Virginian-pilot. (Norfolk, Va.) 1898-1911, 1899-03-24
BUSINESS METHODS ABROAD.
How Commercial Transactions arc
Handled in England and on the
Continent.

In an address on the subject of "Busi-
ness Methods Abroad" recently deliv-
cred before the Business Mems Asso-
citation of Auburn. n. Y, by Roland r.
Dennis. formerly European manager for
the Whitman & Barnes Manufacturing
Company some very interesting facts
about the manner in which business
transactions are handled abroad were
given. From his remarks the follow
ing extracts are taken:
SATISFACTORY METHODS IN
z FRANCE.
s"From n general standpoint, the
Frenchman is undoubtedly the best
man in the world TO do business with.
He is more easily approached than any
Of his European competitors, and he
certainly has n much higher apprecia-
ton of his obligations regarding pay
ments. By far the largest part Of the
collections in France are made by
drafts. There are only two pay days
In the month. the 18th and the last day
of the month. Should either of these
days full on Sunday, the draft is paya-
BILE the following day. Drafts. unless
for large amounts, are never sent for
acceptance. The mere fact that II draft
has been put in circulation by re-
putable firm is prima facie evidence
that the amount Is correct and payable
on the day the draft falls due. These
drafts can be discounted at your bank
ers at a rate generally about onc-half
or three quarters per cent. above the
Bank of France rate.
LAS IL proof of my statement above,
] may say that out of about 100 to
LOO French drafts handled by me i'll
the season OF 1897. varying in amounts
from fcs. 10. IL or ID 10 10000 or 10000,
we only had some six or eight of the
small ones returned unpaid. and OF
these two or three were clerical errors,
afterward corrected. and the eventual
loss iDfinitpgiupnl In like
ours where non-payment of Il draft is
almost the rule. and not the exception,
1t Is hard to believe that Il merchant
can easily lose social caste IL he let's
too many drafts drawn on him be re-
turned unpald, but that is Just what
docs occur in the smaller places in
France. Women enter more largely in
to prominent business affairs in France
than in any other part OF the world
With which am acquainted. ft iift+iAs-
of the smaller business houses you will
find the wife to be the man of the
establishment and / note just here
that In all such cases ii has. been our
custom to extend liberal credit. as our
experience teaches us that houses cs-
tablished on this plan are almost al
ways highly successful.
HOW THEY PAY IN ENGLAND.
The small dealer i'll England is al
most the exact reverse of his cross
channel, friend. lie buys goods of Won
cent. for cash on the 18th of the month
following the date OF the invoice. let's
the account run four or six months.
and when YOU finally impress him with
the fact that your good nature is about
exhausted. he sends on Il check for the
amount less the ~ per cent alice
samce. If you take the check in you
may whistle for the discount. and If
YOU send the check back. calling his
attention TO the account being long
overdue. and hence not entitled to any
discount, he will without doubt send th.,
discount on In postal orders, and at the
same time tell YOU that lie has no in
tcntion of ever buying anything fur
ther from concern that resorts to
such sharp practices
In England all the Important COM
panieS have Il monthly nay daV This
may be the third Thursday. tho 25th of
the month, the last Wednesday. or any
other day we'll towards the last of the
month. With these houses YOU are
obliged 10 arrange terms and allow
cpsh discount. usually -. per cent for
= monthly settlement. Surprising Twee-
dy. Smith 4: Company's pay day to be
the 10Th, they would send YOU on that
day Il check for all the goods invoiced
them the preceding month, less the
cash discount. Or. in other words. Won
would be paid at the end of Novcm-
Der for all the goods nvoiced in Octo-
Der. In Manchester they go one step
further than this. and will not pay on
their regular pay day for any goods in
voiced after the 22d of the previous
month.
VOUCHERS BUT NO CASH.
"In this connection, I remember our
experience with one of the largest, and
presumably strongest. of the English
bicycle makers. We received each
month after we had been supplying
them for somc-tf elaboFa -
wa lN.a,.
anything have ever seen used by any
of our railroads or other large cnrpor-
a,ions, in which it was stated that our
account had been checked and allowed
at such and such an amount that a
check would be forwarded us in due
course from their London Office. and
that on no account whatever could the
slightest change be made in the amount
as noted on the voucher. / saw these
vouchers in the natural course of bust
ness, but as the amounts involved were
comparatively very small. they made
Dnt little, II any, impression on my
mind. One day the cashier came to me
with four of these vouchers in his hand
and asked me what was to be done
WITH them. On investigation l found
that although 1T was nearly six months
since we first supplied the parties with
any goods. we had to that date not
seen one penny of their money. Calling
at the London office of the company. I
assured them that we We're most anX-
1ous to have their trade but il was I'M
possible for us to either nay our en-
pioyes or purchase drafts on New York
with their handsome vouchers, and we
must have something more tangible. A
check was promised for the following
week. 1t came. and from that time for
ward their orders were most consnic-
uous by their absence
COLLECTIONS IN RUSSIA.
I'm every country there exists