Legal Definitions - Sideline business

LSDefine

Definition of Sideline business

A sideline business refers to any commercial activity undertaken with the primary goal of earning extra income, separate from a person's main job or primary business. This type of venture can be pursued by individuals who are already employed full-time, own and operate another business, or have other significant commitments that prevent them from dedicating themselves to the sideline business as their sole source of income.

  • Example 1: Sarah works full-time as a marketing manager for a large corporation. In her spare time, she enjoys baking elaborate cakes and pastries. She decides to start taking custom orders for special occasions, advertising her services through social media and word-of-mouth, with the aim of earning additional money.

    Explanation: Sarah's cake-baking venture is a sideline business because it is an activity she conducts with the intention of generating extra income, distinct from her primary full-time employment as a marketing manager.

  • Example 2: Mark owns and operates a successful landscaping company. He notices a demand among his clients for high-quality, custom-built garden furniture. He decides to set up a small workshop and begin designing and selling bespoke benches and tables, separate from his core landscaping services.

    Explanation: Mark's garden furniture business is a sideline business because, while he already runs a primary business (landscaping), this new venture is a distinct commercial activity pursued to create an additional income stream.

  • Example 3: Emily is a university student whose main commitment is her studies. To help cover her living expenses, she starts offering tutoring services online for high school students in subjects she excels in, scheduling sessions around her class timetable.

    Explanation: Emily's tutoring service is a sideline business because it is an income-generating activity she undertakes alongside her primary commitment (being a full-time student), with the clear intent of earning additional money.

Simple Definition

A sideline business is an activity undertaken with the primary goal of generating additional income.

This type of business can be pursued by individuals who are already employed full-time, own another business, or have other significant commitments.