Monday, June 23, 2025
  • About
  • Write for us
  • Contact
Today News
  • Business
  • Tech
    How to Resolve “Restore Failed” Error in QuickBooks Desktop?

    How to Resolve “Restore Failed” Error in QuickBooks Desktop?

    The Future of Business Transactions: Leveraging Electronic Data Interchange (EDI)

    The Future of Business Transactions: Leveraging Electronic Data Interchange (EDI)

    Tech Trends That Are Reshaping the British Economy in 2025

    Tech Trends That Are Reshaping the British Economy in 2025

    Revolutionary Haptic Technology Transforms Gaming Experience

    Revolutionary Haptic Technology Transforms Gaming Experience

    Gravitational Training Systems: Revolutionary Physics in Sports Science

    Gravitational Training Systems: Revolutionary Physics in Sports Science

    Technology Solutions

    Order Flow vs Technical Analysis: Which Gives You the Real Edge in the Market

    Site Security: Integrating Sustainability and Protection

    Site Security: Integrating Sustainability and Protection

    Creative Leadership in an AI-Driven Era: Why Human Vision Still Leads the Way

    Creative Leadership in an AI-Driven Era: Why Human Vision Still Leads the Way

    Phishing Simulations vs Real Attacks: What You Need to Know

    Phishing Simulations vs Real Attacks: What You Need to Know

  • Consumer
    Craving Connection: Why Food Gifting Is the New Love Language

    Craving Connection: Why Food Gifting Is the New Love Language

    How to Celebrate Milestones from Afar: The Rise of Digital Gifting in the UK

    How to Celebrate Milestones from Afar: The Rise of Digital Gifting in the UK

    How to adjust glasses at home – a step-by-step guide!

    How to adjust glasses at home – a step-by-step guide!

    Why quality toilet cubicle hardware matters

    Why quality toilet cubicle hardware matters

    Common Mistakes in KYC Identity Verification

    Common Mistakes in KYC Identity Verification

    Consumer habits

    British Furniture Market Sees Significant Changes in Consumer Preferences

    Why are high-street bookmakers declining in the UK?

    Why are high-street bookmakers declining in the UK?

    Straps for smartwatches: The Complete guide

    Straps for smartwatches: The Complete guide

    High street retailers are at a “crossroads”, says retail tycoon

    High street retailers are at a “crossroads”, says retail tycoon

  • Finance
    How AI Is Reshaping Financial Advising

    How AI Is Reshaping Financial Advising

    How Geopolitical Tensions Affect Forex Trading

    How Geopolitical Tensions Affect Forex Trading

    Steel Prices

    Where Steel Prices Have Been Headed: A Six-Month Look at Global Trends

    UK Online Casino Payments: Why Trustly and Mobile Methods Are Replacing Cards

    UK Online Casino Payments: Why Trustly and Mobile Methods Are Replacing Cards

    Gold Dips as Markets Rebound

    Gold Dips as Markets Rebound

    De-Dollarization Begins? China’s Reserve Shift Sends Global Warning

    De-Dollarization Begins? China’s Reserve Shift Sends Global Warning

    The Trends That Could Redefine Crypto and Blockchain in the Coming Years

    The Trends That Could Redefine Crypto and Blockchain in the Coming Years

    What is Automated Invoice Processing?

    What is Automated Invoice Processing?

    The UK Treasury Aims to Introduce a Single Tax for Remote Gambling

    The UK Treasury Aims to Introduce a Single Tax for Remote Gambling

  • Environment
    Choosing the Right Sustainability Partner: How Eco-Efficient Tech Transforms Industry

    Choosing the Right Sustainability Partner: How Eco-Efficient Tech Transforms Industry

    Moving Abroad? Here’s What to Expect – and Why Cardboard and Plastic Waste Removal Is Essential After Unpacking

    Moving Abroad? Here’s What to Expect – and Why Cardboard and Plastic Waste Removal Is Essential After Unpacking

    How Weather Events Like Heavy Rain or Heatwaves Affect Pest Activity

    How Weather Events Like Heavy Rain or Heatwaves Affect Pest Activity

    Building a Carbon-Competitive Advantage with Sustainability and Decarbonization Consulting

    Building a Carbon-Competitive Advantage with Sustainability and Decarbonization Consulting

    The Lost Art of Orienteering: Why Map and Compass Skills Still Matter

    The Lost Art of Orienteering: Why Map and Compass Skills Still Matter

    Sustainability in Dining: Reducing Waste for a More Profitable Future

    Sustainability in Dining: Reducing Waste for a More Profitable Future

    Environmental Benefits

    What Are The Environmental Benefits Of Choosing Eco-friendly Rubbish Removal In Croydon?

    Why You Should Hire Waste collectors for efficient waste removal

    Why You Should Hire Waste collectors for efficient waste removal

    Choosing the Right Floating Dock Platform for Your Aquaculture Cages

    Choosing the Right Floating Dock Platform for Your Aquaculture Cages

  • Property
    Top 10 Sell House Fast Companies in the UK

    Top 10 Sell House Fast Companies in the UK

    Efficient storage solutions for stress-free home renovations

    Efficient storage solutions for stress-free home renovations

    Chelsea Residences – Exclusive Living in Dubai’s Prime Location

    Chelsea Residences – Exclusive Living in Dubai’s Prime Location

    Insights and Opportunities For Exploring the London Property Market

    Insights and Opportunities For Exploring the London Property Market

    How to Choose the Right Moving Service for Your Needs

    How to Choose the Right Moving Service for Your Needs

    What Should You Do Before Moving House to Avoid Last-Minute Stress?

    What Should You Do Before Moving House to Avoid Last-Minute Stress?

    Choosing the Right Stove for Your UK Home in 2025

    Choosing the Right Stove for Your UK Home in 2025

    Importance Of Having A Property Management System For Airbnb Hosts 

    Importance Of Having A Property Management System For Airbnb Hosts 

    Real Estate

    Secrets to Building Wealth through Real Estate Investing

  • eCommerce
    The Importance of Digital Valuations for UK Ecommerce Brands

    The Importance of Digital Valuations for UK Ecommerce Brands

    Blink-and-Buy: Designing Checkouts That Convert in Under 10 Seconds

    Blink-and-Buy: Designing Checkouts That Convert in Under 10 Seconds

    High Stakes Strategies: Lessons E-commerce Entrepreneurs Can Learn from Casinos

    High Stakes Strategies: Lessons E-commerce Entrepreneurs Can Learn from Casinos

    Amazon Expert

    Amazon Expert: Key Qualifications to Look For

    Boosting Ecommerce Revenue with Smart Targeting Strategies

    Boosting Ecommerce Revenue with Smart Targeting Strategies

    Personalized Shopping: How Technology is Transforming Retail

    Personalized Shopping: How Technology is Transforming Retail

    How Can Ecommerce Businesses Learn From Entertainment Platforms?

    How Can Ecommerce Businesses Learn From Entertainment Platforms?

    Magento Web Development Company: Unlocking the Power of E-Commerce

    Magento Web Development Company: Unlocking the Power of E-Commerce

    eCommerce in 2025: What’s Changing and Why It Matters

    eCommerce in 2025: What’s Changing and Why It Matters

No Result
View All Result
Today News
Home Business

Sole Trader Survival: Pros, Cons and Best Practices

David Prior by David Prior
September 28, 2023
Reading Time: 6 mins read
Sole Trader Survival: Pros, Cons and Best Practices
556
VIEWS
Share on FacebookShare on TwitterShare on LinkedIn

Sole traders are self-employed individuals who run their businesses on their own. A sole proprietorship is one of the most popular types of business structure because it is easy to start and requires minimal paperwork.

There are many benefits of being a sole proprietor, and one of them is the freedom to do whatever you want. However, being a sole trader can also be challenging and overwhelming because you have to shoulder all the responsibilities alone. To survive as a sole trader, you need to know and implement these basic tips that will be beneficial to your business.

Related posts

Cleaning Routine

What Your Cleaning Routine Might Be Missing: The Overlooked Spaces That Need Attention

June 23, 2025
471
Light Demolition

Inside the Walls: What Happens Before, During and After Light Demolition

June 23, 2025
427

With this article, we are going to explore the pros and cons of running a business as a sole trader and the best practices to follow to survive.

Sole trader advantages and disadvantages

being self-employed has its cons and pros. Every business starts as a small business because it is the simplest business structure. Here, we will look at the advantages and disadvantages of being a sole trader.

Advantages

There are many benefits to being a sole proprietor, and here are the most crucial benefits of sole trading:

  • Easy to Establish: It is relatively cheap and easy to establish a sole proprietorship. Registration is easy as long as you are the owner and you are in control of the operation. To get started as a sole trader, you must register your business name and obtain the required permits and licenses.
  • You are in total control: as a solo entrepreneur, you have total control over your business. You can have to depend on shareholders or legal partners to make decisions. You make all the calls, implement strategies as you wish, and go in whatever direction you wish to grow.
  • Flexible Work Hours: since you are in charge, you can decide your working hours. You can work at your own convenient time without any fear or worry.
  • Financially Rewarding: self-employment allows you to make more money. Also, because there is no other person to share the profits with, everything you make as a sole trader after taxes and expenses is yours to keep.
  • Tax Savings: as a solo entrepreneur, you are eligible for tax deductions. Many costs acquired can be classified as business expenses, which can be claimed as tax. These expenses can include insurance, marketing, new equipment, etc. Since your business isn’t incorporated, you don’t need to submit annual accounts with Companies House or pay corporation tax. As a sole trader, all you need to submit and pay is the Self-Assessment Tax Return annually. It is advisable to consult a tax consultant to guide you on the dos and don’ts of self-employment tax.
  • Total Privacy: unlike a limited company’s annual accounts available for anyone on the Companies House website, a sole proprietorship business’s financial information isn’t available to the public.

Disadvantages

Although sole proprietorship has many benefits, it also has its downsides. Here are some of the disadvantages of sole proprietorship:

  • Irregular Income: unlike working and earning a salary, solo entrepreneurs have no guarantee of a stable income. Sometimes, things may not go as planned, and there is a possibility of income becoming unreliable or not enough.
  • Sole Responsibility and Liability: as a sole trader, you are responsible and accountable for everything that happens in your business. You are liable to pay contractors, honouring debts, paying taxes and insurance and any legal emergencies. Suppose your business gets sued for malpractice or bankruptcy. In that case, it can affect your personal assets, such as your home and car, to cover the expenses.
  • Potential Credibility Issues: a sole trader business does not have the same prestige as a limited company. This can affect the kind of clients you attract and your ability to get loans. 
  • Difficulty Rasing Funds: banks often hesitate to issue credit for sole proprietorship due to its personal liability. It is also more difficult for a sole trader to get buy-in from investors as the company is not designed to have shareholders.
  • Sale Limitations: It is more difficult to sell your business or pass it on as a sole trader after you retire than as a limited company. Not being legally separated from the owner makes things more complicated; therefore, you will need to organise a transfer of assets to the new owner.  

Survival Tips for Sole Traders

To be a successful solo entrepreneur, you need the right mindset, motivation and practices on your journey to build the business of your dreams. Below are some tips and practices that you need to follow:

  • Never Get Tired of Planning: as a sole trader, you are in charge of a lot of responsibilities, and it can get overwhelming. To keep up with everything, you need to plan- make plans and stick to them. Use a to-do list or day planners to make working easier for you. 
  • Learn to Manage Your Time: learning to manage your time is more important if you are a solo entrepreneur. You have to be selfish with your time when needed. An appointment diary or a calendar can greatly help with time management. 
  • Associate with other Sole Traders: self-employment can be lonely and isolated, so you need to put yourself out there by associating and collaborating with other solo entrepreneurs. This will provide you with the support you need and give you access to learning new things and new opportunities. Attend small business networking events and tradeshows in your industry to meet people of like mind.
  • Have a Separate Business Account: Managing finances as a sole trader is crucial to the success of your business. Opening a separate business account is one of the key steps to managing your finances as a sole trader. Opening a business account will make tracking your business expenses, calculating profits, and paying taxes easier. 
  • Consider Tax and VAT:  as a sole trader, you must keep a record of your business’s sales and expenses; you can do this by sending a self-assessment tax return every year and paying income tax on profits. Even if you have no profit in your first year, you must declare your income and expenses on a tax return. 
  • Get Sole Trader Insurance: obtaining a sole proprietorship insurance policy should be one of your top priorities. This way, you will be able to protect yourself from the risks you can face as a business owner. 
  • Pay Yourself a Salary: make it a habit to pay yourself a salary; this can be monthly or quarterly. This way, you won’t take money out of your business on an ad hoc basis. Doing this will help with cash flow management and future budgeting. 

Invest in Branding Your Business: investing in a brand identity that corresponds with your value and how your audience perceives you is crucial to your business’ success. You must be intentional with your business name, logo, website and online presence because you’re building the face of your brand. 

David Prior

David Prior is the editor of Today News, responsible for the overall editorial strategy. He is an NCTJ-qualified journalist with over 20 years’ experience, and is also editor of the award-winning hyperlocal news title Altrincham Today. His LinkedIn profile is here.

Previous Post

Which Digital and AI Skills Does Dmitrii Khasanov Deem Essential for Today’s Marketing Professionals?

Next Post

The Rise of Skill-Based Casino Games: Putting Your Abilities to the Test

Related Posts

Cleaning Routine
Business

What Your Cleaning Routine Might Be Missing: The Overlooked Spaces That Need Attention

June 23, 2025
471
Light Demolition
Business

Inside the Walls: What Happens Before, During and After Light Demolition

June 23, 2025
427
Roof
Business

Building Upward: A Story About the Roof Above

June 23, 2025
526
Emergency Plumber
Business

Emergency Plumber Myth: What Really Counts as a Plumbing Emergency?

June 23, 2025
426
Cohesive Home
Business

How to Curate a Cohesive Home Aesthetic Without Matching Everything

June 23, 2025
427
Katana 
Business

The Fascinating History of the Katana 

June 23, 2025
426
Next Post
The Rise of Skill-Based Casino Games: Putting Your Abilities to the Test

The Rise of Skill-Based Casino Games: Putting Your Abilities to the Test

RECOMMENDED NEWS

Connected car solution providers Parkopedia and ThinxNet agree partnership

Connected car solution providers Parkopedia and ThinxNet agree partnership

4 years ago
663
Ventilation Systems

Impeller Fans: How They Improve Airflow in Industrial Ventilation Systems

6 months ago
398
Image Generator

Stop Searching, Start Creating – AI Ease’s Free AI Image Generator is Here!

4 months ago
512
What Triggers A Jackpot On An Online Slot Machine?

What Triggers A Jackpot On An Online Slot Machine?

2 years ago
443

BROWSE BY CATEGORIES

  • Business
  • Careers
  • Charity
  • Consumer
  • Culture
  • eCommerce
  • Education
  • Energy
  • Engineering
  • Entertainment
  • Entrepreneurs
  • Environment
  • Fashion
  • Finance
  • Food & Drink
  • Gaming
  • Gardening
  • Health
  • Insurance
  • Interiors
  • Legal
  • Leisure
  • Lifestyle
  • Manufacturing
  • Marketing
  • National
  • News
  • Opinion
  • Pets
  • Politics
  • Property
  • Sales
  • Sport
  • Sports
  • Tech
  • Transport
  • Travel
  • Uncategorized

BROWSE BY TOPICS

AI autosmart banking Beauty business Christmas construction Corteiz cyber security data digital Digital Marketing Services ecommerce entertainmnet finance fitness health inflation insurance kitchen KYND lifestyle manchester music News north overseas Personal Injury Pharmaceutical Industry property Real Estate recruitment Skincare Solar Panel Installation sports technology tourism travel UK vehicles Warkworth village watch Water Filter Pitcher workspace yorkshire

Latest news

Top 10 Sell House Fast Companies in the UK

Top 10 Sell House Fast Companies in the UK

June 23, 2025
Practical Tips for Building a Safe Bathroom for Seniors

Practical Tips for Building a Safe Bathroom for Seniors

June 23, 2025
Cybersecurity in Online Gaming: Safe Access to Free Slots

Cybersecurity in Online Gaming: Safe Access to Free Slots

June 23, 2025
Cleaning Routine

What Your Cleaning Routine Might Be Missing: The Overlooked Spaces That Need Attention

June 23, 2025
Light Demolition

Inside the Walls: What Happens Before, During and After Light Demolition

June 23, 2025
Roof

Building Upward: A Story About the Roof Above

June 23, 2025
Emergency Plumber

Emergency Plumber Myth: What Really Counts as a Plumbing Emergency?

June 23, 2025
Cohesive Home

How to Curate a Cohesive Home Aesthetic Without Matching Everything

June 23, 2025
Katana 

The Fascinating History of the Katana 

June 23, 2025
The Best Prefilled Vape Pods for Flavour, Vapour and Value

The Best Prefilled Vape Pods for Flavour, Vapour and Value

June 23, 2025

Today News

  • About
  • Write for us
  • Contact
  • Privacy Policy

@2024 Rooftree Publishing Ltd

Today News in association with Kajino.com

Sign up for our newsletter




  • Business
  • Tech
  • Consumer
  • Finance
  • Environment
  • Property
  • eCommerce

Recent News

Top 10 Sell House Fast Companies in the UK

Top 10 Sell House Fast Companies in the UK

June 23, 2025
Practical Tips for Building a Safe Bathroom for Seniors

Practical Tips for Building a Safe Bathroom for Seniors

June 23, 2025
No Result
View All Result
  • Home
  • Business
  • Tech
  • Consumer
  • Finance
  • Environment
  • Property
  • eCommerce
  • Write for us
  • About
  • Contact