The Washington times., 1903-04-20
DISTRICT A PARADISE
FOR INGORPORATORS
Organization Possible at
Less Cost Than Elsewhere.
NO ARDU0US RESTRICTIONS
More Than Two Hundred Concerns
Have Taken Advantage Of the Lo-
cal Statute IN Three Months.

The advantages offered TO business /
men and investors by the incorporated /
laws Of the District, are far greater /
than those Of any other Territory or |
State IN the United States. Since The /
passage of the act of March 8. 1891. pre-
scTibing the manner and circumstances !
under which business enterprises and
other organizations can be incorporated
in the District, the number of such
combinations has greatly increased.
In fact, within the past year the num-
Der Of enterprises incorporated has been
so great that the District is now rival
Of the State Of New Jersey fer the die
ttnction Of being the recognized home
of corporations.
John f. Taylor. member OF she bar
of the supreme Court Of the District.
who has given The subject close study.
says;
Doors Thrown Wide Open.
Heretofore The laws governing cor
poTatjous and their formation in the
District II Columbia have been so rigid
and severe that few bodies corporate
have formed here. But Congress. by
the act Of March 3, 1901. has dealt more
lenientIy with corporations, not for the
sake of revenue. for there is no tax on
incorporating in Fhe District of Column
bia, but TO give fair and honest business
an opportunity. to grow and thrive IN the
District Of Columbia. As a consequence
more corporations have been formed
ten years. Today the District Of CoIum-
bia offers the greatest advantages in
the matter of costs of Incorporating and
annual taxes, as well as the greatest lib
crafty in the matter of place and time
Of holding meetings. TO fair, honest, and
Straightforward corporations, of any ju
risdiction in the United States"
Conditions in Other States.
Continuing. Mr. TAYLOR says com
parison IF the laws of different States
governing the organization OF corpora
items shows that the places Of business
Of organized enterprises under the laws
of many. States may be beyond its Dor
ders. The law of incorporation of Ari-
IONA, however, requires that the princi-
pal B1dtE ui BuStLsSE u an enter EA leti
organized under its law must he within
its territory. The law Of the District
prescribes II is only necessary that one
OF the Offices of the corporation shall be
within the District of Columbia Cor
porations organized under the laws of
Arizona are limited 10 a certain number
OF years. IN West Virginia the period
IS fifty years. In Kew York. New Jer-
sey. and Delaware. and the District the
life Of a corporation organized under
their laws is perpetual
The law relative to the amount O.
capital stock necessary to warrant The
organization of a business enterprise Il
different in the States mentioned II
Arizona and West Virginia there IS n,
limit either il minimum or maximum
as to the amount Of capital stock Tequir
ed In Delaware and New Jersey In
amount stipulated is s.. o0o. one-half 0
which must be paid in before bushes
can be commenced. The law OF the Dis
trict does not specify any amount q
necessary TO warrant incorporation. an
requires the payment of only 10 per cen
of the capital stock before business op
erations begin.
Requirements as TO Residence.
The local law. however, requires tha
a majority of the incorporators Of an
enterprise shall be residents Of the Dis
trict The laws OF Arizona and Yves
Virginia do not require any OF the IT
corporatoTs of a business enterprise OF
ganized in those States 10 be resIdenr
while the laws Of Delaware. New JeI
sey. and New York call for only on
Of the incorporates 10 be a resideI
fl the Jurisdiction.
IN reference TO the first cost OF O,
ganizing corporations. Mr.. Taylor sal
the advantage is greatly in favor of Il
District The first cost IN The di1erea
States is. Arizona. $50 or more. Dell
ware. SCI or more; New Jersey a.
New York. So and up; West Virgini
SIS, and the District, from $50 TO So
Under these favorable circunas tances
is not surprising that within the pa
two years there has been marked j
crease in the number OF business cnte
prises and other organizations Whi
have been incorporated in his 1uTlsdf
ZION. In the past three months, and
10 date 22I organizations of dlEere
kinds have been incorporated under {
laws OF the District IN ihese
amount Of capital stock named vari
from $1,000 all the way 70 s5,03o.0Go-