We offer a number of accountancy solutions to assist you as a sole trader. Although being a sole trader is one of the simplest ways to get started in business, there are many processes that need to be followed to ensure a smooth tax assessment each year.
Are you considering starting a business as a Sole Trader or are you already setup as a Sole Trader? We can help you with accountancy and tax advice for small businesses and self employed individuals.
The main advantages of setting up as a sole trader are:
• Total control
You have total control over the business. Decisions can be made
quickly and easily, from accountancy and financial decisions to
general business decisions.
• Easy to change to another trading identity.
It's far easier to change your trading identity from sole trader to a
• Keep the profit
As the owner, all the profit belongs to the sole trader.
• Business affairs are private
Seeing that your business is attached to you financially, competitors
cannot see what you are earning so will know less about how your
business works and how it Succeeds.
The reasons why sole traders are often successful are:
• Can offer specialist services to customers
For example: Service Garage.
• Can be sensitive to the needs of customers
Since you are closer to the customer that allows you to react more
quickly than a larger limited company.
• Can cater for the needs of local people
A small business in a local area can build up a following in the
community due to Trust.
The main disadvantages of being a sole trader are:
• You are personally liable and accountable for all your businesses
debts. Should your business fail you could end up losing your
personal assets such as your home, car, etc.
• Can be difficult to raise finance, because you are small and all
finances are personal, banks will not lend you large sums and you
will not be able to use any other form of long-term finance unless
your change your ownership status.
• Can be difficult to enjoy economies of scale. As a sole trader, for
instance, you may not be able to buy in bulk and enjoy the same
discounts as larger businesses.
Starting a business can be a big ordeal. We can advise you on the following but not limited to assessing whether your company should convert to a Limited Company vs. Sole Trader, National Insurance exemptions, as well as Inland Revenue
We can help you make the most of your venture, and take the stress out of running your own business.