SOLE TRADER OR PROPRIETOR AS FORM OF BUSINESS OWNERSHIP
Junior Secondary School
Business Studies JSS 1(Basic 7)
Second Term Lesson Notes
Subject :
Business Studies
Term :
SECOND TERM
Week:
Week 4
Class :
JSS 1
Topic :
Sole Trader or Proprietor
Previous lesson :
The pupils have previous knowledge of
that was taught as a topic during the last lesson.
Behavioural objectives :
At the end of the lesson, the pupils should be able to
- Say the meaning of sole trader
- Explain what a sole trader does
- Say the importance or benefits of one man business
Instructional Materials :
- Wall charts
- Pictures
- Related Online Video
- Flash Cards
Methods of Teaching :
- Class Discussion
- Group Discussion
- Asking Questions
- Explanation
- Role Modelling
- Role Delegation
Reference Materials :
- Scheme of Work
- Online Information
- Textbooks
- Workbooks
- 9 Year Basic Education Curriculum
- Workbooks
Content
SOLE TRADE
CONTENT
- Types of Business Organisation
- Meaning of Sole Trade
- Advantages and Disadvantages of Sole Trade
Forms or Types of Business Ownership
The following are the four forms of business ownership:
- Sole proprietorship;
- Partnership;
- Co-operative societies and
- Private and public limited liability companies.
Ownership refers to the individual or organization that brings together the factors of production.
Meaning of Sole Trade
Sole trade is a business owned by one person. The size of the business may be large or small but it is important to note that it is owned by one man. Examples are restaurants, supermarkets, filing stations, schools etc. The owner of the business is called a sole trader or a sole proprietor. Another name for sole trade is sole proprietorship.
Advantages and Disadvantages of Sole Trade
Advantages of Sole Trade:
- It is easy to start.
- The sole proprietor has a close contact with his customers and attends to them personally.
- He takes all decisions affecting his business alone.
- It requires small capital to establish.
- It can fit any environment.
Disadvantages of Sole Trade
- The provision of capital and ability is limited.
- The business ends when a sole trader dies.
- He suffers and bears risks alone.
- If business fails, he may have to sell his personal property to pay the debt.
- Higher unit cost of goods when compared with large business operators
Presentation
The topic is presented step by step
Step 1:
The class teacher revises the previous topics
Step 2.
He introduces the new topic
Step 3:
The class teacher allows the pupils to give their own examples and he corrects them when the needs arise
EVALUATION
- State at least three advantages of sole trade.
- Identify at least three disadvantages of sole trade.
- Mention all the sources of capital of sole trade.
Conclusion
The class teacher wraps up or conclude the lesson by giving out short note to summarize the topic that he or she has just taught.
The class teacher also goes round to make sure that the notes are well copied or well written by the pupils.
He or she does the necessary corrections when and where the needs arise.
