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Start-ups and sole traders: business or job?

Do you have a business, or have you just become your own employer? Many start-ups, particularly sole traders, are jobs rather than businesses. Although a business owner attains a lot of satisfaction from the job, a business is a separate entity from the owner.

One key sign you have a job not a business is your required presence for the business to operate profitably; if the business suffers when you go on holiday or become ill, it shows neither your business model nor your clients would necessarily transfer to a new owner as the most valuable aspect is your skills, experience and creative input.