Savannah morning news. [volume] (Savannah) 1868-1887, 1884-10-01

How Il Can be Bunt wisA SaTannah
Capital

Capital
Editor Morning Nel5s: Tne history Of
the Citizens Mutual Loan Company and
the Savannah Savings and Loan Company
Of this city, affords an illustration Of what
can be done BY savings. The last named
company was organized for the purpose
Of accomplishing what the projectors OF
the Commercial Bank Of Savannah had
failed 70 accomplish-the establishment
n another bank in the city OF Savannah
This company. from monthly inst allments
y e uuou each share Of its stock. has
now a eapitaI Of so. 900, and there is every
Trobahilitv that it viii accomplish the
1-rrosa OF It's creation IN less tnan TWO
years from this date.
The above viii indicate what Is about
IN fa suggested with reference 70 the new
hotel II $4,000 viii purchase the LAID
ma build such A hotel as is contemplated.
49, a guaranty % Is per cent. Of this
amrurt can pc secured a. yearly rental.
"A lftrlp calculation viii SHOW that 800
shares 0f stock % BE paid for IN monthly
instsIlments Of s. each viii. with this
rental. work the debt out in eight aud =
half years. In other words II SS3l-uoJ
can Be borrowed AZ 8 per cent. upon
mortgage Of the hotel property and the
=ill Re binding upon the stockholders 70
the extent Of their subscription. we VIII
have the means 10 put the scheme INTO
immediate operation To pay OF t1ls
feh- we VIII have yearly Sls.@ Y
from The rental q the hotel and
$50. 600 from the monthly lnstallments
upon the stock Of the company. making
% 200. This being appropriated 70 the
raynent % the debt % S3-1cul- running
6 ~ q 81 u
, half wears. Five hundred snares OF
stock 70 be- paid for in monthly install
warrS of s. each. until the amount paid
f0 mon each share shall reach the sum 81
sILl. viii furnish the means, together with
Tue rental Of the property. 70 carry out
rue purpose desired. and 10 allowance Is
made for employing the money coming IN
upon stock during the year and until Il
-lall h paid upon the debt.
Il * assumed. of course. that there
are business men in Savannah whose
acquaintance with the avenues Of trade
would enable them 10 arrange for the
loan Of SS90.UC0 The security would he
-afe. stock o. This nature. II allowed 70
falI ia arrears. il at once sold and thus
passes into hands able 70 carry il. And.
furthermore many subscribers 70 the
stock would doubtless Be willing 70 pay
no in fun upon the allowance q certain
interest.
The hotel can thus be built with Savan-
nan capital. and every man and woman
n the city. with any income at all, may
become stockholders in the enterprise.
The subscriptions % TIE stock upon this
basis. and for such a purpose. could he
readily obtained. and the company could
commence OperatiOns-the process Of saw
iug-as soon as a charter Is obtained from
the court in December.
Nothing has been said above about
tIrss. because IN place tax Of 8 per
cent. Of the value Of the property into the
! account would simply defeat the scheme.
IL the city Of Savannah, interested as II
! viii be in the success Of the enterprise.
VII not relieve the property from taxa
ton. at least until the stockholders com
mence 10 reap an income from il, the
whole thing had better be abandoned.
With this qualification the figures are cor
rect. J. i. WHATLEY.