Generally, an independent contractor is the worker in a position to realize a profit
or suffer a loss because of his or her services. For example, if a worker is subject
to risk of economic loss due to significant investments or is liable for expenses,
such as salary payments to unrelated employees, then the worker is an independent
contractor. However, the risk that a worker will not receive payment for his or her
services does not constitute a sufficient economic risk to support treatment as an
independent contractor because that risk is common to both independent contractors
and employees. An investment in facilities is not adequate if the worker must rely,
to an appreciable extent, on the facilities of others to perform the services. For
example, a worker who operates a machine on his or her own premises and furnishes
equipment that has substantial value may be a self-employed subcontractor, rather
than an employee of the manufacturer.