Rail companies wanted to span as far west as quickly as they could, and some were in competition with each other. As tracks were rapidly being laid, so were people to follow. Unlike major cities that had dedicated city planning layouts, rail towns were informal settlements that grew over time.
Other than being a train stop, rail towns had to accommodate and support its locals and migrants. In a typical rail town, one could find a bank, taverns (or saloons), several hotels or inns, a post office, and a jailhouse. These towns kept seeing a rise in population, so they also needed the means to keep up. Soon businesses like apothecaries (known today as drugstores), a blacksmith, and a telegraph office were commonly found. The need for these businesses meant rail towns saw a lot of economic growth, and people were needed to run them.
For some fun, locals could visit dance halls, gambling houses, or see a theater show. People like Buffalo Bill earned their fame by providing entertainment during this era.
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