Sole Proprietorship: individual as Owner conducts a bsns
A. Governing Laws:
1. no specific act
2. just agency rules
3. and isolated statutes here and there
B. Formation
C. Liability
D. Taxes
E. characteristics
- may have employees or may be one man only
- essence: a single individual carrying out a bsns without the benefit of any of the other forms or bsns or making it a separate entity
- they can be very formal and keep separate books, but that doesn’t mean that there is any legal distinction btwn the bsns assets adn the personal assets
- an SP can use a bsns name, but the name will just be another name for an indivudal
- they have to file assumed name cert, but that doesn’t affect anything (just civil penalty)
- A person can form an SP w/o even realizing it
- If their e’ee enters a K or commits a tort during scope of employment, the SP is liable
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A: shaik safi's Answer
i am just asking. becoze today is my test in this thats why …..