Ask HN: Unusual Recruiting Practice?

Hello Hacker News!

I have a question about a most unusual recruiting practice I just encountered that is completely different from what I have experienced in the past two years.

So basically, the recruiter contacts me on LinkedIn with an offer and there was nothing unusual about that.

The unusual part was that it is a long-term contract job where I work as a consultant, with the recruiter helping me find clients. I was offerred to either incorporate my own corporation or I could get a W2 as an employee of their company and they would take out a flat fee from what sounded like a very good up-front amount of cash (but the recruiter was clear that this was because I had to pay for my own benefits and such).

I haven't seen official documents yet and will obviously pour over them and talk to people I know who have ran their own businesses, but in everybody's experience, is there some sort of tricky catch I'm missing here?

Thank you!