Question

kiran is a sole proprietor, Over the past decade, her business has grown from operating a neighborhood corner shop selling accessories such as artificial jewellery, bags, hair clips and nail art to a retail chain with three branches in the city. Although she looks after the varied functions in all the branches. She is wondering whether she should form a company to better manage the business. She also has plans to open branches countrywide.
Explain two benefits of remaining a sole proprietor​

Answer 1

Answer:

(i)She will be able to acquire the funds required for expansion of her retail chain branches countrywide through share capital in a Joint Stock Company.

(ii) Public has more faith in a Joint Stock Company than in a sole proprietorship firm which will help in increasing the customer base for Kiran's business.

Answer 2

Answer:

Benefits of remaining a sole proprietorship . Ter