According to Wheeler,” The sole proprietorship is that form of business ownership which is owned and managed, controlled by single individual. He receives all the profits and risks all”.
The features of a sole proprietorship are as follows:
1. As it is owned by a single owner, he invests all the capital himself. However, if his capital is insufficient for the business, he borrows from his relatives, friends or bands.
2. The sole proprietor puts his own labour in conducting his business. If necessities arise, he makes use of the services of the members of his family. He may also employ a few paid assistants to help him in his business.
3. The sole proprietorship is the oldest and the simplest form of business organisation.
4. No legal formalities are required for the formation and. the closure of a sole proprietorship.
5. It is owned and managed by a single person.
