Why your trading status matters

As advisers get to grip with changes within the industry, they are being forced to scrutinise every aspect of their firm. One important factor is ensuring that the trading structure of their business is suitable, both now and for the future, as this could make a huge difference to reputation, risk and liability levels. But what structure is best: a sole trader or a limited company? A business set up as a sole trader is owned and run by one individual, the main difference being there is no legal distinction between the owner and the business. Meanwhile, a limited company is owned by...