If as a result of running a sole proprietorship, you have to bear the who responsibility of debt, this is called Unlimited liability.
What is unlimited liability?
- It means that should a company be unable to pay off its debts, the owner's assets can be targeted.
- It is a common property in sole proprietorships.
Having unlimited liability can be quite dangerous to a sole proprietor because they could lose all their assets if they cannot afford to pay off debts.
Find out more on unlimited liability at https://brainly.com/question/10826732.
