What is a key characteristic of a business in a sole proprietorship?

A key characteristic of a business in a sole proprietorship is that a single owner has full control. In a sole proprietorship, the individual owner makes all the decisions, runs the operations, and retains all profits generated by the business. This structure allows for quick decision-making and relative simplicity in management, as the owner does not need to consult with partners or a board of directors.

This single ownership structure contrasts with other business forms like partnerships or corporations, which involve multiple owners and can lead to shared decision-making and complex governance structures. Additionally, there is no requirement for formal registration with the state, although certain local business licenses may still be needed. Thus, the flexibility and direct oversight provided by a sole proprietorship are significant advantages for entrepreneurs looking for autonomy in their business endeavors.