The New York herald. [volume] (New York [N.Y.]) 1840-1920, 1861-01-03
WE MERCANTILE FAILURES In 1850.



Dun, boyd ~ Co.'s Annual Circular.
0tF5os AsRuAsTLg A.sAt1,
Nrw YoaK, Jan. ], 1851 J
10 opR srHstrnHRs.
me necessity OF the existence Of union and harmony
1os~esn the mercantile political interests Of nation
n probably never been more plainly demonstrated
han by the history OF our country for the pas three
nonthe We are ~ the midst OF crisis, the END OF
vksh must abide the political issue now ut stake. Last
oetober were, people, rich IN resources almost
entirely recovered from the elects Of the panic in 1857
lee from foreign debt to unusual degree and with the
promise q an eminenty prosperous future. VINO can
nay what that future will be7
Tie present disturbed and deeply to be hmsnted state
Vi AFFAIRS confines us necessarily 10 simple revision OF
Ne accompanying statistical table OF banki lptccsoF the
past year, with such suggestions az naturally follow
In III compilation, failures, as they appsar month by
nsnth have come before as They have shown that Tor
ms nine months preceding October the total number Of
failures was 30I6 with an indebtedness Of SIS 32 1856;
aud in the throe mouths following, loctober,
November and Decemberl, So failures with liabilities
u she amount OF SIS. 6sT 653 Recent heavy suspen
sioas IRE not included They would augment tho
amount materially The rst 076 failures that occur
N the ordinary course OF business and though the
Der ,s about much II ~ the Time the year
preceding, the amount is much smaller Tho ni weed
ing out Of the remnants of 1857 WAS nearly re he'd
The second class by the comparatively small numbT VI
houses that have yielded ana by their Ga
wessive liabilities shows tho effect of the political CRISIS
se public and temseiyes This tho total for
shs year, showing Sss0ls7l against 600 Tor
lSBG
viewing the workings tle credit and its rela-
tn 10 tho Mercantile Agency, we have made careful
U
AID they speak themselves: We hnd as you win oh,
BY table, that the Agency gave unfayorabe
ana eauCnary advice in 2S77 instances nyclyng the
indebtedness Of $50 800 35s it must however, be
nembered that OF this 65l very large proportion we're
cay houses who have succombed TO the present pressure
within the past few months and who, as previously
stated took and deserved high rank in the community
We're rot for this the record would SHOW dasrce Of
aud caution that exceeds even what we had anci
psted
crisis like the present Affects in some degree every
No
~ sacrifices or fayors or perhaps by creating Large
Issntial indebtedness The motives which load to this
are not unfrequenty the offspring OF good Intentions but
IN many cases they proceed from mistaken policy. me
course pursued rarely ends in ultimate recovery, and
thc general good most instances would DO better pro-
by fair rpose OF the condition of tho trader his
creditors the time Of need The heavy losses and the
indicate clearly the importance OF strict
adherence TO more rigid system 81 credit
have at all times maintained tina, candor N com uerce
> not sufficiently cultivated Tho applicant for credit
should not only be willing, but desire 70 trnthfny make
Known his worth and condition. This disposition II has
been object OF the Agency " promote aud cultivate
much possible, and ts good affect has been appa
rt to both creditor and debtor Our experience
that not the deserving and sound who hesitate to
disclose their condition, but the contrary the weak
aad wavering A large proportion Of merchants aSe
pants TO their condition showing in detail snd
liabilities and they both time and the necessity and
peryexity OF constant explanation. These truthful
statements always pleased to place records
he benefit Of which has only 10 bo weighed 70 b. pro
The tenor Of the advices which reach us from all points
South, warrants in saying that need doubt the
honorable intentions of the Southern merchant and that
has indebtedness will be faithfully discharged prompt
events permit. There viii 10 delay IN settlement
Out this delay will not arise from any premeditated
cause or present desire TO postpone payment.
he reslamations cotton last spring and at
present, have had Their influence ia producing q
STRINGENT money market. For two three
nonths during the spring, there was an ave,
yaSe loss Of 81 60 per bale all the cotton shipped
he had TO be met mainly by bank accommodation,
sDd this has compelled renewals in ful OF acconlmoda
Con through all the Southern bank centres. This
has in a diverted the ba mixing capital from bust
snd fact stagnated capital and paraiyzed business
Added this want Of confidence engendered by the
sent political crisis will readily show that very general
viii be needed BY Southern merchants and,
think, safely given.
Since the panic OF 1867, in consequences q the dc
pressed and banrup. condition Of the West the southern
trade has been courted very generally and 70 extent
that induced large purchases beyond the wants ard
ecsstos of that section. The West has nov
herself to make the trade in that direction
VIC would guard subscribers against encouraging Ibis
reaction too far.
Animated by desire TO protect the interests of all
who require II, have within the past year opened
vile. IL has met with the cordial good VIII OF al pro
lament citizens, and bids fair ~ enure 10 the advantage
o the section embraced within its The loreToch
hg enterprise which, ia the day Of commercial prospo
fy developed itself Ia tho establishment Of hume
Southern ofces promises, especially AT
tine like the present. Of the utmost importance
the whole trading community, and as we stand alone IN
regard to such facilities, feel that have a right to
impress the value Of this fact subscribers and the
psblic and to direct attention To the advantages pos
the great conseryntoTs Of credit Throughout tn
eninc country We are faithfully yours,
Dun, BOYD CO