Advantages and Disadvantages of Being a Sole Trader

Sole traders are the most common form of business organizations. One person provides the permanent finance and, in return, has full control of the business. Sole traders have a variety of advantages and disadvantages.
Firstly, sole traders have limited liability which means that their personal possessions and property can be taken to pay off the debts of the business if it fails. A sole trader organization is easy to set up, as there are hardly any legal formalities. The owner has complete control of the business and is able to keep all profits made. …