Cookie Notice
By accepting all cookies, you ensure the best possible user experience. Read more about cookies and their use or change your cookie settings.

What does light entrepreneurship mean?

Truster
·
March 1, 2024

Light entrepreneurship, what does it mean? Light entrepreneurship is a clever form of self-employment. A light entrepreneur works in the same way as a self-employed person, but without the need to own a business, and can employ themselves without the need for a business ID number and paperwork. Invoices are sent to the light entrepreneur's client via a billing service such as Truster.

Light entrepreneur is not yet an official term, at least not yet. Light entrepreneurship is often described as a form of self-employment in between self-employment and wage employment. However, this new way of working has already found a well-established place in Finnish working life. It is estimated that there are already hundreds of thousands of light entrepreneurs in Finland, and their popularity continues to grow.

How is a light entrepreneur different from an entrepreneur?

There may be almost no difference between the work history of a light entrepreneur and that of a self-employed person. Both are likely to have the active lifestyle of an entrepreneur, whether their work is full-time or part-time. The difference, of course, is that a light entrepreneur does not have to worry about paperwork, taxes and obligations. A light entrepreneur does not invoice his customers in his own name, but through a billing service.

From the authorities' point of view, the most important difference is that the light entrepreneur does not have a business ID number or his own business. A light entrepreneur cannot benefit from the tax reliefs available to self-employed persons. It is therefore worth considering setting up a company as the invoicing increases.

Is the light entrepreneur employed?

Formally, you can think of the light entrepreneur as being in an employment relationship with the billing service, because the billing service pays the light entrepreneur's salary. The light entrepreneur also pays taxes in the same way as an employee. In reality, however, the light entrepreneur lives, thinks and works like an entrepreneur. The authorities may also interpret a light entrepreneur as an entrepreneur - especially if he or she works full-time.

For whom and in what situations is light entrepreneurship suitable?

For anyone! All you need is a touch of entrepreneurial spirit. Maybe you want to see if there's a demand for your business idea, start a business while you're still studying, get a little extra time on the side or just try out the entrepreneurial lifestyle.

Getting started requires nothing from you, and the risks are zero. Continue as a light entrepreneur for as long as you're interested, and quit when you feel like it. That's why light entrepreneurship is such a light and flexible way to find employment.

How do I know whether I should become self-employed or a light entrepreneur?

Light entrepreneurship is best suited to selling services, and for relatively small-scale or occasional work. If you plan to employ yourself full-time for a longer period, it may be wise to start your own business at some point. Light entrepreneurship is also not suitable for selling goods or running licensed businesses such as restaurants. Note that you can, however, bill a wide range of healthcare jobs through Truster.

How to become a light entrepreneur?

Very easily. Just register at Truster for the light business billing service. Unlike setting up a business, there are no start-up costs, no red tape and no forms to fill in. You can skip the boring and tedious work and start getting clients and work right away. Once the job is done, you simply bill your clients through our easy-to-use mobile app.

Do I need a company number?

You don't need to! That's why we're here for you. Once you've completed the job, you'll invoice your client through our billing service. We, in turn, pay you your salary. So in a sense, you're working with us, but you have complete freedom to decide your own work and schedule. It's a pretty good deal, isn't it?

Please note, however, that without a VAT number you cannot make tax deductions for your purchases. If your business activities increase, it may be more profitable to become self-employed.

How does the invoicing service work?

The idea is that the billing service receives a commission for forwarding invoices to its customers and taking care of the obligations of the light entrepreneurs. Many invoicing services charge a percentage of the light entrepreneur's salary.

Try Truster for a start with just a 3.99% service fee. So you only pay the service fee when you send an invoice for the work you do. If things start to pick up and light entrepreneurship is right for you, you should definitely switch to Truster's monthly service package. Then you only pay the monthly fee, nothing else.

The benefits of light entrepreneurship in a nutshell

As a light entrepreneur, you don't need start-up capital, a business ID or your own company, and you don't have to apply for a job or sign an employment contract. You can easily sell your skills or see if your wings will carry you through as an entrepreneur. You can easily work as a light entrepreneur, even if it's only on a part-time basis.

You avoid paperwork and don't have to worry about paying taxes on your own or other obligations. There are no strings attached, fixed costs are minimal and there is virtually no risk. It's easy to get started without the hassle of setting up a business or finding a job.

Did you like the blog?
You'll probably like these too:

Blog

Tax deductions & tax return for light entrepreneurs

Save up to hundreds of euros by completing your tax return.

Read the story >
Support article

The importance of receipts in accounting

Read the story >
Blog

Mileage allowances for self-employed persons

Read the story >
ABC of the light entrepreneur

What is the difference between gross and net pay?

Read the story >
ABC of the light entrepreneur

What does light entrepreneurship mean?

Read the story >
ABC of the light entrepreneur

Can a light entrepreneur get unemployment benefit?

Read the story >
ABC of the light entrepreneur

Can an unemployed person be a Light Entrepreneur?

Read the story >
ABC of the light entrepreneur

Summer job 2024 for students

Read the story >
ABC of the light entrepreneur

How does the OP light entrepreneur service differ from Truster light entrepreneurship?

Read the story >
ABC of the light entrepreneur

Is light entrepreneurship profitable?

Read the story >
ABC of the light entrepreneur

Who can become a Light Entrepreneur?

Read the story >
ABC of the light entrepreneur

Is a light entrepreneur a self-employed person?

Read the story >
ABC of the light entrepreneur

Is the employment condition fulfilled in light entrepreneurship?

Read the story >
ABC of the light entrepreneur

Is a Light Entrepreneur an entrepreneur?

Read the story >
ABC of the light entrepreneur

Who is light entrepreneurship suitable for?

Read the story >
Support article

What is YEL insurance?

Does a light entrepreneur need YEL insurance? How do I get YEL insurance?

Read the story >
Blog

Daily allowances, mileage and meal allowances 2024

Do you want to know the amounts of the expense allowances for 2024? Read this article to get the latest information on daily allowances, mileage allowances and meal allowances for this year.

Read the story >
Support article

The trump card - what would be good to know?

What is a Valuable Card and what is it for? What is a Valvetikortti for a light entrepreneur and can you order one through Truster?

Read the story >
Blog

A social influencer or influencer as a light entrepreneur?

The career paths of many of our influencers have started as light entrepreneurs. Light entrepreneurship is a low-threshold option to try entrepreneurship and charge for partnerships.

Read the story >
Support article

Pricing of the work of a light entrepreneur

It is worth pausing for a moment to consider pricing, as there are many things to take into account when pricing the work of a light entrepreneur.

Read the story >
Blog

How to choose the right billing partner?

When a company employs several people as light entrepreneurs, it may be time to consider working with an invoicing service.

Read the story >
Blog

What should you know about employing a light entrepreneur?

Has your company considered employing a light entrepreneur? If so, good!

Read the story >
Support article

How do I know if my customer has paid the invoice?

How do you know if your customer has paid the invoice you sent them? You can find out the status of your invoice in the following ways:

Read the story >