August 31, 2020 – Taxtotal

Who is a sole trader? How to pay sole trader tax?

A sole trader is the simplest type of business structure defined in UK law. It refers to an individual who owns their own business and retains all the profits from it. There is no legal distinction between the owner and the entity. Therefore, you are personally responsible for the business bills, keeping accurate records of your business, and you are personally liable for any losses. We will now dive into the structure, advantages, disadvantages, and tax responsibilities of a sole trader.

Accounting

Cash Flow: The Life Blood of Business

Noel Sebastian / August 31, 2020

There is a perception that profit is the key to success. Profit is an essential stat for the success of the organization and there is no arguing that fact. But for a business to run effortlessly cash flow is a must. Imagine you have orders to fulfill and you need to purchase raw materials for your production and you don’t have the cash to fund the purchase, you won’t be able to fulfill the orders and you won’t generate any profit. Yes, all entrepreneurs work hard to earn profit but understanding the importance and mastering to operate according to the situation boosts your chance of success.