The Richmond palladium and sun-telegram. [volume] (Richmond, Ind.) 1907-1939, 1916-09-07
FUNDS PURPOSE
[continued From Page one.1

cial club, and the proposed trustee!
Of the fund. They will have the ad
vice and cooperation Of expert cam
paign men from the Town Develop
ment Company of New York.
Wants Industrial Fund.
The campaign is the result OF de
sire for an industrial fund by which
the Commercial club can work along
modern lines to secure new factories
for Richmond.
President Bowman announced today
that 1t was the purpose of the com
mittee to give the widest possible
publicity to all phases OF the 1udus
trial Company and to the campaign
so the public would have a thorough
knowledge of the purpose and ad
ministration OF the fund before sub
scriptions were taken.
Leaders In the campaign movement
state that this campaign will have nc
|hip-hip-hurrah features. Citizens will
be asked to subscribe only after they
are convinced that 1t means real in
vestment for them. So confident are
the leaders In the practicability Of
the Industrial Company plan that they
look ahead to nothing but big success
The entire proposition, they assert
is conservative and has the safe feat
ures of the most successful industrial
funds. The possibility of loss has been
prac tically eliminated.
Follows Other Cities Lead
In raising development fund Rich
mond is following the lead of the most
progressive cities of the entire count.
ny.
Even the most conservative cities
see the necessity of having a fund
that can be called upon quickly when
a legitimate factory prospect is pre-
sented," said D. H. Mcfarland, cam
paign manager for the Town Develop
ment Company, assisting In the cam
paign. Louisville Is raising a huge
fund. Cleveland, with it's reputation
of having the most efficient Chamber
of Commerce in the country, is plan
ming great industrial fund
1T was fifteen years ago that cities
began to create various forms of funds
or guarantees of credit to secure fac.
tories"
at used to be that cities bought
factories by the bonus method, and
many cities lost large sums of money
from investing in enterprises that
never had a chance to succeed. I'm
scrupulous men made a business of
unloading such concerns on commu-
mites, and this caused a reaction
against the payment of bonuses.
Pendulum Swings Back.
ha tc ,v,f,,ry ri, ~
back, and organizations are meeting
with success in securing factories.
They are no longer paying out bon
uses except in exceptional cases. and
they are closing with such concerns
only after the most thorough inves-
legations.
"The commercial organization even
with large membership cannot finance
he ordinary factory proposition. Great
ielay comes about in securing needed
'unds by special canvass when a
factory proposition is available. Such
funds are not paid out for bonuses
,ut to provide sites, buildings, or pay
moving expenses. Often the fund is
simply used to put IN a building,
which is paid for by the concern in
payments extending over a large
number of years.
THE Industrial fund is essential in
hat the commercial organization can
negotiate with factory with the
knowledge that it can secure the
money just as soon as the contract
or removal is signed. Subscriptions
IRE not called for until such a propo.
;ition is at hand. Richmond is not
rying an experiment"