Business Owner vs Self Employed

who-are-you

The major difference between self-employed vs small business owner

Self employed entrepreneurs are those who do business as a sole proprietor or independent contractor or are in part-time business for themselves. They do not have employees and do not hire contractors in most cases. Most direct sales companies fall in this category and they file a W-9 form with the IRS at the end of the year.

Small business owners are those who own a business and hire employees, contractors, or both. They have Employer Identification Numbers (EINs) in addition to their personal Social Security Numbers that define their company as a business and not an individual earning self-employed income without hiring employees.

Many people start as self-employed entrepreneurs and grow into small business owners over time.

 

 

Published by Tiffany Parker

Life has taken me in a direction I would have never picked for myself. I was born in a land that they described today as a war zone and raised by the strongest baby boomers of their generation. Graduated from a school of hard knocks a year early and fell into the arms of a transformed man. Found God then turned my back and crawled back when I realized I couldn’t do it by myself. Married a man who pulled out my gifts and helped me strengthen my talents and we introduced our version of ole blue eyes. We started selling coffee but this time without the siren on our backs and created our own brand of coffee that we occasionally sale at our community events. My life story is a secret but if you follow closely you just may see me.

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