The Vermont watchman. [volume] (Montpelier, Vt.) 1883-1911, 1903-05-07
FIVE HUNDRED IOWA FARMERS

A Vermont farmer of considerable
experience. the owner of Il large farm
and, moreover, who had been SUCCESS
full in other lines of business, in re-
cent discussion on the possibilities of
farming made the statement that he
had nearly arrived at the conclusion
that about all the profit in farming
was in the exchanging of an old dol
lar for new one" Another farmer
present fully endorsed this statement,
adding that in his opinion there is
more money to be made in almost any
other occupation. 1t seemed to be the
general opinion that about the only
advantage in farming lies in the fact
that man needn't starve, though he
pay only the smallest attention to the
businessmen in the face of mort
gage.
In view of these and similar state
ments, by no means unfrequently
heard, the experiment of certain Iowa
farmers as set forth in an article in
the May Century seems a matter of
considerable interest and likely to at
tract wide attention. Five hundred
farmers, moved thereto by the refusal
of the principal tradesmen in their
vicinity to sell them goods and buy
their produce at satisfactory rates,
and the firm conviction that farmers
al AZ ,r1x ,a1
business organization by themselves,
for the purpose of dealing in staple
articles used on the farm and buying
farm produce of all kinds. Their OBJ
ject was not to test any theory. not a
fight against capital, nor individuals,
but business enterprise solely, to be
conducted on the same principles and
by similar methods as had led to sue
cess in other industries. The COM
pany has struggled along in the face
of bitter opposition by railroad and
other combinations, gaining slowly but
surely, till, now on a firm basis, with
an amount of business of no mean
proportions, these farmers find them
selves practically independent, and
ready to fight monopolies even to un
dertaking the manufacture of articles
for their own use if need be.
The business in general is conducted
on somewhat the same plan as in other
features are extremely simple, and the
stockholders have perhaps more direct
voice in proceedings than in some such
organizations now in existence. Any
practical farmer may become men,
Der by buying one share at $40 and
none may buy more than ten.
The company deals principally III
agricultural machinery, fence wire,
salt, flour, fuel and other bulky mer
chandise-not coming into competition
with dealers in small articles. The
agent buys at the lowest wholesale
rates large quantities of the mate rial
needed, selling in turn to the farmers
at cost plus four per cent. for expenses
From the members he buys stock,
grain, and other farm products, pay.
ing higher prices than are paid in 9th.
er towns in the State. Once year q
business meeting is held, though there
is little business to transact there be.
ing no surplus of cash ON hand beyond
the few thousands needed to carry OF
the business-the profits coming to the
individual month by month as he buys
his necessities at wholesale prices anC
sells his products for cash at figur
as high or higher than surrounding
markets.
In the first year $1,000 less tha
800, 900 worth of business was trans
acted. In 1901 it had increased t
$500, 600 at an outlay of about "a. 90
inclusive of salaries, taxes and insuI
ancce. In 1901 the amount was 5000,
600 and in 1902 this was increased b
$1,000 During the thirteen years G
the organizations existence the bust
ness transacted has amounted to owe
"a, 900, 900, and the expense of carryin
it on has averaged about SO, 600 yeal
Among the articles handled by tn
agent of the company in one year al
220, 700 bushels of corn, with CORE
spending quantities of oats, barle
wheat and rye, 3, 1865 tons of coal, 8, Il
sacks flour, as well as large qu1ntiti(
of barbed wire, nails, lumber, shingles
machinery, paint, etc.
On a capital of never more tina
$25, 600, a yearly business we'll towaI
800, 900 is being conducted. No MOI
ey may be borrowed without the col
sent of two-thirds of the five hundre