To close a sole proprietorship,the owner must
A) notify the secretary of state.
B) pay creditors.
C) publish an out-of-business statement in the newspaper.
D) have all licenses and permits revoked.
E) do none of these answer choices.

Question

Quizplus · Accepted Answer

When closing a sole proprietorship, the owner must pay off all outstanding debts, including creditors. While it is important to notify the secretary of state if there is a change in business ownership or structure, it is not required to close a sole proprietorship. Publishing an out-of-business statement and revoking licenses may be necessary in some states, but it is not a universal requirement for closing a sole proprietorship.

To Close a Sole Proprietorship,the Owner Must