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subcontracting labor?


Starting a lawn care business.

How to start a lawn mowing business, lawn care business, or landscaping business. If you are starting a lawn care business, ask your questions here.
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Old 08-31-2009, 03:19 PM
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Default subcontracting labor?

Is it even possible? I need a little extra help tomorow and maybe 2 days per month. Can I subcontract labor in California? if so whats the proper way to do this?
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Old 08-31-2009, 10:13 PM
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Yes it is very possible. But first you need to understand the difference in an employee and a subcontractor/ self employed person.

With an employee, you are paying them hourly, paying taxes on them, supplying his tools, and giving them direction on how to complete a job.

With an independent contractor, you can pay them by the hour, or by the job, but you are not paying taxes on them, they are supplying their own tools, and you can tell them the job you want done, but you cant tell them the direction they need to take to complete the job.

Also, they should have their own business lic. and proper insurance otherwise they are a liability on your part.

Here is some info from E.D.D to help you out.
http://www.dir.ca.gov/dlse/faq_indep...contractor.htm
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Old 08-31-2009, 11:30 PM
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So I could not allow a sub contractor to use my equipment to get a job done? That stinks.
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Old 09-01-2009, 07:37 AM
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Would getting staff from a local temp agency help?
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Old 09-01-2009, 08:39 AM
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Well here is the story. I have one person who starting today I am giving more work. Normally I maybe work him for 3 hours a month, I pay him in cash and we are both happy. Now I will be working him at least every other week. I have my EIN and yesterday my license was approved and given to me but I do NOT have workman's comp so I was hoping to call him a sub rather than an employee but it doesn't look like I can. I pick him up and drop him off, he uses my equipment and works under my orders so clearly he dose not fall under the sub category. Today I am putting him in charge of an entire job. I am going to sit around the site and make sure everything gets done rite and be able to answer questions if necessary but this is basically training to take over the job. My dream is starting to come true where I can just pay someone to do the work and enjoy the checks coming in. It looks like however I will have to go get the comp insurance and just do everything properly.
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Old 09-02-2009, 08:00 AM
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It looks like however I will have to go get the comp insurance and just do everything properly.
Keep us posted on how all this is going because I am sure there are others out there in the same boat who are unsure of what to do in this kind of situation.
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Old 09-02-2009, 08:57 AM
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I will. I may have to just hold everything off though. I have to find out about the insurance first but I am not sure I can afford it and wages at this time. I can afford one or the other but without both I am taking to big of a risk.
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Old 09-02-2009, 07:00 PM
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Read the thread earlier and just thought about this. If the individual using your equiptment is doing so under some sort of rental or lease agreement then that should satisfy that issue...right??

You would just have that figured in as a part of the equation. For that matter**if you are going to pursue the labor as subcontract and the individuals do not have their own insurance**you might find a blanket liability policy and again charge the sub via agreement for a portion of the premium on a per job worked basis.

Dont know how that works in your state but certainly the avenue of approach I will review when time comes.
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