The most common form of business organization is the sole proprietorship. Sometimes it is also called the individual proprietorship. This business is owned by one person. It is usually operated by this person. Many times it is run with the help of a few employees, often family members.
Sole proprietorships exist in a great variety of businesses.
These may include the neighborhood beauty parlor, bike repair shop, restaurant, newsstand, or accounting office. The sole proprietorship is the least complicated form of organization. It is the easiest to enter into and to terminate. Entry requires little more than a location, expertise in the area of business considered, a source of capital, the ability to make contracts, and the desire to start your own business. Termination generally requires paying your debts and closing your doors.