Stephan Schwab

Stories, software, and a life lived across several worlds

Company Law

A Hundred Clamps

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Our four children sleep beside my workbench. When I file iron after dark, I lay a cloth over their blankets to keep off the dust. My wife is carrying our fifth. She watches me sweep the filings from the table before we eat there.

An ironworker makes a clamp at a workbench in a cramped family room while his pregnant wife and four children watch.

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I have made a clamp that holds a board fast with one turn of the screw. The carpenter has ordered a hundred. If I can buy the iron, I can finish them here and perhaps rent a room that belongs only to the workshop.

The iron merchant offers me credit. My wife asks what happens if the carpenter cannot pay. I tell her I have heard of a new kind of company, a Gesellschaft mit beschränkter Haftung. I will ask at the court before I sign anything.

The clerk shows me the new law. It is May 1892. A GmbH needs 20,000 marks of subscribed capital, a formal agreement, paid contributions, and registration. I have my tools and the order in my pocket. Neither will get me through those steps. If I order the iron now, the debt will be mine.

That night my wife stays awake while I count our money. The next morning I sign my name in the merchant’s ledger.

I make sixty-four clamps before the carpenter’s shop fails. He owes me for the work. I owe the merchant for the iron. When he comes for payment, the children are eating at the bench. I have to move their bowls so he can see what I have made.

By winter our savings are gone, and we cannot pay the rent. My wife packs the children’s clothes while I carry the clamps outside. At the carpenter’s sale, a stranger buys them for less than I paid for the iron.

Our youngest asks whether I am coming home with them. I look back at the room, at the clean patch on the floor where my bench stood, and cannot tell him where home will be.

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