Sole traders
This is pretty much what it says on the tin: just one business owner selling a product or providing a service, although they can employ people and use subcontractors.
It’s the simplest and usually the smallest way of constituting a business and involves the least amount of work to administer.
You’ll still have to keep accounting records, and meet your legal obligations, depending on what kind of business you run.
You might choose this option if your business doesn’t have major loan or borrowing commitments, or needs lots of cash to get going, because as a sole trader, you’re personally responsible for any debts the business has.
Sole traders do not pay corporation tax, which isn’t to say you’re not liable to pay tax on your profits, just that it’s all handled through self-assessment which involves paying income tax and national insurance contributions (NICs).
Recent posts
Business and industry challenges in filling job vacancies
The government has published an analysis of UK businesses’ ability to fill job vacancies across different industries. Along with this, it provides a list of reasons for any recruitment challenges. The data covers Summer 2021, primarily after COVID-19 restrictions were eased.
Key agricultural schemes extended
Rural Affairs Minister Lesley Griffiths has announced the Glastir Advanced, Commons and Organic contracts are being extended until December 2023.
End of temporary insolvency measures
The temporary insolvency restrictions protections for commercial tenants are lifting as new measures are introduced. The Insolvency Service is announcing that they are phasing out temporary measures brought in during the pandemic from 1 October.
