Running a business while also working as an employee, then getting laid off (collecting, file)

[Promoth]

Here's an interesting situation that I may find myself in.

I've started a contracting business, I plan on hopefully making this a full time and prosperous thing, but you never know. What commonly happens is that people who start businesses in this field have slow times and go to work as an employee for other contractors.

Let's say that happens, things slow down with my own business and I go to work for someone else for 2 years. During those 2 years I do a couple of jobs for my own business as well (nights and weekends).

Now let's say after 2 years of working and paying into unemployment (both out of my check and my employers) I get laid off.

Can I receive unemployment even though I still have a company? Of course my company wouldn't be doing any work or else I wouldn't be applying for unemployment. But if the company was still existant, would that effect my unemployment?

Or would they say "Well you're running a company and that's a job even if you aren't doing any business and making any money"?

My fear in that situation isn't being declined for unemployment, it's getting unemployment and then months later being told that I didn't qualify and I have to pay it back

[Ariadne22]

Self-employment is decided on a case-by-case basis. If you have a dormant company while employed elsewhere, file for benefits when you are let go. If you resume self-employment while collecting benefits, call your state, explain the situation, report the earnings. Most states allow self-employment if it doesn't interfere with your ability to search for work and take a job. Nonetheless, they have to approve it.