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Holder takes 12.5% max HP damage each turn. If the attacking Pokemon is not holding an item and hits the holder with a contact move, Sticky Barb will attach to them, even if the original holder has Sticky Hold or Multitype, unless the attacker has a Substitute active when attacking.
In short, Sticky Barb isn't a very useful item. If the holder is sent out for one turn, the use of Sticky Barb will literally become painfully obvious after the on-screen message reveals the damage taken. As a result, not only does this hurt your Pokemon (especially in conjunction with entry hazard damage), but it would also make the opponent suspicious as to why it's being held. The only Pokemon that Sticky Barb would see actual use are on Trick users, but even then, items such as the Choice items and even Lagging Tail are better choices to cripple with.