• Sole trader A person who is the exclusive owner of businesses entitled to keep all the profits after tax has been paid but liable to for all losses is known as a sole trader businessman

• Sole trader
A person who is the exclusive owner of businesses entitled to keep all the profits after tax has been paid but liable to for all losses is known as a sole trader businessman. There is less legal work to do in order to start up a business. There is more independence to the owner compared to the other types of businesses.
There are advantages and disadvantages in sole trader businesses. They are,
Advantages
? Easy to start and shut down the business
? Possible tax advantages
? Can make his/ her own decisions
? There is no sharing of profits
? flexibility
Disadvantages
? unlimited liabilities
? less capital
? high chance of making wrong decisions
? limited management skills
? lack of continuity