Which of the following is an ADVANTAGE of a sole proprietorship?
A)The owner's unlimited liability
B)The lack of continuity upon death of the owner
C)The ease of start up
D)The ability to raise capital

Question

Quizplus · Accepted Answer

The ease of start-up is an advantage of a sole proprietorship, as it typically requires minimal legal formalities and allows the owner to have complete control over the business. The owner's unlimited liability is a disadvantage, as they are personally responsible for all debts and legal issues. The lack of continuity upon death of the owner is also a disadvantage, as the business is not a separate legal entity and may not continue without the owner. The ability to raise capital is typically limited for sole proprietorships, as they cannot sell shares of ownership or take on partners.

Which of the Following Is an ADVANTAGE of a Sole