Which of the following is a disadvantage of sole proprietor ownership?
A) all profits to the owner
B) ease and low cost of formation
C) freedom from government regulation
D) unlimited liability

Question

Quizplus · Accepted Answer

Sole proprietorship comes with unlimited liability. This means that the owner is personally liable for all the debts and obligations of the business. This can result in the owner's personal assets being seized to pay off business debts, which is a significant disadvantage.

Which of the Following Is a Disadvantage of Sole Proprietor