A sole proprietorship company refers to a business owned and operated by a single individual. This particular business model can be established within a short span of fifteen days, making it highly favored, particularly among merchants and small traders in the informal sector. Unlike other formal business entities, sole proprietorship does not require separate registration, as it is identified through alternative registrations like GST registrations. However, it's crucial to note that this type of business carries unlimited liability for the owner and does not have perpetual existence.