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Need some help here. New to game. What is the best strategy when starting out on campaign playing union. I am producing troops. It seems that you can only have small forces because when I put troops in with lets say 4 or 5 generals, I get command point penalties of 25 to 35%. what is the best way to stat out. Do I have to have 2 generals with only 2 or 3 troops in order not to get command point penalties. I have a lot of troops with 4 generals and have like 35% command point penality. What and how should I form my forces??

Each brigade has a menu that tells you how many CP's it costs to lead that unit. As you may have read in the manual, a General can command a limited number of CP's depending on his rank, whether he is leading a Division in a Corps/Army stack or alone. You want to make Divisions with active Generals so that you get to put 17 elements in one Division unit that costs only 4 CP's. A Corps or Army stack has over a dozen CP's available to command several Divisions, so that lots of troops can move and be under command with no penalty in one stack. However, the ability to make Divisions doesn't happen until October 1861 and the ability to make a Corps doesn't happen until April '62. Until then you can only appoint three 3-star Generals to be army commanders in 1861 and 3 additional in 1862. The armies can command over a dozen CP's in brigades and later Divisions.

Units have a cost in Command Points (CP) you can see by hovering above the unit :

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Generals provide CP based on their level :
1 star: 4 CP
2 stars: 8 CP
3 stars: 12 CP

But the maximum number of CP provided by leaders in a stack is 16 (this limit can be increased by special units like balloon, signal unit, ..., special ability of general and strategic rating of corps/army commander)

Moreover, the CP generated is halved if the stack is not an army or corps stack (i.e. independant stack). In other words, you can't have more than 8 CP in an independant stack (but you can increase this limit with special units or a general special ability).

A division will cost 4 CP independantly of the cost of units belonging to it.

You'll have a 5% penalty for each CP cost of your units above the CP generated by the generals in the stack, with a maximum of 35%.

So my basic advise is :
- build army
- build division when available (october 61)
- build corps when available (in 1862)

Thanks for the info guys.