Page 4 Advertisements Column 2

Oamaru Mail, Volume II, Issue 385, 18 July 1877, Page 4

PROSPECTUS these works, Msssrs. Guthrie and Larnach have been compelled to run the machinery overtime, on an average of two nights per week, since the opening of the new Factories. The whole of the extensive Factories and Stores (specially designed by David Ross, Esq , architect, of this city) are substantially built of brick and cement, on solid Milestone and concrete foundations (all timbers being of the best and most durable descriptions , covering an area, including the timbe yards, of several acres of valuable land in the chief streets of the city. Tlk: whole of the splendid modern machinery was design d and planned by an eminent engineering firm in Glasgow, under .Mr. Guthrie's immediate supervision while in Britain, and after a vei y careful inspection of the principal woodware factories in America, Britain, and on the Continent. Each machine has been firmly placed on a solid bed of concrete, where necessary, to prevent the possibility of vibration, and to avoid wear and tear. The contract for the purchase of machinery was entered into when materials and labour in Scotland were at their lowest. The important advantages to shareholders in a Joint Company of entering into possession of a large manufacturing and imposing business in full operation on a fixed date, with a thoroughly trained staff of oiiicers and men and a large mercantile connection without having to wait for the erection of buddings, importation of plant, stock, etc., or being subjected to any of the ri ks and delays incidental to the starting of anew business, and with ail preliminary expenses paid, should be at once apparent to investors. The following special advantages are worthy of notice : Ist The -whole of the machinery in the Factories is driven by one pair of powerful engines, worked by two men—an engineer and fireman—whose wages may fiiily b-± sail to eo.is'iuite the whole exper.sein connection with the motive power, as the only fa el renal" red to keep up steam is the sawdust and shavings drawn from lhe (Liferent facto.- ?s as soon as made, by means of piininutfcio tube-, and deposited in a large brick safe, ready for consumption a'ongside th« boilers. By this means all rubbi-h is utilised and made a sour, e of profit, and the cost of labour reduced to a mi-iiinum. •Jnd. 'J he four Factories being worked under one roof, a great saving is con*eijinjiiiiy enacted, not only in the motivepower, but also in the management, as the whole can be superintended and controlled by one manager. "Sid. Ihe 'J ub and Bucket Factcy, now in fuli operation, has a mou :poly of tue supply of the;-e indispensable aruj'es, there being no other till) and bucket factory in the Australasian Colonies. A large return may therefore be locked for to the credit of this branch of the bus:;;:.iS. 4th. The whole of the Factories, especially the Furniture Factory, being worked in connection with the general timber business, is earned on must proti'«.!;'.;.', not only from the fact of the first cost of the timber being procured at the cheapest possibly rate, buc also that large quantities of short cuttings of timber, which would otherwise either be sold as job lots at a low price, or sent to the furnace to be consumed as fuel, are utilised. The Union Sash and Door Company in Auckland is of a similar character to the New Zealand Woodware Factories, only being much less extensive. It is, however, a fair cri:crion to base taenia'ions upon, as to what may be expec:e-l from the New Zealand Woodware Factories. The Company referred to has only been in active operation for a little over four years, and his paid annual dividends of 20 per cent., besides earn irg large amounts to reserve fund; so that, in ad-idion to the very handsome yearly dividends, the original L;> shares of the Company are now quoted at L 7 10s., and a new issue allotted to shareholders, on which L'2 10s. has been paid up solely out of reserve fund, are quoted at 1.3 10s., making gtnal shares Lil, or a premium of 120 per cent. In connection with this, it is a fact that the profits shown to have been made in Messis. Guthrie and Larnach's business for tiie same peiiod considerably exceed that made by the Union Company in proportion to the capital invested ; so that the promoters have good reasons for believing that rot only wi 1 large dividends be paid regulirlv by the Company, but that its stock will at once become a much-sought after and favorable investment Mi-. Guthrie has consented to be fully identified with the business for a number of year-s as Managing Director. Mr. Guthrie's practical skill and long txperiencc in the trade are well known ; the high position to which the firm has attaiued under his management indicates the measure of prosperity which may reasonably be expected in the future ; and as a proof of Mr. Guthrie's and his partner's faith in the future prospects of the concern, they are willing to hold one-fifth each, or equal to two-fifths of the entire carpital on their own private account, purchased in fully paid-up shares. Ami as a further proof of their confidence in the future prospects of the Company, they have decided to guarantee that the Company's net profits for the first tfiree years shall not be less than ten per cent, per annum on the actual capital for the time being employed in the. business, or equal to a sum of about L:V,000 to be paid to the shareholders within three years. They exnect and believe that the profits will considerably exceed this rate, but investors will by this means know the rate of their minimum profits. By way of further securing the observance of the guarantee, the firm have agreed to deposit with the Directors of the Company scrio of the Company during the first year of the value of LSO 000, during the second year of L 40,000, and during the-third year of L 25 000, and to execute a legal charge upon the same in favor of the Company. • intending shareholders may therefore rest assured that no more legitimate or remunerative outlet for capital, or one presenting better or more" extensive future prospects, has ever been offered in New Zealand. The reasons which induced Messrs. Guthrie and Laruach to take this step are— ; Ist. That their term of partnership expires by effluxion of time in the couise of a J lev.-months, when it is "the intention of one of the partners to retire from active business, j