Chapter 8 Chapter 8 Selecting the Management Tean and Form of Organization Deciding of the form of organization is a significant part of starting and operating a small business. A sole proprietorship is a business owned and operated by one person. There is generally no registration or filing fee.
Liability is unlimited.
The sole proprietorship is dissolved upon the proprietor's death. Ownership of the company name and assets may be transferred. Management freedom is absolute. Capital is limited to the proprietor's personal capital. Income from the business is taxed as personal income to the proprietor.