ABSTRACT
Partnership When a person wants to set himself up in business there is nothing to prevent him simply trading on his own account, with only his own money at risk. As such, the law would describe him as a sole trader. Trading in this way, however, may involve a number of drawbacks:
He may lack adequate funds to develop the business. There is no one with whom he can share responsibility for running
the business. If the business gets into financial difficulties, he will have unlimited
liability for its debts. Creditors will not be restricted to seizing the assets connected with the business. Even his home may have to be sold.
