business draft

Sole trader
A
Sole Trader is a business that is owned and run by one person. This is why they call it a sole trader business. A sole trader sets up their own business with their savings and usually a loan from the bank. A sole trader usually will operate the business by themselves or with help from family. If the sole trader’s business succeeds then he or she get all the profit but if it fails and he has lot of debt then he would have to sell out all his personal possession’s like his car and house and the contents that is worth money to pay of his debt because being a sole trader you have unlimited liability.

In the sole trader industry you can nearly have any business from a hairdresser, boutique, café, restaurant deli, gift shop and many many more. The three thing a sole trader cannot own is a bank, building society and or an insurance form.
A sole trader has to own a licence to run businesses like a taxi or a hotel.

Being a sole trader means there can only ever be one owner in the business.

There a many advantages to being a soul trader but there are also disadvanteges they include;
- Advanteges: o The owner has all the control of the company so the o The owner gets all the profits o Its easy to start a sole trader business o Sole traders can chose their own business hours
- Disadvanteges o Unlimited liability o Limited growth of the business o No paid sick leave o No paid holiday leave

Examples;
Sassy styles hairdressing shop is a sole trader business owned by sally nankivell in Meningie South Australia. Sole traders do not usually have websites. http://www.meningie.com.au/pages/local-business-directory/sassy-styles.php

Partnerships
A
Partnership is a business owned by 2 people to 20 people, when starting a partner...

... middle of paper ...

...y
A private compony can be almost any business in the industry.
There are many advantages in a private company they include;
- Limited liability which means that no matter the debt of the company, the company is responsible for that debt and not the owners so all the owners and there families are protected so the cant lose their car or house or their personal possesions
- The business is not offected by the death or status of the owner
- More capital can be made
- A compony is more likely to be successful and expand.

There are a lot of succssesful private companys in Australia here is an example;
North coast kerbing pty ltd is a successful privately owned compony in queensland owned by craig Carmichael. The business is located in Townsville and they do work all across the state. North coast kerbing specialises in civil kerbing
http://www.northcoastkerbing.com.au/