MANAGEMENT

Detailed explanation-1: -A sole proprietorship, also known as a sole tradership, individual entrepreneurship or proprietorship, is a type of enterprise owned and run by one person and in which there is no legal distinction between the owner and the business entity. A sole trader does not necessarily work alone and may employ other people.

Detailed explanation-2: -A sole proprietorship-also referred to as a sole trader or a proprietorship-is an unincorporated business that has just one owner who pays personal income tax on profits earned from the business.

Detailed explanation-3: -A sole trader can only be one individual. If two or more individuals agree to join together in business, then they shall form a partnership. The individual is responsible for all decision making. There is little distinction between the business owner and the business.

Detailed explanation-4: -Sole proprietorship is a type of business with only one owner. The owner has complete authority over every aspect of the business. A sole proprietorship is not a separate legal entity – it’s considered an extension of the owner. But you can operate under a trade name, like “Bob Smith Plumbing.”

Detailed explanation-5: -You’re self-employed if you run your own business as an individual and work for yourself. This is also known as being a ‘sole trader’. You can keep all your business’s profits after you’ve paid tax on them. You’re personally responsible for any losses your business makes.