Sub1099

Automate 1099 filings and subcontractor payroll compliance in minutes.

Score: 7.8/10FranceMedium BuildReady to Spawn
Brand Colors

The Opportunity

Problem

Freelance business owners face a nightmare managing payroll and compliance for subcontractors when scaling without HR tools.

Solution

Sub1099 instantly generates, tracks, and e-files IRS 1099 forms for your subcontractors while handling basic payroll disbursements. It scans contracts for compliance risks and alerts you to misclassification pitfalls. Freelancers scaling teams stay audit-proof without HR headaches.

Target Audience

Freelance business owners scaling from solo to team operations by hiring subcontractors

Differentiator

Exclusive focus on 1099-NEC/MISC automation with AI-powered compliance risk scoring tailored for US freelancers.

Brand Voice

professional

Features

1099 Form Generator

must-have12h

Auto-populates and generates IRS-compliant 1099 forms from payment data.

Payment Tracking

must-have8h

Logs all subcontractor payments with thresholds for 1099 requirements.

Compliance Scanner

must-have15h

AI checks contracts against IRS rules for worker classification.

E-Filing Integration

must-have10h

One-click submission to IRS via API partners.

Audit Dashboard

must-have10h

Central hub for all compliance docs and payment history.

Bulk Import

nice-to-have6h

CSV upload for subcontractor and payment data.

Reminders & Alerts

nice-to-have8h

Email/SMS notifications for filing deadlines.

Multi-State Tax Support

nice-to-have12h

Handles state-specific withholding rules.

Total Build Time: 81 hours

Database Schema

users

ColumnTypeNullable
iduuidNo
emailtextNo
workspace_iduuidNo

Relationships:

  • belongs to workspaces

workspaces

ColumnTypeNullable
iduuidNo
nametextNo
plan_tiertextNo

Relationships:

  • has many subcontractors, payments

subcontractors

ColumnTypeNullable
iduuidNo
workspace_iduuidNo
nametextNo
tax_idtextNo
addresstextYes

Relationships:

  • foreign key to workspaces.id, has many payments

payments

ColumnTypeNullable
iduuidNo
subcontractor_iduuidNo
amountintNo
datetimestampNo

Relationships:

  • foreign key to subcontractors.id

compliances

ColumnTypeNullable
iduuidNo
workspace_iduuidNo
subcontractor_iduuidYes
risk_scoreintNo
statustextNo

Relationships:

  • foreign keys to workspaces.id and subcontractors.id

API Endpoints

POST
/api/workspaces

Create new workspace

🔒 Auth Required
POST
/api/subcontractors

Add subcontractor

🔒 Auth Required
POST
/api/payments

Log payment

🔒 Auth Required
POST
/api/compliances/scan

Scan contract for compliance

🔒 Auth Required
POST
/api/forms/1099/generate

Generate 1099 batch

🔒 Auth Required
POST
/api/forms/efile

E-file forms

🔒 Auth Required
GET
/api/dashboard

Fetch audit dashboard data

🔒 Auth Required
GET
/api/subcontractors

List subcontractors

🔒 Auth Required

Tech Stack

Frontend
Next.js 14 + Tailwind + shadcn/ui
Backend
Next.js API routes + Supabase Edge Functions
Database
Supabase Postgres
Auth
Supabase Auth
Payments
Stripe
Hosting
Vercel
Additional Tools
Resend for emailsOpenAI API for compliance scan

Build Timeline

Week 1: Core auth and DB setup

20h
  • User auth
  • Workspace CRUD
  • Basic DB schema

Week 2: Subcontractor management

25h
  • Add/list subs
  • Payment logging

Week 3: Compliance features

30h
  • Scanner MVP
  • 1099 generator

Week 4: Dashboard and flows

25h
  • User flows
  • Dashboard UI

Week 5: Payments and filing

20h
  • Stripe integration
  • E-file mock

Week 6: Polish and launch

15h
  • Testing
  • Landing page
  • Deploy
Total Timeline: 6 weeks • 145 hours

Pricing Tiers

Free

$0/mo

No 1099 generation

  • 1 subcontractor
  • Basic tracking
  • Compliance scans

Pro

$35/mo

10 workspaces

  • Unlimited subs
  • 1099 generation
  • E-filing
  • Alerts

Enterprise

$99/mo

Unlimited

  • All Pro + priority support
  • API access
  • White-label

Revenue Projections

MonthUsersConversionMRRARR
Month 15010%$175$2,100
Month 640015%$2,100$25,200

Unit Economics

$45
CAC
$500
LTV
4%
Churn
92%
Margin
LTV:CAC Ratio: 11.1xExcellent!

Landing Page Copy

Never Miss a 1099 Again – Scale Your Freelance Biz Safely

Automate tax forms, compliance checks, and payments for subcontractors. Audit-proof in under 5 mins setup.

Feature Highlights

IRS-ready 1099s auto-generated
AI compliance risk alerts
One-click e-filing
Payment history dashboard
Freelancer-first pricing

Social Proof (Placeholders)

"'Saved me hours on tax season!' – Alex, Agency Owner"
"'Compliance nightmares gone.' – Sarah F., Freelancer"

First Three Customers

Post in r/freelance and Upwork community forums offering free beta access to 10 scaling freelancers; DM 20 agency owners on LinkedIn searching 'freelance agency owner' with a personalized pain-point video demo; run $50 Twitter ad targeting #gigworker keywords.

Launch Channels

Product Huntr/freelancer/SaaSIndie HackersTwitter #buildinpublic

SEO Keywords

1099 software for freelancerssubcontractor tax complianceautomated 1099 filingfreelance payroll 1099IRS 1099 generator

Competitive Analysis

$40+/mo + per person
Strength

Full payroll suite

Weakness

Overkill for subcontractors, no 1099 focus

Our Advantage

Subcontractor-only, cheaper, instant 1099 automation

Per contractor fees
Strength

Global compliance

Weakness

Enterprise-focused, expensive for solos

Our Advantage

US freelance specific, flat $35

🏰 Moat Strategy

Data moat from aggregated compliance patterns + first-mover in AI 1099 for freelancers

⏰ Why Now?

Gig economy boom with 40%+ freelancers facing IRS crackdown on misclassification in 2024.

Risks & Mitigation

legalmedium severity

IRS form changes breaking e-filing

Mitigation

Partner with certified e-file provider, monitor IRS updates

technicallow severity

AI scan accuracy issues

Mitigation

Human review fallback + iterative training

marketmedium severity

Low awareness of 1099 pains

Mitigation

Content marketing on tax deadlines

Validation Roadmap

pre-build7 days

Interview 20 freelancers on Reddit/LinkedIn

Success: 10+ confirm pain >$100/mo willingness

mvp21 days

Build core generator, get 5 beta users

Success: 3/5 generate first 1099

launch14 days

PH launch, 100 signups

Success: 10% conv to paid

growth30 days

SEO content + ads

Success: 50 MRR

Pivot Options

  • Expand to W-2 employee conversion tool
  • Focus on state tax filings only
  • B2B white-label for agencies

Quick Stats

Build Time
145h
Target MRR (6 mo)
$2,000
Market Size
$5000.0M
Features
8
Database Tables
5
API Endpoints
8