"The Virginia Company was formed with a charter from King James I in 1606. The Company was a joint stock corporation charged with the settlement of Virginia. It had the power to appoint the Council of Virginia, the Governor and other officials, and the responsibility to provide settlers, supplies and ships for the venture. The initial reaction to the Company was favorable but as the mortality rate rose and the prospect for profit grew dim, the support for it waned. The leadership resorted to lotteries, searching for gold, and silkworm production to increase profits. The charter was finally revoked in 1624 and Virginia became a Crown colony, largely as a result of the Indian Massacre of 1622."
Taken from: www.apva.org/history/vaco.html