Question

 Sole Trading Concern and Partnership

Answer 1

Basis of Difference	Sole Trading Concern	Partnership Firm
Formation	It is formed at the will of the owner	It is formed with a mutual agreement among the partners.
Management and control	It is managed and controlled solely by the owner.	The management and control of the ownership are shared by the partners.
Sharing of profits and losses	Profits and losses belong to owner.	Profits and losses are shared among the partners in the pre-decided.
Number of members	Only one member (owner) runs it	In case of banking business, the maximum number of members is 10 while for others it is 20.
Governance	There is no regulating act to govern it.	It is governed by the Indian Partnership Act
Decision making	Decision making is rapid, as all the decisions are taken by the sole proprietor.	Decision making is delayed as it requires the consent of all the members.