The representative., 1899-08-10
COOPERATIVE FARMERS ELEVATORS

COOPERATIVE FARMERS ELEVATORS
Important Points to BE Considered.
In order that a uniform and import
ant feature of organizing cooperative
farmers elevators may be put into gen.
eral use, l have been repeatedly asked
to furnish the main points for publica-
ton, which are here given:
NAME.
+ 1. Give name and location of the en-
terprise, viz: Farmers Cooperative
Association of New Richmond, Wis. (or
any other station).
OBJECT.
2. The object of this association
is to conduct a general elevator busi-
ness, such as buying, storing, selling,
shipping and handling grain, and buy
ing and selling merchandise Qf you
chOOse).
CAPITAL STOCK.
3. The capital stock of this associa-
tion will consist of 500 shares at $40
each, or $4,000. q.
GRAIN GROWERS AND ALLIANCE
SOCIETIES.
4. In order to secure the support and
services of the business agency of the
Associations, we will make all ship
ments through the business agency of
the above named societies.
STOCKHOLDERS.
5. Each stockholder must hold at
least one share to be entitled to a vote
Shareholders shall be limited to five
shares, ana ''>ALL STOCKHOLDERS
shall have but ONE VOTE, regardless
of the number of shares of stock held
| by him. -. -.,rr
SPECULATING.
6. There shall be no speculating in
holding grain for rise in the market
Sales of receipts to be made daily This
will prevent GAMBLING and LOSS.
SELLING.
Z. When a carload of grain is in the
house of certain grade, load it and
attach draft to bill of lading. Take
same to your local banker and draw
three-fourths of value of grain in car
(Which will practically be all the cash
you will have invested, as the one
fourth will be left to pay freight,
switching, weighing, inspection and
commission charges, balance to be re-
turned to you when commission man
has finally disposed of car and made
returns).
BORROWING MONEY.
8. When you borrow money do it
from your local bank if possible Give
your notes for the amount of money you
and let the transaction end there. Don't
let the banker undertake to run your
business for you.d Keep him on the
other side of your counter, as he keeps
Never borrow money from commits
sion firm. 1t is the rock upon which all
farmers and independent elevators
split. They will offer you unlimited
will fill up your house with 10000 to
10000 bushels, and have 1OOOO to $15,-
600 invested in grain; if the market
goes up, they always wait for it to go
higher, and won't sell. When it goes
lower, they wait for it to rise, and
finally sell at a loss. This creates dis
trust and encouragement for the stock
holders, and they soon are willing to
the commission firm scoops in" the ell
evator as their reward for liberality in
lending "all the. money the elevator
wanted" BY selling DAILY there will
be NO LOSSES, and $500 to $4,000 will
buy all the grain you can handle, by
shipping daily and drawing on each car
soon as loaded: this gives you your
money to buy next day again, and so on.
COMMISSION MEN.
8. Never takelf chances on sending
your grain to ANY commission firm
without drawing on them soon as car
is loaded. This will insure you against
loss from careless and irresponsible
firms (there are some).
ELEvAroRa MANAGER.
10. Never permit your manager to
speculate or gamble. Give him his in
structions; then SEE THAT HE CAR
RIES THEM OUT.
SINKING FUND.
II. Provide l per cent of the value of
the business your elevator does for a
sinking fund. This fund will be used
for buying grain and to loan to your
stockholders on grain deposited in ele-
vator of say 60 per cent Of value. This
fund will also provide for increasing
capacity Of house, making repairs, and
all unusual contingencies.
STORING GRAIN.
IL. Stockholders should have tho