Justify the following statement:

Sole Trading Concern is easiest to form.

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1 Answers

1. Sole trading concern is owned by only one person. 

2. A very Simple process is needed to start a sole trading concern.

3. There is no complicated legal formalities to start a sole trading concern, as in the case of joint stock company. 

4. A licence from appropriate authority is needed. 

5. Only the general law of the country has to be followed for starting business. 

6. A person must be of sound mind, a major and must not be disqualified by any law to do business.

7. Thus, sole trading concern is the easiest form of organization to be started.

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