What you know about Sole Proprietorship

What you know about Sole Proprietorship

Sole proprietorship – a business in which a person responsible for managing all the business activity, responsible for providing fund and bearing all the risk. It is also called single man business or one person business. 

Sole Proprietorship

In these types of business a single person is responsible for all the matters related with business.

Some feature/characteristics for these types of business –

ü  Own capital – these types of business start only with own capital. That person manages all the capital from his own resources for investment purpose.

ü  These types of business have a small size and a single person is responsibility for all the activity.

ü  Manage & control – the sole proprietorship manage all the activity of business. A owner make all the decision & have a full control over all the full activity.

ü  These types of business have an unlimited liability. Risk factor is really high in these types of business.