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As a sole trader, the founder of Jasmis would have full control over all business decisions. This means he could shape the menu, opening hours, and company image as he wished. Many entrepreneurs value this independence, but it does mean all the pressure is on one person.

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Operating as a sole trader puts all risks and financial liabilities on the owner. If the business struggled or faced legal issues, the founder’s personal assets could be at risk. This option can be risky, especially with the fast food industry's competition in Bahrain.

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One big advantage: all profits belong to the founder. No need to share with others. However, this also means dealing with business losses alone.

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Setting up as a sole trader is straightforward in Bahrain and requires less paperwork compared to partnerships or companies. Managing taxes and accounts is also simpler.

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In a partnership, the founder would have shared responsibilities. From managing the kitchen to financial planning, each partner could specialize and contribute different skills.

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Partnerships allow pooling of capital, which could help the business expand faster. Multiple partners bring new ideas to the table, which can spark innovation.

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Profits are split between partners, meaning less for each individual. However, this also means risk and loss are shared too, which might help in tough times.

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While partnerships can bring strength in numbers, disagreements about business direction, finances, or workload can occur. An official partnership agreement is essential in Bahrain to avoid conflicts.

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Jasmis is one of Bahrain’s most famous fast-food chains today. But when it first started, the founder had two choices:

Run the restaurant alone as a sole trader, keeping full control and all profits but carrying all the risks.

Form a partnership, sharing capital, responsibilities, and ideas with others, but also sharing profits and facing possible disagreements.

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What are two advantages and two disadvantages if Jasmis had started as a sole trader?

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What are two advantages and two disadvantages if Jasmis had started as a sole trader?

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Why might a partnership have helped Jasmis grow faster into a chain of restaurants?

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Why might a partnership have helped Jasmis grow faster into a chain of restaurants?

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How should the founder decide between sole trader and partnership? Which would you recommend, and why?

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How should the founder decide between sole trader and partnership? Which would you recommend, and why?