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Sole Trader
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Sole Trader
A sole trader is a one-owner business. Most small businesses are sole traders
Advantages
- All profits kept by owner
- Owner has complete control over all decisions
- Owner can choose hours of work/hols
- More personal service offered to customers
- Very easy to set up
Disadvantages
- Owner has unlimited liability
- Available finance is restricted
- Owner has no-one to share decisions/problems with
- Owner has no-one to share workload with
- Work may stop if owner is ill/on hols
Finance
- Owners savings
- Business's retained profits
- Bank loan
- Bank overdraft
- Government grants
- Trade credit
- Debt factoring
Objectives
- To survive
- To maximise profits
- To improve owner's personal status
- To have a good image in the community
Information
- Description
- Describing what a sole trader is, the advantages and disadvantages of being a sole trader, the finance that can be available to a sole trader and the objectives a sole trader would have.
- Created by
- stewart_megan23 · Dec 2013
- Updated
- Feb 19, 2016
- Views
- 403
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