What Are Disadvantages Of Informal Business?

Disadvantages of informal businesses
 They are not legally recognized.
 They are not always reliable as profit making enterprises.
 Their access to loans from financial institutes is not clear.
 They don’t comply with the social security regulations.
 
There are many disadvantages of informal business like sometimes people in an informal business talk senseless and in some cases a wrong thing is presented to the public which leads to terrible results. This business avoids change and sets stress on implementing the old methods.
 
Disadvantages of informal businesses
 They are not legally recognized.
 They are not always reliable as profit making enterprises.
 Their access to loans from financial institutes is not clear.
 They don’t comply with the social security regulations.

Hey jagruti, thanks for sharing and letting us know about the negative points of informal business. Well, i have also got a document where you would find more detailed information and its disadvantages in more simple way with examples.
 

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