The Abbeville press and banner. [volume] (Abbeville, S.C.) 1869-1924, 1904-06-22
The Furniture Factory.
Steps Taken Looking to tho Closing
of the Business.

1t has been known for months that the
Abbeville Furniture Factory Company has
been In an EN- barrassed condition. 1t is now
proposed to wiud up the affairs OF the com
OF receivers for the purpose OF selling 1t and
paying the debts now hanging over.it.
About two years ago the plant was put In
operation without having q working capital.
To secure the necessary funds with which 10
run the concern, the directors with the Pres
ident signed notes TO the banks for large sums
nd when the banks in Abbeville were slow
to lend more President j. z. Blake borrowed
money in Co'ambia, which latter amount was
soon expended IN an Improbable business.
The directors were then unwilling TO fur.
ther pledge their private estates as security
for more money, the plant was run on short
time and 8 system of liquidation was inaugu'
rated. The process OF liquidation was contin'
ued until the debts were reduced 10 about
$50, 900. The plant was then stopped and an
agreement among the stockholders was ell
tered into whereby consent was given for the
Iale OF the plant on last sale day, June 9Th.
AT that time the plant and the furnishings
or the supplies on hand, were bid OF by Mr.
). F. Cromer at SIS, 900.
The money has not been paid, and now Mr.
R. E.. Cox one of the directors and one o.
the sureties on the notes o tbe factory through
MS attorneys F. B. Gary and ]. F. Lyon asks
court to appoint Messrs. w. D.. Barksdqle
]. R. Blake and John A. Harris as receivers
10 wind up the affairs of the company.
To this action MIR. S. F. Cromer. through
his attorney w. n. Graydon, Esq, objects on
various grounds, chief of which is, That the
company is not insolvent.
The securities reply that they are willing tc
take less than $4,000 for the outfit and then
pay the deficit out OF their own pockets.
Considering the amount invested In the
plant II was one of the best institutions 10
the city. 1t cost a fraction less than S30,0N
and pave employment TO from sixty tc
seventy five people. Its presence was q bene.
faction, and its closing was a hardship on
the men who were depending upon 1t for their
daily bread.
The failure Of the enterprise has been q
great hardship on the public spirited citizens
who not only invested their money, but
placed their private estates in jeopardy by
becoming surety for the concern.
AS we understand, the facts are about In
this way:
/. The plant is a GOOD one, and the bust.
ness, II properly run, is a profitable one.
2, Inexperienced men were put In charge
of the plant, and however much they were
in Interested and however good their intentions
the inevitable result came.
s. Furniture was sold below the cost Of
manufacture
4. More energy was expended in manufact.
uring than in selling goods.
S. This necessitated the borrowing of more
money, and the Increased Interest fastened
the day ofreckoning.
AS to our belief: The plant is a good one,
and for an experienced furniture manufnctu.
rer an excellent opportunity is offered for
inVestmet. Almost any legitimate business
properly managed will pay, but this plant
offers exceptional opportunities.
About those who have been hurt.
All the stockholders were hurt in the same
proportion. or according to the number OF
shares which they held.
The securities, in addition to their loss as
stock holders. will have 10 pay their prorata
share Of the deficit.
Mr.. S. F. Cromer is the largest stakeholder
Mr.. j. h. Blake is the next largest stockhol
der, and Of course these gentlemen lose more
than the others wno have smaller holdings.
The stock, as far az we know, has no market
value. Those ofthe sureties who are able 10
respond, are now more anxious about their
liability than about their stock.
The Court Ia expected to pass on the appli
cation for receivers today. The hearing was
postponed from Monday until today on &C
count Of the sickness of Mr.. Gary, applicants
attorney.