2.1 SOLE TRADER
This is where an individual person in their own capacity wishes to operate a business. They would not form an entity so it could be Joe Dlamini trading as Efficient Plumbing Services. In a situation like this he would open a bank account in the name of Joe Dlamini trading as …or maybe not and just use his personal bank account. All his income and expenses would go through this business bank account. Profits he makes need to be reported in his tax return. If things go wrong, he would have no protection for his personal assets and could land up losing everything as creditors would sue him in his personal capacity.