What is a company owned by one person owns a business?

A company owned by one person is typically referred to as a sole proprietorship. In this business structure, the owner has complete control over operations and is personally responsible for all liabilities and debts. This type of business is easy to set up and manage, but it offers no legal distinction between the owner and the business, which can pose risks. Sole proprietorships are common among freelancers, independent contractors, and small business owners.