sole trader
This is one person who sells products, offers a service or runs a shop. You may employ others but you are the only owner. If you share ownership that becomes a partnershipA partnership is an organisation owned by two or more people....
Pros
It is quick to set up, you can decide everything and you keep all the profits.
Cons
You have all the responsibility.
If you are a sole trader you can't put Limited or Ltd at the end of your business name. This is because you do not have limited liability and if your business fails, your creditors, like the bank who lent you money, can ask for items your own personally in place of payment.
More
Read these helpful tips on the Government's website for how to Set up as a sole trader
Check out this guide and video on the BBC website: The options for start-up and small businesses
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