Demerits of sole Proprietorship

khushal By khushal, 19th Oct 2014 | Follow this author | RSS Feed
Posted in Wikinut>Business>Accounting & Finance

Demerits of sole Proprietorship
The important demerits of sole proprietorship are as follows :
1 Limited sources : the sole proprietor has limited financial source. He is single person in proprietorship. Therefore, he depends on his personal resources only.

Demerits of sole Proprietorship

Demerits of sole Proprietorship
The important demerits of sole proprietorship are as follows :
1 Limited sources : the sole proprietor has limited financial source. He is single person in proprietorship. Therefore, he depends on his personal resources only.
2 Limited scale the sole proprietorship is started with limited capital. Therefore, the proprietor can think only of limited activities either purchase or sale.
3 Limited knowledge : the sole proprietor does not have any professional knowledge therefore he can not get more information from market in various fields like production,, purchasing and marketing.
Joint Hindu Family
The joint family is a form of business organization in which the family have some inherited property and the head of family “Karta” manages its affairs according to Hindu Law “ Hindu Family includes all persons lonely decended from a common ancestor and includes unmarried daughters and wife of any member And Now Characteristics of joint hindu family ]
The important characterstics of joint hindu family are as follows :
1 The membership of the family business arises with the birth in the family.
2 The right to manage the business vests in karta only
3 There is a common property of the family.
4 Unmarried daughters lare also the members of the family till their marriages.
5 In joint hindu family business, only male of the faily can claim coparcenary interest in the joint Hindu Family business.

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author avatar khushal
i am working of business department and i am perfect in business

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Comments

author avatar viewgreen
20th Oct 2014 (#)

Informative article... Thank you for share this useful information. Have great days ahead.

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author avatar khushal
20th Oct 2014 (#)

thanks

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author avatar tafmona
20th Oct 2014 (#)

very important to business people

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