The Bemidji daily pioneer., 1914-12-10

Mesdames E. F. Netzer and T. Bat
ties Score in Addresses /
Before Guests at Banquet.
COOPERATION IS GREAT NEED
Value of Perfect Credit System Amply
~ Observation-Disclosures Success or
Failure to Any Business.

So replete with worthy sugges-
tions and good advice were the ad-
dresses of Mesdames E. F. Netzer and
C. E. Battles, delivered at the ban
quet of the Bemidji Merchants asso-
citation last evening, that both are
herewith printed in full.
The topic of Mrs. Battles was
Credit" and that of Mrs. Netzer,
Cooperation. Speaking of the
value of Credit" Mrs. Battles said:
INSERT.
Mrs. Battles Talks.
Mr.. Toastmaster, Ladies and Gentle
- men: - - III
~ wish to congratulate you upon
this Merchants Association and the
splendid interest the members are
taking in it. Bemidji is Not like
the man who walked suddenly in the
night, thinking he heard burglar.
When asked by his wife what the
matter was he said: II think there
Is man in the house." My dear,
don't flatter yourself was her reply.
. For, Bemidji may TRULY f1atter
herself that there are men here who
are giving their best thought and
work to building up the interests Of
the city in which they live.
r. r. Fleming, Writer in one Of
the magazines, says: "The whole
business of life is on credit basis.
Credit is the brain, heart, nerves and
artery system of civilization. Credit
Is the measure of confidence. 1t is
the test of ability and the reward of
integrity. 1t is the great civilizer
of the world. 1t breaches world
peace and internationaiism more ef
fectiyely than all other forces COM
-bined. Thus it has vast ethical
powers.
Threaten All Nations.
How absolute is the worlds de-
pendance on credit was shown dur
ing the first days of August when Eu-
rope suddenly plunged into war-im-
mediately the worlds credit system
shriveled up, paralyzing business, de-
stroying confidence and throwing the
whole financial world into temporary,
bankruptcy. With the credit of the
world disturbed, famine in the midst
of plenty threatens the people Of ev-
cry nation"
We wish tonight to consider credit
as it applies to our own needs, rather
than world credit. however The
credit system Is a convenience to GUS
TONER'S: 1t is. intended in the first
place for two classes of people. For
those who are amply able to pay their
bills In full at any time, but who do
not wish to bother with G. o. D. pur-
chases, or to pay out money in small
amounts, and for those whose funds
are such that they are good for
the amount they owe, but to whom 1t
is more convenient to pay at certain
periods when cash is in their hands
An Accommodation.
Credit, therefore, is an accommo-
dation-a special service which every
it's customers who are financially re-
merchants for business, they give
people the idea they are doing ia
vor by having an account with them.
This leads to all the greater diffii-
Guilty in making collections.
Too much competition is another
of the causes of abuse of credit. The
merchant is so anxious to sell goods
that he takes too great chances on ac-
counts.
AS you all know, the extention of
credit very often divides the success
or failure of business. You also
know that while credit is unsatisfac-
tory, in many ways, the merchant
must do more or less of it. So the
only thing to do is to handle this
part of the business in the most sys-
tematic way possible. With. just
a little carelessness a bad debt loss
may be enough to offset the profits
that are made at the sales end of the
business. - -. .---.4.. ...-.~. -....
This is one of the problems of
business receiving more attention
than any other today. There has
been a great improvement in the
credit system in the last fifteen years.
In 1895, one in every seventy-two
merchants failed in business, large
ly from the bad debt losses, while
now the estimate is one in 1870, or an
average Improvement Of 66 2-S per
rent. IS
Abuse Brings Failure.
1t is NOT lthe use of the credit
system that brings SO many mer-
chants to failure, but the abuse OF
it. Properly managed it is best for
all concerned, but it requires care
and watchfulness.
Merchants are coming to the con-
clusion that the old time credit
methods must go, and are seeking
new and better ways. They are ask
ing themselves-"If I must have
credit rating to do business, why is
the retail customer entitled to MORE
considerations"
A large portion of the losses OF
the retailers are made up of small &C,
counts opened to accommodate the
customer for that particular bill OF
goods then added to from time to
time without investigation. One
writer says: The way out of this
difficulty is to have that uncanny at
tribute in man: called cold blooded-
ness. Divorce sentiment from bust
ness and say NO. If you would help
your fellows do it, not their business
but as a gift of charity, then you
will know at the start what your
charity has cost you and not have to
wait until the books are closed al
the end of the year when the worth
less accounts are charged off.
To Reduce Losses.
A. oe III 70 ysa1 1Ypn na + H. &