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Identify and explain two benefits to Jameel of operating his business as a sole trader.

1 Answer

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Final answer:

Jameel would benefit from being a sole trader by having full control and enjoying all profits of his business, along with the satisfaction of being his own boss.

Step-by-step explanation:

Two benefits to Jameel of operating his business as a sole trader include full control over business decisions and the retention of all profits. As a sole proprietor, Jameel has the advantage of easy to start up procedures, as there's no need for complex arrangements or agreements with partners or shareholders. This simplicity extends to management, where he can make decisions swiftly without needing to consult others. Moreover, being the sole owner of the profits, Jameel directly enjoys the financial rewards of successful management without having to distribute earnings among other stakeholders. Another significant benefit is the psychological satisfaction that comes from being one's own boss and the full authority to direct the business.

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