Sole Trader

• An individual operating his or her own business – not as an incorporated company
• Shop keeper
• Hairdresser
• Electrician
• Plumber
• Contractor or sub-contractor
• etc

All of these individuals are likely to incur not only the usual debts mentioned before but will also incur debt related to the operation of their business:

• Supplies to operate the business
• Goods & Services Tax collected
• Fuel accounts
• etc

In a sole trader situation the individual is liable for all debts incurred in operating the business.