Types of Business Organisations (LC 2026) (Leaving Cert Business): Flashcards
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Practise the cards
10 cards from this deck
Define sole trader
Define sole trader
Exclusive owner, retains profits, liable for business debts
Form needed to become a sole trader
Form needed to become a sole trader
Form TR1 submitted to Revenue District Office
Where to register a business name as sole trader
Where to register a business name as sole trader
Companies Registration Office (CRO)
Type of liability for sole traders
Type of liability for sole traders
Unlimited liability
What unlimited liability means for sole traders
What unlimited liability means for sole traders
Personal assets can be used to cover business debts
Level of control a sole trader has
Level of control a sole trader has
Full control over all business decisions and operations
Advantage: Setup complexity of sole trader
Advantage: Setup complexity of sole trader
Easy and inexpensive to establish
Advantage: Who receives profits in sole trader
Advantage: Who receives profits in sole trader
All profits go directly to the owner
Disadvantage: Funding for sole traders
Disadvantage: Funding for sole traders
Difficulty securing large amounts of finance
Disadvantage: Workload for sole trader
Disadvantage: Workload for sole trader
Bears all responsibilities, high workload and stress