sole proprietorship

Definition of "sole proprietorship"
  1. A business model where a single individual owns and operates the entire enterprise without any formal tax entity status, bearing complete responsibility for the business's debts and reporting profits on their personal tax return
How to use "sole proprietorship" in a sentence
  1. Her flower shop ran on a sole proprietorship basis, making her solely responsible for all the business debts.
  2. Running his cafe as a sole proprietorship, he accounted for the profits in his personal tax return.
  3. The downside of running a farm as a sole proprietorship is bearing personal liability for all business debts.

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