes & Noble books business on by

Barnes & Noble was hit with a cyberattack that may have exposed customer information, though they say payment data isn’t affected. Customers have reported being unable to access their Nook library. It looks as if either the breach made systems malfunction, or B&N has taken some servers offline while going after malware.

I mention this since some of you may have purchased The Magic Battery or Files that Last from Barnes & Noble. Hopefully all will be well soon.

California governor signs bill exempting freelance writers from AB-5

This entry was posted in Writing Writing as business and tagged business California writing on by

Governor Gavin Newsom of California has signed a bill exempting freelance writers and some other businesses from the draconian restrictions which state bill AB-5 had placed on contract work. Previously, AB-5 had limited writers to 35 articles a year to the same customer. That made it impossible, for instance, to contract for a weekly column.

California may be an insane place, but sanity prevails now and then.

Is Constant Content stiffing its foreign writers?

This entry was posted in Writing Writing as business and tagged business Constant Content scams writing on by

The news for Constant Content’s foreign writers doesn’t look good. This Reddit discussion, as of the time I’m writing this post, suggests that no one is getting paid. (The company is based in Canada, but it doesn’t treat US writers as foreign, and at least some of them are getting paid.)

Constant Content is months behind in paying these writers. Its website still doesn’t acknowledge the existence of a payment problem. Its FAQ contains blatantly false information, still claiming “Payments are made through Paypal.” It’s hard to escape the conclusion that the company’s only guiding principle is what it can get away with.

Constitutional challenge filed against California AB-5

This entry was posted in Writing as business and tagged business California on by

The ride-sharing service Uber and the courier services company Postmates have filed a lawsuit to keep California’s AB-5 from going into effect. The complaint says that the legislation is “irrational and unconstitutional statute designed to target and stifle workers and companies in the on-demand economy.” The impact on contractors “irreparably harms network companies and app-based independent service providers by denying their constitutional rights to be treated the same as others to whom they are similarly situated.”

As I noted last week, this legislation is very bad news for freelance writers in California. Hopefully the courts will strike it down.

California’s war on freelance writers

This entry was posted in Writing Writing as business and tagged business California regulation on by

California’s AB-5, which I wrote about earlier, is now law. This is bad news for freelance writers in the state. It’s already cutting into writers’ earning ability. People are already losing work. Some businesses have stopped hiring California writers.

The bill’s supporters in the legislature pretend it’s for the freelancers’ own good. They shouldn’t be working in such low-paying jobs! Certainly some writers work for sadly low rates. It’s the best choice for some people, especially ones with limited mobility or other handicaps. Some of them have few alternatives and need the money to break even. Others love writing and would like to make some money at it, even if it’s not a lot.

But influential unions can’t organize self-employed people. It’s hard to ensure that they pay all their taxes. Uber and Lyft drivers compete with taxis. Those are the real reasons for restricting self-employment.
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