What type of business entity has unlimited liability?

A sole proprietorship has unlimited liability, meaning the owner is personally responsible for all debts and obligations of the business. If the business incurs debt or faces legal issues, the owner's personal assets, such as savings or property, can be at risk. Similarly, general partnerships also face unlimited liability, with each partner personally liable for the debts of the partnership. This contrasts with limited liability entities, where owners' personal assets are generally protected.