A while ago I was employed by a UK company which pretty much went bust. Somehow the former director kept all the staff and equipment by stating a new company as a sole trader. I found this out once they laid me off and I went digging for information on them.

Anyway I started my own comapny doing similar work and have just been offered a contract that really requires two people. Can I soehow still operate as a sole trader or did my old employers act illegaly?