I have a client opening  a store up this month and is renting shelve space for a product that he will not keep the revenue of sales for, however his concern is the items will sold from his store front  and deposits will be made to his business account.  These sales will ultimately be given to the owner of the products and my client will only keep a small amount for the rental of the shelving space.  I have read this may be called slotting, however, do I issue a 1099 to the vendor for sales ?  How will I report these sales on my clients  schedule C?  They will be sales on his balance sheet, however, he did not purchase product nor did he keep profits.  I was considering 1099 MISC as other income ??

Any thoughts?