1912. 
AN OHIO FARMERS’ CO-OPERATIVE STORE. 
The Story of a Successful Enterprise. 
IIOW IT STARTED.—The question of a farmers’ 
cooperative store has been more or less discussed in 
northeastern Ohio, but some failures of farmers’ 
stores as promoted by the early Granges were cited as 
proof that they could not be made to go, and things 
would get quiet again. Buying and selling would go 
on as before, only with a steady widening of the dis¬ 
tance between producer and consumer, with a cor¬ 
responding filling in this space with additional mid¬ 
dlemen, each with his "fixed charge.” The Ravenna 
Grange again took up and discussed the matter, but 
finally the outcome was that a couple of 
wealthy men said, “Let us form a stock 
company of $20,000 and have capital 
enough to do business with; employ 
men who can manage, buy and sell, and 
promote trade, and do a strictly cash 
business. Make the overhead charge 
not over 10 per cent, on cost price, pay 
interest on stock, all surplus to go back 
to the stockholders. Take in the out¬ 
siders for a five per cent, increase over 
stockholders’ rates, but give them no 
rebates and, if the company can be 
formed, I will build the store, and see 
the thing started.” The proposal met 
with acceptance from the start. It was 
not long before the stock was nearly 
subscribed, a meeting was called, and 
the company formed, with this addi¬ 
tion from the chief promoter, that he 
would buy a lot on a public street in 
the town, and build a large brick block 
with basement, two stories above, and 
complete it ready for mercantile occu¬ 
pancy, the block to cost not less than 
$lt>,000, for which the company should 
pay him annually four per cent, interest 
on the cost of the building. It was stip¬ 
ulated that no one, however many 
shares he had (shares limited to four to 
one man), could have but the one vote, 
and no stock could be sold except by 
first offering it to the company. The 
whole idea was that the producer and 
consumer in both directions should be 
brought close together, and the mer¬ 
chandise, or produce, should be supplied 
at cost, with simply the actual cost of 
buying and selling added. It was be¬ 
lieved that an overhead charge of 10 
per cent, would cover all cost of trans¬ 
fer; that all produce sold should go as 
nearly as possible to the final distribu¬ 
tor; all purchases of material should be 
paid for with spot cash, and all buyers 
of the company should pay cash. Then 
out of the margins of sales, six per 
cent, should be paid for on the stock, 
and at the end of the year, the surplus 
should be divided pro rata, as a divi¬ 
dend. It was stipulated that anyone not 
a member, could trade, buy and sell 
with, and to the company, but at an 
additional rate of five per cent, in ex¬ 
cess over members’ rates, but could not 
participate in dividends or premiums. 
To illustrate: Last year the store pur¬ 
chased something like 10,000 bushels of 
potatoes, paying to each and all the 
going market price, cash to all alike. 
These potatoes were sent into retail 
markets, and there sold, and when re¬ 
turns were made, it was found that af¬ 
ter paying all charges, freights and 
handling, there was a balance of 10 
cents per bushel left which was paid 
back to the farmers. In one instance, 
it made a “chromo” to the farmer of 
over $300, which paid him for belong¬ 
ing to the company. 
GENERAL MANAGEMENT. — At 
first there was some difficulty in getting machinery, 
and the like from the great trust manufacturing com¬ 
panies, as they wanted to “protect” their agents, and 
did not want things sold below their prices, but the 
store had little difficulty in getting machinery quite as 
good, and these firms soon saw their sales were falling 
off, and their goods being displaced by other makers, 
and they soon realized that if they got spot cash for 
stuff they were not losers after all, so I think that all 
are now glad to sell to the store. First-class mowing 
machines are sold at the store for about $38, instead 
of $45, and so on through the list; household supplies, 
THE RURAL NEW-YORKER 
furniture, clothing of all classes, carriages, wagons, 
paints, oils and groceries, while no end of manufac¬ 
turers are eager to put in goods to be paid for only 
when sold. If any particular thing the consumer may 
want is not in stock it is ordered and quickly deliv¬ 
ered, and in all this the outsiders are quickly seeing 
that even if they pay a slight advance over members, 
it is far inside the usual price they have to pay at the 
general store, so that now fully one-third of the sales 
of the store are to the “gentiles,” and bring the store 
a revenue which will easily pay store charge, rent and 
per cent, on capital stock. Outside things are in¬ 
cluded, such as coal, feed, building material, even 
silos are being sold by the half dozens, and gasoline 
engines by the score. As one member is a director 
in several railways, there has as yet been no trouble 
about “no cars” or advanced local railway rates. The 
store is branching out in other ways. A blacksmith 
shop and repair establishment has been put in, where 
the members can get a horse shod, four new shoes, 
for $1, and “the other fellow” for $1.25, while the 
price uptown is $1.60, and other innovations are con¬ 
templated. A trip through the store shows that not 
only the shoe men, but the clothiers and all kinds of 
ladies’ ready-to-wear articles are supplied by anxious- 
to-sell manufacturers, and anything in the line of 
no© 
farm supplies was either in stock, or at the end of 
the telephone wire, ready to come. 
EXTENSION OF THE PLAN.—Plans are nearly 
ready to be put in execution, for the putting in of a 
branch store in the northern part of the county, in 
the heart of the potato, grain and dairy district, this 
time not in a village, but out in the center of a farm¬ 
ing community, alongside of the Erie Railway; a sid¬ 
ing and “stop” being already in daily use, and the 
warehouse about in sight. While the main store has 
only been in operation a little less than one year, 
the sales are running nearly $2,000 per week, and this 
does not represent the buying part of the business, 
farm produce and certain things often wanted and in 
the aggregate expected to show a fair 
profit on the investment, not to mention 
the below-market prices realized as 
compared with usual prices to con¬ 
sumer. The store deals in no cheap 
second-rate goods; it is all of full aver¬ 
age quality, and as sold elsewhere. The 
whole plan and object of the store 
owners is to get nearer to both ends of 
the market, and cut out as nearly as 
possible the excessive percentages ad¬ 
ded by far too many middlemen. The 
buyer realizes now as never before, that 
the producer gets too little of the con¬ 
sumer’s dollar, and that the farmer pays 
altogether too much as compared with 
the manufacturing cost of what he 
buys, and in this transaction, dollars 
paid down on the spot by both parties 
is a great inducement for concessions, 
in preference to much commission and 
long credits. Of course, there is much 
prophesying the failure of the store by 
the other fellow. True, now and then 
the store can sell some one thing little 
or no cheaper than another store, but 
that is the exception. It is a human 
undertaking, and has much to learn, 
overcome, endure and perhaps sustain 
some reverses, but if the cash system 
is adhered to, the consumers at both 
ends of the line made to see and know 
that they are being fairly and honestly 
dealt with, and with promptness, there 
is no reason in the world why this 
store, and a score of others, cannot 
succeed and help mightily in solving 
the question, in some degree at least, 
of the high cost of living. 
JOHN GOULD. 
WOOD BLOCKS FOR PAVEMENT 
AND FLOORS. 
On page 1082 you have an inquiry 
about wood blocks for flooring a stable. 
I have known a contest between stable 
men and the board of health regarding 
putting in concrete floors in all stables 
in the city limits. The board of health 
would possibly accept creosoted blocks 
laid on concrete, but the stable men 
do not want the blocks; they state, if 
properly laid with pitched spaces be¬ 
tween the blocks, it will be too ex¬ 
pensive, and, if the spaces are not 
pitched they will fill with filth and the 
filth will become saturated with urine 
and make a dirty, wet and unsanitary 
floor. 
Our experience with wood paving 
blocks may be of interest, and while 
properly creosoted wood blocks on 
proper concrete foundation with a sand 
cushion between, is our most satis¬ 
factory pavement compared to Belgian 
blocks, vitrified blocks, concrete blocks, 
asphalt and bitulithic pavements, still 
conditions must be right to get this re¬ 
sult. There are some stretches of pave¬ 
ment where the blocks were not prop¬ 
erly creosoted, and after every rain of 
any size, sections of the street buckle badly from 
the blocks absorbing water and swelling, often having 
to be relaid, and sometimes in very heavy storms 
floating and being carried away by the water. Poor 
blocks are worse than useless. Another thing about 
creosoted blocks is, men working in close places 
claim that it is bad on the eyes, makes them smart 
and weak for a time. If this be a fact, it would be 
somewhat of a risk to place such material in a build¬ 
ing to be used for a number of consecutive hours by 
animals, as it might do them serious damage as re¬ 
gards their eyesight, and it would be well to investi¬ 
gate this point. r. d. 
A WISCONSIN DOG AND LAMB TEAM. Fig. 499. 
PART OF A PENNSYLVANIA POTATO CROP. Fig. 500. 
HOW THE MANURE IS HANDLED. Fig. 501. 
