ANOTHER FARMERS’ COMPANY

Manawatu Times, Volume XLIX, Issue 3495, 3 November 1926, Page 5

ANOTHER FARMERS’ COMPANY

GOES INTO LIQUIDATION’. The Waikato Associated Farmers’. Ltd., a linn that lias been in existence about 18 months, trading in farming requirements, lias gone into voluntary liquidation. The conception was to take orders from farmeis and when these reached a certain bulk to purchase wholesale and distribute the goods at cost price plus sufficient to cover expenses of handling. Difficulties were, however, experienced owing to delays in accumulating orders and in getting in cash, while the original principle of buying oniy according to requirements was departed from and largo stocks were bought forward, the company thus developing into an ordinary trading concern without capital. A heavy purchase of manure and an overloaded market placed the company in a vcrj r difficult position, and finally it was found necessary owing to failure to re-organise to wind the concern up. The company, which was limited by guarantee, had a membership of 800 farmers, and its failure is attributed to lack of capital and the consequent impossibility of carrying on as an ordinary trading concern.

By virtue ot a guarantee,. 800 members ■will each be called upon to pay £5 each. Mr T. G. Reynolds has been appointed liquidator.