While starting your own brand of cosmetics and beauty is an exciting adventure, there is also the legal side to consider.
If you are planning to private label and sell beauty products you should be aware of the governing bodies relating to selling your private label range within your country and internationally. Below information is based on Australian Businesses and links. It is your responsibility to research the governing bodies within your country.
We highly recommend you consider the following prior to commencing your private label business.
- Registering and/or being aware of the appropriate governing bodies. For example in Australia – ACCC and NICNAS. (See information and links below). If you are private labelling products that are considered Therapeutic – Please visit TGA for more information.
- Seek independent legal and financial advice for your business set up and requirements in your country of operation.
- Secure your Logo Intellectual Property to ensure you are not impeding on others brands and trademarks. Registering a business or company name or even a website, does not secure your IP or right to use that name. More information for Australian based businesses at IP Australia.
- Once you place your labels and logo on products, you in fact, take on the legal responsibilities for the product and the information provided.
Therefore, you should consider Product Liability Insurance.
Please visit National Industrial Chemicals Notification and Assessment Scheme – NICNAS site for further details.
The following is an exert from the NICAS site regarding labelling.
Cosmetics – Your Online Guide
Labelling of cosmetics
The ACCC enforces the labelling of cosmetic products under the Competition and Consumer Act 2010.
There are mandatory labelling requirements for the labelling of cosmetic products manufactured in, or imported into, Australia. These requirements are contained in a consumer product information standard in the form of the Competition and Consumer Act 2010, (the mandatory information standard) made under the Competition and Consumer Act 2010.
All suppliers – including manufacturers, importers, distributors and retailers – must comply with the mandatory information standard, which is enforced by the ACCC. Non-compliance with the mandatory information standard is an offense under the Competition and Consumer Act 2010, and may result in fines.
The mandatory information standard specifies that cosmetic products be labelled with a list of ingredients so that consumers are able to
- Identify ingredients to which they may be allergic to or which may cause an adverse reaction; and
- Compare various cosmetic products.
The ingredients of a cosmetic should be listed on its container or on the product itself if the product is not packed in a container. The mandatory information standard also sets out certain requirements as to how the ingredients are to be listed.
A copy of the mandatory information standard has been included in the ACCC publication, ‘Product information – A mandatory standard guide: cosmetics and toiletries – ingredient labelling’, available from the ACCC www.accc.gov.au.
More articles and information will be added shortly.