Write the meritsand demerits of Sole Proprietorship?
Answers
Answer :
☆ Merits :
(a) Quick decision making.
(b) Confidential Information.
(c) Direct Incentives.
(d) Ease of formation and closure.
☆ Demerits :
(a) Limited resources.
(b) Limited life.
(c) Unlimited liability.
(d) Limited managerial ability.
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Answer:
Advantages of Sole Proprietorship-:
i. Easy to Form
ii. Effort-Reward Relationship
iii. Full Control
iv. Quick Decisions
v. Economical and Efficient Operations
vi. Personal Touch
vii. Keep the Business Simple, Dynamic and Flexible
viii. Keep the Secrets Close to Heart
ix. Society Gains as a Whole
Disadvantages of Sole Proprietorship:
i. Small Size
ii. Limited Shelf Life
iii. Lacks Professional Skills and Talent
iv. See the Big Picture
v. Unlimited Liability
vi. Growth Prospects
Explanation: