If you are considering setting up in business, then sole trader or partnership may be the right option for you.
At Kudos, we can help you choose which structure is the most suitable to go down depending on factors such as profitability, risk and future growth plans.
Advantages of being a sole trader/partnership
- Privacy – your business details aren’t on the public domain like limited companies
- Simplified admin – you don’t have to adhere to the same rules as directors of limited companies do.
- Profits – the value In the business is yours to keep – no further taxes if your drawings are made
- Risk – you are personally liable for your debts (or joint and severally liable if a partnership)
- Growth – there may be an issue with growing the business if you’re set up in this way
- Finance – you may struggle to raise funding for the company unless you have an excellent credit score