proprietorship
As the name suggests, a proprietorship (also called a sole proprietorship or sole trader) belongs to an individual. The owner receives all of the profits and is responsible for all of the losses. If the business shuts down, creditors (persons or organizations that loaned money to the business) may recover dues from the owner's personal assets. It is not possible for a sole proprietorship business to raise money from the capital market (stock market). A beauty parlor and a local mom-and-pop store are examples of proprietorships.