Sole Proprietorship or Limited Company?

mdarafat5724 · Post by **mdarafat5724** » Sun Jan 12, 2025 5:06 am

Place of Establishment

The most obvious difference between a sole proprietorship and a limited company is the place of establishment. Generally, individuals and businesses need to choose a shop during the company establishment process. Individuals who will establish a sole proprietorship usually have more advantages than the limited company type in terms of workplace addresses.

Because people do not need to rent or open a shop to establish a sole proprietorship. People can show the address of their own home as the company address. This highlights that establishing a sole proprietorship is easier.

It is not possible for people who will establish a limited company to south africa whatsapp data show their homes as the company address. Therefore, before the limited company establishment process, you need to have a physical shop that you will show as the company address. This actually causes the capital for establishing a company to increase.

You can go for sole proprietorships without looking for an answer to the question of whether to choose a sole proprietorship or a limited company by considering the capital.

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Place of Establishment

Required Capital

One of the issues that people who will establish a company care about is the required capital. Because people need capital to establish a business. Although the required capital varies depending on the job to be done, the amount of capital you will need in the process of establishing a company also varies.

The most important point that people looking for an answer to the question of whether to establish a sole proprietorship or a limited company should examine at this point is how much capital is needed.

Sole proprietorships, which have a legal personality, actually stand out as a type of company that can be established with little capital. Generally, individuals need a capital of between 500 - 2000 TL to establish a sole proprietorship .