It's a pretty well-established tenet of capitalist economies that you must be free to start a business without risking your personal financial assets
Not so, you may want to check out the book "
Gangs Of America" [free download from the authors site, and a great read] that meticulously details the legal history of the modern corporate structure from its beginnings as "companies" given charter by Monarchs to loot & plunder much of India, Asia & the East Indies as territories. The corporation and limited liability is a relatively modern invention through a series of court cases after the US civil war to the 1930's. Capitalism operated successfully long before the modern corporation arrived.
Business owners & directors who are shield themselves from liability via these structures are free to take excessive risks because there is no risk to them personally. Directors of banks in Switzerland are personally liable for all their wealth, and operate in a more conservative manner than in other jurisdictions. Capitalism is about
risk & reward. Remove the risk, and you no longer have capitalism. What we have now is a system of crony capitalism.