The Atlantic Monthly, Volume 07, No. 40, February, 1861

There was a loss of seventy-five dollars, and he did not dare buy more.

It will be obvious that the selling a part of one's goods at less than cost enhances the necessity of getting a profit on the rest. But how to do this, under the sharp scrutiny of a buyer who knows that his own success, not to say his very existence, depends upon his paying no profit possible to be avoided,—no profit, at all events, not certainly paid by some sharp neighbor who is competing with him for the same trade?

"But is there anything in all this," you are asking, "to preclude the jobber's telling the truth?" Nothing. "Anything to preclude strict honesty?" Nothing. "Why, then, do the questions you have quoted continually recur?"

I answer: In order to get his share of the best custom in his line, the dry-goods jobber has taken a store in the best position in town, at a rent of from three to fifty thousand dollars a year; has hired men and boys at all prices, from fifty dollars to five thousand,—and enough of these to result in an aggregate of from five to fifty thousand dollars a year for help, without which his business cannot be done. Add to this the usual average for store-expenses of every name, and for the family-expenses of two, five, or seven partners, and you find a dry-goods firm under the necessity of getting out of their year's sales somewhere from fifteen to a hundred and fifty thousand dollars profit, before they shall have saved one cent to meet the losses of an unfavorable season.

Now, though there is nothing even in all these urgencies to justify a single lie or fraud, there is much to sharpen a man's wits to secure the sale of his goods,—much to educate him in all manner of expedients to baffle the inquiries of customers who would be offended, if they could discover that he ever charged them the profit without which he could never meet his expenses. And the jobber's problem is complicated by the folly, universally prevalent among buyers, of expecting some partiality or peculiarity of favor over their neighbors who are just as good as themselves. Every dry-goods jobber knows that his customer's foolish hope and expectation often demand three absurdities of him: first, the assurance that he has the advantage over all other jobbers in a better stock of goods, better bought; secondly, that he has a peculiar friendship for himself; and thirdly, that, though of other men he must needs get a profit, in his special instance he shall ask little or none; and that, such is his regard for him, it is a matter of no moment whether he live in Lowell or Louisiana, in New Bedford or Nebraska, or whether he pay New England bank-notes within thirty days, or wild-cat money and wild lands, which may be converted into cash, with more or less expense and loss, somewhere between nine months and nine-and-twenty years.

And yet the uninitiated "can't understand how an honest merchant can have two prices for the same goods." An honest man has but one price for the same goods, and that is the cash price. All outside of that is barter,—goods for notes. His first inquiry is, What is the market-value of the note offered? True, he knows that many of the notes he takes cannot be sold at all; but he also knows that the notes he is willing to take will in the aggregate be guarantied by a reservation of one, two, or three per cent., and that the note of the particular applicant for credit will tend to swell or to diminish the rate; and he cannot afford to exchange his goods for any note, except at a profit which will guaranty its payment when due,—which, in other words, will make the note equal in value to cash.

Now it is just because all business-contingencies cannot be worked into an unvarying form, as regular as the multiplication-table, and as plain to the apprehension of all men, that a vast amount of lying and of dishonesty is imputed, where it does not exist. Merchants are much like other men,—wise and unwise, far-sighted and short-sighted, selfish and unselfish, honest and dishonest. But that they are as a class more dishonest than other men is so far from being true, that I much doubt if we should overstrain the matter, if we should affirm that they are the most honest class of men in the community. There is much in their training which contributes directly, and most efficiently, to this result. Their very first lessons are in feet and inches, in pounds and ounces, in exact calculations, in accounts and balances. Carelessness, mistakes, inaccuracies, they are made to understand, are unpardonable sins. The boy who goes into a store learns, for the first time, that half a cent, a quarter of a cent, an eighth of a cent, may be a matter of the gravest import. He finds a thorough book-keeper absolutely refusing himself rest till he has detected an error of ten cents in a business of six months. And every day's experience enforces the lesson. It is giving what is due, and claiming what is due, from year's end to year's end. Among merchants it is matter of common notoriety, that the prompt and exact adherence to orders insisted on by merchants, and prompt advice of receipt of business and of progress, cannot be expected from our worthy brethren at the bar. (The few honorable exceptions are respectfully informed that they are not referred to.) We do not expect them to weigh or measure the needless annoyance to which they often subject us, because they have never been, like ourselves, trained to the use of weights and measures; and therefore we are not willing to stigmatize them as dishonest, though they do, in fact, often steal our time and strength and patience, by withholding an answer to a business-letter.

None but those who are in the business know the assiduous attention with which the dry-goods jobber follows up his customers. None but they know the urgent necessity of doing this. The jobber may have travelled a thousand miles to make his customer's acquaintance, and to prevail upon him to come to Boston to make his purchases; and some neighbor, who boards at the hotel he happens to make his resting-place, lights upon him, shows him attention, tempts him with bargains not to be refused, prevails upon him to make the bulk of his purchases of him, before his first acquaintance even hears of his arrival. To guard against disappointments such as this, the jobber sends his salesmen to live at hotels, haunts the hotels himself, studies the hotel-register far more assiduously than he can study his own comfort, or the comfort of his wife and children. Of one such jobber it was said, facetiously,—"He goes the round of all the hotels every morning with a lantern, to wake up his customers." I had an errand one day at noon to such a devotee. Inquiring for him in the counting-room, I was told by his book-keeper to follow the stairs to the top of the store, and I should find him. I mounted flight after flight to the attic, and there I found, not only the man, but also one or two of his customers, surrounding a huge packing-case, upon which they had extemporized a dinner, cold turkey and tongue, and other edibles, taken standing, with plenty of fun for a dessert. The next time we happened to meet, I said,—"So you take not only time, but also customers, by the forelock!"

"Yes, to be sure," was his answer; "let 'em go to their hotel to dinner in the middle of a bill, and somebody lights upon 'em, and carries 'em off to buy elsewhere; or they begin to remember that it is a long way home, feel homesick, slip off to New York as being so far on the way, and that's the last you see of 'em. No, we're bound to see 'em through, and no let-up till they've bought all they've got on their memorandum."

We have not yet touched the question of credit. To whom shall the jobber sell his goods? It is the question of questions. Many a man who has bought well, who in other respects has sold well, who possessed all the characteristics which recommend a man to the confidence and to the good-will of his fellows, has made shipwreck of his fortunes because of his inability to meet this question. He sold his goods to men who never paid him. To say that in this the most successful jobbers are governed by an instinct, by an intuitive conviction which is superior to all rules of judgment, would be to allege what it would be difficult to prove. It would be less difficult to maintain that every competent merchant, however unconscious of the fact, has a standard of judgment by which he tries each applicant for credit. There are characteristics of men who can safely be credited, entirely familiar to his thoughts. He looks upon the man and instantly feels that he is or is not the man for him. He thinks his decision an instinct, or an intuition, because, through much practice, these mental operations have become so rapid as to defy analysis. Not being infallible, he sometimes mistakes; and when he so mistakes, he will be sure to say,—I made that loss because I relied too much upon this characteristic, or because I did not allow its proper weight to the absence of some other,—because I thought his shrewdness or his honesty, his enterprise or his economy, would save him: implying that he had observed some non-conformity to his standard, but had relied upon some excellency in excess to make up for it.

What are the perplexities which beset the question, To whom shall the jobber sell his goods? They are manifold; and some of them are peculiar to our country. Our territory is very extensive; our population very heterogeneous; the economy and close calculation which recommend a man in Massachusetts may discredit him in Louisiana. The very countenance is often a sure indication of character and of capacity, when it is one of a class and a region whose peculiarities we thoroughly understand; but coming to us from other classes and regions, we are often at fault,—more especially in these latter days, when all strong-mindedness is presumed to be foreshadowed in a stiff beard. Time was when something could be inferred from a lip, a mouth, a chin,—when character could be found in the contour and color of a cheek; but that time has passed. The time was, when, among a homogeneous people, a few time-honored characteristics were both relied on and insisted on: for example, good parentage, good moral character, a thorough training, and superior capacity, joined to industry, economy, sound judgment, and good manners. But Young America has learned to make light of some of these, and to dispense altogether with others of them.

Once the buyer was required to prove himself an honest, worthy, and capable man. If he wanted credit, he must humbly sue for it, and prove himself deserving of it; and no man thought of applying for it who was not prepared to furnish irrefragable evidence. Once, a reference to some respectable acquaintance would serve the purpose; and neighbors held themselves bound to tell all they knew. The increase of merchants, and fierce competition for customers, have changed this. Men now regard their knowledge of other men as a part of their capital or stock-in-trade. Their knowledge has been acquired at much cost of labor and money; and they hold themselves absolved from all obligation to give away what they have thus expensively acquired. Moreover, their confidence has sometimes been betrayed, and their free communications have been remorselessly used to their disadvantage. Alas, it cannot be denied that even dry-goods jobbers, with all their extraordinary endowments, are not quite perfect! for some of them will "state the thing that is not," and others "convey" their neighbor's property into their own coffers: men who prefer gain to godliness, and mistake much money for respectability.

There are very few men, in certain sections of the country, who will absolutely refuse to give a letter of introduction to a neighbor on the simple ground of ill-desert. Men dread the ill-will of their neighbor, and particularly the ill-will of an unscrupulous neighbor; so, when such a neighbor asks a letter, they give it. I remember such a one bringing a dozen or more letters, some of which contained the highest commendation. The writer of one of these letters sent a private note, through the mail, warning one of the persons addressed against the bearer of his own commendatory letter. Those who had no warning sold, and lost. It would be difficult to find a man, however unworthy, who could not, from some quarter, obtain a very respectable letter of introduction. One of the greatest rogues that ever came to Boston brought letters from two of the foremost houses in New York to two firms second to none in Boston. Neither of these gentlemen was in fault in the matter; the train had been laid by some obliging cousin in a banking-house in London.

In making up our account of the difficulties with which a dry-goods jobber has to deal, in conducting a successful business, it must be distinctly stated, that on no man can he count for information which will, however remotely or slightly, compromise the interest of the one inquired of. Never, perhaps, was it so true as now, that "the seller has need of a hundred eyes." The competent jobber uses his eyes first of all upon the person of the man who desires to buy of him. He questions him about himself, with such directness or indirectness as instinct and experience dictate. He learns to discriminate between the sensitiveness of the high-toned honest man and the sensitiveness of the rogue. Many men of each class are inclined to resent and resist the catechism. Strange as it may seem, the very men who would inexorably refuse a credit to those who should decline to answer their inquiries are the men most inclined to resent any inquiry about themselves. While they demand the fullest and most particular information from their customers, they wonder that others will not take them on their own estimate of themselves.

The jobber next directs his attention to the buyer's knowledge of goods: of their quality, their style, their worth in market, and their fitness for his own market; all of which will come to light, as he offers to his notice the various articles he has for sale. He will improve the opportunity to draw him out in general conversation, so guiding it as to touch many points of importance, and yet not so as to betray a want of confidence. He sounds him as to his knowledge of other merchants at home and in the city; takes the names of his references,—of several, if he can get them; puts himself in communication with men who know him, both at his home and in the city. If he can harmonize the information derived from all these sources into a consistent and satisfactory whole, he will then do his utmost to secure his customer, both by selling him his goods at a profit so small that he need have little fear of any neighbor's underselling him, and also by granting every possible accommodation as to the time and manner of payment.

A moderately thoughtful man will by this time begin to think the elements of toil and of perplexity already suggested sufficient for the time and strength of any man, and more than he would wish to undertake. But experience alone could teach him in how many ways indulged customers can and do manage to make the profit they pay so small, and the toil and vexation they occasion so great, that the jobber is often put upon weighing the question, Should I not be richer without them? Thus, for example, some of them will affect to doubt that the jobber wishes to sell to them, and propose, as a test, that he shall let them have some choice article at the cost, or at less than the cost, now on one pretext, and now on another,—intimating an indisposition to buy, if they cannot be indulged in that one thing. If they carry their point, that exceptional price is thenceforth claimed as the rule. Another day the concession will be asked on something else; and by extending this game so as to include a number of jobbers, these shrewd buyers will manage to lay in an assorted stock on which there will have been little or no profit to the sellers. To cap the climax of vexation, these persons will very probably come in, after not many days, and propose to cash their notes at double interest off. Only an official of the Inquisition could turn the thumb-screw so many times, and so remorselessly.

But we have yet to consider the collection of debts. The jobber who has not capital so ample as to buy only for cash is expected invariably to settle his purchases by giving his note, payable at bank on a fixed day. He pays it when due, or fails. Not so with his customers: multitudes of them shrink from giving a note payable at bank, and some altogether refuse to do so. They wish to buy on open account; or to give a note to be paid at maturity, if convenient,—otherwise not. The number of really prompt and punctual men, as compared with those who are otherwise, is very small. The number of those who never fail is smaller still. The collection-laws are completely alike, probably, in no two States. Some of them appear to have been constructed for the accommodation, not of honest creditors, but of dishonest debtors. In others, they are such as to put each jobber in fear of every other,—a first attachment taking all the property, if the debt be large enough, leaving little or nothing, usually, for those who have been willing to give the debtor such indulgence as might enable him to pay in full, were it granted by all his creditors.

No jobber can open his letters in the morning in the certainty of finding no tidings of a failure. No jobber, leaving his breakfast-table, can assure his wife and children, sick or well, that he will dine or sup with them; any one of a dozen railroad-trains may, for aught he knows, be sweeping him away to some remote point, to battle with the mischances of trade, the misfortunes of honest men, or the knavery of rogues and the meshes of the law. Once in the cars, he casts his eye around in uneasy expectation of finding some one or more of his neighbors bound on the same errand. While yet peering over the seats in front of him, he is unpleasantly startled by a slap on the shoulder, and, "Ah, John! bound East? What's in the wind? Any ducks in these days?" "Why,—yes,—no,—that is, I'm going down along,—little uncertain how far,—depends on circumstances." "So, so,—I see,—mum's the word." Well, neither is quite ready to trust the other,—neither quite ready to know the worst; so long as a blow is suspended, it may not fall; and so, with desperate exertions, they change the subject, converse on things indifferent,—or subside into more or less moody meditations upon their respective chances and prospects.

Any jobber who has seen service will tell you stories without number of these vexatious experiences, sometimes dashed with the comical in no common measure. He will tell you of how they arrived at the last town on the railroad, some six or seven of them; of how not a word had been lisped of their destination; of the stampede from the railroad-station to the tavern; of the spirited bids for horses and wagons; of the chop-fallen disappointment of the man for whom no vehicle remained; of his steeple-chase a-bareback; and of their various successes with writs and officers, in their rush for the store of the delinquent debtor. Of three such Jehus, the story goes, that, two of them having bought the monopoly of the inside of the only vehicle, and, in so doing, as they thought, having utterly precluded any chance for the third, their dauntless competitor instantly mounted with the driver, commenced negotiations for the horse, which speedily resulted in a purchase, and thereupon detached the horse from the vehicle, drove on, and effected a first attachment, which secured his debt.

The occurrence of "a bad year" compels many a jobber to abandon his store and home for one, two, or three months together, and visit his customers scattered all over the land, to make collections. Then it is that the power of persuasion, if possessed, is brought into efficient use; discrimination, too, is demanded; good judgment, and power of combination. For a debt that cannot be paid in money may possibly be paid partly in money, or in merchandise of some sort, and in part secured; and, among the securities offered, to choose those which will involve the least delay is generally no easy matter.

To those who, without experience, are commencing a jobbing-business, a capital of thirty, forty, or fifty thousand dollars seems an inexhaustible fund. Experience teaches that an incautious and unskilful man may easily bury even the largest of these sums in a single season. If not actually lost, it has in effect ceased to be capital, because it cannot be collected, and the notes he has taken are such as will not be discounted.

Success in the jobbing-business makes such demand on talent and capacity as outsiders seldom dream of. Half-a-dozen Secretaries of State, with a Governor and a President thrown in, would not suffice to constitute a first-class jobbing-firm. The general or special incompetency of these distinguished functionaries in their several spheres may probably be covered by the capacity of their subordinates. The President of these United States—of late years, at all events—is not supposed to be in a position to know whether the will is or is not "a self-determining power." But no jobbing-firm can thus cloak its deficiencies, or shirk its responsibilities. Goods must be bought, and sold, and paid for; and a master-spirit in each department, capable of penetrating to every particular, and of controlling every subordinate, cannot be dispensed with. He must know that every man to whom he delegates any portion of his work is competent and trustworthy. He must be able to feel that the thing which he deputes to each will be as surely and as faithfully done as though done by his own hand. No criticism is more common or more depreciatory than that "Such a one will not succeed, because he has surrounded himself with incompetent men."

It is much to be regretted that it cannot be said, that no man can succeed in the jobbing-business who is not a model of courtesy. Unhappily, our community has not yet reached that elevation. But this may with truth be affirmed,—that many a man fails for the want of courtesy, and for the want of that good-will to his fellows from which all real courtesy springs. There is small chance for any man to succeed who does not command his own spirit. There is no chance whatever for an indolent man; and, in the long run, little or no chance for the dishonest man. The same must be said for the timid and for the rash man. Nor can we offer any encouragement to the intermittent man. From year's end to year's end, the dry-goods jobber finds himself necessitated to be studying his stock and his ledger. He knows, that, while men sleep, the enemy will be sowing tares. In his case, the flying moments are the enemy, and bad stock and bad debts are the tares. To weed out each of these is his unceasing care. And as both the one and the other are forever choking the streams of income which should supply the means of paying his own notes, his no less constant care is to provide such other conduits as shall insure him always a full basin at the bank. Nobody but a jobber can know the vexation of a jobber who cannot find money to cash his notes when they are beginning to be thrown into the market at a price a shade lower than his neighbor's notes are sold at.

In conclusion, a few material facts should be stated.

As a general proposition, it is not to be denied, that those who are in haste to get rich will find in the dry-goods jobbing-business many temptations and snares into which one may easily fall. A young man who is not fortified by a faithful home-training, and by sound religious principle, will be likely enough to degenerate into a heartless money-maker.

While the young man who has been well trained at home, who appreciates good manners, good morals, and good books, will derive immense advantage in acquiring that quick discernment, that intuitive apprehension of the rights and of the pleasure of others, and that nice tact, which characterize the highest style of merchants,—he who has not been thus prepared will be more than likely to mistake brusquerie for manliness, and brutality for the sublime of independence. As in a great house there are vessels unto honor and also unto dishonor, so in the purlieus of the dry-goods trade there are gentlemen who would honor and adorn any society, and also men whose manners would shame Hottentots,—whose language, innocent of all preference for Worcester or Webster, a terror to all decent ideas, like scarecrows in corn-fields, is dressed in the cast-off garments of the refuse of all classes.

Success in retailing does not necessarily qualify a man to succeed in the dry-goods jobbing-business. The game is played on a much larger scale; it includes other chances, and demands other qualifications, natural and acquired. Instances are not wanting of men who, in the smaller towns, had made to themselves a name and acquired an honorable independence, sinking both capital and courage in their endeavors to manage the business of a city-jobber.

It should be well remembered, that, while it is not indispensable to success in the jobbing-business that each partner should be an expert in every department of the business, in buying, selling, collecting, paying, and book-keeping, it is absolutely necessary that each should be such in his own department,—and that the firm, as a unit, should include a completely competent man for each and every one of these departments. The lack of the qualities which are indispensable to any one of these may, and probably will, prove an abyss deep enough to ingulf the largest commercial ship afloat.

Finally, to avoid disappointment, the man who would embark in the dry-goods trade should make up his mind to meet every variety of experience known to mortals, and to be daunted by nothing. He will assuredly find fair winds and head winds, clear skies and cloudy skies, head seas and cross seas as well as stern seas. A wind that justifies studding-sails may change, without premonition, to a gale that will make ribbons of top-sails and of storm-sails. The best crew afloat cannot preclude all casualties, or exclude sleepless nights and cold sweats now and then; but a quick eye, a cool head, a prompt hand, and indomitable perseverance will overcome almost all things.

THE OLD HOMESTEAD

The wet trees hang above the walks
Purple with damps and earthish stains,
And strewn by moody, absent rains
With rose-leaves from the wild-grown stalks.

Unmown, in heavy, tangled swaths,
The ripe June-grass is wanton blown;
Snails slime the untrodden threshold-stone,
Along the sills hang drowsy moths.

Down the blank visage of the wall,
Where many a wavering trace appears
Like a forgotten trace of tears,
From swollen caves the slow drops crawl.

Where everything was wide before,
The curious wind, that comes and goes,
Finds all the latticed windows close,
Secret and close the bolted door.

And with the shrewd and curious wind,
That in the arched doorway cries,
And at the bolted portal tries,
And harks and listens at the blind,—

Forever lurks my thought about,
And in the ghostly middle-night
Finds all the hidden windows bright,
And sees the guests go in and out,—

And lingers till the pallid dawn,
And feels the mystery deeper there
In silent, gust-swept chambers, bare,
With all the midnight revel gone;

But wanders through the lonesome rooms,
Where harsh the astonished cricket calls,
And, from the hollows of the walls
Vanishing, stare unshapen glooms;