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Incorporations, chart. 1, p. 13, and chart. 3, p. 23]. Despite set The arisen corporations, the majority of the enterprises up to 1890th years, Still, have not been incorporated. The adherence reasons to old forms The organisations were, probably, are various for big and small enterprises:
1. For the small firms working at local level, costs on
Bias against the proprietor or the business partner operating
To firm and trying to limit responsibility for debts with the help
Incorporations. Of such people usually required (and acceptance require till now)
Private responsibility for the basic corporate debts. In the end of the XX-th century the small
To the enterprises having the corporate system, the tax have been given
Advantages which have made such form of the organisation very popular, but in
1890th years of such advantages did not exist.
2. For enough big firms which had possibility to run of business in several
The states, the first laws on creation of corporations were inconvenient, as is overwork
Limited the forms of the business supposing sharing of incorporated firms,
Made overwork demands to the capital of corporations and to a stockholding
Other corporations, that is limited possibility of creation of affiliated companies
For business management in other states or in other kinds of business. These restrictions
Were tolerant in a XIX-th century, as number of the firms operating simultaneously in
Several states, it was insignificant (unlike the factories selling the items
To dealers of several states). Few firms working simultaneously in the different
States, could try to receive permissions of a legislature: still in
1892 company promoters "Dzheneral the Electrician", created for acquisition
Factories in New York and Massachusetts, strove on acceptance by the legislative
Meeting of New York of special certificates instead of using the general
Laws on creation of the corporations, acting in New York or in New Jersey.
3. Ease of sale and purchase of corporate shares was rather attractive
For investors. An example of railway shares in which constantly traded on
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