The Liberal democrat. [volume] (Liberal, Kan.) 1911-1924, 1918-06-27
EQUITY CREAMERY TAKES
IMPORTANT STEP FORWARD
Stockholders Authorize Issuance oi
100000 Preferred
Stock.

the organization were amended to
allow the citizens to raise 100000
worth Of preferred stock.
The amendment was freely dis
cussed by different members and
when the discussion had covered al
most every phase of the situation the
motion was put up and carried unani-
mously.
The business of the creamery is
growing by leaps and bounds. 1t
was shown that more room must be
provided, more cans purchased and
more capital provided to carry on the
business.
To the onlooker it might seem un-
reasonable that the creamery could
be close run financially and still be
making money. This is easily ex-
planned. Under the Equity plans no
money can be used for extensions.
ALI profits are pro-rated to the stock
holders, so that only the money re-
ceived from the sale of stock can be
used in increasing the field and pro-
viding capital with which to conduct
the business. Since the institution is
shipping in car lots it takes great
deal more capital. Produce must be
held until sufficient has accumulated
for a car shipment. This is on the
road several days, then it is few
days before it can be sold and the
money returned here. Manager Ed
son told that it took ten days to two
weeks to get returns on a car. With
shipment every week it can be read
lily seen that enough money must be
kept on hand to handle this busi-
ness.
The issuance of the preferred
stock will in no way effect the COM
mon stock, which will continue to
draw dividends on the amount Of
business done. The preferred stock
will bear per cent interest and that
is as far as it will participate in the
business.
In reality the preferred stock is
merely long time loan which can
be retired at the opinion of the di-
rectors. AS the field of the institu-
tion is extended and new common
stockholders are added, the sale of
common stock will be used to take
up the preferred stock and when it is
all taken up the matter will be at an
end.
Manager Edison said that 500
more cream cans were needed and
that at the present time these would
cost $4,000, with every indication
that they would be higher. Another
matter brought up was in the buying
of tubs. 1t was shown that by buying
in car lots something like Is per cent
could be saved, aside from the differ
ence between local freight and car
shipments, but there is at the present
time no place to store a car load.
Comparative reports for this year
as against last year showed an enor-
nous growth, yet, according to Mr..
Edison, the help on the payroll was
only about one-sixth greater in num-
Der than last year. Taken altogether
his report was optimistic.
1t was brought out during the talks
that there is still lot of business
that can be secured when additional
capital is secured to finance the open
ing of new routes and cans and room
provided to handle the business. In
fact the great growth of the business
has made the present quarters and
present capital wholly inadequate.
Everyone seemed pleased with the re-
port and the showing made by Mr..
Edison. He is giving the same care
full management as when he was the
owner of the business and seemed
just as pleased to report the progress
made as had he still been owner.
Edison is a capable manager and he
has surrounded himself with bunch
of loyal workers, so there is little
wonder that the business is succeed
ing.
Another matter that was discussed
was that of securing more and bet
ter milch cows. o. d. Nickel made
a good talk and several others spoke
on the subject. 1t seemed to be the
general opinion that thdre should
be more milch COWS and better stock
than is common here. Mr.. Nickel
made an excellent suggestion when
he said that the farmers should get
together and send an experienced
man to the prominent breeding states
and secure the right kind of stock.
All agreed that there was nothing the
farmer raised that paid as well as
the milch cows, and we hope to see
an organization formed at an early
date. We will be pleased to give
space to articles that will in any way
boost the matter.
Mr.. Edison suggested that some
time in September the stockholders
of the creamery hold a picnic or
something Of the sort, and all get
together and get the boosting spirit
that was in evidence at the meeting.
We would make the suggestion that
the Chamber of Commerce of Liberal
cooperate with Mr.. Edison and the
Directors and have big time that
day. The town might get busy and
provide some sort Of entertainment
and the creamery will furnish the ice
cream and pop, and make it an all.
round get-together affair. Most of
the business men of the town are
back of the creamery as they realize
that it is mighty good thing for
the town as well as the country, and
we believe they would be willing to
help in the undertaking.