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Sole Trader
Descripción
forms of ownership
Sin etiquetas
business
forms of ownership
sole trader
Mapa Mental por
Brody Moodie
, actualizado hace más de 1 año
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Menos
Creado por
Brody Moodie
hace más de 8 años
43
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Resumen del Recurso
Sole Trader
characteristics
own business on your own
responsible for all financial and management decisions
responsible in an ethical, administrative and legal way
easiest form of business to set up
no requirements, application, legal forms or processes to follow
Advantages
owner makes all decisions
Requires very little capital to start up
All profits belong to owner
Management structure is simple
dynamic and flexible business can adapt to the needs of a custormer
owner invests passion and interest to achieve goals
no legal processes and requirements
Disadvantages
unlimited liability, owner is responsible for all debt
cash flow is often a problem
Growth can be restricted due to lack of capital
not a legal entity
management and decision making done by one person
Difficult to attract highly skills and knowledgeable employees
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