Sole proprietorships generally have a distinct advantage over other forms of business ownership when it comes to raising large sums of financial resources.

Question

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Sole proprietorships often have limited access to financing options since the owner's personal creditworthiness and assets are closely tied to the business. Other forms of business ownership like corporations or partnerships may have more sources of funding available, such as the ability to issue stocks or bring on investors.

Sole Proprietorships Generally Have a Distinct Advantage Over Other Forms