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Question
- what is the main disadvantage of a sole proprietorship? unlimited liability limited control high taxes difficult to start
Brief Explanations
A sole proprietorship means the owner has unlimited liability. This implies that if the business has debts or legal issues, the owner's personal assets (like their house or savings) can be used to cover these. In contrast, limited control is not a main drawback as the owner has full control. High taxes are not typical as sole - proprietorships often have pass - through taxation. And sole proprietorships are relatively easy to start.
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Unlimited liability