Some Equality Colony dissidents, led by George Washington Daniels, incorporated the Free Land Association in 1900 and established the colony on land they purchased through James P. Gleason of the Fidelity Trust company. Members purchased dividend-paying shares in the association store fund and the machinery fund. The association store operated according to Rochdale Principles, and shares in the store were sold to non-residents as well as association members. Because members could pay for their land with dividends from their shares, the founders considered the land to be "free". By 1902, however, the colony announced that new settlers would have to purchase land outright, as the idealistic land-financing plan based on share dividends had not worked.