To be a sole trader, a partner or a member of a limited liability partnership, you must be self-employed - and registered as such with HM
Revenue & Customs. This does not mean that you can't also do other work as an employee, but the work you do for your business must be done
on a self-employed basis.
If you are not sure whether this work counts as self-employment, ask yourself these questions:
Do you present your clients with invoices for the work that you do for them?
Do you work for more than one client?
Are you responsible for the losses of your business as well as taking the profits?
Can you hire other people on your own terms to do the work that you've taken on?
Do you have a lot of control over your hours and place of work?
Have you invested your own money in your business or partnership?
Do you use your own tools or equipment for your work?
Do you have to correct unsatisfactory work in your own time and at your own expense?
If you can answer "yes" to most of these questions then you are probably self-employed already, and should let HM Revenue & Customs know
this immediately if you have not already done so. You may be fined £100 if you fail to register within three months of becoming self-employed.
