Ellayne manages a busy law practice as a sole practitioner.Which of the following is a major risk of Ellayne's choice of business form?
A) complications arising from the inability to contract for employees
B) adverse affects of illness or incapacity
C) complications arising from the hiring and firing of employees
D) adverse affects of taxation of profits

Question

Quizplus · Accepted Answer

As a sole practitioner, Ellayne's business is heavily dependent on her personal ability to work. If she becomes ill or incapacitated, it could significantly impact her ability to manage her practice and generate income.

Ellayne Manages a Busy Law Practice as a Sole Practitioner