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I have been approached by a pharmacy that wants private labels.  I've never done a private label before in 20 years as I really just do retail and not wholesale.  I know my candle company name needs to be somewhere on the label ... other than that, I have searched the forum and may not be using the correct terms to find what I'm looking for.  Any laws or things I need to know before diving into this or declining

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2 hours ago, CorgiCaper said:

I have been approached by a pharmacy that wants private labels.  I've never done a private label before in 20 years as I really just do retail and not wholesale.  I know my candle company name needs to be somewhere on the label ... other than that, I have searched the forum and may not be using the correct terms to find what I'm looking for.  Any laws or things I need to know before diving into this or declining

 

Not really.  Usually a retailer just want to be able to keystone the price.  Meaning double the wholesale cost.  Other than that nothing special.

 

Are they doing wholesale or consignment?

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The manufacturer, in this case you, needs to be printed somewhere on the label. That is usually done in small print on the warning label. Along with the city and state of production. 

 

For example:

Manufactured by

CorgiCaper

Atlanta, GA

 

 

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Thank you for the information both of you 😊  They don't want the candle name to be "XX Pharmacy" (that's not the name of the pharmacy, just an example).  What I'm hearing from them is that they just want a scent name on the label with my manufacturing info at bottom of label OR they want to call it a different candle line (for instance ABC Candle Company), but I would be making them.  

Is that something that can be done legally?  They decide to call their candles "ABC Candle Company" and I make them?  Or do they need to stick with the name of their pharmacy on the candle label (of course my manufacture information would be on the label)

The prices have already been worked out for wholesale.  I'm just making sure I have a real good understanding of what my limitations are as far as labeling is concerned.  

Sorry to ramble and I appreciate both of you for chiming in to help 😊

 

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That is interesting. I’m wondering could you put a name on the candle without anyone having legal ownership of that name?  I would think not. Whatever name is chosen to be the candle company name, I would think someone would need to file a dba and follow protocol for it to be a legitimate business name. 

 

You could just leave a company name off like you said. That sounds easiest. Then put on the warning label:

 

Created/Manufactured for “XX Pharmacy”

by CorgiCaper

Atlanta, GA

 

 

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36 minutes ago, Sebleo said:

That is interesting. I’m wondering could you put a name on the candle without anyone having legal ownership of that name?  I would think not. Whatever name is chosen to be the candle company name, I would think someone would need to file a dba and follow protocol for it to be a legitimate business name.

Just a wild guess, given the number of new candle sellers at craft shows, Facebook, flea markets, etsy type marketplaces, etc. plenty of people do not have a prior legit biz name. So long as they’re not using someone else’s name it will likely go unnoticed until someone else uses that name and claims it.  Doesn’t make it right, but there’s not enough resources to police them. Plus, these requirements vary by state... 

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15 minutes ago, TallTayl said:

Just a wild guess, given the number of new candle sellers at craft shows, Facebook, flea markets, etsy type marketplaces, etc. plenty of people do not have a prior legit biz name. So long as they’re not using someone else’s name it will likely go unnoticed until someone else uses that name and claims it.  Doesn’t make it right, but there’s not enough resources to police them. Plus, these requirements vary by state... 

 

That is true. But, if it were me, I wouldn’t want to go down that road. I wouldn’t want the potential hassle, possible embarrassment, and confusion for customers if I had to change the name down the line. 

 

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I've been manufacturing for 20 years, but have done strict retail.  I love getting my candle names trademarked through USTPO.  I emailed my compant liability policy to get it spelled out in writing what I can and cannot do regarding wholesale etc

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Honestly, I'm really up in the air about whether I want to entertain wholesale at all.  But, I need to do my "due diligence" because I would never do anything underhanded.  I wasn't thinking anyone was suggesting underhanded either.  I just want to do it the right way.  Thank you all for your input.

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Wholesale can be a fine revenue stream.  I wholesale plenty of “naked” products.  Once paid for it is all out of my hands.

 

I also wholesale private label.  So long as my name is on the panel where it legally belongs when it goes out the door, the rest is not my responsibility. Some label over, some peel and replace, some leave as-is.  Worry about what you can control, and if the WS agreement is profitable enough. 

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On 1/3/2019 at 10:15 PM, CorgiCaper said:

I have been approached by a pharmacy that wants private labels.  I've never done a private label before in 20 years as I really just do retail and not wholesale.  I know my candle company name needs to be somewhere on the label ... other than that, I have searched the forum and may not be using the correct terms to find what I'm looking for.  Any laws or things I need to know before diving into this or declining

I'm not a lawyer so this is not legal advice. I see candles marketed in stores in this manner all the time. Usually you just see something like "Manufactured by Such & Such Candles, 123 Elm Street, Anytown, U.S.A. 55555" in fine print on the front, back or bottom label. I can't imagine it would be a big deal. It seems to be a very common practice.  No charge for this advice, either.

Edited by Quentin
Typo

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If they want to slap a label on the candles with "ABC Candles" instead of their pharmacy name because they want to have a line of candles called ABC Candles that is their business. That is typical of selling candles private label. As long as your warning label is on the bottom of the candle and states you as the manufacturer they can use whatever name label they want. There are guidelines for labeling you can look at on NCA's website.

Edited by Candybee
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On 1/20/2019 at 5:25 PM, Candybee said:

If they want to slap a label on the candles with "ABC Candles" instead of their pharmacy name because they want to have a line of candles called ABC Candles that is their business. That is typical of selling candles private label. As long as your warning label is on the bottom of the candle and states you as the manufacturer they can use whatever name label they want. There are guidelines for labeling you can look at on NCA's website.

I think you summed it up, @Candybee, at least in the real world. If I had this same opportunity come along, I'd jump on it. :2cents:

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On 1/6/2019 at 3:07 PM, Sebleo said:

 

That is true. But, if it were me, I wouldn’t want to go down that road. I wouldn’t want the potential hassle, possible embarrassment, and confusion for customers if I had to change the name down the line. 

 

You've heard it said, "It's easier to ask for forgiveness than to ask for permission".;)

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12 hours ago, CorgiCaper said:

Thanks for all of your responses 😊

I've got it all figured out 😎

 

Anything special?  Anything to avoid?  What did you end up doing?

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For me to ghost label.  Have the name of the pharmacy on the label as the business name and at the bottom of the label... mfg by my company name.  They cautioned that letting a business give themselves a line of candles without registering as a business under that candle line would cause a breach of insurance contract in Maryland.  

So, if they wanted to call their candle line "Anchor Candles" it is my responsibility to get a copy of their business license that shows they obtained a business license for such candle company before I create a line of candles called "Anchor Candles" for them.   To hand them candles with no label on them and a label on the bottom that says mfg by my company name and the normal warning sticker for burning instructions would VOID my insurance completely with no recourse if there are any claims.  So, I will never just do any label unless I do my "due diligence" first.  That's what Iearned 😊

Edited by CorgiCaper
Incomplete sentence

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14 hours ago, CorgiCaper said:

For me to ghost label.  Have the name of the pharmacy on the label as the business name and at the bottom of the label... mfg by my company name.  They cautioned that letting a business give themselves a line of candles without registering as a business under that candle line would cause a breach of insurance contract in Maryland.  

So, if they wanted to call their candle line "Anchor Candles" it is my responsibility to get a copy of their business license that shows they obtained a business license for such candle company before I create a line of candles called "Anchor Candles" for them.   To hand them candles with no label on them and a label on the bottom that says mfg by my company name and the normal warning sticker for burning instructions would VOID my insurance completely with no recourse if there are any claims.  So, I will never just do any label unless I do my "due diligence" first.  That's what Iearned 😊

 

There is a good example of this on the NCA website. If I remember correctly you state something like this: "made exclusively for shop name by your biz name"

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