Bryan daily eagle and pilot. [volume] (Bryan, Tex.) 1909-1918, 1913-02-21
COTTON MANUFACTURING
INiTEXAs
BY c. S. TATUM, A. & N. COLLEGE
GContinued from Yesterday


1t is true that it costs some more
to manufacture cotton into cloth in
Texas than it does in some of the
more Eastern States, but this differ
ence is not SO marked as some might
imagine. The writer has taken the
trouble to collect a number OF cost
sheets from Texas mills, and also
from mills in Georgia, and we find a
very slight difference. In fact, we find
that when the plant is properly man.
aged the Texas mill can make a very
creditable showing indeed.
A cotton mill is a good investment
for any town, not only for the divi-
dends it pays the stockholders, but
because it helps every legitimate bust
ness in the town. The merchants
could well afford to buy a few shares
of stock even if they never did get
any dividends on the investment, for
they would more than get their money
back in increased trade. The same
thing applies to the real estate men;
they could very well afford to donate
the necessary land in order to secure
the location of the mill In their town
The farmers in the surrounding coun
try could very well afford to take sew
eral shares of stock, in order to gain
the better market for their cotton ant
produce, even If they never did gel
one dollar in dividends, or %principa
either for that matter, but they coulc
reasonably expect to get both.
There are several towns in Texa!
that would like to have cotton mills
numbered among their industries, Gu'
they think they are unable to finance
the proposition, and are waiting TO-
capitalists to come in from the Nortl
and do it for them. For the benefit o
those towns we will give an outline o
a plan that has been used very sue
cessfully in the Carolinas and Georgia
which is about as follows: The stool
is sold at 800 per share, and is pal,
for at the rate of 81 per share pc
week, and in this way the full capita
is paid in in a little less than tw'
years time. In organizing a compan,
each subscriber for stock makes tn
payments as above indicated, eithe
by the week or month. Taking tn
same example we used above, that /
a 10, 000-spindle mill, we would nee
about $500, 900 capital. With this basi
there would be paid into the treasur
during the first year about $15O,OOO
with which all of the buildings coul
be erected, and part of the equipmen
installed. During the early part of tn
second year the balance of the equil
ment could be bought, as the mi
chinery people will sell on time, usua
ly requiring one-half down and tn
balance in six and twelve months, wit
6 per cent interest on the deferre
payments. AS a matter of course thes
figures given are only approximation
for there are any number of cond
tons that might vary any of the item
mentioned.
When all of the capital can be ha
as needed so much the better, and tn.
installment feature is unnecessary, bl
it has been used in several cases &
mentioned above, and the mills
/. every instance have proven to be d
cidedly successful enterprises. Som
3 times the payments have been as 10
as so cents per week per share;
> fact, this has really been the mo
1 popular method in the States me
D toned, when the installment featul
y was used, but we should think the
q are any number of towns in Tex
7 that could easily raise the necessal
!. capital on the 81 per week basis.
The completion of the mill may {
U ways be fastened beyond what cou
be done with the ordinary income, |
borrowing money to complete the m.