Disadvantages of Sole Proprietorship
An independent contractor is a self-employed sole proprietor who takes on projects on a contract basis with clientsThey have the freedom to choose which clients they take on but they are often. While this makes for an easier business to set up it also affects the companys lifespan. Advantages Disadvantages Of Sole Proprietorship Sole Proprietorship Advantage Sole Sole proprietor cannot raise capital by selling an interest in the business or obtain capital funding through established channels. . The sole proprietorship is not a legal entity. Sole Proprietorship Tax Disadvantages What you have to remember about sole proprietorships is that youll be taxed on all your business profits even the money youve set aside in reserves. The business has no existence separate from the owner who is called the proprietor. Still there are certain disadvantages too such as. A sole proprietor may operate as an independent contractor a freela...