Sole Trader Vs. Limited Company

What's the difference?

So you’re freelancing in the creative industries or thinking about it. Your website is up, you’ve got a few clients and the money is starting to roll in. Then someone hits you with:

“Are you a sole trader or a limited company?”

And suddenly it feels like you’re back in GCSE Business Studies wondering if you should’ve paid more attention.

We’ve got you. This guide breaks down what each option actually means, how to set them up, how they impact your tax, admin, and cash – and how to figure out which one’s right for you.