Bria Studios LLC
Booth-rent classification was the trickiest part. File.Business templates make the renters clearly independent contractors not employees. I sleep better knowing the IRS would see it the same way.
Bria Thompson, Founder · $185K revenue · 3 booth-renters · Formed 2024
The situation
Bria opened a hair salon in Chicago with three other stylists as booth-renters. Misclassification of booth-renters as employees would trigger major payroll tax penalties.
What File.Business did
Formed Illinois LLC. Created booth-rent agreements that meet IRS independent-contractor classification (Form SS-8 analysis). Set up state tax accounts. Obtained Illinois cosmetology establishment license. Coordinated retail product sales tax compliance.
The outcome
Three booth-renters operating as independent contractors. Year-1 revenue: $185K including retail product sales. Zero classification disputes.
Key facts
| Industry | Beauty / Salon |
|---|---|
| Entity structure | Illinois LLC |
| Year formed | 2024 |
| Scale at story point | $185K revenue |
| Team | 3 booth-renters |
About this case study
This is a representative composite case study based on patterns we see across many similar customers. Names and identifying details have been changed. The structure, services, and outcomes described are typical of customers in this segment.
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