Proprietorship is preferred forms of business in India by small businesses.
It is a business structure in which an individual and his/her business are considered a single entity for tax and liability purposes. The owner is inseparable from the proprietorship, so he/she is liable for any business debts.
One of the great features of a proprietorship is the simplicity of formation. In fact, no formal filing or event is required to form a sole proprietorship; it is a status that arises automatically from one's business activity.