Explain the important features of a Sole Proprietorship.

1.	Explain the important features of a Sole Proprietorship.
Answer» The important features of a sole-proprietary organization include the following: 1. Individual Initiative: One person is the owner in a sole proprietorship. 2. Risk Bearing: The proprietor is the sole beneficiary of profits as well as the losses. Thus, the risks of business are borne by the proprietor himself. 3. Management and control: Management and control of this type of organization is the responsibility of the sole proprietor. 4. Minimum government regulations: The government does not interfere with the working of the sole proprietorship organization. However, they have to comply with the general laws.

Answer»

The important features of a sole-proprietary organization include the following:

1. Individual Initiative: One person is the owner in a sole proprietorship.

2. Risk Bearing: The proprietor is the sole beneficiary of profits as well as the losses. Thus, the risks of business are borne by the proprietor himself.

3. Management and control: Management and control of this type of organization is the responsibility of the sole proprietor.

4. Minimum government regulations: The government does not interfere with the working of the sole proprietorship organization. However, they have to comply with the general laws.

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