Question

Difference between sole trading and partnership firm

Answer 1

Answer:

Here is your answer

Explanation:

Sole trading:-

1. only one individual can be the owner of the company

2. limited resources to collect financial strength

3. decision is finalized by the the owner of the company and there is 15 (max) member can be appointed.

4. the concept of sole trading is narrower than partnership firm.

5. the final loss and profit will be bear by only the individual.

6. sole trading is equals to its owner's identity

Partnership firm:-

1. more than 2 persons will be the member of the partnership firm max 50 persons.

2. resources are not limited

3. decision will be discussed among the partners of the partnership firm.

4 the partnership firm's concept is wider than sole trading.

5. the loss and profit will be distributed among the partners.

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