Which of the following is a disadvantage of a sole proprietorship:

Question

Quizplus · Accepted Answer

Option A is true, but not a disadvantage unique to sole proprietorship as other forms of business also have their profits taxed to the owner's personal income. 
Option B is a significant disadvantage for a sole proprietorship because the owner's personal assets are at risk to pay off the business's liabilities. 
Option C is also a disadvantage because a sole proprietorship may have limited funding options since the owner has to rely on their personal resources or borrow from friends and family. Therefore, option D is the correct answer.

Which of the Following Is a Disadvantage of a Sole