72 



When shall the work of organization be commenced? The answer 

 is simple: when the condition exists in marketing, purchasing, in 

 dairy Avork or fruit growing, or in any other line of effort which can 

 be materially improved by the combined effort of the citizens of 

 the community. How shall the work of organization be carried out? 

 The organizers should first make themselves familiar with the 

 l->artieular line of co-operative work which it is proposed to accom- 

 plish. It is essential that every member join with a coiTect under- 

 standing of what is expected of him and of what he has the right 

 to expect in return from the association. The initial work of organi- 

 zation is so important that it is hardly possible to lay too much stress 

 upon it. Lay your foundation well. Be careful that there is a 

 perfect understanding of conditions, requirements and probable re- 

 sults. Be careful of your membership. It is not difficult, when get- 

 ting subscribers, to keep out those very objectionable classes who 

 never agree, who always want to take advantage, are habitual 

 fault finders, or are dishonest; and, further, under no circumstances 

 allow any one to become a member whose natural interests are not 

 in accord with the purposes of the organization or who has interests 

 which might be antagonistic. No one who is seeking position for 

 himself should be allowed to become a member; if he is worthy, 

 hire him, but do not allow him a voice in the membei'ship. It is 

 rot necessary to have a large number to start with. A well-selected, 

 loyal membership, which will work together with a determination 

 to succeed, is the most desirable, even though small. All organiza- 

 tions should be incorporated. The sale of stock should be primarily 

 for the purpose of obtaining members, although sufficient capital 

 must be raised to carry on the business. Stock should not be sold 

 with the view of an investment ; therefore, the dividends on stock 

 should be limited to a very nominal rate. All stock should be re- 

 deemable by the association at par, and a provision to that effect 

 should be printed on the certificate and become a by-law of the 

 organization. This provision should be operative when stock is 

 offered for transfer, thus guarding against the possibility of the 

 stock being bought up for the purpose of control. Dividends other 

 than the nominal dividends paid on the stock should be paid to the 

 co-operators in proportion to the volume of business done by them 

 with the association. Do not be stingy in hiring a manager, for 

 while the cost may seem large it will pay in the long run to have a 

 competent man. 



When the association is finally ready to do business there are some 

 rales which should be followed explicitly. Absolutely no favore 

 should be shown; treat every one alike, rich or poor, black or white; 

 otherwise sore spots are sure to be made which are hard to heal. 

 The strictest honesty should be exacted from all; a contract should 

 be made with the members of the association which should define 



