THE MAN ON THE LAND

Dominion, Volume 11, Issue 80, 28 December 1917, Page 5

THE MAN ON THE LAND

"SERVING HIM RIGHT" W.F.C.A.'S BUSINESS AND HOW IT DOES IT HISTORY OF A GREAT & GROWING FIRM ' Everyone who knows the Wairarapa, knows the Wairarapa Farmers' Go-oper-ative Association, Ltd. It is as much a part of the big fruitful valloy as tho Euamahanga River or the Tararua Ranges, and perhaps just as potent a factor as either in its richness and evercontinuing Whenever one sees the sign "W.F.C.A.," it is fairlysafe to conclude that there is "something doing" in that locality, for the W.F.C.A. walks hand-in-hand with progress as part and parcel 0," I*. Vviisi its headquarters at Mastertou (originally and now,), it has spread to every 'town of consequence in tho district; it has jumped tho.<Rimutakas and established itself firmly i'n the heart of tho City of Wellington, and recent years have- seen it extend its field of inlluonco up tho West Coast of tho North Island and across, the Strait to tlya beautiful Marlborough Sounds. It cariinot, then, be said that the W.F.C.A. is "sleeping on its assets." On the contrary, it h a live, strenuous, outreaching business that is proving to the farmer! tkaSsettler, and the stationholder that it is to his advantage to co-operate, for wise co-operation means efficiency, and efficiency means success —and money.

From Small Beginnings. The business commenced originally as a small concern designed to supply farmers' and settlers' needs in a comparatively humble way, but the business grew and grew with the district until, in 1892, the W.F.C.A., Ltd., was incorporated. The paid-up capital at that period was £31,769, and the shareholders totalled 850. Exactly how_ this concern has prospered since its inception may best bo told by a glance at the balance-sheet issued to July 31' of last year. ; The paid-up capital had grown to £93,053, and tho .shareholders giveii above do not, of course, include those of the United Farmers' Co-operative Association, Ltd., which business was incorporated with the W.F.0.A., Ltd., in August of' last year. Tho benefits of the co-operative system have been so well recognised and taken advantage of by the Wairarapa publio that the Association lias been enabled to return dividends to the shareholders that have averaged over eight per cent, ever since its incorporation and a bonus of three per cent, on purchases prior to the war and two and a half per cent, since. . The system has been a real and effectual training for the intelligence, business capacity, and moral character of the people It has taught them thrift, foresight, self-control, and the habit of harmonious combination ' for common ends, and it has opened an unlimited field for peaceful, hopeful, and successful effort in the future. The Association is undoubtedly, a benefit to the district in many ways. It employs a good deal of labour; upwards of.two hundred hands find work in the various branches, and a good many of these are married men with families depending on them, so that the wages roll is no mean one, and naturally is reflected to some extent in tho general progress and prosperity of the district. A Big Merger. In later years the business has been extended in many ways. The whole of tho interests of the United Farmers' Co-operative Association, which did nil extensive business throughout the district, has been taken in, and by this movement the association has firmly consolidated and conserved its interests, —and consequently tho interests of the farmers and settlers—in tho country, for it is an axiom of trade that the more one buys the cheaper ono buys. With the merger, the business of the W.F.C.A. has been immensely increased, and the association is therefore a heavier (and therefore a cheaper) buyer than heretofore.

Live People for Live Stock. But the acquisition of the V.¥£.L is not the only act of expansion which lias marked tho development of theW.F.C.A. during recent years. As lateas last year it decided to add to its live stock and station auctioneering business, and acquired -that formerly conducted by Messrs. Abraham and Williams, Ltd., so far as it applies to tho eastern sido of the Manawatu, Gorgo. The Motor Business. Still adhering to tho Wairarana end of tho business tho firm decided that to keep even with the motor age it had to have a motor and motor requisites department in the heart of a district so devoted to motoring. This was managed by acquiring tho motor garage and business of P. W. Rcardon, Ltd., and this has been considerably extended to meet the district's requirements. The garage is an extensive one, and the plant is the lrftost to copo with any kind of repairs, while the motor agencies held by tho association eompriso, without doubt, some of tlio best procurable in i\ r cw Zealand, including the Hupp., Jiickson, Austin and several others of noted reliability. The W£.C.A. To-day. . To give an idea how tho affairs ,of the W.F.C.A. stand to-day it will,'be., found of interest to quote lroni tho last annual report, and tho chairman's address at the annual meeting. The annual report recommended an 8 per cent, dividend and payment of a 3 per cent, bonus to shareholders on tiieir purcTiascs, a payment of a bonus to the managers of such departments that had contributed ft proportionate share of prolit, and a 5 per cent, bonus to employees of a year's standing. After pitying a dividend of 6 per cent, on preference shares, Government Income Tax, and directors' fees, the sum- of £11,000 was carried forward. The directors unanimously decided to invest £10,000 of tho association's funds in the War Loan. The 100,000 £1 preference) shares authorised to bo issued at the previous annual ■meeting were oversubscribed, and many applications had reluctantly to be refused; a portion for tho u'.F.C.A.'s (in liquidation)' shareholders was held in reserve, the liquidators advising that further assets wero in course of realisation, the proceeds of which wero to bo handedi over,' and payment made for same in preference shares, . s

The chairman, in the course of his remarks, said that the very satisfactory result of the past year's trading was due in a great" measure to the increase of capital placed at then , disposal, being the result of' our successfully floating £50,000 of debentures, and £100,000 oE preference shares, thereby giving us ample funds to successfully develop all our Businesses, especially the stool; and auctioneering ' department, and' the United Farmers' business, the earnings of which havo substantially assisted to produce- tho result now placed before you, and also duo to the high prices realised for all primary products, caus-

ing monoy to Tie plentiful and fcrado buoyant. ' * "Our 1916 balance-sheet Bhowcd our assets over liabilities to bo £177,230, whilst this year's balance-sheet shows our assets over liabilities' amount to £283,362, which demonstrates how greatly tho Jiuanci.il position of tho Association lias boon strengthened. "The warehouse is being built on a section wo aro leasing from the city corporation on a fifty years' lease, where wo purpose conducting our wool, shipping, and wliolesalo merchandise busiuess, whilst tho wool store, which will hold some 5000 bales of wool, is being built on our freehold property at Tiiorndon Quay, and should be finished in good time for tho coining wool season. 'In addition to these contracts, wo made during the past year largo additions to our briclc store, Masterton, and purchased _ a brick building in • Dannevirke containing offices for tho Stock Department and United Farmers' Branch. "You will note from the report that , wo applied for £10,000 of the New Zealand Government War Loan, which we aro sure will meet with your approval. "All businesses are controlled from Masterton, where a Finance Committee, of six directors meet at short in-

tervals to consider any. matter of importance, as tho board only-meets onco a month. ' , ' ■ " ■