Tracey is a former director of a small limited company known as 'Homewares Ltd', specializing in all home improvement products for kitchens, bedrooms, bathrooms and lounge/dining areas. Tracey pushed the company to introduce a new product area relating to gardens, much to Peter's chagrin. The board does not approve of Tracey's plans as they believe the business is not ready to expand due to the current difficulties. Tracy claimed to be suffering from health problems and left the business. Shortly after Tracey's departure, the supplier Homewares ltd stopped trading with Peter, which raised Peter's suspicions that this may be a result of Tracey's departure. Homewares has since learned that Tracy set up her own business using former suppliers of Homewares Ltd, who were also revealed to be a relative of Tracey. Tina is also a director of Homewares Ltd who has been absent due to illness. He has also had personal problems which have had a huge impact on his business performance, which raises concerns for Peter and the other directors. Peter believes that the only option would be to remove Tina as a director as this hinders the company, however, for this to happen, he is not sure if enough board members share the same views as him. A director is a rank in management who directs or supervises a company. They are usually appointed by the company to manage the business and make appropriate decisions for the company. In this case study, there are many appointed administrators. As a director of a limited company, the law states that you must: try to make the company a success using your skills, experience and judgment and follow the rules of the company. Furthermore, a director must make decisions that benefit the company and... middle of paper... raising capital is difficult because there are no investors and all the capital will have to be raised by the owner. Banks are less likely to lend to individual businesses due to high mortality rates and lack of high-value assets. The biggest disadvantage for sole proprietorships is that the sole proprietor is responsible for all debts incurred by the business and is responsible for everything. This can result in the business closing and the owner losing his or her personal assets, such as his or her home. A sole trader also has to work long difficult hours and the business will suffer if they take time off due to illness or personal holidays. In addition to capital, it is difficult for individual businesses to expand their operations due to the lack of investors and shareholders. The owner will have to use the profits or acquire another bank loan, which will eventually increase the debts.