The comet. (Johnson City, Tenn.) 1884-1916, 1895-04-04

manufacturers require some time TO
fill such orders, and are usually behind
little then So the order for ma.
chinery can be given about the time
the buildings are nearing completion
and by the time it delivered, placed
and tt sted, some four or FIVE months
more willhave passed and $4,000 to
$4,000 accumulated in the treasury
from monthly payments on stock,
This amount makes good cash pay
ment on the purchase price of the out
fit, and other payments are arranged
for at a rate of $4,000 per month, or
less in some cases, and the surplus
kept to build up working capital.
Another plan is to have the direc-
tors make note and borrow the mon
ey, pledging the property alreaey in
hand and paid for, buildings, etc, }, or
the monthly receipts to be collected.
By this means the company pays cash
for the outfit, and, of course, gets
considerable advantage thereby at the
expense only of the interest paid the
lenders.
PRACTICAL RESULTS.
At the end of the first year the facto.
ny is in operation, and then if proper
y managed, has smooth sailing. One
that we visited informed us that they
found it necessary to call in only
seventy.two OF the monthly install
ments, or $40 on each 500 share, the
profits having amounted 10 enough
to pay the other $28 on each share.
This, too, was in section that pro.
duced but little cotton, and was draw.
ing on South Carolina towns for its
raw material paying at that time for
cotton delivered about l cent per
pound, or IS per bale, more than il
could have been obtained for by mills
had they been where the cotton was,
and this was not an exceptional case
so that factories located in good cot
ton section, where the staple may be
had direct from the producers, and all
the year around, would have an ad,
vantage of about So per bale over some
of the up-country ones to begin with
nice profit within itself.
LABOR AND ITS SUPPLY.
The labor question was also looked
into and we learned that common
farm labor gives the best satisfaction
in these small country mills. The
reasons assigned were that the "facto-
ry labor" is of rowing disposition and
people taken from the immediate
vicinity soon learn the business and
have family ties aud other local cords
to bind them to "home," so that they
strive hard to give satisfaction and
come nearer doing it than imported
people. OF course trained hands are
required to manage, but new hands &C
soon learn and are advanced that real
ly after few weeks time the expert
enced manager or superintendent is
the only one the owners are depend.
ent upon or that needs have served
his time at the business.
PROFITS, DIRECT AND INDIRECT.
These instalment mills we further
learned, have made all the way from
ten to thirty five per cent. Again
they help in another way. We were
shown in one place where the super
intendent, without interfering in thu
least with his other duties, had few
hands employed on his own accoun
in an adjoining building engaged il
the manufacture OF towels, bed spreads
etc. Purchasing his yarn from thu
mill in which he was employed anC
beginning in very small way, h,
had enlarged this side affair and hi
annual net income from it was salC
to be about $1,000. This is included
as an illustration of the possibilities
sprir ging from factory in any place
The factory itself is good thing. TIL,
smaller industries that it make
possible ought not to be lost sight Of
and they'almost invariably cause thes
to start up.
In one place we visited we learne,
that real estate had increased iror
fifty to 700 per cent, and as resul
OF one lone little factory. A lot wa
cited us that could have been bougb
y for 5000 before the enterprise wa
~ started it sold within two years fc
$1,000. New people moved inn;
J only operatives, but carpenters
y work on buildings TO rent to the hanC
brickmasons, boarding house keeper
: new doctor, lawyer, possibl
} thirty-five families within few mont
y nYnlnsiun Of those that fnnnd work