• Does the time and effort put into the activity indicate an intention to make a profit? • Do you depend on income from the activity? • If there are losses, are they due to circumstances beyond your control or did they occur in the start-up phase of the business? • Have you changed methods of operation to improve profitability? • Do you have the knowledge needed to carry on the activity as a successful business? • Have you made a profit in similar activities in the past? • Does the activity make a profit in some years? • Do you expect to make a profit in the future from the appreciation of assets used in the activity? |