The Saint Paul globe. (St. Paul, Minn.) 1896-1905, 1900-01-28

Hne system nus MOI ONAE EfSlAO-
lished Itself on n Thorough and
Widely Organized Basis, but Has
WON the Confidence of the BUSH
ness World on Two Continents at
Least.
Next to newspapers 1t Is likely that
commercial agencies employ the largest
number of reporters" In the United
States there are two large corporations
engaged in a business which is not per-
fectly familiar to all classes of people.
These are Bradstreet's and r. G. Dun's.
Aside from these there are number of
younger and smaller institutions strug-
Cling for a foothold.
But the average business man In met
ropolitan city or rural town fully appre-
ciates the present worth of these finan-
cial credit houses. In the olden- time
mans credit was only established by
number of years of probity and fair deal
ing with his fellow man. And then his
credit was limited to the circle Of his
acquaintance. His credit was in proper
ton to his reputation.
At the present day of hurry and hus-
tie, sales, speculation, rapid transfers OF
property and gigantic deals and combina-
tons, with wide business ramifications
made possible by steam and electricity,
the necessity arose for some general
clearing house of credits-some head
center where strangers, buyers and sell
ers could be brought together for mutual
profit AS an illustration of the system
of credit tabulation, pursued with vary
Il
in view, by different financial agencies,
let us take Bradstreet's for an example.
The Bradstreet company does for the
mercantile public what each individual
merchant would otherwise be obliged to
do for himself, or by the direct aid Of per-
sonal friends. 1t procures and dissent
mates information so broadly as to ena-
BILE the solvent merchant of any conlmu
nifty to purchase his supplies in the most
advantageous markets of this or other
countries The element of time, always
of prime Importance in these days of in
tense business activity and enterprise, is
also an important item, for credit must
be, as rule promptly. determined, and
this is where the system has proved of
inestimable value to thousands of mer-
chants and other business men through
out the country.
AT the present day, as in times past,
whenever and wherever a merchant may
desire to buy either merchandise or labor
he must first give the seller satisfactory
evidence that he has not only the dis,
position, but the ability to meet his obi
cations in the matter of payments.
Whenever or wherever he desires to sell
any commodity or labor he must first
give to the buyer evidence that he has
not only the disposition, but the ability
to supply the goods or perform the
service in accordance with his agree
ment. In the absence of this evidence it
will be necessary for him to supply bonds
for the faithful performance Of his con-
tract. On large deals bonds are often
required in all events. But it is to dc
away with as much suspicion and doubt
between buyer and seller as possible that
such agencies as BradstreetS and Dun S
are conducted at profit.
The details of ascertahling "a man 8
credit comprise the bulk of the burden
Of responsibility on the shoulders of the
purveyor of credits. Accuracy as nearly
as possible is the first requisite. Here
much depends on the reporters men
toned They are located in almost every
town in the United States. The Brad,
street company says that for months
past it has been increasing it's reportorial
force, located at its various offices, by a
number sufficient to personally investf-
gate every subject engaged in mercantile
business in the United States and Canada
within a given period of sixty days.
These reporters, 1t is claimed, are Sc
lected after a careful examination as to
character, capacity and other requisite
qualifications, and have been educated
and instructed to the highest performance
of their duty. In what might be sermed
metropolitan cities of the United States
the Bradstreet company have, including
St. Paul, ninety-six branch Offices. New
York is headquarters. In Canadian cities
they have eleven, one in England, two IN
Australia, Melbourne and Sydney; two
in Austria Hungary, Vienna and Buda,
Pesth; in Paris, Amsterdam, Brussels and
Zurich, one each, and seventeen In
various cities Of Germany. Just prior to
the breaking out of the Boer war the
Bradstreet company were preparing to
open an office at Johannesburg, South
Africa. 1t would amaze many people to
know the large amount of business dono
between that country and the United
States in the line of American machinery
and other wares.
"Bradstreets" has now completed the
flftieth year of its existence. 1t will be
readily seen that the officers Of the insti-
luIlOH POSSESS III d Q6BTS0 lIldl do
quaintance with thousands Of business
houses that, before the establishment of
credit houses, was confined to individ-
uals to limited degree.
The time has long since gone by for any
unfounded prejudice, false sentiment or
Indifference on the part Of the individual
business man against the present system
of disseminating the financial standing
of buyers and sellers. The average bust
L.. o. all Atv,oo
rectly report his assets and liabilities to
a responsible agent, well knowing that
by so doing he is merely joining a society
for mutual financial protection He places
himself on record, and in return receives
the benefit of thousands Of other similar
cases which are at his disposal through
the media Of the different financial agen-
cies.
There is logic In this position. Banks
and other financial institutions can only
sustain their position In the confidence Of
the community by full and frequent de-
tailed statements; even governments,
commemorative and municipalities must
adopt a like course. Whenever such
statements are withheld from the public,
or fail to make clear the essential facts,
their credit is questioned and consequent
ly suffers.
The facilities possessed by the large
mercantile agencies for the accumulation
of information are ample and costly.
Bradstreets, for instance, has capital
and surplus of $1,5OO,00O The company
employs thousands of clerks, stenograph-
ers and bookkeepers, aside from its vast
corps of correspondents, or reporters, in
the smaller towns. The company prints
periodically lists of merchants and other
business men in all parts of the world,
showing, by means of letters, figures and
other characters, their commercial rat
ings. These lists are at the disposal of