Trading is a Business

Characteristics of a business:

1) Customers
2) A product
3) Employees
4) Sales
5) Customer support

Sole-trading has none of the above. Thus, trading is not a business. Running a hedge fund, or a mutual fund - THAT is a business. But trading isn't.
 
Quote from Cutten:

Characteristics of a business:

1) Customers
2) A product
3) Employees
4) Sales
5) Customer support

Sole-trading has none of the above. Thus, trading is not a business. Running a hedge fund, or a mutual fund - THAT is a business. But trading isn't.
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1) I sell options to customers.
2) My product are options.
3) I have one employee - me and a subcontractor - my broker.
4) I make sales to people who give me money.
5) My product is perishable & requires no customer support - like the corner ice cream stand.

Manufacturing is not the only kind of business. Retailing is another.
 
Quote from mrman500:

1) I sell options to customers.
2) My product are options.
3) I have one employee - me and a subcontractor - my broker.
4) I make sales to people who give me money.
5) My product is perishable & requires no customer support - like the corner ice cream stand.

Manufacturing is not the only kind of business. Retailing is another.
More...

I think the Revenue Service would agree with you too especially if you go market-to-market or LLC. :cool:

Simply, trading is a business although most don't treat their trading as such.

Mark
 
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