Which of the following is an advantage of a sole trader?

• A. The owner keeps all profit
• B. The owner has complete control
• C. May qualify for government help
• D. Simple to set up

Answer: (C)

Sole traders often benefit from external government support aimed at helping small businesses get started and grow. This can include grants, advisory services, training, and subsidised loans, which can reduce startup costs and improve chances of survival. That kind of help is a tangible extra resource that can make a big difference, especially for someone setting up on their own with limited funds.

While being simple to set up, having complete control, and keeping all profits are genuine advantages of a sole trader, they are inherent to the nature of this structure and don’t provide the additional external support that government programs can offer. That combination of practical setup benefits plus potential government assistance makes this option the best answer.