Companies are creatures of statute. They do not come from the common law, or from custom. They didn't evolve naturally over time. They were invented. You can choose to form a company if you want the benefits that entails. But forming a company isn't free or completely painless. Still, it's a choice you get to make. Nobody can force you to form a company.
That being said, it does sound like it is a lot more complicated in the United States than it is here in New Zealand. Here the government tells you clearly how to do it, and it's pretty cheap and easy.
https://www.business.govt.nz/getting-started/choosing-the-ri...