Employer-Employee Relationship
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How do I Demonstrate an Employer-Employee Relationship if I own the Company?

How do I Demonstrate an Employer-Employee Relationship if I own the Company?

If you own your company you may be able to demonstrate that an employer-employee relationship exists if the control of your work is exercised by others.  For example, if your company has a board of directors, preferred shareholders, investors, or other factors that show your organization has the right to control the terms and conditions of your employment (namely the right to hire, fire, pay, supervise or otherwise control the terms and conditions of your employment), then you may be able to meet this requirement. Some of the evidence you may submit to demonstrate the distinction between your ownership interest and the right to control your employment includes:                

  • Term Sheet
  • Capitalization Table
  • Stock purchase Agreement
  • Investor rights Agreement
  • Voting Agreement
  • Organizational documents and operating agreements

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