1. Ownership
2. Liability
3. Decision-Making
4. Taxation
5. Registration
6. Financing
7. Continuity and Succession
8. Flexibility
While they offer simplicity and full control over the business, the main drawback is the unlimited personal liability. Many entrepreneurs eventually opt for more structured business forms, like limited liability companies (LLCs) or corporations, as their businesses grow and their risk tolerance changes.
