The spirit of democracy. [volume] (Woodsfield, Ohio) 1844-1994, 1879-04-15
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wheeling Intelligencer J

A. Working Mans Business Report
Perhaps there is no city in the |United
States where Building Assc Citations have
/ f'u.ished more extensively than'i Phil
adelphia. The prosperity of these Build
ing Associations is something that Phil
adeplEa may we'll he proud 81. 80 r.
We have been particularly interested
in, the exhibit of one OF these selfman
1aged institutions known as the Artisant
Building and Loan Association. The
Secretary opens bis report by congratu
lating the Directors on the continued
prosper ty of the society, especially as
there had been. so many predictions d
it's failure, owing to the want of bu-iness
experience. among the working classes
and because they we're ignorant Of The
science Ct political eoonomv." The Sec;
retary, however, claims. very sensihly
that the science necessary in managing a
cooperative bank is the same essentially
as that needed by housewife In her 'hai
PRIV, or o tanner in his leather dressing, oil
manufacturer in his cotton factory
namely, commor sense aud economy
He adds:9.,.,E r., >,,
..in lnoking for the managers Of these
associations you are quite as CT h0a
more) likely to I'D them In the walks d'
the mechanic and labDrer as among The
teachers of political economy Discs,
irons and very distressing failures. and
bankruptcies by the hundreds,you kno y,
have, taken place among savings finds
banks, and bus ness houses maaageat ny
these political economists who csnespia
you homilies on tllatfheme by the yard,
whereas, builling Associations have been
managed successfully by the working
men themselves for the last forty years,
who perhaps never read . word onpolit;
ical economy, as such, in all their lives,
working out these associations with such
gratifying results as have challenge3 the
attention of the whole world; not CONS
ipcting them as hirelings, whose inleE-
ests being only in their salary, rather
than in the profits and net results OF the
business, but they manage them without
fear and without favor to any one, strivs
ing for the best interests of4he members
without money or.pr;ce. Therefore, tits
source of congratulation that you have
not had to Call in the capitalist in order
to have brains, and so far as you have
applied yourselves to the building of
your own fortunes. is shown your ability
in the prosperity and great success won
in this association, demonstrating beyond
question your capacity to compete Ia bu'
siness with capitalists The opportuni
ties t" sho~ this are plentiful here inthis
citv, for here you can find at least seven
ty.fve working men and women condue.
ting these associations and handling mil,
lions of capital. and putting to their; &C
count and in their pockets many thog
sands Of dollars profit tina, in other cities
go into the pockets of the landlord and
capitalist These stubborn facts throw
the enemy's ranks into confusion; fur
ther, the fact thatthnussnds 10 this city
in short time have furnished themselves
with homes. also placing themselves in Q
position to be their own landlords, max
ing rent the purchasing power Of a
home, and, further, bee M ing their own
employers-shows the way is open to all
to do the same thing Taese results oc
curing in upwards Of 600 differep,
building ass ,ciations IN this city, year
after year, with only tri6ing losses that
cause scar celv ripple ir the public con.
fidence, proving conclusively as anything
can, that under this system there is much
to be saved to the people, This is pot
theory but demonstrated fact, patent to
lyon Through your own experienc,' and
every observants person; therefore, to
supply yourselves with capital, all tbas IL
necessary for you to do is 20 ergsHize
and save your economical and hrifty
surplus earnings"
As proof OF their success, the Secre
tary citee the. progress Of this single as
socistion Tue first months deposit in
March, 1873, amounted to 81 7l3, from
l43 members. as paid up capital. Al
the end Of the first wear the capital had
increased to S27.46S; at the present
lime, March, 1879. The membership is
l2S, who paid in during the past year
the capital Of Sis, sos; this has produced
a profit in interest Of 81 847, OF more
than IS per cent the fines have been only
Sl03 Is, but the premiums on loans %
Q39, so that with the repaid leans, The
premiums on these, and the rents, tine
years capital has become S4l ,557, and
the total capital of these associations
Sl03.9l2, or an increase Of about SOC
per cent in six years. This capital each
member Of the building association con.
trolls, and uses, to certain degree, foi
the purchase of home or to start q bl.
siness. After deduction the unearned
premiums on all the loans, the net assets
are S92,Sl0, while the liabilities are 90.
2S4, leaving a surplus Of &22,032. '.,'
The business of the association was,
Of course, affected by the depression do
ring the past year, and the prudence ol
the Directors in not lending on doubtful
or speculative real estate. The embSf:
easements Of the members are shown By
the fact that during the past year Sic,
$50 we're paid for the "withdra "a" 81
shares. Yet so skillfully were the small
sums constantly paid in by the ,nembcrl
invested and reinvested. and so ssvips
and industrious we're the members, tina
the average premium Of the year was, ~
$40 per cent Oae explanation OF ID,
success OF this Co operative bank is to b;
seen In the items for "expans 8 Of man
sgement.n These are: $500 salary %
Secretary, and all other expenses for rept
Fprinting, DC, 8207. II We look at 9g
[savings banks bills OF expense OF man
Aagement each year, We will see a strikin:
contrast, and understand somethip2 z q
the causes OF the different success %
each. But still another cause is the fac
That loan. TO an industrious mechani
| IN . hottie half built is one ofaheIdafss
lof Investments, and still more so,. Ryh
! himself will receive back some o6lth
profits OF the loan.
wThe Leadville mania is little ,.ias
than folly. There are . thousand place
within the limits OF these United State
that ought to be more attractive to poe
men, and even capitalists, than Leadvill'