The company began construction of a new complex of buildings on the south side of the Georgia Railroad line, east of downtown Atlanta. By 1881, the company had become known as the Fulton Cotton Spinning Company, adding a bag factory to the new site in 1882.

By the end of the 1880s, the partnership between Jacob Elsas and Isaac May had dissolved. One part of the company evolved into the Elsas-May Paper Company and the other, led by Jacob Elsas and incorporated in 1889, became the Fulton Bag and Cotton Mill Company.