Question

“Sole proprietorship is a one-man show.” Justify this statement in favour and give a reason.

Answer 1

A sole proprietorship is called a one-man show because it is owned, managed, and controlled by a single individual. The sole proprietor supplies all the capital, takes all business decisions alone, and is entitled to all profits while bearing all risks and losses. There are no partners or external managers involved, making ownership and management unified in a single person. This shows the sole proprietorship is a one-man show due to single ownership and one-man control.