Sole Trader vs Limited Company A Comprehensive Comparison

	Sole Trader	Limited Company
Setup	Simple, minimal paperwork	More involved, registration with Companies House required
Administration	Less paperwork, basic record-keeping	More administrative overhead, annual accounts and returns
Liability	Unlimited personal liability for debts	Limited liability, personal assets protected
Taxation	Income tax on all profits	Corporation tax (currently a lower rate), potential for more tax-efficient income management
Image	May appear less established	Can project a more professional image