Essex County herald. [volume] (Guildhall, Vt.) 1873-1964, 1880-05-21
CAPITAL In Farming.

There is a mistaken idea very preva-
lent, net only among farmers, but with
the public generally, that little capital is
required in the business of cultivating
the soil, when the real fact of the case is
that the farmer requires more capital in
proportion to the business he does than
either the merchant orthe manufacturer.
He has more unproductive plant" so to
express it, than almost any other occu
patton requires. He has first to purchase
his farm and tools; the better these are,
the more successful he will be in his re-
suits; and often from want of pecuniary
means he is compelled to purchase poor
cows and other cattle, which, in fact, are
dear at any price. Again, whatever he
invests he can hardly expect to turn, in
the way of trade, more than once in the
year, whereas the merchant or manufac-
turer turns his capital many times in the
twelvemonth. The farmer puts his seed
in the ground, and until it natures his
capital lies dead, and the processes of ma
ture cannot be hurried. When the crop
is gathered, it is not sold for money, but
is put into the barn, to be fed to his
stock. A calf must be fed two or three
years before it is suitable to send to the
butcher, and all this time the cost is dead
capital.
The farmer purchases manures and
fertilizers in the spring: he buys his
seed, and to these must be added the la
Dor. Say the land is laid down to grass,
the first year he obtains a small crop
only, and for several seasons cannot reap
the full benefit of his investment of
money, time and labor. He sows his
wheat in the fall. In one year he will
have his crop harvested, and perhaps in
six months more it will be sold, thus re-
curing eighteen months before he real
ICES any money from the investment.
Just so with all other grains and crops;
he must wait long and patiently for his
returns. A merchant frequently pur-
chases goods on three or four months
credit, and sells them before his notes be-
come due, realizing his profit, and, in
fact, without cent of capital. The
farmer rarely enjoys any such chance as
this. The merchant says the interest ac-
count is an important element in his cal
culations; so it is with the farmer equal
ly important, making great inroads into
his moderate profits.
Surprising the farmer, to illustrate this
idea of interest, should commence with
his calves, and at their birth charge
them at such figure as they are really
worth; then at three months of age esti-
mate their value, adding interest on first
cost for ninety days and the cost of feed
ing. Again at six months go through
with the same process, and so continue
until his COWS or steers are sold; we
think that he would get an idea of this
interest account in this way which he
never before realized. The unthinking
merchunt, when he talks about the
farmers not having to consider any inter-
est account, is very far from the truth.
Some of the products of the farm are sold
for cash, but very few; milk, for in
stance, is nearly Away sold on three or
four months credit, and the capital upon
which many large milk dealers do bust
ness in our cities is furnished by the far
mer.
We do not wish to be understood as
discouraging agricultural farming inter-
est; it is the great basis of the nations
prosperity, and without it no country
could live. 1t is undoubtedly the most
healthful of all occupations, and brings
us nearer to nature than any other. But
our object is to show that there are two
sides to this, rs to all other matters, and
that in making up ones mind upon the
subject, there are so many things to be
considered. All is not rose-colored in
any occupations the merchant is neces-
sary in hisssphere, the farmer also in his,
but neither of these occupations can be
carried on successfully without capital,
and the matter of interest account applies
equally to both.-Anlerican CuEtiv0tOr.