Question

“Creditors do not actually have to worry about their dues in case the business fails.” In which form of business is this possible? Which special feature is highlighted in this statement ?

Answer 1

sole proprietorship

Step-by-step explanation:

In simple words, Unique property could be described as a business framework controlled and run by a single individual, therefore there is no separate legal entity and his corporation. It is a form of basic business framework, which is usually used for individuals who start up some sort of corporation.

This is therefore the greatest suitable form of business for the statement of the problem, because in this framework there is really only one proprietor in the corporation who ensures his ultimate responsibility with all earnings, debt obligations and failures underlying in the commercial enterprise.