Advantages of a Sole Proprietorship

What are the advantages of a sole proprietorship?

1. The owner of a sole proprietorship has the freedom to make all business decisions.

2. The owner of a sole proprietorship keeps the profits.

3. The owner of a sole proprietorship is able to sell stock to raise capital.

Answer:

The owner of a sole proprietorship has the freedom to make all business decisions and keeps the profits.

Explanation:

A sole proprietorship is a business owned by one individual, providing the owner with the autonomy to make all business decisions without needing approval from others. Additionally, the owner of a sole proprietorship retains all profits generated by the business.

Unlike other business structures, such as partnerships or corporations, a sole proprietorship does not involve selling stock to raise capital. Instead, the owner has complete control over the business and its financial decisions.