The Portland daily press., 1886-11-13
a COOPERATIVE VENTURE.
Dividends Which the Knights of
Labor expect from their New Store.
The Method of Managing the Es-
tabllshment.

Last night there were nineteen or twenty
men In the new cooperative store which the
Knights of Labor have started opposite the
Merchants Exchange Hotel on Temple street.
every person who bought anything paid
caSI down, and received slip of paper, on
which was written the amount of his pur-
chase. The storekeeper, Mr.. NJ. l.. Stick
hey. explained that these slips would entitle
the purchaser to share in the dividends
The store had been open since Tuesday, he
said, and ne thought that enough people
would wish to participate in the dividends
to make the business profitable to the
stockholders. One man said that if only
the stockholders bought their groceries at
the cooperative store, there would be pur-
chasers enough to make it success.
just then some one announced that there
would be stockholders meeting. and most
OF the men, who turned out to be stock
holders, went into back room to discuss
the affairs of their venture.
From Mr. w. IL. Jewett, who is treasurer
OF the association which manages the
store, PRESS reporter learned the plan of
the venture, and expectations of its pro-
moters. They have modelled the organiza-
tlon according to the principles governing a
similar concern called the Arlington store.
in Lawrence, Mass. The bylaws of the
Lawrence association, having been revised
Dy the Portland co-operators, are now being
printed as the bylaws of the new concern.
Mr. JeWett said the association at present
consists of about sixty members whu have
paid for their stock and many subscribers
who have not paid. This winter an appeal
VIII be made to the Legislature to incorpo
rate the organization by a special act, this
method being desirable for its cheapness as
comparedwith the usual mode of incorpo-
ration under the general law. The stock
mas paryalue of So per share and no one
can buy more than 200 shares. Interest on
the stock at the rate of per cent. per
annum is to be paid quarterly. A PROPOSE
tion mas been made to limit the issue of
stock to 1000 shares, but it has not yet been
decided to fix the limit at this amount.
The store will contain stock of provis
Ions and groceries to be sold at ruling mar
ket prices, and now comes the cooperative
feature of the plan. Every purchaser at the
store receives checks with the goods he buys
and when the quarterly pay day comes
around, he has simply to present these
checks, said Mr.. Jewett and receive his div
idend. The dividend fund is the net profit
after the payment Of expenses and interest
on stock and is divided among the customers
in proportion to the amount represented by
their checks, stockholders receiving full div
idends while the outside customer gets half
dividend. MIR. Jewett says that the Law
renee store has been in operation some time
and pays good dividends. There is coop
erative establishment at Lisbon Falls which
is reported to have paid well.
There is another part of the scheme which
Mr. Jewett expects will be both help to
the association and its patrons, giving the
former sufficient income to pay the rent of
the store and the latter chance to buy their
goods cheap. The association will make an
agreement with merchants in other lines of
business to make a discount to the customers
OF the new concern. This is to be brought
ABOUT In tnls way A man purchases, say
suit OF clothes. He pays for them and, be-
ing customer of the cooperative store, pre-
sents there his receipted bill. He is allowed
the same dividend he would receive on goods
OF equal value purchased at the store while
the association receives from the clothier,
upon presentation of the bill, the reduction
he has agreed to make. Mr.. Jewett thinks
that such an arrangement would be SO ad-
vantageous to merchants that the co-opera-
tive association could pay its rent from the
receipts from this source.
The officers of the association are as fol-
lows:
President-Andrew W. Smart
Treasurer-W. Ii. Jewett.
Storekeeper-M. L. Stickney
Clerk-T. A. Hearn.
Directors-L. b. Howard j. L. Llttlefield A 8
Davis, Eben Marston b. b. Martis' III p Mo.
Carthy John b. Elliot and Joseph Harris