Liability sole trader
A sole trader is responsible for the liabilities of the business. Liability is unlimited and includes all personal assets, including any assets jointly-owned with The biggest downside to operating a business as a sole proprietor is the liability you are subject to. If your business incurs debts that it cannot pay from the profits Sole proprietors have unlimited personal liability. There is no legal distinction between the owner and the business. This means that creditors of the business and