This really depends on the nature and scale of your business. A sole trader and a limited company are different legal entities, so it is important to choose the right one. The main difference between the two is that a person operating as a sole trader is the business, whereas a director in a limited company has a degree of separation from it. A director in a limited company is, in some but not all situations, protected from personal liability in the event of something going wrong.
There can also be tax advantages of setting up as a limited company, as opposed to a sole trader. But there are also strict requirements when it comes to filing financial and other information, some of which will be accessible to the public. And, while a sole trader owns everything generated by their business, a company director does not - which means that more formal procedures need to be set up for paying a director’s salary.
Our corporate solicitors will be able to advise you on the options, help you make the right decision, and set up your business to operate on the best legal and commercial basis.