Page 2 Advertisements Column 3

Gisborne Times, Volume XXVI, Issue 2279, 26 August 1908, Page 2

> / CHi T> H7' HP IT Q Ol*' Tlllfi . glAi/CD A CO Ml* AN V IN TEN 1)101) TO BE INCORPORATED UNDER ‘-THE COMPANIES ACT, 1903.” PROPOSED DIRECTORS: A. V*. HAILEY, Baker, Clisborno. ILERBEUT W. NVi Mil AMS, Clerk in Holy Orders, Gisborne. ][. H. HILL, Land Agent, Gisborne. J, HAROLD KANE, Chemist, Gisborne. G. PA LA [RET, Settler, Gisborno. L. REDWARD, Clerk, Gisborno. J. A. AICKIN, Accountant, Gisborno. BANKERS: THE BANK OF AUSTRALASIA, at Gisborno. SOLICITORS: REES BROTHERS & BRIGHT, of Gisborno. AUDITOR: ANDREW GRAHAM, of Gisborno, Accountant. SECRETARY AND BROKER: CHRISTOPHER GISBORNE PIESSE. of Gisborne, Accountant.

OBJECTS. The objects and powers of the Company are'sot ont, in the Memorandum of [Association, a copy of which is printed at the end hereof and forms .part of the rrospcctus. Tho Company adopts Pablo A of the “Companies Act, 11)03,” except as added to and modified by tho General Articles of Association, a copy of which is also printed at tho end hereof and forms part of this prospectus. CAPITAL. The capital of tho Company is £SOOO, divided into 5000 Shares of £1 Of tho above-mentioned shares 250 nro to be issued and credited as paid up in full in part consideration of the sale to tho Company, particulars of which are hereinafter more particular!" sot out, 2000 shares are reserved for subsequent issue for extension of business, and the remainder, 2750 shares, arc offered to the public for subscription payable as follows: Two shillings per share oil application. Three shillings per share on allotAud tho remaining fifteen shillings per share shall be payable in calls of not more than fivo shillings per share at intervals of not less than one month. PURPOSES. The Company is being iormed lor die primary purpose of acquiring tho Bakery Business now carried on by tho vendor, Arthur Percy Hailey, in Gladstone Road, Gisborne, and oi carrying ou, consolidating, and extending tho trade or business, and of carrying out the objects mentioned in tho Memorandum of Association. The Trustee for and on behalf ot tile Company lias contracted with the said Arthur Percy Hailey (hereinafter sometimes called “Tho Vendor ) to purchase the business as a going concern. but not including book or other debts. The prices fixed for such purchase aro as follows : (a) Tho sum of £350 for tho goodwill of tho said business and lease of tho premises. (b) The value determinable by valuation in the ordinary way of the buildings, stock-in-trado, plant, fittings, machinery, furniture, goods, chattels, and effects of tho said business in, upon, or about tho premises or used by the Vendor in tho said trade or business. Tho Vendor will accept payment of the purchase money aforesaid as follows : (a) £250 or 250 fully paid-up shares in tho capital of the Company. (b) £750 by debentures repayable in three years, and carrying interest at the rate of £5 per cent per annum. (c) Tho balance may at the option of the Company be paid in cash, orthe Company may bake over the liabilities of the Vendor, and the balance after allowing for liabilities as aforesaid, shall be paid to the Vendor in cash. BUSINESS.

It will no doubt interest intending Shareholders to ascertain as nearly as possible the present position of the business proposed to bo acquired. Four and a half years ago Mr. Hailey, with little or no capital of his own, commenced business in this town. He commenced in a small way, and for the first year had no shop in connection with his bakehouse. Three and a half years ago ho acquired from Mrs. Byrne a lease of a quarter-acre section in Gladstone Hoad at a rental of £52 per annum. Ho has sublet for the remainder of the term a portion of the section with buildings on such portion at a rental of £SB ltls per annum. It will therefore be seen that the lease of the balance has, a very real value, and the price fixed for the goodwill cannot be considered excessive.

Since entering into possession, Mr. Haiiey has erected on a portion of the land retained by him a substantial brick building of the approximate value of £501). Mo has installed up-to-date bread and eake-ma'king machinery, and generally lias acquired a thoroughly efficient plant. The Directors would call special attention to the machinery which has been installed by Mr. Hailey. This is of the latest pattern, and gives the business proposed to bo acquired advantages not enjoyed by any other businesses in Gisborne.

A balance recently taken out by a competent accountant shows that after drawing a good income the Vendor’s assets exceed liis liabilities by approximately £I7OO. This balancesheet the Directors believe to bo correct, and will submit same to shareholders with fullest confidence, but owing to the fact that Mr. Hailey has not kept his books on approved lines they can give no guarantee to the shareholders as to the accuracy of the statement. When it it; remembered that the greater part of the time the Vendor was running his business on a credit basis, and that £3OO or thereabouts has been allowed or written off for bad and doubtful debts, _tho position must bo considered a highly satisfactory one. Mr. Hailey’s cash takings average from £2OO to £3OO a month, so that some idea can be formed of the excellent connection which he has worked up. The lease of the Vendor’s premises runs out in September, 1011, but this fact should cause no concern, as the Vendor has by a subsidiary agreement obtained from the Lessor an undertaking to pay the value less the sum of £lO of the brick building erected by the Vendor, and also lias obtained by such agreement a first refusal should the Lessor bo desirous of reletting the premises, and the Vendor undertakes that these benefits shall be extended to the Company.

PROSPECTS. The time seems opportune for tlio formation of tin's Company. The coupon and cash system lias been inM ISS TJEATTIE, UNION BANK BUILDINGS. Upstairs. HAIR SPECIALIST & MASSEUR. VIBRATORY Head and Face Massage. Shampooing and Bathing, and Hairwork of every description undertaken. Toilet in itoclc.