Question

Which of the following would not be considered an advantage of a sole proprietorship

Answer 1

Answer:

The correct answer is option B, Proprietor is responsible for his own health insurance.

Explanation:

A sole proprietor is a person who runs a business on his own. He is responsible for all the profits and losses incurred to the business. He runs the business alone. He is the sole decision maker. He himself is responsible for everything happening within the business. He is the sole owner and thus is responsible for the employees' health insurance, gratuity, social security, etc. Being the only owner, he also should be responsible for his own health insurance as well.