SGS Edexcel 1.4 Business Ownership

Front

A feature of being a sole trader

Back

Owned by one person

Front

A feature of being a partnership

Back

Owned by 2-20 people

Front

Which of the following professions could be run as a sole trader? Plumber, electrician, mobile hairdresser, ice cream van business, Solicitor, accountant and doctor

Back

Plumber, electrician, mobile hairdresser, ice cream van business

Front

Which of the following professions could be run as a partnership? Plumber, electrician, mobile hairdresser, ice cream van business, Solicitor, accountant and doctor

Back

Solicitor, accountant and doctor

Front

What do sole traders and partnerships have in common?

Back

They both have unlimited liability - if the businesses get into debt they are liable for all costs and could lose their home.

Front

Explain an advantage of being a sole trader

Back

Easiest and cheapest form of business ownership to set up

Front

Explain an advantage of being a partnership

Back

As there is more than one owner it is easier to raise capital (money) to start or expand the business

Front

Explain an advantage of being a sole trader

Back

The owner has complete control over the business and can make decisions without consulting anyone else.

Front

Explain an advantage of being a partnership

Back

With more than one owner, there are often more skills in the business

Front

Explain a disadvantage of being a sole trader

Back

They can often work long hours and struggle to take holidays and time off when ill, because of the effort required to establish a business.