Glossary • Updated 2026
Sole Proprietorship
Unincorporated one-person business: zero formation cost, zero shield, Schedule C taxation.
In detail
No $800 franchise tax and no reports: the cheapest way to test an idea.
Owner is personally liable; one contract dispute reaches personal assets.
Graduate to an LLC before revenue, employees, or inventory arrive.
Where it matters
More definitions
Sources
- Cal. Rev. & Tax Code; 8 Del. C.; Wyo. Stat. Title 17; FTB/SOS glossaries