Question

what is the main drawback of a sole proprietorship? they are easy to create they require a partner they have unlimited personal liability they are responsible to shareholders

Explanation:

A sole proprietorship is a business owned and run by one individual. The main drawback is that the owner has unlimited personal liability. This means the owner's personal assets (like their home or savings) can be used to pay off business debts.

• "They are easy to create" is an advantage, not a drawback.
• A sole proprietorship does not require a partner (so "They require a partner" is incorrect).
• Sole proprietorships are not responsible to shareholders (as there are no shareholders in a sole - proprietorship; this is more relevant for corporations).

Answer:

They have unlimited personal liability