Nonemployer Firms

Nonemployer firms are businesses that have no paid employees other than the owners of their businesses, which may often be structured as sole proprietorships or partnerships. Some nonemployers are gig-workers who may be earning income to supplement their full-time income, such as rideshare drivers or craftspeople selling merchandise through online marketplaces. Many nonemployer firms, however, are the primary jobs for their owners. In fact, Small Business Credit Survey data show that most nonemployer firms are legally incorporated and many have intentions of adding employees at some point.