what-does-unlimited-liability-mean-for-the-owner-of-a-sole-proprietorship

Question

What does unlimited liability mean for the owner of a Sole Proprietorship?

Accepted Answer

The owner is personally liable for all business debts.

Answer

The owner can transfer liability to another party.

Answer

The owner is only liable for business debts up to the amount invested.

Answer

The owner is not liable for any business debts.