Question

define sole proprietorship ​

Answer 1

Sole proprietorship
Type of business entity
Description
A sole proprietorship is a business that can be owned and controlled by an individual, a company or a limited liability partnership. There are no partners in the business. The legal status of a sole proprietorship can be defined as follows: It is not a separate legal entity from the business owner.

Answer 2

SOLE PROPRIETORSHIP:

• It's the oldest form of business organisation in which an individual introduces his own capital,skill and intelligence in the management of it's affairs.
• He is solely responsible for the results of it's operation.
• Sole proprietorship is also known as individual proprietorship or single proprietorship.
• The individual may run the business on his own or may obtain the assistance of employees.
• For the necessary capital, he may depend mostly on his savings or else may borrow from friends or relatives.
• The liability being unlimited the owner remains cautious to avoid losses.
• This kind of business is set up on small scale due to limited finance and managerial capabilities.