What Are Characteristics of a Sole Trader?

By Staff WriterLast Updated Apr 4, 2020 1:28:53 PM ET
characteristics-sole-trader
Yagi Studio/Taxi Japan/Getty Images

Also known as a sole proprietorship, a sole trader is a form of business that is owned and operated by a single person. A sole trader does not experience many legal formalities, assumes all the risks with unlimited liability and is solely responsible for business decisions.

Advertisement