• Join over 1.2 million students every month
  • Accelerate your learning by 29%
  • Unlimited access from just £6.99 per month

As the name suggests, a sole trader is a business owned and runs by one person, although it is quite likely that others will b

Extracts from this document...

Introduction

GREENWAY'S TYPE OF OWNERSHIP As the name suggests, a sole trader is a business owned and runs by one person, although it is quite likely that others will be employed to assist the day-to-day business. Our development will be in two parts. The first part will be about the advantages and the second part about the disadvantages. After working for a local firm in Manchester and saving some money during ten years, Tom decided to set up his own business and this is how GREENWAY'S ESTATE AGENTS was born. In fact a sole trader business is very easy to set up because there are no formal procedures to follow to open a shop and that means there is not lot of paperwork involve in this type of ownership. GREENWAY'S ESTATE AGENTS is a service base business, and among those services the main activities are the renting (mainly for the students) and the selling of houses. ...read more.

Middle

In fact his skills, his good personality, his knowledge of the area, his good reputation, his small scale and the recommendation from everybody make of Tom the right man to run GREENWAY'S ESTATE AGENT. The small scale and the location of his shop cope to Tom who does not have to spend a lot of money in the renting and also in the advertising because his shop is on the main road, fairly central to the other shops, so people walked past it all the time. However, a business can not only have advantage. What are the disadvantages then? The unlimited liability, is undoubtedly the main disadvantage for GREENWAY'S ESTATE AGENTS is that Tom the owner of business is personally liable for all the debts arising out the of the business. This means that if unprofitable and Tom has to cease trading, or close down, any debts from the business must be paid by Tom. ...read more.

Conclusion

the big companies such as the banks which have a good reputation and the money can easily set up they own estate agencies and make by the same time more difficulties for a sole trader like GREENWAY'S ESTATE AGENTS to survive in the business by reducing the prices of the homes. One of the main limited opportunities is the unlimited liability of the sole trader. In fact because of the liability, the bank refuse to lend some money to the sole trader and it also shows us how it is difficult for a sole trader to raise money. And that means for it survives the business depends upon the skills and abilities of Tom, then long working hours. In conclusion, I think that GREENWAY'S ESTATE AGENTS is a business which got a nice future, I can say it is a business in prospect although it is no longer possible for a sole trader to be in the estate market. ...read more.

The above preview is unformatted text

This student written piece of work is one of many that can be found in our GCSE Business, Companies and Organisation, Activity section.

Found what you're looking for?

  • Start learning 29% faster today
  • 150,000+ documents available
  • Just £6.99 a month

Not the one? Search for your essay title...
  • Join over 1.2 million students every month
  • Accelerate your learning by 29%
  • Unlimited access from just £6.99 per month

See related essaysSee related essays

Related GCSE Business, Companies and Organisation, Activity essays

  1. Business Studies

    create business barriers Managing global business * Financial Credit risks - Methods of payment > Most secure - receive payment before goods are sent > To ensure payment an importer is required to have a letter of credit [ET17]from a confirmed secure bank > Bill of exchange and international bank

  2. In this section I will explain every one the different types of business ownership. ...

    People would not want to be shareholders in the business as it would be a risk, if they fail. Unlimited liability means if the business fails all the owners personal possessions will be included to pay the companies debts this will also happen to pay the companies debts to.

  1. Compare and Contrast a set of Final Accounts for a Sole Trader and a ...

    Expenses 5760 Salaries 36700 Rates and Insurance 2640 Less Prepayment 580 2060 Electricity 3480 Plus Accruals 460 3940 Less Allowance for Depreciation: Fixture and Fittings 2200 Delivery Van 2280 Bad Debts Written Off 1400 Provision for Bad Debt 1074 56014 Net Profit 39426 This is designed for sole trader's to

  2. Business Studies(Setting up your own business)

    geographical areas, age-groups, genders. Stratification will always achieve greater precision provided that the strata have been chosen so that members of the same stratum are as similar as possible in respect of the characteristic of interest.

  1. English for business

    II. The Body (10- 20') You should expect questions that give you the opportunity to show your strong points and of course to raise questions. III. The Close (2- 5') The interviewer will tell you what happens next. Possible Interview Questions: 1.Tell me something about yourself.

  2. Applied Business Unit 1

    Financial Accounting In order to have a record of all transactions the finance department has to prepare Asda's accounts. It is a legal requirement for Asda as these accounts are presented to the Inland Revenue for calculation of Tax. Expenditure's must be precisely recorded as these will decrease the amount of tax that is due.

  1. Business Plan. After putting a lot of thought into what kind of business we ...

    that makes it different is that the customers can select their favourite from a wide variety of chocolate bars, sweets, cereals, biscuits and toppings accustomed to their individual likes and dislikes. We would like the customer to walk into the bar, choose as much or as little ingredients as they

  2. Ownership, Location and Aims and Objectives of Lex Transfleet and Express Diner

    It is very important that the suppliers know where Lex is based because they will need to know where to deliver the goods. They need to have easy access to Lex; if they were located in the city centre then it would be very hard for the suppliers to get to Lex because of the traffic.

  • Over 160,000 pieces
    of student written work
  • Annotated by
    experienced teachers
  • Ideas and feedback to
    improve your own work