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What are proprietary firms?

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                                                             Proprietary firms

Firms which operate with a motive to earn profit are known as proprietary firms. Only one individual manages and controls everything in these firms. Individuals who perform these tasks are called sole proprietors.These sole proprietors are responsible for every managerial decision.He is liable for all the losses and debts with all the profits earned by the firm.If owner is not present, business still exist in the eyes of law.Capital188 here is invested by the sole proprietor himself.They have to fulfill some legal formalities to operate.Grocery222 stores is one its examples.They have unlimited liability.There can be only one maximum and minimum member.There's no need to conduct any annual meeting or preparing annual reports.