The sole proprietorship is the simplest business form under which one can operate a business. A sole proprietorship can operate under the name of its owner or it can do business under a fictitious name.
The sole proprietorship is a popular business form due to its simplicity, ease of setup, and nominal cost.
REASON FOR CHOOSING SOLE PROPERIETERSHIP FIRM
- complete control and decision-making power over the business
- No corporate tax payments
- Minimal legal costs to forming a sole proprietorship
- Few formal business requirements