Difference between sole trader and limited company nz

A sole trader is someone who simply conducts business in their own name and not through any separate legal entity. For this reason, sole traders are by far the simplest business structure. . A company is a separate legal entity that is distinct from the people who own or manage it. Companies are managed by directors, who make decisions and sign contracts on behalf of the company. A. . This article has only provided a brief summary of the key features of sole traders and companies. There are several other factors to consider in deciding on a business structure, as well as numerous other possible structures. If you require assistance with selecting an appropriate business structure, our experienced business lawyers can assist.