Imagine Friend Tells Idea Start Sports Therapy Clinic Plan Operate Sole Proprietorship Ben Q34215381

Imagine that a friend tells you about their idea to start asports therapy clinic which they plan to operate as a soleproprietorship. What benefits and risks would you advise yourfriend to be aware of?

Expert Answer

Sole properietership has several advantages anddisadvantages.

. Explanation:

Benefit1: It is easy to start and not complete detailed legalformalities, such as in the case of a this model.

.2: The sole owner is the only one who makes decisions andtherefore decisions can be made quickly

. 3: The only owner receives all awards and businessbenefits.

Demerit

1: individual ownership ends with the owner’s death orbankruptcy.

2: A single owner must take all