The Caldwell tribune. [volume] (Caldwell, Idaho Territory [Idaho]) 1883-1928, 1920-08-17
TO ACCUMULATE
GREAT WEALTH
IS MADE EASY
Great Fortunes Result
From Use of Custom
er's Capital in Mail
Order Business.
(Copyright)

(Copyright)
There is one way to make money by
dealing with the mail order houses but
it isn't by buyin~ goods from them.
The man who thinks he is making
money by buying his goods from mail
order houses has only to read Of the
amazing profits made by some of these
big corporations to realize that all the
money is being made by the man on
the other end of the deal.
The stakeholder in big mail-order
concern tolls not and neither does he
spin, but he piles up his money so fast
that it makes the ordinary mans head
swim to read about it. Here is the
experience of the stakeholder in one
of the large mail-order concerns, as
told by a reliable financial journal. 1t
gives glimpse into the inside work.
ings of the mail-order business that
should be of interest to those who
have made such things possible.
How the Game Works
In 1908 this man bought 600 shares
of stock in the mail-order corporation
in question when the stock was selling
around $40 a share, the 600 shares
costing him little less than $4,000.
In 1911 the company declared a stock
dividen of SO LIS per cent. In other
words the company after paying cash
dividends regularly, had accumulated
surplus profit Of one-third of the
amount of capital invested in the
business; but instead Of distributing
this profit among the stockholders the
company kept the money in the BUSH
ness and issued stock for that amount
to the stockholders. By this action
200 more share of stock were issued
to the man who had originally bought
600, increasing his holdings to 800
shares, without his having put any
more money into the business.
Another stock dividend of 50 per
cent was declared in 1915 and this
added 400 shares more to his holdings,
giving him 1000 shares in ALL A third
stock dividend Of Is per cent was paid
early in 1917. bringing this mans
stock holdings up to 500 shares, still
without his having paid in. any more
money. On this $500 shares Of stock,
cash dividends of So share are now
being paid. This investor therefore
is no wreceivinR $4,000 year from
his original investment of about SIS,
O0O and as the stock is now worth
around $50 share. the present mar
ket value of his: stock is $24O, 900 Civ
ing him profit of $215 900, in addi-
ton to cash dividends which he re.
cevied during nine years, amounting
to many more thousands of dollars.
Only One of Hundreds.
This is the STORY of just one small
stakeholder in one mail-order concern
A profit of more than $2P 600 made
bv one small stockholder in nine year;
on an investment of less than So, 600
1t reads like fiction blu it is fnancia
history. There are hundreds of othel
stockholders in this and other mail
order corporations, some of whom
have made millions while this maj
made thousands. Add the profits o
all these stockholders together and tn,
result is sum that staggers the mag
nation.
Small wonder that the men who ow,
the stock of the big mail-order house
can live in palaces. ride in the highest
priced automobiles own palatial pro
vate yachts and buy 100000 paint
ings. But who has furnished tn
money to. pay for the palaces and tn
automobiles and the yachts and tn
100000 paintings? The people in tn
country and small towns who hav
kept an endless stream of money flow
ing into the Golfers of the mail-orde
houses have made all of this possible
Their millions of dollars have gone t
the big cities to build up these grea
concerns. Their millions of dollar
have provided the automobiles an
yachts and other luxuries for tn
stockholders in these corporations.
Present From Mail Order Buyers
These men who have piled up sue
big fortunes in the mail-order bus
ness have not even had to pay 70
much Of the stock from which they ar
now drawing princely dividends. TIL
people in the country and the sma
towns. generous souls, have bought
for them. This is shown in the cas-
Of the stakeholder just mentioned VIII
: originally invested. The generou
nail-order buyers have made him
present OF $2ls.000 worth of stock an
he has not had to turn his hand owe
to get it. He has never even had I
so much as write letter to get !
The generous mail-order buyers hav
handed it to him on a golden platte
There's money in the mail-orde
business without doubt, but its o
the side of the man who does the sci
ing and not the one who does tn
buying. II you must do business wit
the mail-order house. buy some of il
stock and let the fellow in the nes
town buy you automobiles and privat
, yachts while he struggles with tn
hard times that come from drainin
his town OF the cash that goes to kee
you in luxury.
He Was 4 Poor Shot.
On the range a party of recruit,