Profit sharing vs Fixed salaries
If a person owns a sole proprietorship, can his business be modelled to only pay out fixed shares in its profits to its workers, who may not be like regular employees but more like contractors or parters, rather than paying them fixed salaries. The proprietorship has just started out in its venture and its financial base is not strong enough to enable it to make fixed salary payments.
I would like to know what the legal implications are for the proprietorship in this scenario and how it should proceed forward. Kindly provide your inputs.
u/CourtApart6251 — 8 days ago