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What does a person give up by changing from being a sole proprietorship to being a general

partnership?

1 Answer

12 votes

Answer:

When converting a firm from a sole proprietorship to a partnership, the following financial rights are forfeited:

Keeping the entire profit

Having complete control

A sole proprietorship is a type of business in which just one person controls the company. When two or more persons have a say in the business, it is referred to as a partnership.

In this scenario, while converting a business from a sole proprietorship to a partnership, the individual no longer has complete authority and cannot keep all of the profits.

Hope this helps.

Step-by-step explanation:

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