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Question by pspahn · Jun 29, 2020 at 02:00 AM · 3d

Revenue limits and small business

If I develop an app for a small business that employs me that will contribute <$200k to revenue, but the business as a whole is >$200k, do I consider all revenue from that business or only the revenue from the app?

Likewise, if I then sell this app to other similar small businesses, do I consider the total revenue from their businesses or just the revenue I generated by selling the app?

For example, I build an app and it generates $10k in extra revenue for a business that has $100k in annual revenue. Then I sell this app to another business for $1k that has annual revenue of $10MM. What license would I need to buy?

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avatar image eye776 · 11 hours ago 0
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  1. If you're an employee the employer's revenue before taxes counts.

  2. If you are an independent contractor your own revenue before taxes counts.

If you sell the app on the side as an independent it's the same as 2.

But if you're an employee hired under a work for hire contract, you might get into bigger legal trouble if our employer finds out you're selling their IP to other businesses on the side.

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