It loses BAB, Reflex save, HD, and skill points. More importantly, it loses higher-level Bardic music effects.
Biggest trade-off isn't so much the loss of class abilities, though. It's the pain-in-the-ass prerequisites that keep 'normal' Bards from being able to get anywhere near the class. Basically, you spend ten levels being an ineffective Bard in order to become an ineffective Sorcerer. With some nifty Bard spells. I use the class in a lot of my 'mental exercise' builds, but usually not more than a 1 level dip before finding an appropriate multicast PrC like Fochlucan Lyrist or Eldritch Theurge.