Staunton vindicator. [volume] (Staunton, Va.) 1860-1896, 1881-05-13

no necessity for changing the date of
the meeting of the State Convention.
JOINT STOCK COMPANIES.
1t is very unfortunate for the interests
of our city and section that most of the
joint stock companies formed in this COM
munity since the war have come to grief.
If our natural advantages are to be turned
rounding country in minerals, timber,
wool and other raw materials are to be
developed, resort must be had to co-opera-
tive effort. Manufacturing and mecbani-
cal enterprises, in the present age of com
petition, to yield good returns must be
conducted on larger scale than can well
be done by individuals, or partnerships
composed of only two or three PERSONS
The greater the number of articles of
given kind that are made the cheaper can
they be made. Small enterprises cannot
compete with larger ones-but large en-
terprises require valuable machinery and
considerable working capital in money;
and these cannot be furnished at present
by individuals or small partnership firms
composed of our own people.
We have no millionaires, not many who
reckon their fortunes by hundreds of
thousands, and amongst the wealthiest,
there are but few who have much surplus
capital. Many there are, however, who
could easily contribute thousand OF more
dollars each towards starting a manufac-
turing enterprise that could be made to
pay well.
The Charlottesville Wooden Mills and
the Monticello Wine Cellar, both, we be-
lieve. originated and conducted by joint
stock companies, are paying well, and their
goods have deservedly high and well es-
tablished reputation IN the market. There
are also manufactures at Winchester, es-
tablished and conducted in the same way.
The iron furnaces at Lowmoor and Long
dale, fifty or sixty miles west of US on the
line Of the G. & o. r. R. are said to be
also yielding the most satisfactory results.
These establishments are the creations of
joint stock companies.
It is not difficult to account for the fail
ure of the corporations that have gone
down in our midst, Want of close atten-
ton and judicious management; this is the
whole story.
The man who subscribes for thousand
dollars of stock in company. pays down
his money and dismisses the matter from
his mind, is not likely to realize any large
returns. If he wants his talents to grow
be must see that they are entrusted to
good hands. He'must attend the stock
holders meetings and see that fit, capable
and trustworthy men are chosen for the
management Of the company's affairs
men who are not only competent to dis
charge the duties of the Offices to which
they have been chosen, but men who are
themselves large stockholders and so have
direct personal interest in the success of
the enterprise. John Garrett owns too
much stock in the Baltimore & Ohio road
not to manage it to the very best advan-
tage of all the stockholders.
The time has come for manufacturing
enterprises to pay in our midst, and they
must be established or we inevitably lag
progress.
The law applicable to joint-stock COM
panies as it now exists in Virginia, is well
established. There is no personal, or
double liability as it is sometimes
called, upon stockholders. The utmost
that can, in any event, be required of a
stakeholder. under existing law, is to pay
for the stock for which he subscrlbes.
This is the extent.
In Georgia, the pioneer southern state
in manufacturing enterprises, factories
have been recently established by Joint
stock companies, resident stockholders
taking one-ffth and non-residents four
tifths.
Cannot something of this sort be done
here? It Is folly for us to expect that
non-residents and strangers will come here
and establish these enterprises without oul
cooperation. A man is not apt to risk hi
money in strange community unless
there is some one in that community who
is interested in seeing that he does not
lose it.
IF we think this good plan for manu-.
features let us show our faith by oul
works. We may not be willing to risk oul
all upon our judgment, but surely We
should be willing to risk something. Want
of space prevents our saying more now
We may recur to this subject again.