TOZZIBLINKZ
VIP Contributor
Sole proprietorship business is one of the most practiced business category among the categories of partnership , public and limited companies , joint ventures , statutory companies , and other public enterprises etc . Yet , a lot of individual have considered discontinuing the practice of sole proprietorship due to some certain factors that has rendered it stressful and problematic in nature . Below are some of these factors :
RISK BEARING : just as the sole proprietor enjoys all the profit and good incentive that comes into the business he also bears the risk all alone . Risk incured or acquired in the operating process of the business is Borne solely by the owner , thus if the business is successful , he rejoice but when it fails he suffer it all alone .
NON-GUARANTEED SPECIALISATION: specialisation in a sole proprietorship business is not guaranteed and in most cases is considered not to happen at all since the owner of the business is involved in every section of the business . He works very hard and may not take public holidays and scarcely have rest . And in most cases when he's absent the business may close down temporarily by not making profit during the days absented .
RISK BEARING : just as the sole proprietor enjoys all the profit and good incentive that comes into the business he also bears the risk all alone . Risk incured or acquired in the operating process of the business is Borne solely by the owner , thus if the business is successful , he rejoice but when it fails he suffer it all alone .
NON-GUARANTEED SPECIALISATION: specialisation in a sole proprietorship business is not guaranteed and in most cases is considered not to happen at all since the owner of the business is involved in every section of the business . He works very hard and may not take public holidays and scarcely have rest . And in most cases when he's absent the business may close down temporarily by not making profit during the days absented .