sole trader Flashcards
1
Q
define what is meant by a sole trader
A
business that is owned and run by one person.
2
Q
what are the aims and objectives of a sole trader
A
increasing income and profit, survive in the initial stages of setting up and during difficult economic times
3
Q
give 5 advantages of a sole trader
A
- easy to set up
- greater owner control
- keep all the profit
- flexibility of working hours
- easy to run
4
Q
give 5 disadvantages of a sole trader
A
- unlimited liability
- long working hours
- problems in raising capital
- lack of specialisation
- impact of health
