answersLogoWhite

0


Best Answer

An entrepreneur is someone who starts up a new business. It can also be used for someone who has an "entrepreneurial" spirit. One who enjoys starting new businesses and is not likely to work for someone else. An entrepreneur may also startup a business, sell it to someone else or acquire partners, and then continue to start up other businesses.

A sole proprietor is the owner of his or her own business. Sole proprietorship generally refers to the type of ownership of the business and has less to do with the personality of the person who owns it. He could have started the business from nothing (which would make them also an entrepreneur) or they could have purchased it from someone else or inherited it. Someone can own a business that they started 50 years ago.

A trader is someone who buys and sells. He might buy and sell stocks (or other securities), commodities, properties, or anything else. They are usually in the business of making profit by effectively buying and or selling things for short periods of time.

User Avatar

Wiki User

11y ago
This answer is:
User Avatar

Add your answer:

Earn +20 pts
Q: What are the differences between sole trader and entrepreneur?
Write your answer...
Submit
Still have questions?
magnify glass
imp
Continue Learning about Economics

The sources of capital for a sole trader are?

A sole trader can get capital from personal savings or from a family member. A number of them are able to borrow money from a financial institution if they can pay from a secondary source.


Why a sole trader have to take partner?

A sole trader may take on a partner if he decides to expand his business. Say if a sole trader in electronics believes that there is room in his business for growth and wants to expand but is not sure what to do, then he may go out and look for a partner to help him expand and run the business with him. Partnerships share both the profits and losses with each other whilst running the business.


Meaning of managerial prowess?

Managerial prowess is one of criteria used in Organizational Feasibility Analysis. It's study reveal the willingness of management team, or sole entrepreneur to perform the assigned duty with passion and commitment if they have or not.


What are the advantages and disadvantages of a state-owned enterprise?

advantages* easy formation there is no legal formalities for its formation and lso does not require a huge amount of capital. * quick decisions the sole trader being the supreme authority can take decisions independently without consulting others.* better personal contact as it is small scale business, the owner can have personal contact with the customer as well as his employees. * flexibility if any change in the business is required he needs not consult with anyone. * less expensive management. the sole trader performs most of the work relating to his business. so expenses can be brought down to a minimum. * business secrets can be maintained.he can maintain secrets of his business because he need not disclose them to anyone. * no sharing of profit as it is one man business , he can enjoy the entire profit of the business.disadvantages* shortage of capital the capital resources of a sole trader are naturally limited. therefore expansion of the business is difficult. * unlimited liability the liability of the sole trader is unlimited or not limited to his capital contribution. that means his private properties are also liable for his business debts . * lack of continuitythe future of this kind of business is most uncertain. long illness, death, insolvency, insanity of the sole trader will surely disturb the business. * lack of management abilitythe managerial ability of a sole trader is limited. he may not be master of all. * lack of economies of scale.because of limitation of finance and managerial ability, a sole trader operates on a small size. due to this , it does not enjoy the economies of large scale buying as well as increased sales


Why might a bank be more likely to loan money to a partnership than to a sole proprietorship?

The reason why partnerships are able to attract more capital than sole proprietorship, is because the article of partnership may specify that the profit be divided equally or by any other arrangement suit able to the partners and proprietorship state ahead in time in the papers that how the profits (losses) will be divided.

Related questions

What is the role of a sole trader in the Kenyan economy?

A sole trader supplies clients with products they need at a convenient level. The trader is the link between wholesalers and customers.


Differences between sole trader and partnership?

A sole trader is an individual who owns a business entirely where as, a partnership is a busines entity comprised of two or more individuals. A sole trader would become personally liable for paying the debts where as in partnership, personal liability is shared, meaning that all partners will be liable to cover the compay's debts. A sole trader is solely responsible for the financial dealings where as in partnership, all partners contribute towards capital in the firm.


What is a function of a sole trader?

Sole trader it means Sole trade agence?


What is the function of sole trader?

Sole trader it means Sole trade agence?


What is a function of the sole trader?

Sole trader it means Sole trade agence?


How do you set up a sole trader?

advantages of a sole trader


What is the liability of sole trader?

a sole trader has a limited liability. :)


Is body shop a sole trader?

Yes body shop is a sole trader.


Famous sole trader companies?

Lord Sugar is a famous sole trader in the UK.


What is a sole trader organization?

Sole proprietor


How many people does a sole trader employ?

A sole trader can employ as may people as is necessary


Characteristic of a sole trader?

the characterististics of a sole trader are: -unlimited liablitity -only one person controls the business which is called the sole trader - financial infomration is only visible for the owner of the business - the sole trader can keep all profit made by the business - it is a unicorporated business