Oxford Matura Trainer PRACA Practice Exam

What does it mean to be self-employed?

1. To work for a company

2. To own one's own business

3. To be unemployed

4. To work as a freelancer

The correct answer is: To own one's own business

To be self-employed means that an individual operates their own business, rather than working for someone else. This status allows them to control their work and business operations directly, making decisions about what services or products to offer and how to market them. Besides owning a business, self-employment can encompass different forms, such as freelancing, where individuals provide specialized services on a contractual basis. In this context, the idea of being self-employed primarily emphasizes the independence and ownership associated with running one's own venture, rather than the specifics of the work arrangement, such as being a freelancer or working for a company. While both owning a business and freelancing represent forms of self-employment, the key characteristic is the direct ownership and responsibility for one's work and income.