The Owosso times. (Owosso, Mich.) 1897-1926, 1910-04-08
A PATRONS EXCHANGE
Why Cooperation In Connecticut
Is Likely to Succeed.

Members Get Quotations From the Ex-
change and Keep Prices and Arrange
ments to Themselves-Thisl Is Said to
Be the Secret of Successful CO. opera
tive Buying Farmers Supplies.
On Feb. %. 1909. a committee ap.
pointed by the state grange organized
the Patrons Exchange of Connecticut,
with a president, vice president. secre-
tary, treasurer and manager, an exec
utive committee of three and an ad-
visory board consisting of one from
each Pomona district, Of which there
are ten in the state. The exchange
buys for Patrons any article that they
may wish. 1t Is also endeavoring to
furnish market for them. They have
been able to get during the past year
291a cents per pound for Connecticut
unwashed wool. which was ~ to 3
cents per pound more than jobbers
would give.
The exchange tackles anything in
the line of business for its members.
1t claims TO be the only association in
the east that has been able to buy coal
at the mines. The exchange is run on
the principle Of 'simon pure co-opera-
tion," says Mr.. Healey. 1t is necessa-
ry to have some standing and credit in
order to do business. Therefore they
charge those who wish to join the ex-
change So. This entities them to all
the benefits OF the exchange so long
as they remain in good standing in
members the exchange does business
for exact cost. The members send in
for quotations on what they want, and
the exchange sends back the lowest
quotations they can get from the man.
ufacturer or such source as the article
wanted comes from. There is no cred
it allowed TO any member, as cash or
its equivalent has to accompany the
order.
The, way they support the exchange
is the important point. or course it
costs something to do business. 1t
costs something to buy articles for
members, and II costs to dispose Of
their products for them. When a
member buys -four which costs Sc per
barrel he knows that is just what he
will have to pay for the -four plus the
cost of doing the business. which is
the brokerage added to the cost. 1t is
noticeable in that many have inquired
how business could be handled so
cheaply. Up to this time they have
never had complaint on brokerage.
1t has been left to the manager to
charge up 10 each member the cost of
doing his business. This brings out
one important feature-that if it costs
10 cents to do business for another the
one member pays his So and the other
his 10 cents. There are no pro rata
charges. SO there is no opportunity for
complaint. In selling product through
the exchange it is just the same. Each
individual pays the cost of handling
his product.
One of the strong points Of the ex-
change is that 1t is not bound to any
special manufacturer. but can get such
articles as the members want and are
not obliged to take such articles as the
association does not want to handle.
1T is surprising" says Mr.. Healey,
ito see the variety of requests that
come in. OF course our big business
is done in coal, grain. groceries, dairy
supplies, household furnishings. har-
nesses and blankets, but we have fur
nished watches, boots and shoes, dry
goods, cream separators, silos. sewing
machines. carpets, rugs. vacuum clean
ers, washing machines. jewelry, sub
scriptions to magazines, ETC., to our
members"
The essential to the success Of an
exchange of this kind Is secrecy, and
they are continually hammering that
idea into their members through cor
to keep prices and ar
to themselves. Another
method of keeping secrecy is that the
exchange recognizes no individual in
Everything is shipped to
the Patrons Exchange, and the men,
bers' goods are marked with private
mark so that the manufacturers know
nothing but the Patrons Exchange and
the railroads and those outside know
no one except the Parons' Exchange.
The exchange has been organized
but nine months. but 1t has done $780,
600 or 100000 worth Of business. We
believe it is organized on the right
principle and also believe the plan
worthy a trial when nation wide coop
erative buying and selling are to be at
tempted.
Atlantic City Next Year.