Sole Traders - Advantages and disadvantages table in GCSE Business Studies

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Created by: maddypayneee_
Created on: 03-10-16 20:51

Sole Traders

Advantages

They're easy to set up.
You get to be your own boss.
You alone decide what happens to any profit.

Disadvantages

You have to work long hours and you don't get many holidays.
You have an unlimited liability. So if the business goes bust owing £10 million, you may have to sell everything you own to pay your debts.
Sole traders are unincorporated. The business is not legally separate from its owner. So if someone dies from eating a dodgy dover sole, they sue the fishmonger personally - not the business. Or the fish.

Evaluation

Most small businesses are sole traders. You don't need to do anything apart from start trading. Examples include: plumbers, hairdressers, newsagents and fishmongers.

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