While this sounds like a good way to maximize the use of your facility, it seems like you're setting yourself up for some conflicts of interest between this person you're bringing in and the big company that owns the shop. On the one hand, he or she is supposed to be an independent entrepreneur, bringing in business and using your shop to get it done. On the other hand, this person is also supposed to do work for the big company - for free? Are they an employee, an independent contractor, or is this a joint venture? What happens when things get busy, and this person is under the gun to get their outside project completed? Are the big company's jobs supposed to take priority, the independent business', or is strict impartiality expected? If an employee of the independent entity breaks one of the machines or hurts themselves on the job, who's responsible? If there's a loss instead of the expected profit, is the person you brought in supposed to kick in to cover it? If this person gets sued by one of their customers for defective products or poor business practices, is the big company also on the hook for damages? I think you'll need to talk to a lawyer and get these issues (and more they'll doubtless bring up) sorted out before bringing your proposal to the bosses.