2. Business-to-Business Exemption
Question 6/12
6. DOES THE WORKER HAVE AN INDEPENDENTLY ESTABLISHED BUSINESS THAT IS SIMILAR TO THE WORK PERFORMED FOR YOUR COMPANY?
- The worker must have already established a business before entering into contract with your company and must continue to run that business for the benefit of other clients.
- The worker’s business must also be performing the same or similar work as the work the worker is performing for your company.
- Below are factors that show that a worker has an independent business:
- The worker’s business is formed as a legal entity, such as a corporation, LLC, or partnership.
- The worker has the appropriate and required licenses and permits to operate such a business, such as having a business license.
- The worker is advertising its work to the public and the advertised work is similar to the work being performed for your company.
- The worker is routinely providing or offering to provide its work to current or potential customers.