The daily sentinel., 1909-01-16
Wants Capital Increased.
Manager

| board of directors, in which he advo-
Gates the increasing of the capital
stock and advancing many logical
reasons for the increase:
1t has recently occurred to me that
the fruit growers of this valley do not
fully realize how great a handicap
is put on the advancement of our
association on account of the lack of
sufficient capital to handle the busi-
4 ness of this association. The wonder
full success and growth of our assoc
iation is really marvellous to me when
| consider the limited capital we have
! to do business on and | feel that
some action should be taken to pro-
vide necessary funds.
Our country is developing very
rapidly, new orchards are coming
| into bearing each year. making il
necessary to furnish facilities for the
marketing of the crops. Not but
very few years back our association
could handle all of their business
from one shipping depot. Next sea-
son, with a crop of fruit. ii would
require six shipping depots to prop
erly handle the crops raised in the
districts between Bovina and Pail
sade and the facilities at several of
the present stations would have 10 be
improved to n considerable extent in
!
Not only has our fruit shipping de
partment advanced, but our jobbing
department has been increasing at
such rate that the present capital
is just about sufficient to handle
that line of business
Did You ever stop and consider the
very broad and liberal basis this
association is operated upon? The
usual plan is for each grower to sub
/ NIL ihn So, t.,
tion to the volume of his business or
is pro rated by acreage, but such is
not the case with us. Any person
owning an eighty acre bearing or
chard could purchase one share of
stock in this association and receive
just the same treatment as though
he had purchased 800 shares. Now
while ! do not advocate the making
of iron-clad rules governing this
stock proposition. do believe it alb
solutely necessary for the continued
prosperity of our association that n
/ vote be taken TO increase this capital
to 100000 and | believe there are
enough stockholders who can afford
| to increase their present holdings
and who have confidence enough in
the association to warrant them in
doing So
Mr.. HANNA. the expert accountant.
audited the accounts of the associa-
tion, easily saw the great disadvant-
age under which the association was
working on account of Insufficient
capital and in his letter to the boa rd
of directors under date of January
II, 1909. makes special mention of
this matter and evidently considers it
of the utmost importance that steps
be taken Immediately to relieve the
| | IL. 10
mas letter:
The only matter TO which |
think il necessary to call special
attention is the matter of cap
ital. Your capital stock has
now been fully paid and issued.
but II seems to me to be en-
tirely inadequate to your bust
ness. You will note by the
statement of assets and liabili-
ties herewith submitted that
your investment in merchandise
alone is almost as much as your
entire capital stock. while the
amount invested in land. build
ings and improvements. furni-
ture and fixtures and outstand-
ing accounts is about 100000
more. The merchandise bust
ness of this association has
grown to very considerable pro
portions and it certainly looks
as If you should have more cap
ital in order to derive the full
benefit of this increase.
Any merchandise business
is seriously handicapped when
il has insufficient capital. as the
one item of cash discounts alone
amounts to n very considerab BILE
profit in the course of year.
think that this is matter
which is worthy of your serious
consideration and one whose
solution cannot be long delayed
if the business of the association
continues to increase as it has
done i'm the past"
Now, there is every indication 10
believe that the business of this as
sociation will increase more rapidly
in the future than ever in the past
therefore. we must provide such
means as will enable our associa-
tion to keep up with the times.
There is not a single grower. land
owner. merchant or professional man
| in this Grand valley, who could af-
ford to have this association placed
on basis of uselessness by curtail-
ing their purchasing power or limit
ing their facilities to such extent that
this valleys principal resource could
not be handled to the very best ad-
vantage possible Such condition
would result in lower returns lower
land values and decreasing instead
of increasing population. Every bus
J mess man in this valley realizes this
, fact and every grower should realize
1t.
do not doubt that if an increased
capital stock was voted and an appeal
a made to the merchants to buy stocl