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About Google Book Search Google's mission is to organize the world's information and to make it universally accessible and useful. Google Book Search helps readers discover the world's books while helping authors and publishers reach new audiences. You can search through the full text of this book on the web at |http: //books .google .com/I % THE NEGRO IN BUSINESS BY * BOOKER T. WASHINGTON Author of "Working WW» the Hands," "The Story of My Ufe and Woi^' "Character Buflding." Etc., Etc » / Mimtvutsh PUBLISHED BY Copyright, 1907 BY Hertel, Jenkins & Co. IHB Vail Company, Coshocton, Ohio PREFACE Some time ago my publishers asked me to prepare for the public a volume which should take note of the undoubted business awakening among the Negro peo- ple of the United States, and suggested further that such a volume should include some general discussion of those factors and conditions that make for the per- manent economic success of the Negro race. It is not my purpose in this volume to attempt a statistical study of the business enterprises of the Negro people in the United States, or to give a de- tailed and consecutive history of their business de- velopment. I desire rather to tell in as direct and sim- ple a manner as I am able what a number of our more successful men have been able to do in the field of business, with the hope that an increasing number of our young men may be encouraged by these ex- amples to take advantage of the opportunities open to them in this direction. As I have traveled through the country, I have been constantly surprised to note the number of colored men and women, often in small towns and remote districts, who are engaged in various lines of business. In many cases the business has been very humble, but nevertheless sufficient has been accom- plished to indicate the opportunities of the race in this I field. Not infrequently, moreover. I met men who have been unusually successful, whose business en- terprises and wealth would be creditable to any man Ipf any race. It is the achievements of these men of ft-which I shall try here to give an account. In my opinion, the National Negro Business League, formed for the purpose of bringing our busi- ness men together for mutual help and encourage- ment, deserves a place in this book, because of the far-reaching influence it has exerted, through its annual meetings and the numerous and vigorous local leagues affiliated with it, in the way of encouraging our young men and women to go into business, and of heartening those already engaged in it to renewed efforts and greater achievements. I shall therefore give proper space to the history and effects of the National Negro Business League. A chapter which I think will be of interest con- Bcems the subject of Negro towns, several of which have sprung up in the South, and which seem to me significant and important as examples of that pioneer spirit which we must show more and more if we are to succeed as a race. In addition, I think I am safe in saying that some 'discussion of the subject of industrial education and of the Negro's commercial and social relations with the South, bearing directly on his business acti\'ity, will not be out of place in this book. Some of the material in these latter chapters has R^Iready appeared in print, and I am under obliga- ■ tion to the publishers of The Tradesman, Chattanooga, Tenn., The Atlantic Monthly, Boston, Mass., and the International Monthly, now the International Quar- terly, for permission to reprint that portion of the material which has appeared in the columns of their . publications. One point upon which I wish to be thoroughly understood is that this volume is not intended to- | include, or even to name, all the successful colored men and women who are engaged in business. The space allotted to me has permitted me to make men- tion of only a few, who will serve as examples of I what hundreds of others are accomplishing. I also j desire to make plain the fact that if any individual I or organization is not mentioned in this volume it 1 , does not mean that he or it is not, in my opinion, ] worthy to have such mention. Many of those who are entitled to be mentioned here are left out simply because of lack of space or because I had neither from my own knowledge nor from the records of ' the Business League and other sources of informa- i tion, sufficient details at hand to give an adequate ] account of what they have accomplished. My main object in preparing this volume has been ' I to set forth some examples from among the members \ of the Negro race that may serve to encourage other j men and women of the race to go forward and win ' L success in business directions. I have sought rather I to refer to such examples as would sho\v the va- , riety of business enterprise in which colored people I are engaged rather than the total amount of business , I being done by Negroes, Furthermore, 1 have in every j PREFACE case been influenced in making my ciioice less by the actual material success gained, measured in dol- lars and cents, than by the enterprise and energy and moral earnestness displayed, I have done this because I believe that the success won by hard work, rather than by lucky chance, is the only success that is of any importance to the race as a whole. Finally, if I seem to have chosen my examples of business success too exclusively from the ranks of the National Negro Business League, it is not because I am unaware that there are many successful busi- ness men who have never become members of it but because the men whose stories I know best are men with whom I have become acquainted through the imedium of the League. I wish to acknowledge my gratitude to my friend, T. T. Thomas Fortune, of New York, for very valuable help in the preparation of this volume ; and also to make acknowledgment of my indebtedness to my Secretary, Mr. Emmett J. Scott, for services ren- the same direction. Mr. Fortune has been . of the Executive Committee of the National fegTO Business League since its organization, and T. Scott, Corresponding Secretary; both have had luch to do with the upbuilding of this potent factor the development of our race, — The Author, Tuskegee Institute, Alabama, June 1, 1907. TABLE OF CONTENTS PART I Chapter Page I. Introduction ii II. The Negro in Agriculture 21 III. Junius G. Groves, "The Negro Potato King".. 29 IV. The Negro Caterer 38 V. John S. Trower, A Successful Caterer and Man of Business 47 VI. The Negro as a Hotel-Keeper 54 VIl. E. C. Berry, Hotel-Keeper and Business Suc- cess 62 VIII. The Negro as Town-builder 68 IX. Isaiah T. Montgomery, the Founder of Mound Bayou 82 X. The Negro Undertaker 94 XI. James C. Thomas, Undertaker and Business Man 104" XII. The Negro Banker no XIII. W. R. Pettiford, A Minister-Banker 126 XIV. 'The Negro Inventor and Manufacturer 138 XV. Samuel ScoTtRON, Inventor, Manufacturer, and Friend of the Negro Race 150 XVI. The Negro as a Financier and Capitalist 159 XVII. The Negro Pubusher 174 XVIII. The Story of the National Baptist Publishing Board 186 XIX. Philip A. Payton, Jr., and the Afro-American Realty Company 197 XX. Negro Business Enterprise in the Southwest . 206 TABLE OF CONTENTS Chapter Page XXI. Hon. John E. Bush and the Business League OF Little Rock, Arkansas 218 XXIL Pensacola, a Typical Negro Business Com- munity 230 XXin. Some Conspicuous Business Successes 237 XXIV. Three Personal Narratives of Business Suc- cess 251 XXV. The National Negro Business League 268 XXVI. The National Negro Business League in New York 276 PART II XXVII. Progress of the American Negro 293 XXVIII. The Negro and the Labor Problem of the South 303 XXIX. The Negro and His Relation to the South... 313 XXX. The Fruits of Industrial Training 322 XXXI. The American Negro and His Economic Value 344 PART III Appendix 359 LIST OF ILLUSTRATIONS BooKEB T. Washington Fbontispiecb Pbesidbnt and Vicb-Prksidbnts op Nbgro Business Lbaoub Fbontispibcb Hotel Bebby, Athens, O 28 J. G. Gboybs, Potato King 29 Chas. H. Smiley, Catebbb 42 Home of P. J. Moultbib 43 Hotel-Cafe of Nail Bros 54 J. L. Thomas and Family 55 City Council and Jail, Eatonville, Fla 78 J. E. Clabk's Pineapple Farm 79 Residence of Eatonville's Mayor 80 Residence of Eatonyille's Postmaster 81 Isaiah T. Montgomery .,....' 90 Bank of Mound Bayou and Dirbctors 91 Eluah Cook, Undertaker 98 Preston Taylor, Undertaker 99 W. R. Pettiford, Banker. 126 W. E. MOLLISON AND FAMILY 127 E. J. Reid, Salesman 142 Mrs. H. C. Haynes. . .^ 142 MlDDLETON*S Up-TO-DaTE Ma^KET 143 Office op Haynes Razor Strop Co 148 s. r. scottron and family 149 Philip A. Payton, Jr. » AND Wife 200 LIST OP ILLUSTRATIONS DiRBGTOBS OF AfBO-AmBBICAN InYBSTMENT CO 201 M. M. Lewbt AND Familt 236 R. B. Hudson and Familt 237 BusiNBSs OP J. N. Vandbkvall 242 J. M. Hazelwood's Tonsobiai« Parlors 243 Rbsidbncb Built by Colored Contractors 272 Officers of Neoro Business Lbaoub, 1904 273 Officers of Neoro Business League, 1907 276 Executive Committee of Negro Business League, 1907. 277 Office of I>r. Furniss 290 The Carolina Light Infantry 291 Jambs and Allbn*s Pharmacy 316 Office of Virginia Insurance Co 317 I THE NEGRO IN BUSINESS PART I THE NEGRO IN BUSINESS CHAPTER I INTRODUCTION In slavery days the Southern Negro had, except in j I very rare cases, no opportunity to engage in business I ■ his own behalf, and was very seldom permitted, I f-on account of the stringency of the laws against I I teaching a slave to read, write and cipher, to do bnsi- | I ness to any gjeat extent for his master. He was, ■ however, very often skilled in trades which proved to | I be for him the thresholds to business enterprise in J condition of freedom. The slave skilled as ■butcher, for instance, after emancipation often opened i butcher shop of his own; the skilled carpenter taught [himself to read and cipher and became a contractor; land the skilled plantation poultry-man in some cases ■ gradually built up a trade reckoned by the car-loads. At the close of the Civil War the South was, from lone point of view, an extremely unfavorable field for Negro trade. The whole section was in a condition iof extreme poverty. The Negro himself was turned lout to face the world without a penny. In addition ^to this, the South as a whole had been so demoralized Sby the system of slave labor that once promising cen- pers, like Beaufort, S. C. Charleston, S. C, and i THE NEGRO IN BUSINESS vannah, Ga., had lost to Pliiladelphia, New York and Boston the international commerce they formerly pos- sessed. Mr, Hinton Rowan Helper, a North Caro- rlinian, and the son of a slave-holder, in a notable rbook, "The Impending Conflict," published in i860, I^Wrote with reference to the languishing condition of lusiness in the South : " It is a fact well known to every intelligent South- erner that we are compelled to go to the North for almost every article of utility and adornment, from matches, shoepegs and paintings up to cotton-mills, steamships and statuary; that we have no foreign trade and no princely merchants; and that, owing to the lack of a proper system of business amongst us, the North becomes the proprietor and dispenser of all of our floating wealth. The North is the Mecca of our merchants, and to it they must and do make two pilgrimages per annum — one in the spring and one in the fall. All our commercial, mechanical and manufactured supplies come from there. ... In some way or another we are more or less subservient to the North every day of our lives. In infancy we are swaddled in Northern muslin ; in childhood we are humored with Northern gewgaws; in youth we are in- structed out of Northern books; ... in the de- cline of life we remedy our eyesight with Northern spectacles, and support our infirmities with Northern canes; in our old age we are drugged with Northern physic ; and finally, when we die, our inanimate bodies, shrouded with Northern cambric, are borne to the I grave in a Northern carriage, entombed with a THE NEGRO IN BUSINESS 13 ' Northern P Northern spade^ and memorized with |slab! " Henry W. Grady, the brilliant Georgian, corrob- | I'Drates Mr. Helper's description of the commercial Llethargy of the South m the sixties with an humorous paccount of a funeral which took place in Georgia shortly after the war, "The grave," says he, "was dug through solid marble, but the marble headstone 1 came from Vermont. It was in a pine wilderness, but \ the pine coffin came from Cincinnati. An iron moun- tain overshadowed it, but the coffin nails and screws and shovels came from Pittsburg. With hard woods I and metals abounding, the corpse was hauled on a I wagon that came from South Bend, Indiana. A hick- ' I Dry grove grew near by, but the pick and shovel han- Idles came from New York. The cotton shirt on the \ dead man came from Cincinnati ; the coat and breeches I from Chicago; the shoes from Boston, the folded I hands were encased in white gloves from New York, and round the poor neck, that had borne all its living 1 days tlie bondage of lost opportunity, was twisted a J cheap cravat from Philadelphia." One of the most remarkable events in the history! I of our country has been the rapid recuperation of ■ the South from the demoralization of slavery and the I desolation of the war. The far-reaching influence of 1 the Emancipation Proclamation is manifested in the I fact that it freed not only the millions of slaves of J my race, but also, no less truly, the millions of white I people of the South. Without the emancipation of-l the slaves, the South would not be as great com-j ^m mercially as it is to-day. I think I am safe in say- ing also that without the loyal and industrious as- sistance of the Negro the South could not have devel- oped as it has done since the war. As I have said before, the Negro at the South had little to gain from his environment in the way of business example. This was, however, not an un- mixed disadvantage. He was not suddenly brought into competition with a highly organized and pitiless commercial system such as obtains at the North, The wind was tempered, in this case, to the shorn tamb, d the inexperienced Negro was permitted to learn the lessons of business gradually, without being mo- lested and pushed to the wall by keen and superior competition. The Negro was also fortunate enough to find that while his abilities in certain directions were opposed by the white South, in business he was not only un- disturbed but even favored and encouraged, I have been repeatedly informed by Negro merchants in the South that they have as many white patrons as black; and the cordial business relations which are almost universal between the races in the South prove, I have elsewhere said, that there is little race prej- udice in the American dollar. On the other hand, as there is little prejudice against man in business, there is also little prejudice in his favor. A merchant, unlike a physician, for example, is not patronized because he is white or because he is black ; but because he has known how to put brains into his work, to make his store clean and inviting, to I I THE NEGRO IN BUSINESS irrange his wares in attractive order, and to foresee and provide the commodities which his patrons are likely to desire. I am convinced that in business a man's mettle is tried as it is not, perhaps, in any other profession. If I have spoken hitherto more particularly of con- ditions in the South it is because seventy-eight per cent, of the entire Negro population of the United States lives in the ex-slave states. From these states came seventy-two per cent, of the delegates to the Nashville meeting of the National Negro Business League, in 1903. But in considering the general conditions which have either favored or hindered the advancement of the Negro in business, certain more remote iiiHuences, which have made that advancement less rapid in the past than it is likely to be in the future, should not ,be left out of account. Immediately after emancipation the one great aim if the Negro people was to fit itself as quickly as ble for citizenship. The Fourteenth and Fif- :eenth Amendments to the Constitution had given the egro people the right to vote and hold office under le governments of the several states and of the United itates. It seemed to the Freedmen, and this belief 'Was shared to a large extent by the white people of the North, to whom after the war they looked for guidance, that all that was necessary to fit them to take the positions in life thrown open to them, was [to make themselves masters of the knowledge and l^^take thi L THE NEGRO IN BUSINESS learning that had hitherto heen the special privilege and peculiar possession of the white race. Immediately after emancipation the whole body of the Freedmen seemed to have been seized with a de- sire for education. During the forty years since tliat time the great mass of the Negro people have prob- ably made greater sacrifices to obtain an education than any other portion of our population, or indeed of any other people in the world, with the possible exception of the Japanese. This is shown by the fact that in 1900, of the 76,026 persons of Negro blood in this country, who are engaged in the professions and in the trades requiring skill, 21,261 were teachers and professors. Only 9,838 were in business requiring capital. Up to the present time the greater part of the sur- plus energy of the race has been expended in the eiTort to secure for the mass of the people the mere rudiments of civilization, namely, the ability to read and write. This task is by no means accomplished. As long as 54 per cent, of the Negro people are still unable to read or write, a large part of the effort for the progress of the race must still be directed to supplying this want. It was said at one time that the Negro race was incapable of acquiring the highest knowedge and cul- ture which, in a period of over 2,000 years, has come into possession of the Aryan people. But the rapidity with which, in the professions, in pure science, litera- ture and the arts individual members of the Negro race, who have had the opportunities for higher edu- THE NEGRO IN BUSINESS 17 katioii, have mastered its different branches has made [it impossible longer to assert that the Negro is unable rto learn. The Negro is now called to face a severer test. The time has arrived when he must prove not merely his capacity to learn what others have done but to ] his own initiative, and do things new and dif- ferent. The very conditions under which we are compelled Ito do business demands that we show the energy and ■ initiative of pioneers. The task of the Negro busi- Iness man is not merely to develop the latent wealtli lin the soil and in the mountains but still more the ■ latent capacity of the Xegro peope. The Negro race Fmust learn to make the most of its oivii peculiar qual- , ities, learn to turn the very obstacles and difficulties I of its position to advantage. In this work the Negro I business man has a peculiar opportunity for service, I an opportunity that is offered to no other class among |.the members of his race. Few members of the Negro race have had the op- Iportunities usually open to the young men among f tlieir white neighbors, of first serving an apprenticeship I as a clerk, a bookkeeper or manager, before embark- ing in business on their own account. Some of the more successful of Negro business men have been those who were born in slavery. Entering thus without special education or experience into fields in which in- dividual enterprise and initiative count for more than [ they do elsewhere, these men have often had special ■ and pectiliar difficulties to meet. In the beginning THE NEGRO IN BUSINESS ' they have very often had to deal with a people who were still very poor, who had not learned habits of thrift and saving and who frequently have very crude notions of the meaning and nature of business obli- gations. It has been their task to encourage and edu- cate. the members of their race in that thrift in the management of their affairs and precision in meeting their obligations which makes business possible and profitable. It is because they have so often succeeded in spite of these difficulties; because I have observed in our business men the patience, persistence and willingness to learn by experience which is the hope of a rising race that I w^as never more proud than I am to-day that I am a Negro, I am proud and grateful to be identified with a race which has made such creditable progress in the face of discouragement and difficulty. Hon. Jas. G. Elaine once said that he always found a boy more interesting than a man, because one can never tell what possibilities are buttoned up under the boy's jacket. In a like manner, it is a source of deep gratification to me to see, as I believe I do, those great possibilities of the Negro which will be one day* completely unfolded, and which I count it my greatest privilege to have been permitted to assist in an humble way to develop. The advent of the Negro business man has given great encouragement to those who have confidence in his abilities and future. We have been charged as ' a race with shiftlessness and extravagance ; but our business men show that we can be far-sighted and THE NEGRO IN BUSINESS 19 thrifty. We are said by some to be vicious and crim- inal; but our business men correct this impression by the sobriety and uprightness of their hves. When we are accused as a race of indulging too much in mere useless complaint and denunciation, we can clear our- selves by pointing to our manly, courageous and hope- t ful business men, who show in practice that an inch I of achievement is worth a yard of complaint. Indeed, lone of the greatest benefits we have received from going into business is the proof we have thus afforded K'tliat we are well able to develop those sturdy and Penterprising qualities without which the highest civih- 1 zation is impossible. It has been said that I oppose what is known as higher or college education. I hardly need say this is not true, I realize that a people so largely segre- gated as is the case with the members of our race, must have its own teachers, doctors, lawyers, scholars land professional men of all kinds, and I have taken I occasion to express many times in public places my [sense of the obligation we are under to the institutions I of higher education for a large proportion of our highly trained and influential men. On the other hand.. I also see that our professional classes will flour- ish and prosper directly in proportion as their patrons are prosperous in business, industry and trade. When I advocate that n considerable number of our young men should enter business, I am rendering onr pro- fessional men I believe the most direct service in my rpower. More and more thoughtful students of the race 20 THE NEGRO IN BUSINESS problem are beginning to see that business and in- dustry constitute what we may call the strategic points in its solution. These fundamental professions we are able to occupy not only without resistance but even with encouragement, and from them we shall gradually advance to all the rights and privileges which any class of citizens enjoy. It is in buisness and industry that I see the brightest and most hope- ful phases of the race situation to-day. CHAPTER II THE NEGRO IN AGRICULTURE Agriculture has not infrequently served as an en- t trance for members of the Negro race into business. I As by far the majority, of slaves were engaged in some I form of agriculture it is but natural that their knowl- r edge of farming should have been made the basts of I the business undertakings of a number of the Freed- I men. - As an illustration of the way in which the Negro [ farmer often passes from agriculture into business I I might mention the Reid brothers, Frank and Dow, I who live in Macon County, Alabama, about twelve I miles from Tuskegee, at a little place called Dawkins. I The father of these young men had for a very long I time leased and worked a large tract of land, of I some i.ioo acres. He was enabled to send his sons I to school at Tuskegee for a time and after their re- I turn from school they leased 480 acres more on long I time and subsequently added to that by purchase 605 I acres, making a total of 2.185 aces under their con- \ trol, A large portion of this land they sub-let to ■ tenants and then, as the necessities of the little com- I munity made themselves known, they established a I store, a cotton gin, blacksmith shop, and a grist mill. I Starting with no capital of their own these young men *^A J THE NEGRO IN BUSINESS have, in a very few years, been able to buy and pay for 605 acres of land. In the year 1904 alone they paid out $5,000 covering debts on land, fertilizers, and money borrowed with which to carry their thirty tenants. Besides that they have considerable capital in horses, mules, and stock, and are entirely out of debt. As soon as the colored farmer acquiresa sufficiently large amount of land he becomes of necessity a busi- ness man. The methods he must employ in conduct- ing his plantation and disposing of his crops make him one. It is an interesting fact, that, as every year shows, an increasing number of ministers find their way into the ranks of the business men of the race. A fair example of these men, whom I wish I had time to give credit to one by one, is Rev. H. W. Key. of Nash- ville, Tenn. He is one of the increasing number of our ministers who illustrate in practice what they teach by precept. Mr. Key was born a slave in Ten- nessee, and brought up on a large plantation. At the close of the war, he leased a farm and started in business for himself. By 1870 he had saved enough money to buy 75 acres of land, and since then has gradually increased his holdings until he now possesses 360 acres, valued at $25,000, unmortgaged and un- encumbered. He gives employment to about seven families, and manages his business with such shrewd- ness as to have every year at the end of the season a considerable surplus. Besides his business interests, he is a presiding elder in the Methodist Church, and THE NEGRO IN BUSINESS 23 ' a trustee and financial ag'ent of Walden University, at Nashville. An interesting story of the way in which farming may lead into a successful business career was told at the New York meeting of the National Negro Busi- ness League. In 1892 there was living upon a rented farm, twenty miles north of Indianapolis, Ind., Albert ' Carter and his wife with three sons and three daugh- ters. Mr. Carter was making every effort possible to keep his sons in school and give them the advantages of an education. He found, however, that the produce of his rented farm was not sufficient to pennit him to do this. In looking about for some means or method by which he might make a little more money, he no- ticed that there seemed to be a considerable surplus of hay scattered about on the farms in the neighbor- hood. He at once conceived the idea of getting this hay to market and selHng it. He decided, finally, to buy a load of hay and haul it to Indianapolis and sell it This first trip was successful and after that, when- ever his work on the farm allowed him time, he would buy a load of hay and take it to town. It took two days to make the trip. Often times the market was dull and it would be ver}' late at night before he reached home again. Gradually, however, he suc- ceeded in building up the trade and then as more hay was offered him he would hire teams to help him haul it into town. In 1894 he bought a hand-baler with which he was able to " loose-press " the hay. He found that it was easier to sell the hay in this form than when it was THE NEGRO IN BUSINESS taken lo market loose on the wagon. As his sons grew up they did the baling during the school vacations at spare times when they were not looking after le crops. In 1899 the farm upon which Mr. Carter and his ■%ons had been hving was sold. He was not able to rent it from the new owner, so he moved into the nearby town of Westfield and set up in the hay busi- ness in earnest. He and his sons purchased a horse- power tight-press baler and began to ship hay by the carloads. With each year the business has been extended. They soon began purchasing tlie hay in the field, cut- ting and harvesting it themselves. They purchased hay-land and raised a considerable portion of their product themselves. In 1903 the firm purchased a steam baler which is able to bale from 25 to 40 tons a day. In order to care for the large quantities of hay which they purchase, the firm has recently added to its other properties in land and buildings a large building 100 feet long by 42 feet wide which has a capacity of 228 tons of loose hay and 500 tons ol laled. They ship their produce not only to Indian- ipoHs, Ind., and Louisville, Ky., but to markets as far away as Chicago, 111., New York City, Philadel- phia and Baltimore. Another business which grows naturally out of ag- riculture is dairying. At Wilberforce, O., there is a young man who has known how to take advantage of the opportunities which many of the Northern uni- versities offer for obtaining an education in agricul- i THE NEGRO IN BUSINESS ture. Mr. A, A. Turner came over to Wilberforce J with has father from Kentucky in 1898. In leaving i their native place and moving into a new country the ' family wisely determined that it would find some business that would hold all of its members together. At first father and sons worked as day-laborers, but after a short time they were enabled to purchase three cows and with this they started a dairy business. These cows soon paid for another, and very soon the herd was increased to 33. In the meantime, making , use of his spare time, Mr. Turner was enabled to com- plete a short course in business at Wilberforce Uni- versity. Later Mr. Turner was a student in the de- partment of agricuhure and domestic science at the I Ohio State University at Columbus. He learned ' while there that he was the first colored student at the i University to choose that course. With this prac- tical education he is enabled to materially assist his father in the dairy business and in the stock-farm of 286 acres which they are now conducting in com tion with it. At the present time, in addition to horses, beef and hogs for which they find a ready market near at hand, they ship something over 100 I gallons of milk daily to Springfield, O. Still another line of business which has its begin- nings in agriculture is the business of raising and shipping fruits. Enormous quantities of fruits are j shipped North every year from the Southern States. Within the last ten years strawberry culture has as- sumed such large proportions in some of the Southern states, as for instance in North Carolina, that it has 26 THE NEGRO IN BUSINESS come to be treated as a separate crop. There is in North Carolina a section, extending from Chadboume in Columbus County, eastward to Wilmington a dis- tance of fifty-five miles and thence northward along the Atlantic Coast Line railway to Mount Olive, a distance of seventy-five miles, known as the " straw- berry belt." The number of carloads of this fruit sent Northward daily from this region during the berry- picking' season in April sometimes reaches into the hundreds. It was estimated that more than 2,000,000 crates were shipped from this region during the sum- mer of 1905. Of the business, which the marketing of these enormous crops has created, colored men have, in recent years, been getting a considerable share. Prominent among the berry-growers is Rev. I, M. Powers, of Wallace, who has a farm of his own from which he ships a considerable quantity of fruit every year and is, besides, agent for several commission houses in the North. I have been informed that some of the very best white men in the country turn part of their crops over to him to be shipped. Another successful colored man in the berry busi- ness is Calvin Brock, of Mount OHve, N. C, who in 1904, at the close of the berry season, had a bank account, I have been told, of something over $4,000 as the proceeds of his berry crop. Another form of -agriculture in which Negroes have engaged on a scale sufRciently large_ to require the investment of considerable capital and methodical busi- THE NEGRO IN BUSINESS 27 L ness management is that of raising sugar cane and I manufacturing sugar. [. S. Alexander, of Maillard, Louisiana, is an ex- I ample of those men who have gone back to the soil I and gained a fortune. He left the city, as a compara- ] tively young man, with a capital of $150. With this I sum he was enabled to purchase twelve and one-half I acres of land. He has added to this small sum from I year to year until he now owns 360 acres. Under f modern methods of culture, Mr. Alexander says, it is J I possible to produce from 5,000 to 6,000 pounds ofi sugar per acre. The returns are from $85 to $go an I i acre under this system of culture, Mr. Alexander | I produces on his farm something like 600,000 or 700,- 000 pounds of sugar a year, besides rice and cotton. He is a large employer of labor on his plantation, and 1 maintains friendly relations with his white neighbors. ' The names I have mentioned are examples which I illustrate not only what is being done by Negroes in [ the way of business advancement in different lines of I agriculture and in various parts of the country, but J I tliey show more particularly the possibilities for busi- , I ness which a cultivation of the soil offers, and offers I I particularly to Negroes, who, as a whole, are more 1 I familiar with this form of labor than most others and i ' probably better adapted to it than the white emigrants | which the Southern people are seeking to divert to I the Southern plantations and lands in the South. It is probable that in the present time there is no 1 I medium through which a large number of the Negro 1 I race can so quickly and easily acquire not merely! 28 THE NEGRO IN BUSINESS economic independence but the capital which opens the door to business and the larger administrative tasks, as ip agriculture. CHAPTER III JUNIUS G. GROVES — ' THE NECBO POTATO KING " Perhaps our most successful Negro farmer is Junius^ G, Groves, of Edwardsville, Kansas, who is often re- ferred to as " The Potato King." Mr. Groves is a I full-blooded Negro, and was born a slave in Green 1 County, Kentucky, in 1859. He and his parents were made free a few years later by the proclamation of < Abraham Lincoln, As soon as he was old enough he began attending the public schools of his neighborhood, but as he could be in school only during two or three months in the year, he did not secure a great deal of book knowledge. What he learned was enough, however, to give him a desire for education; for we find him, after he left school, continuing to study as 1 best he could. By the time he reached manhood he j was able to read and write and had some knowledge J of figures. In 1879 occurred what was known as the " Kansas ' Exodus," and Mr. Groves, with a large number of [ other colored people from the South, caught the emi- I gration fever. When he reached Kansas he had just I ninety cents in his pocket. The sudden influx of so I many colored people into the state caused it to be ] I somewhat overrun with cheap labor, and employment [ I was hard to find. .A,fter an earnest search of some | 29 THE NEGRO IN BUSINESS . days Mr. Groves succeded in finding employment at I a farm at forty cents a day. He has told me that ' he agreed to begin work for this wage because he knew that within a few days he could convince his employer that he was worth more. So faithfully did he work that by the end of three months his wages had been increased to seventy-five cents a day. This was the pay which the very best farm hands were re- ceiving in that neighborhood. Out of this small smn he had to pay for his board and laundering. By the end of the year he had saved enough to go in search of what he hoped would be a better job. His travels through different parts of the state availed him nothing, and he finally decided to return to the place where he had first found employment. He had made such a favorable impression upon his old em- ployer that the latter offered to let him have a portion of his farm to cultivate on " shares." The conditions of the contract were that the employer should furnish nine acres of land, a team, seed and tools, and Groves should plant, cultivate and harvest the crop for one- third of what was made. This offer was gladly ac- cepted, and Mr. Groves planted three acres in white potatoes, three in sweet potatoes, and three in water- melons. Soon after getting the crop planted Mr. Groves de- cided to marry. When he reached this decision, he '■ had but seventy-five cents in cash, and had to borrow I enough to satisfy the demands of the law. But he Lknew well the worth and common sense of the woman I'he was to marry. She was as poor in worldly goods THE NEGRO IN BUSINESS 31 ' [as himself, but their poverty did not discourage them. in their plans. Mr. and Mrs. Groves have told me with a great deal of satisfaction how they managed with much difficulty, the day after their marriage, to jet a few yards of calico to make a change of clothes [for Mrs. Groves so that she might begin work at once ' in the field by his side, where she has ever since been his steady companion. During the whole season they worked with never-tiring energy, early and late; with the result that when the crop had been harvested and all debts paid they had cleared $125. Notwithstand- ing their lack of many necessaries of life, to say noth- Ljng of comforts, they decided to invest $50 of their Eeamings in a lot in Kansas City, Kansas. They paid $25 for a milk cow, and kept the remaining $50 to ; used In the making of another crop. The success of the first year's work had convinced ' the landlord that he would be taking no risk in rent- ing Groves and his wife a larger acreage; so their holding the second year was increased to twenty acres. I IFrom his year's earnings they purchased a team. JThey now began to feel that they could take an even more independent step. I say they advisedly, because I fiW through these laborious years Mrs. Groves worked , ton the farm constantly at the side of her husband, and ' •even now, when occasion demands it, she does active work in the field. The third year they rented sixty-six acres of good ^arm land near the town of Ed wards ville. Kansas, at 1 annual rental of $336. Of this amoimt they were tbie to pay one-third in cash in advance. As this was THE NEGRO IN BUSINESS more land than they could personally cultivate, a small portion was sub-rented. Seldom have two people worked harder or sacrificed more than did Mr. and Mrs. Groves that year. They not only worked the 1 farm, but raised pigs and fowls and sold milk and but- In the winter, when other farmers were idle, they cut wood and sold it in town. They were detennined to succeed. Space will not permit me to mention all the de- vices Mr. and Mrs. Groves employed or relate all the adventures he met in accumulating his first capital. Suffice it to say that at the end of the year, in 1S84, after they had paid all debts, and their bank-book was balanced, they found that they had to their credit in I the local bank, as the result of their labor for the I three previous years, $2,200. During the greater por- [ tion of the time they were earning this money, thi.s young man and his wife were living in an old shanty, Vi'ith one broken-down room. They decided now that they would buy a farm for themselves, and agreed to pay $3,600 for eighty acres of land near Edwards- ville. in the Great Kaw Valley — a section compris- ing about 3.400 acres of the most fertile land in the state. Mr. and Mrs. Groves paid on the land the $2,200 which they had saved, and closed a contract to pay the remaining $1,400 at the end of the year. Letting the hired man live in the house on the place, they built a shanty for themselves on the place until the crop was grown. After Mr. Groves had taken possession of the farm, nearly all of the neighbors began to tell him that he had made a bad bargain, and THE NEGRO IN BUSINESS 33 to prophesy that he would not only be unable to pay the .^i^oo at the end of the year, but would lose his $2,200 besides. Mr. Groves told me that this was the first and only occasion in his life when he became dis- couraged ; and that he would not take heart again until he began to inquire who they were who were seeking to discourage him, and found that they were poor, shiftless people who owned no land themselves. Mr. . Groves then determined to succeed, not only for his Kown sake, but to disappoint those who had predicted Jiis failure. Enough was realized from the one year's r crop to pay for the whole farm, with a neat little I surplus, which they used in improving their house and stocking their farm. Mr. and Mrs. Groves continued to work hard and I with success on this farm until they were able, in , to pay cash for two small adjoining farms. In they bought a fourth farm, and in i8g6 the Vfifth one. They now own 500 acres of the finest land Tin the Kaw Valley — land that is easily worth from 1125 to $250 an acre. They no longer occupy the Bittle one-room shanty, but have advanced to a large, [beautiful, well-appointed dwelling, built at a cost of L$5,ooo. It has fourteen rooms and modern improve- fments, including a private gas-plant which furnishes twenty-seven lights' a private water system, and a local telephone. The house is supplied with bath-rooms and everything necessary to make it comfortable and con- i venient. There are eleven children in the family, three girls fcand eight boys. The children are all being educated THE NEGRO IN BUSINESS I care. Three of them — two boys and one girl, are already in the Kansas Agricultural College, and their oldest boy completed the com^se in June, 1904. All the children take as much interest in the success I of the farm as do the parents. In addition to the dwelling house, one finds upon the farm a modern two-story, well-painted barn, which cost $1,500. a smoke house, a granary, tool-house, and a. ware-house, in which are kept six thousand bushels I of seed potatoes during the winter. Mr. Groves' busi- » ness has grown to the extent that he has a private railroad track which leads from bis shipping station to the main line of the Union Pacific Railroad, which runs through Edwardsville. They also own and operate a general merchandise store, in which they carry a large stock of goods. They have several fine orchards on their farm. In the apple orchard there are seven thousand trees, six years old, from which last year four carloads of apples were gathered. There are eighteen hundred trees in the peach or- I chard; seven hundred in the pear orchard, and two hundred and fifty in the cherry orchard. They also grow extensively apricots and grapes. But why is Mr. Groves called " The Negro Potato King? " Let me answer. In one year alone he pro- duced upon his farm 721,500 bushels of white pota- toes, averaging 245 bushels to the acre. So far as k reports show, this was 121,500 bushels more than any other individual grower in the world had, at that birae, produced. And besides the potatoes raised on s own farm, Mr, Groves buys and ships potatoes on THE NEGRO IN BUSINESS 3S pr. ^ cai ;a large scale. In 1905 he bought from white growers the Kaw Valley and shipped away twenty-two cars f white potatoes. He also bought fourteen cars of ncy seed potatoes in North and South Dakota, which le sold to growers in the Kaw Valley, and in Okla- loma and the Indian Territory. Mr. Groves says that he ships potatoes and other farm products to nearly every portion of the United States, and to Mexico and Canada. He says that he has never found his color to be a hindrance to him in business. During the busy sea- son as many as fifty laborers, white and black, are employed on his farm. It is maintained at its highest productivity by persistent effort and constant energy on the part of Mr. Groves. As I have said, he re ived little education when a boy, but he has per- ■vered until he has now reached the point where he can analyze and classify the soils upon his farm, and apply Just the proper fertilizer to the various plots. He uses nothing but the latest improved cultivators, potato-planters, potato-weeders, and diggers, and in fact, all work that can be done with machinery is done in that way. Besides their farming interests, Mr. and Mrs. iGroves have large holdings in mining stocks in the Indian Territory and Mexico, as well as banking stock in their own state. They own four-fifths in- terest in the Kansas City Casket and Embalming Com- ', of Kansas City, Kansas, and take the deepest in the progress of the race both in their own :ate and throughout the country. Mr. Groves, in ige THE NEGRO IN BUSINESS speaking of his larger interests, always says " we," meaning Mrs. Groves and himself. In the most beau- tiful manner, and with the greatest tenderness, he never fails to give Mrs, Groves due credit for alt that she has helped him to accomplish. Having prospered in a material way, the Groves do Lnot overlook the moral and spiritual side of life. ■ They are both members of the church, as are also I tlieir older children. In fact, the little church near their home was organized by Mr. Groves and his wife, and they gave $1,500 for the erection of the church house. Mr. Groves drew the plans for the building and directed the work of construction. Mr. Groves is held in very high esteem by men of wealth and standing in his state, Mr. Porter Sherman, President of the Wyandotte State Bank, Kansas City, Kansas, in speaking of him said: "I regard Mr. Groves as a man of especial ability. We have no better customer in the county than he is. He is a man of peculiar tact and ability. His stand- ing as a citizen and business man is high in the county, and his papers never pass due. He is easily worth between $40,000 and $80,000 after all obligations are met." Mr. J. D. Waters, cashier of the Fanners' State Bank of Bonner Springs, Kansas, said of Mr. Groves: " I have known Mr. Groves for fifteen years, and during that time have heard nothing but good about 1 him. He is a first-class business man, and stands high 1 his community. His character is unquestionable. tFor several years he was Secretary of the Kaw Val- THE NEGRO IN BUSINESS 37 ' Potato Association, of wliich Senator Taylor was President, and while in this position exhibited unusual ability in conducting the affairs of the Association." Senator Edwin Taylor, of Edwardsville, Kansas, is a near neighbor of Mr. Groves, and tike him, is a potato-grower of note. In speaking of Mr. Groves he L said ; " I regard Mr. Groves as one of the best men, I white or black, in the valley. He is not only one of I the most progressive and astute potato men of the f valley, but is also a man of acknowledged general in- Itelligence. Some twenty years ago Mr. Groves came ' to the valley almost penniless, whereas he is now a man of enviable financial standing. He is a man of quick perception, of fertility of resource; a man in- I terested in every movement making for the good of Itlie community — in fact, a good all-round citizen." In speaking of what they have been able to ac- complish, Mr. Groves said in a very modest way (both he and his wife are among the most simple and modest people I have ever met) : " I think that our success jshows that a Negro caji and will make his way if fiven a chance. If we could start with but seventy- ■five cents and succeed as we have, other people of our Irace can do the same thing." CHAPTER IV THE NEGRO CATERER One of the professions which was once largely monopolized by the members of our race but which has since been, to a large extent, lost, is that of catering. It is not difficult to see how the Negro should have found his way into the catering busi- ness. Indeed, in the Northern cities like Boston, New York and Philadelphia, he seems to have been almost a pioneer in that line of trade. My friend Samuel R. Scottron, of Brooklyn, N, Y., has recently placed in my hands some very interesting information in regard to the history of the early New York colored caterers which has enabled me to follow the history of the connection of the Negro with the catering busi- ness in New York from the days when the city did not extend much above Wall street. The catering business in New York seems to have begun, as far as we are concerned, with colored wo- men. It was no doubt a reputation, gained in service as a cook, that gave the first of them their oppor- tunity to enter this business. Among the most not- able of these early women caterers, who held sway in New York somewhere between the dates of 1780 and 1820, was Cornelia Gomez, the great grandmother of the late Dr. P. W. Rav, of New York. She 38 THE NEGRO IN BUSINESS 39 I catered for the most prominent old families in the I city of that day, among whom were the Rhinelanders, I Goelets, Robinsons and Gerrys, all well known in New York still. Her successor was " Aunt " Katie Ferguson who kept the business until about 1820, when it came into the hands of a white man who greatly enlarged and increased it. Up to this period, Mr. Scottron informs me, the business had been almost wholly in the hands of colored people, the men taking I it up where the women left it. From that time down to the present a considerable I number of men and women of Negro ancestry have I gone into the business of catering in New York and I made fortunes. Sometimes these fortunes have been I considerably increased by their children. In most I cases, they have at least given to the children higher I and better opportunities in an intellectual and social \ way, than their fathers had. Among those who made fortunes were Peter Van [ Dyke, who owned a place at 133 Wooster street. He I became wealthy and left his children and grandchildren I in good circumstances. Another of these early col- ' ored caterers was Boston Crummell, father of the late Alexander Crummell, and Thomas Downing, who kept the once famous " Downing Oyster House " and was the father of George T, Downing, who built the Sea Girt House at Newport, R. I., afterwards a i caterer at the Capitol Building, Washington, and a 1 friend of Charles Sumner, Wendell Phillips, Henry I Wilson, John Andrews and others, Peter Downing. I another son of Thomas Downing, of Oyster House bo THE NEGRO JN BUSINESS fame, went to Africa, as the representative of a New York company and, after his return, went into the catering business at the New York Custom's House ton Wall street. ■ Perhaps the most successful of all these early ca- fcerers was David Roselle, of the firm of Roselle and HBarnswell. Barnswell's holdings in the property of Bie firm have passed away but the estate of Roselle is Btill growing in the hands of his daughter, Mrs, HRebecca Barefield. m At the present time there are no less than tweuty- ■bne colored caterers, of which I have information, in KNew York City. Several of these I am informed have Kdone exceptionally well. Among these are Mr. and KMrs. W. H. Smith, who have a place on Cedar street Kftnd serve regularly a " lunch " to a prominent bank ■force of Wall street as well as to officials of other ^companies in that district, and William A. Heyliger, ■whose business covers the same field as the Smiths Band who, in addition caters extensively for evening ^entertainments. William E. Gross is also a prom- Binent and successful caterer, enjoying flattering pat- ■■ronage, Jacob and Charles Day, sons of Jacob Day. BSr., an old-time caterer, are carrying on their father's ■Tbusiness and, I have been informed, are increasing ■the fortune he left them. I In New York City, George Moore, who has a place Bon Fifth avenue, has the reputation of possessing Bthe most valuable and most extensive " loan " of any Hof the colored caterers in New York. H The men I have mentioned as connected with the THE NtGRO IN BUSINESS 41 ■caterers' business in New York represent a class of piolored business men which will be found in almost many large city. As this was one of the first lines of Ebusiness to which colored men found entrance it is Jpossibly the one in which the largest number of for- ^ ■tunes have been made by the colored people. Where ■ these fortunes have been wisely administered and in- Rcreased they have contributed to the formation of a I leisure class from which we may hope to see issue a type of trained, discipHned and public-spirited young men, who should become the leaders, teachers and ■ .active workers in the uplifting of the Negro race. If lat present so few young men of this type have issued ^rom this well-to-do element of the Negro people, it is because the members of our race have yet to learn the true value and meaning of money and the freedom , that it buys. Among the men who have been successful in the tcatering business, there is one whom, through his ■connection with the National Negro Business League (and his interest in the progress and fortunes of his jeople, I have become better acquainted than with lome others. This man is Charles H. Smiley, one of the leading caterers of Chicago, 111. Mr. Smiley was born in 1851, at St. Catherines, Canada. Like jniost of our successful business men, he was very J)oor. The pressure of his parents' poverty deprived , I f him of the advantages of education, and compelled him early in life to begin earning his own living. His youth and early manhciod were spent in hanl manual Ubor, at pitifully small wages. When he was fifteen J 42 THE NEGRO IN BUSINESS I years of age, his family removed to Philadelphia where he remained until l88i. During this year, lie resolved to try to better his condition, and decided to go to Chicago, where he landed with fifty cents in his pocket. He possessed, however, several assets more valuable than mere money. He had a resolute character, good powers of observation, ambition, and brains. He began life in Chicago as a janitor, and employed his spare time working as a waiter at dinners and ' parties. His determination to do whatever came in his way, small or large, soon made for him a wide and friendly acquaintance among the wealthy white people of the city. After a short time he was able to give all of his time to " waiting," and soon de- cided that he would go into the catering business for himself, Mr. Smiley's success seems to have been due, in great part to the enterprise he displayed in meeting every new want that manifested itself in connection with his business. As caterer for a wed- ding he did not merely provide the wedding cake but was ready, if required, to furnish appropriate floral decorations, canopies, calcium lights, pillows, ribbons and kneehng altars, — even ushers. He advertised that he was willing to deliver invitations, to guard wedding presents with male and female detectives, in fact to take entire charge of the social function at which his services were required. His son, Mr. J. Hockley Smiley who has grown up in the business, is j a great help to his father, and relieves him of many ] of the cares of the business. 48 THE NEGRO IN BUSINESS pression on those about him of a young man of un- usual ability and determination. Old friends of the family used to shake their heads prophetically and say: "There is something great about that boy." These sayings seem, at any rate, to have had the effect of convincing young Trower that he was fitted for something better than the conditions in which he found himself and of sending him forth at an early age in search of adventure. But young Trower did not simply wander away. He earned his freedom. From sixteen to twenty- one he worked upon the farm, saving all that he could. Although the farmers of Indiantown were proud of the fact that they had never been slaves they do not seem to have escaped the serfdom of debt- ors. All through his early life young Trower was hobbled with the necessity of raising the debt on the farm. By the time he was twenty-one he had saved f enough to lift this burden from his 'family and hej felt free to go in search of a fortune. With a feeling of pride such as he has experienced from no single success since that time, he presented his mother with the deed of the farm and bade her good-bye. At that time, the tide of immigration had already set in from the Virginia plantations toward the cities and young Trower drifted with it in the i direction of Baltimore. There was $52 surplus after 1 the farm was paid for and with this sum the young'^ man, wholly inexperienced in the difficulties and dan- gers of city life, landed in Tlaltimore. He was fortimate there in gaining admission to 'I HE NEGRO IN BUSINESS 43 Mr. Smiley is said to give employment to more col- ■ored men than any other man of his race in the West. PHe uses sixteen horses for his delivery wag;ons. Mr. Smiley and his son are always prominent figures at the meetings of the National Negro Business League. One of the leading caterers in the State of New c is Francis J. Moultrie, who conducts the largest Lcatering establishment in Westchester county, one of ' York's Wealthiest settlements. In this business Ihe has accumulated a small fortune, which, as Presi- Ident of the Yonkers Investment Company, he is em- ■ploying in a way useful to the members of his own ■ race, who have in recent years settled in large mim- ibers in Yonkers, Mr. Moultrie's home. Mr. Moultrie was bom in Charleston, South Caro- in 1842. He received his school training there, and came North soon after the close of the Civil He worked in various catering houses in New 'York until he had mastered the details of the biisi- Shortly after coming North, he permanently [settled in Yonkers. Not having sufficient capital to enter business fur [himself, he accepted employment in private families, ■while his wife, who, through all the years in which lie has been in business has rendered him invaluable ' assistance, carried on a small catering business from their home. In this way, Mr. Moultrie was able to save his entire monthly earnings, which, together with 2 small income from the business, were placed regu- Ilarly each month in a savings institution in Yonk- THE NEGRO IN BUSINESS When enough had been accumulated in this way, ] Moultrie purchased a home, and tlien began to plan for a permanent and central place of business. There Iras a steady increase in the volume of trade carried a from Mr. Moultrie's home, and his wife soon found iat she could not manage the growing business and t the same time properly superintend the preparation f the articles which they served and sold. The de- lands for their services soon increased to such an extent that Mr. Moultrie was compelled to give up his work in order that he might devote his whole atten- tion to the development of what has proved to be a rare business opportunity. The trade increased'out of proportion to the capital at his command. He soon foresaw that he could not hold the trade he and his wife had gained unless he could open a store and get . general trade to support the catering business. I In 1878, Mr. Moultrie rented and opened a down- i store in the heart of Yonkers. At the end of "the first day, Mr. Moultrie says that he had not had a single customer and that he did not possess a dollar in ready cash. He has since known nothing like this first day's experience. The business now carried on by this establishment amounts to $25,000 annually. At the beginning, when his business was small, he Klivered his goods from his house on foot; when large rties were to be served, be was compelled to make 'o and three trips, carrying his burden upon his shoulders. At the present time Mr. Moultrie has regularly in bis employ, I am informed, no less than ben wagons. THE KECaO IX BU^NESS 45 Shorth' afur he opened his dowa-towo sb>re, vtd in order to be more cemrally located, and have still more room to meet his groiii'ii^ Irade. Mr. Moultrie moved into a store in the Music Hall txiildiiig. Tbe building is located oa tbe maia thoroughfare, and is the public gathering place of Vonkers. In this build- sing is a concert hall, tbe main post office, and other lublic ol^es. Mr. Nfoultrie went into this building s a renter; he is now one of its owners. Mr. Sloullrie's business is not confined to Yonkers Westchester comity. He has a permanent and raluable trade among the wealthy people of Xew York City. The citizens of Yonkers have been taught ) believe that no person can excel the wares turned ''but by the Moultrie Company, Mr. Moultrie has made nearly all that he now possesses out of this business. He is one of the largest tax-payers of ' his city. He is the proprietor of the largest apart- linent house in Yonkers, and owns valuable realty in I other sections of the city. He owns stock in several \ of the Yonkers banks and is an important factor in [the commercial life of the community. His name has I been upon the bond of more than one of the county [ officers. In his early years at Yonkers, there was one [ man who took special pains to befriend him when he was struggling. That man has since been several times elected judge of one of the county courts. Mr. Moultrie now assumes entirely the required bond of . his early friend. The representative organization of Westchester | I county is the Citizen's Association, Mr. Moultrie i THE NEGRO IN BUSINESS * Building and Loan Society ; treasurer of the Reliable Mutual Aid and Improvement Company, and treasurer of the Reliable Business Men's Building. He is a member of the board of trustees for the Home for Aged and Infirm Colored People, and member of the board of trustees for the Olive Cemetery. As presi- dent of the Pennsylvania Sunday School Convention, it was he who suggested the necessity of the estab- lishment of an Industrial and Theological School in the State of Pennsylvania, He purchased a farm in Dowriingtown, Pa., and held it in trust until the Baptists of the state were enabled, at their last con- vention, to assume the responsibility of the pur- chase. Mr, Trower is very active in charitable work where he is performing a ser\-ice which the ordinary person cannot see and know. In addition to his ca- terer's trade he does a lucrative, real estate business. He owns considerable property both in Germantown and Ocean City, New Jersey, where he has his sum- mer residence. Mr, Trower's wife was Miss Matilda Daniels, of Haymarket, Virginia. Mrs. Trower is a very amiable wife and mother and takes an active part in the . business as well as rearing a family of six children. The position that Mr. Trower has obtained in the community in which he lives has made it possible for him to be of great service to other members of his race. He has established a business in which a num- ' ber of them find employment and have an opportunity I to obtain a business experience and training. His own • success and. in many cases, his positive aid and sup- THE NEGRO IN BUSINESS 53 port has given encouragement to a number of young men, and Jiis influence in the community has enabled him to be in many ways a friend of the colored people and a leader of his race. CHAPTER VI THE NEGKO AS A HOTEL-KEEPER The hotel business is one which it is natural to expect would offer easy access to the Negro. The training that Negroes obtained as servants both before and after emancipation should have given them a certain capital in the way of experience with which to go into business on their own account. In several instances I have found in my travels about the coun- try, colored men prospering as managers and pro- prietors of Negro hotels. There is, however, still great room for Negro enterprise in this direction. There are still few cities in the South where it is possible for colored people to obtain respectable ho- tel accommodations. This is one of the things that makes race prejudice particularly burdensome for col- ored travelers, especially for those of our race who come down here comparative strangers from the North. It should, however, be borne in mind that every condition which creates a new want offers at the same time a new business opportunity. As the mem- bers of the colored population become more pros- perous, as business develops and travel increases, this demand for accommodation for colored travelers in the South is going to become more urgent and the op- 54 THE NEGRO IN BUSINESS 55 ' portunities for business enterprise more inviting. Of J course hotels cannot exist without the patronage o&, fairly prosperous people, and as the different forms! of business are gradually developed by our people, it is certain that new and better hotels will sprmg up to meet the demands which this class will make for such service, In some of the Xorthern cities considerable prog- ress has been made in this direction. In New Yo City, for instance, there are a number of hotels run bys colored men for colored people, and all of them arffl quite prosperous. The Marshall Hotel, managed by Dr. Charles Marshall, is one of the best, and is frequented by the fashionable colored set of the city. One of the most successful of the Negro hotels in New York is that of the Nail Brothers. John B. and Edward Nail began the hotel business by establish- ing in 1877, the Shakespeare House in Washington, D. C. This venture was successful and was sold in , 18S7 to advantage. In the meantime, they had openedj a hotel in New York on Sixth avenue and were theM pioneers in the colored hotel business in that cityj By 1893 the firm had prospered to the extent that i new building was bought on Sixth avenue at a cos^ of $50,000; and improvements made at a cost ■ $10,000. The present value of the property is $75,-"! 000. In 1899 Mr. John B. Nail suffered the loss of] his brother, and has since conducted the business him--' self. with the aid of his son, Mr. John E. Nail, An interesting life story is that of Mr. J. L. Thomas J who for some time ran a successful hotel for whiteffl^ 56 THE NEGRO IN BUSINESS at Union Springs, Alabama. Mr. Thomas was born ] a slave on tlie O'Neal plantation near Troy, Alabama. Soon after the end of the war, his mother, with her four sons and -one daughter, moved to Pine Level, about thirty miles south of Montgomery, and rented a small piece of land for farming. After two years, seeing that at the end of each season the family was as near starvation as ever, they moved to Union Springs. They arrived at this place without money, without a mouthful of food, and with no clothes, except the rags on their backs. For twenty- four hours they lived in the two-horse wagon which had I brought them to Union Springs. At last the mother I -secured employment as a cook at two dollars per T month, with the privilege of occupying a one-room I house. Young Thomas was soon hired out at fifty rcents a month and keep, which included one hat, none pair of shoes, and two very cheap suits of clothes wr year. After a year, he got work at two dollars fper month with a man for whom he worked eighteen I months. During this time he received five or six dol- F lars, and this employer owes him to-day about $30. The Sunday suit which he received while working for this man was made up of a strip of blue jeans which had served for five or six months as a rug on the L dining-room floor. He did not stay long_ with this ■ employer, however, but was hired out by his mother ■to an old colored farmer named Thompson, who, to Ithe surprise of Mr. Thomas, owned his own farm, mules and horses, Mr. Thomas had come to the con- ■clusion that colored people were made to have nothing THE NEGRO IN BUSINESS I I but hard times and poverty and the sight of this-' well-to-do and independent colored farmer marked an epoch in his life. He determined that he, too, should own some property, and to this end he has labored j faithfully ever since. Thompson contracted to pay young Thomas five dol-l lars per month, with the privilege of coming to town I every other Saturday afternoon to see his mother, [ He was allowed to stay over Sunday, but was obliged J to be on hand at sunrise Monday morning to catch J his mule and go to plowing. He was always on timej early Monday morning. The colored farmer took such a liking to the boyl that he gave him a little patch of land to cultivate him-j self. This land was planted in peanuts, and yieldedl between ten and fifteen bushels, which were care-| fuly dried and housed. At that time it was the custom among the colored! people to give big corn-shuckings and suppers which I were attended by people from ten miles around. I Whenever Mr. Thomas heard of one of these events, f he would parch about one-half bushel of his peanuts I and carry them to the gathering to sell. By ofFeringJ them at five cents a pint he was able to make as much"! as three dollars per bushel. He often walked as farfl as eight miles with his peanuts to a big supper or dance, after plowing hard all day. and with another hard day before him. He parched them during din- ner hour, when the other hands were resting, and was often up as late as three o'clock in the morning 58 THE NEGRO IN BUSINESS to sell them, although he had to go to work at day- break. He also learned to make wash-baskets and scrub- boards, which he peddled at large gatherings and in town every other Saturday afternoon, and was thus able to add from a dollar and a half to three dollars to his earnings every other week. These baskets and scrub-boards he was in the habit of making at night by firelight. He usually worked until twelve or one o'clock every night in the week except Saturday and Sunday, and then went to his plowing at the rising of the sun. Up to this time, Mr. Thomas' earnings had all been appropriated by his mother and step-father. He now decided that he was himself entitled to his wages, and hired himself out to run a public dray at ten dollars per month. In a few months his salary was raised to fifteen dollars per month, and finally his employer, seeing that Thomas brought him in from fifty to seventy-five dollars every month as the earn- ings of one dray, thought that he could make two or three times as much with three drays, and offered to put Thomas in charge of them at a salary of twenty- five dollars per month. Thomas was to hire such men as he wished to drive the other two drays. He gladly accepted the opportunity, and worked on this basis for over a year, making money for his em- ployer all the time. Fortunately Mr. Thomas was economical as well as industrious. While other men of his class were spend- ing all that they made for whiskey, tobacco and dress, THE NEGRO IN BUSINESS 59 he tried to see just how little he could spend. The I result was that after about eighteen months of work ] on the drays, he was able to buy the best team and ' wagon his employer had, and go into the business him- self. At the end of two months the former, who had not been able to find a man to take Thomas' place, came to him and offered to sell him the other ' two teams on credit, and Thomas bought one of them. At this time he married. His wife owned ! worth of property, which was encumbered to the ■ amount of $600. Mr, Thomas was himself in debt 1 for $400. He and his wife decided to put their heads J as well as their hearts together, and to pay off asfl soon as possible the indebtedness which hung over^ them both, Mr. Thomas has always found pie; and profit in confiding all of his business matters to his wife. He had had about six months' schooling in his life, and she encouraged him to study, and J taught him to read and write. He attributes much! of his success to the fact that his wife identified her-J self thoroughly with him in his business. After operating his drays with success for a fewj months, he closed a contract with the Central Rail- road of Georgia to furnish It with 6,ocra cords of wood, and another with a farmer who lived near the railway to clear up for him fifty acres of woodland. Thus making money at both ends, he found, at the close of the contract, that he had enough money to pay off the whole indebtedness of himself and his wife, and to purchase for cash a home worth $1,500. While he was working for the railway he was also THE NEGKO IN BUSINESS engaged in a business which finally led to his be- coming a hotel-keeper. He ran a fish-stand on the streets of Union Springs, at which he sold fish both raw and cooked. His wife began to cook pies and cakes to sell on the stand, which gradually developed into a restaurant and grocery. When he got to the place where this new business was paying very well, he disposed of his drays and gave his entire atten- tion to the restaurant and grocery, whose stock gradu- ally increased from $300 to as high as $8,000. Mr. Thomas says that he has done as high as $40,000 worth of business a year. Several years ago Mr. Thomas opened the Com- mercial Hotel in Union Springs for white patrons, there being as yet no call for a hotel on the part of colored people in that section. The hotel was very successful and paid very well. Mr. Thomas found that the longer he ran it the better he liked it. The following conversation shows the popularity his hotel won among traveling men : One day two drummers got off the train at Union Springs and got Into Mr. Thomas' hack to ride up to his hotel. A white man stepped up and asked them if they knew they were going to a hotel run by a Negro. " Yes," replied one of the drummers, " and we are going there. We don't care if it is run by forty Negroes. We have heard all about the place from dozens of traveling men who say that it is as good as any hotel in the South." They did go to the Commercial, and declared that it was better than the reports they had heard about it. THE NEGRO IN BUSINESS 6l The times proved unfavorable, however, for a Negro to run a hotel for whites, and Mr. Thomas soon decided that it would be wise for him to sell out. He did so with a good profit to himself, and began to make investments in real estate. He bought about 350 vacant lots in the town, and is building houses on them to sell. He has already built and sold twenty houses and expects to sell 200 more. He also has a large orchard of fruit trees on which he makes to- ward $1,000 a year. He is said to be worth about $16,000. Few men have started life with a greater handicap than Mr. Thomas. The fact that he has been able to win a comfortable financial position in- dicates what other men with fewer obstacles to face can and should do. CHAPTER VII E. C. BEERV, HOTEL-KEEPER AND BUSINESS SUCCESS The leading hotel-keeper of color in this country is perhaps, E. C. Berry, of Athens, Ohio. Mr. Berry is one of those pioneers of our race who has conquered race prejudice by achieving a business success. The story of his hard struggle is one of the valuable tra- ditions of the colored people and deserves to be known. Mr. Berry was born at Oberlin, Ohio, in 1854, and I was taken by his parents at the age of two years! to Albany, Ohio, where unusital school facilities were. I offered colored children. When he was old enough, f he was sent to the Albany public schools, and whetil the Albany Enterprise Academy, a school for colored! children, was erected, he was able to attend it for 1 a short time. Unfortunately, his father died in 1870 and young Berry was compelled, at the age of six- teen, to leave school and help provide for his family, . in which there were eight children younger than him- j self. I In his search for work he walked ten miles to Ath- ens, Ohio, and was very happy to secure work in a brick yard at fifty cents a day. In a short time his work improved until he was earning $1.25 a day, the greater part of which he was able to divide with 62 THE NEGRO IN BUSINESS 63 family. He was never too proud to do any kind if honest labor, and although his work was hard and inviting, it was the best he could do, and he de- d to do it well. During the summers he remained at the brick yard, and in the winters was usually able to find employment in stores or elsewhere as a delivery ■boy or clerk. It was during these difficult ye^s that he learned to practice economy, which is fully as important as diligence and efficiency. He did not use tobacco or intoxicants; because he could not afford them then. He says he has not been able to afford them since. He also learned to seize opportunities which other boys allowed to slip by them. Whenever a circus came to town the other boys eagerly spent some of their hard earned money to see the show, but young Berry turned the circus to profit. He would rig up a re- freshment booth and thus make more money than he would had he stayed at the brick yard. Whenever there were excursions, that form of extravagance in which so many of our people sink their savings. Berry would always get the privilege of selling refreshments Ion the train, thus enjoying the excursion and making a profit at the same time. Speaking of economy he said once that on many occasions he has walked ten miles to his home so that he might have an additional twenty-five cents for the dear ones there. While he was working at the brick yard, it was his custom to work" every day and ■half the night, thus making the week nine days long. On rainy days when the brick yard was idle he would m 64 THE NEGRO IN BUSINESS find some chores to do, or go to the country after cream for the ice cream makers. The first winter "after the death of his father he worked at hauling; bricks imtil his hands were cut to the quick by handling' the rough surfaces. He was more than rewarded, however, by earning enough to take home four barrels of flour which were all paid for, at $7.80 per barrel. His first indoor work was in Parkersburg, West Virginia, where he was employed as errand boy in a dry goods store at $10 per month. Of this amount he regularly sent his mother $8 every month. It was in Parkersburg that he first secured work along the line in which he was afterwards to make so great a success. He got work in an ice cream parlor, where he served as a waiter. Returning to Athens, he secured employment in a restaurant, where he picked up the profession of cater- ing. He soon became so proficient in this profession that he became personally in demand among the cus- tomers of his employers. The thought naturally oc- curred to him that if he could do so well for others he could do still better for himself. Meanwhile, in 1878, he married his schoolmate, Miss Mattie Madry, and began housekeeping in one room, in which, however, everything was paid for. He ad- mits ungrudgingly that the counsel and advice of his wife have been everything to him. The idea of setting up in business for himself would nut leave his mind, but as he had no capital and no credit, the way seemed dark before him. His wife came to his aid. By her intercession her parents were THE NEGRO IN BUSINESS 65 persuaded to allow Mr. Berry to put the three dollars which he had been paying them weekly for his wife's board into what they called the " business capital." in a few months he was able to start with his elder I brother in the restaurant business with a capital of I forty dollars. They commenced as " Berry Brothers," I but, as the business was not large enough for two, Mr. [ E. C. Berry bought his brother out and went along talone. When Mr. Berry's employer learned that his best iemployee was about to set up as his rival, he was I angry, and warned Mr. Berry that if he failed and I returned looking for employment he would not get it, F or even a meal if he were hungry. Mr, Berry had the pleasure some time later of materially assisting tliis man when he himself got into trouble. The business prospered from the first, and by 1880 L-Mr. Berry was able to buy a lot for $1,300. As soon las the lot was paid for, Mr. Berry secured a loan of [$2,000 and put up his first btiilding, which is to-day Pa part of the Hotel Berry. He did a prosperous Ltrade as caterer and confectioner and soon had to hire la young man as assistant. This success continued until 1893, when Mr. Berry B'Was led to enter the hotel business. At first the out- [look was gloomy. In the first place, the merchants Jof Athens met and decided to boycott any drummer "who stopped at the " Hotel Berry." In July of 1893 occurred the great panic, and on many a night Mr. Berry closed up with only one guest on the register. He had incurred a mortgage of $8,000 at seven per I 66 THE NEGRO IN BUSINESS cent, and was compelled to apply at the banks to bor- row money to meet his notes. On one occasion both banks in the city refused to let him have money. He was almost in dispair. As Mr. Berry was going out of the second bank a friend of his, who was standing by, seeing the look of distress on his face, asked him what the trouble was. Mr, Berry told him. The friend drew $500, the sum needed, from his private deposit and handed it to Mr. Berry, telling him to j take it and use it without interest until he could repay I it. This is the only time in his career, Mr. Berryl says, that any person offered him any encouragement ' beyond empty words. The panic subsided, and the merchants were unable to drive the drummers from the colored man's hotel.] One example will show the methods used by Mr, J Berry to make his hotel popular. At night, after hiS-B guests had fallen asleep, it was his custom to go aroundS and gather up their clothes and take them to his wife,T who would add buttons which were lacking, repair rents, and press the gannents. after which Mr. Berry would replace them in the guests' rooms. Guests who had received such treatment returned again and brought their friends with them. Mr. Berry has now the leading hotel in Athens. In the hotel are fifty rooms, with baths and all modern conveniences. He has an elevator. The plant is eas- ily worth $50,000 and the business amounts.to $25,000 to $35,000 annually. The hotel has become so popu- lar that men come from considerable distances just to spend Sunday at the " Hotel Berry." It is a land THE NEGRO IN BUSINESS 67 . mark on the trail of commercial travelers and is i known far and wide. Mr, Berry has never refused j to serve colored men at his hotel — indeed, he says he would rather lose his customers than to be guilty of that sort of disloyalty. He attributes his success ■ to the influence of his mother and of his wife. He I says that he has always tried to make his services I worth more than he received, and that such efforts I have been always recognized and rewarded. Congressman Chas. H. Grosvenor of Ohio pays the I following tribute to Mr. Berry : " As a citizen Mr. Berry stands high. He is a man of first rate character, a devoted and active mem- ber of the church, taking a leading part in Sunday School work, and a friend of his own race, to more than one of whom he has given a quiet lift of which I the public has never known. He is intelligent and ca- )able, and a man of high principles and exemplary life. He is appreciated in this intelligent and educated I community not only as an efficient business man, but I as a worthy citizen." CHAPTER Viri THE NEGRO AS TOWN -BUILDER In all the experiments which the Negro people have tried for the betterment of their condition as a peo- t pie none have brought them more substantial returns in moral and material improvement than those which have taken them back to the soil, to found towns and build up communities of their own. Not all of these experiments have been successful, I do not believe it possible to build up a community by merely herding together. Any one who attempts to build up a Negro ' town as a mere land speculation, is, in my opinion, 1 pretty likely to fail. But where our people have I gone back to the soil in good faith, for the purpose } of living on it and tilling it, there is a positive ad- ; vantage in having their own communities. There is always a large amount of wealth created ; wherever people come together with the determination I of living in an orderly way for the solid 'interests of h'fe. This wealth, which is the source of pretty near I all that we call capital, is often spoken of as " un- earned increment." The unearned increment usually goes to the man who gets on the ground first or to I the man who knows best how to manage and direct his affairs. Under ordinary circumstances it goes to I the white man. But in the towns established and 68 THE NEGRO IN BUSINESS conducted by Negroes it goes to Negroes. I belie under existing circumstances, it is exceedingly impor- tant that we should increase the amouut of capital owned by members of our race. In the Negro town, under normal circumstances, Negroes are made to feel the responsibilities of citizenship in ways they can- not be made to feel them elsewhere. If they make mistakes they, at least, have an opportunity to profit by them. In such a town individuals who have execu- _ tive ability and initiative have an opportunity to di^ cover themselves and find out what they can do. A few years ago I hatl an opportunity to visit i Negro community in Cass county, Michigan, whidj has been in existence since 1840. Certain portion) of Cass county, what are known now as Calvin ar« Porter townships, were settled by Quakers, who dW not believe in holding slaves, and had left their homes in the South in order to escape the influences of that institution. It became known that runaway slaves would receive a friendly welcome among these people and in course of time this community of Quakers be- came a station of the Underground Railway. In 1847 a determined effort was made by a party of Kentucky Slave-holders to recover their runaway Negroes but the effort to regain possession of their property was successfully resisted by the Quakers, the colored people and the other residents of the community. The effect of this raid was to advertise Cass county, Michigan, and to increase still more the colony of colored people already gathered there. It was not, however, until 1849 that one of these townships, Calvin, began to as- 70 THE NEGRO IN BUSINESS sume the character which invests it with special inter- est for the purposes of this chapter. In 1847 a Vir- ginia slave-holder, by the name of Saunders, left a will in which he not only set his slaves free but pro- vided that they should be sent to a free state, and each family provided witli a house and tract of land. The executors decided that they could best fulfill the purposes set forth in the will by sending these freed- men to Cass county, Michigan, which had already gained a reputation as an asylum for Negroes. For several years the Saunders families were a ma- jority in Calvin township and for a time they pros- pered, to a reasonable degree. But in the course of time they began to show the tendencies which have so often ascribed to Negroes. They began mort- gaging the property that had been given to theni and lived sumptuously for a time off the proceeds. In the course of time most of the property once owned by the Saunders' community passed out of their hands. A large portion of it went to neighboring white peo- ple. A smaller portion fell into the hands of a few shrewd colored men who had settled in the same town- ship. I found only one of the original settlers who at the time of my visit still owned any of the land bought by the Saunders' estate. From what I have written thus far it might be con- cluded that the experiment was a failure. Such, how- ever, is not the case. I have thus far been relating what has become traditional in Calvin ■ township. What my visit and inspection of the country proved was that the community as a whole had profited by i THE NEGRO IN BUSINESS 71 . experience. I noticed that the hare mention of " a Saunders family " was likely to cause a quiet smile ftto creep over the face of the old inhabitant, who did ■ not happen to be a member of that group. I found I that at about the time things were at their lowest ebb, I industrially and morally, the more level-headed of the I colored people, realizing the situation, started a strong fand earnest effort for reform. At about this same I time a different class of people began to settle in the I township. These people came mainly from OliJo, [ North Carolina, and Virginia. As a rule they repre- I sented the class known as Free Negroes, a class much ■despised in slavery days by Negro slaves. Freedom had already given these people some knowledge of the responsibilities of their position, and the experience I and the money that these people brought with them ■ gave new impetus to the movement for reform already begun. When I visited this community in 1903 there were 759 Negroes and 512 whites in Calvin township. A portion of the Negro population had overflowed into the adjoining township of Porter and to some extent to all but two of the towns of the county. In com- I pany with Hon. L. B. Des Voignes and with Jesse \V. PMadry, the latter one of the most prosperous colored pfamihes of the county, I drove from Cassopolis, the Icounty seat, in the direction of Calvin township which six miles distant. The farms, for the most part, iipared favorably in their general appearance with ; average of the farms we saw in Michigan. The yards were beautiful with shrubbery and flowers. The 72 THE NEGRO IN BUSINESS barns, stock, poultry and other accessories of farm were in keeping with everything else we saw. In our drive of nearly ten miles, in wliicli we covered nearly thirty miles of territory, through Calvin township and part of Porter, the adjoining township, we saw little, ex- cept the color of the faces of the people, to indicate that we were in a Negro town. There are few town- ships in the South among the agricultural classes that could compare favorably with this Negro township in Michigan, One of tlie farmers I met, William Allen, owned 700 acres of land and paid in the preceding year $igi in taxes. He had been Justice of the Peace for eighteen years, I learned, but finally resigned the office because it took too much of his time away from his farm. Another colored man, Samuel Hawkes, I found, pays the largest taxes of any man in his county. Mr. Hawkes is worth $50,000. He owns 500 acres of land free and unencumbered. Mr, Hawkes came to Calvin county in 1853. He had at that time $800 with which he purchased So acres of land upon which he still lives. He is engaged now in managing his farm, loaning money and dealing in real estate. Mr. J. W, Madry, who accompanied me on my ride through the county, informed me later by letter that he had thrashed the grain I had seen in the stack on his place in one day from which he obtained 944 bush- els of oats and 884 bushels of wheat. A few days later he shipped a car-load of hogs and sheep of his own raising to Chicago and received in return for them $707.30. He had 167 sheep and 80 hogs left. THE NEGRO IN BUSINESS 73 I met another colored man in the township, Mr. C. YMV. Bunn, who owns two sawmills and much other I real estate. He is said to be worth $50,000. There are, I was informed, eight schools in Calvin I TOunty. Four of them were taught by colored teach- The superintendent of schools, C. F, Northrop, I is a Negro. Perhaps the most instructive bit of information I I obtained in regard to this community during my visit I was contained in the statement of Hon. L. H. Glover, la prominent lawyer of Cassopolis. He said: "The (first generation of settlers were fine men — none bet- The second generation was bad. The tliird gen- leration shows a very marked improvement. There is tz steady improvement morally, and this compares fa- ■orably with that of the whites. There is no social I mingling, but otherwise the relations of the races are i-, entirely friendly. I do not know of more than a I dozen marriages of whites and blacks in the entire lunty. So far as prejudice toward the colored resi- ( dents of the county is concerned, the farther away I people live, the greater the prejudice. As they ap- proach it grows less. These people have contributed as much to the prosperity of the county as ought to be expected of them." In all this there is nothing startling nor remarkable. It indicates, I am convinced, merely what we ought to I expect under normal conditions and the " Square 1 Deal." I have told at some length the story of this col- L ony because the circumstances under which it was 74 THE NEGRO IN BUSINESS founded makes its history peculiarly interesting and because its history extends over a sufficiently long pe- riod of time to make it possible to permit the funda- mental racial traits of the Negro, so far as they are peculiar or different from that of the white race, to clearly manifest themselves. No doubt a careful study would reveal many things peculiar and interest- ing in the life of this community which would mark it as different from a white community. But the only thing that impressed itself upon me was the remarkable ability and willingness of our people to adapt them- selves to their conditions and to learn. A different tj^ie of Negro community has grown up in other parts of the South, as a result of the process of segregation of the races which is now tak- ing place, not only in the towns but on the land as I well. In many cases, particularly in the cities, the I result of this segregation has been far from happy. The Negroes which generally represent a large pro- portion of the shifting property-less class, have been ■ huddled into cheap and unhealthy quarters which bavd] bred both crime and disease as well as habits of i resolute shiftlessness. In some of the Southern cities, however, memberS=l of the race have had the courage and initiative to ^ outside of the cities and establish settlements on high and healthy land with the purpose of building up or- derly property-owning and educated communities. Recently I had an opportunity to visit such a com- munity, located outside of the city of Winston- Sa- lem, North Carolina. This suburb, which calls it- THE NEGRO IN BUSINESS 75 l.self Columbia Heights, is situated on a fine piece of I property just outside of the city, commanding a itiag- I tiificent view of tlie surrounding country. This suburb was founded by Prof. S. G. Atkins. ' In 1891, while he was principal of the colored graded school in Winston-Salem, he conceived the idea that it would materiaUy improve the condition of the mem- bers of his race and at the same time be a good busi- ness investment if a sufficient number of the more I thrifty colored people could be induced to settle in I some convenient suburb and build homes for them- [ selves and become property-owners. For this project he secured the support of a num- I ber of prominent white men in Winston-Salem, who I were interested in the welfare of the colored citi- Izens and at the same time desired to see some effort I made to improve the character of the Negro labor I that is largely employed in the tobacco factories at I this place. For a time Prof. Atkins lived in the new suburb practically alone, still maintaining his position at the head of the colored school in the city. Shortly af- ter his settlement there Mr. Atkins started in a small way an industrial school, believing that It would aid ■ in building up the community and be an inducement to other famih'es to settle in the new territory. Af- ter a short time the industrial school made such prog- ress that Mr. Atkins was enabled to devote all his time to it and after that he remained permanently at Columbia Heights. This was the origin of the Slater Industrial and State Normal school. 76 THE NEGRO IN BUSINESS Meanwhile a settlement consisting of forty fam- ilies, nearly all 0/ whom own their own homes, has settled there. Adjoining the Normal School a hand- some brick hospital has been erected for the use of the colored citizens of Winston-Sateni and the surround- ing country. This hospital was built largely by the labor of the students in the school and is conducted in conjunction with it. All this has tended to pro- mote an understanding between the best elements of both races such as one rarely meets in the South at the present time. There is at present or, at least at the time I visited it, no business done in Columbia Heights, except such as was directly connected with the school. But there are a large number of prosperous Negro business men in Winston- Salem. The colored people are repre- sented in the professions by men who seem to have earned the entire respect df their white neighbors. A Negro town of an entirely different sort is that at Buxton, Iowa, Buxton is a town of some 4.500 inhabitants, controlled entirely by Negroes. It is made up of the colored men employed in the coal mines of the Consolidated Coal company at that place. The town is not incorporated and according to the reports that I have been able to obtain from there jus- tice is administered in a rather summary frontier fashion. Persons who misbehave are waited upon by a committee and requested to behave themselves or , leave town. If the culprit persists in making him- self objectionable he is given a certain number of days or hours to leave the community and if found in the THE NEGRO IN BUSINESS 17 town after this time he is taken to the edge of the town i " shoved off," according to the picturesque phrase in use there. This reminds one of the methods formerly em- ployed in some of the frontier towns farther west. The town seems to be controlled thus far by a rougli but healthy public opinion which is probably pretty well adapted to meet the conditions in so new a com- munity. The government proper is in the hands of two Negro Justices of the Peace, Spencer Carry and George Terrell. Two colored constables, John Brown and Nelson Walker and a colored deputy- sheriff, A Perkins, are said to form Buxton's police force. If this new and large community made up largely of miners, has been able to prosper thus far. it is due I am inclined to believe in large part to the influence of the Young Men's Christian Association located here. This association has a large and handsome building and the membership in the association, I am informed, is exceeded only by the membership in the colored Young Men's Christian Association in New York. The school at Buxton is said to be a good one. It occupies a ten-room building and the super- intendent, who is an educated colored man, is said to be an excellent teacher. The town of Buxton is still in the experimental stage. It is at present only four years old. Twenty years ago. three colored citizens of Mait- . Fla,. J. K, White. Allen Ricket and T. W. Tay- p-S THE NEGRO IN BUSINESS lor, not quite satisfied with their condition in that town, left it and settled about a mile and a half away. Many colored citizens of Maitland followed them, and soon a respectable little village was formed and named Eatonvilie. One of the first things done by the com- munity was to buiid a church, and the next was to provide educational facilities for the children. In fact, the church was used first as a school building. The town was soon incorporated, and organized with a mayor, marshal, town clerk, aldermen, tax assessor and chief of police, all colored. With the advice of white friends, the people of the little town began to set out groves of orange trees, which paid well for ten years. In 1896 occurred what is known in Florida as the " Great Freeze," which ruined millions of dollars worth of orange trees in that state. The people of Eatonvilie suffered with the rest, and the growth of the town was severely retarded. They came to the conclusion that it was, not wise to pin their faith to orange trees alone, and began to plant other farm products, with which they have been very successful. Notwithstanding the failure of the orange crops, which has since been repeated in Florida, Eatonvilie continued to attract Negro settlers. Soon an Odd Fellows' Hall arose. A post office was secured and a Negro postmaster appointed. But the greatest ad- vance was made in education. As soon as the church proved inadequate, the Odd Fellows' Hall was pressed into service, and a graduate of the Tuskegee Institute was secured as teacher. dBIBEk'' m l^f^ ^"^-'''^^Mft tWe If jjl w K*' M ''^El^I THE NEGRO IN BUSINESS The coming of this man was the most fortunate ^vent which has happened in Eatonville. R. C. Cal- nottn proved to be one of those leaders for the crea- 1 of whom Tuskegee exists, and he was filled with the enthusiasm for unselfish and devoted service to his fellows which we attempt to instill at Tuskegee. While teacher of the public school, Mr. Calhoun con- tinually told his townsmen of the school at Tuskegee, and of their need for such an institution, in which young men and women could not only secure excellent academic and moral training, but also receive such in- struction in industries and handicrafts as would fit , them directly for life. But Mr, Calhoun did more than talk. He began to I work to obtain funds with which to establish such a I school as he had advocated. Mr. Geo. B. Childs, of I Saratoga, N. Y., donated $4,600 with which to build boys' dormitory. Mr. Robert Hungerford, of I Chester, Conn,, owned a large tract of land near I Eatonville, and offered to give it to the colored peo- Iple if they would build on it an industrial school. ■ The offer was taken up by Mr. Calhoun, and the new iinstitute was named in honor of the generous donor, ' Robert Hungerford Industrial School," In the first year of the school's existence, 1899, the Attendance was only nineteen ; but has since that time lalmost tripled itself. The school owns two hundred land eighty acres, twenty-nine of which are under cul- Itivation by student labor. For the work they do, the ■'students are given credit on their accounts with the ■school treasurer, and are enabled to work out a great So THE NEGRO IN BUSINESS part of their expenses. The products of the farm, dairy, and poultry yard are used by the commissary of the school and assist materially in keeping down axpenses. The school has now six teachers, of whom three are graduates of Tuskegee. Two new dormi- tories have recently been added, and the future of the institute is bright. The influence of the school on the community has been very valuable. Eatonvilie has now 250 inhabitants, of which the great majority own their homes, Mr. S. M. Mose- ley, the mayor, is a successful farmer, stock raiser and liveryman. Mr, J. E. Clark, the postmaster and chairman of the city council, is the leading merchant of the town, and has also done a good business in real estate. He is one of the largest farmers in the county, and has been largely instrumental in build- ing up Eatonvilie to its present status. Another type of community of which one will meet numerous examples in the South is the Negro farming village. An interesting example of this type of vil- lage is a little Negro community called Mamiesville, in Pickens county on the Mobile and Ohio railway. The origin of this community is interesting. About the time the railway was built through this region or shortly after, the w'hite people began to buy land to build houses in the neighborhood of the railway about two miles away. The town that grew up there was called Ethel'sville, after the daughter of one of the leading white citizens. The movement of the white people toward the railway left a considerable amount of land on the market and one of the more k THE NEGRO IN BUSINESS 8l enteq>rising Xegro farmers .conceived the idea of buy- ing land. The notion presently got hold of a number of other Negro farmers in the same region and the re suit was a prosperous Negro town. The Negro vil- lagers, following the example of their white neigh- bors, decided to call their village Mamiesville, after the daughter of the fanner who had first bought land there. The town consists of about l,ooo acres of land, worth $15 an acre. There are a number of re- spectable dwelling houses, a church, a school and a store, conducted by the ten Singleton brothers, who are a strong element in the town. At the Tuskegee Xegro conference in February, 1905, a very interesting report from this place was made by J. M. Sanifer. According to this report it appeared that there w^ere 104 families in the village, owning some 4,300 acres of land. They own 312 cows, 76 horses, 132 mules and 321 hogs. He reported that the Negro village was on the best of terms with its white neighbors. Several white men in the neighboring village had aided them in get- ting land and had contributed to the church and the school and the two villages were hving on terms of mutual friendliness and cooperation. The subject of Negro communities and the methods of their upbuilding is one that deserves more study from students of the race problem than it has thus far had. CHAPTER IX ISAIAH T, MONTGOMERY — THE FOUNDER OF MOUND BAYOU One of the most interesting and successful busi- ness experiments which has yet been made by a Ne- gjo was the founding of the town of Mound Bayou, Bolivar county. Miss,, by Isaiah T. Montgomery, This town, as it exists to-day, did not happen. It was planned and made, and the capital, which is cre- ated wherever men live and labor together for a com- mon end, has gone into the hands of Negro business J men. Mr. Montgomery was bom on the plantation of Joseph Davis, a brother of Jefferson Davis, subse- quently President of the Confederacy. This planta- tion known as " The Hurricane," was situated in \Varren county about 30 miles south of Vicksburg. Mr, Montgomery was born there a slave, on May 2ist, 1847. His father and mother were both able to read a little and he received his earbest instructions ill reading from his mother. On Simdays another slave named George Steward, gave him lessons from the old fashioned blue-back speller, so popular in those - days. When he grew older his father took him in hand and heard his lessons at night after the work of ( the day was over. He taught him to write by making', j THE NEGRO IN BUSINESS 83 L the letters on cardboard and covering it with tissue I paper. When he was about eight or nine years old his father discovered a white man by the name of George Metcalf, who was making a poor living cut- ting cord wood but who seemed to be well informed and he hired this man to teach young Montgomery I and his sister. When it became known that 2 school [teacher was to be had in the neighborhood, Metcalf l.and his wife were induced to move nearer to the plan- Itation and four or five white children, among them 1 two ix)ys from the Davis dwelling, were added to the I class. This school was, however, finally discontinued I because its existence became noised abroad. The boy Montgomery continued his studies at ^ home until he was nine or ten years of age. At this time it was determined that he should make his home in the " Big House " where he was quartered on a pallet in the room adjoining that of Mr. and Mrs. Davis. His duties at this time consisted In sorting and copying, filing letters and papers and caring for the office generally. In addition to this he was assigned to carrying the mails which had to be transported I across the Mississippi river some four times a week. 1 In this he was assisted by two smaller boys. After leaving his father's house and going to the Davis mansion he had no opportunity to study but he read the newspapers' with great eagerness. These were always conveniently at hand about the office. After General Grant began his campaign in north- ern Mississippi Mr. Davis went with his slaves to the AiJtbi THE NEGRO IN BUSINESS interior of the state and afterwards to Alabama. Young Montgomery was left with his father in charge of the plantation. Mr. Davis first carried him away with him but sent him back with the others occasionally after stock. On one of these trips his father kept lum with him to help care for the planta- tion. Shortly after Admiral David Di.\on Porter suc- ceeded in running past the Vicksburg batteries with a portion of the Federal Squadron young Montgomery met him, became his cabin boy and spent nearly all of 1863 in the U. S. service. Dur- ing the first cruise of the Federal fleet up the Red I River young Montgomery lost his health, as a conse- J quence of drinking the waters of the river and was! discharged in mid-winter at Mound City, 111. HiS'f parents and his two sisters had been assisted to Cin- cinnati by Admiral Porter and young Montgomery, after his discharge, joined them there. It took nearly a year to restore his shattered health. His father was an expert carpenter, painter and gen- eral mechanic and both he and his brother worked J with their father at his trade until times settled soJ that they could return to the old Hurricane Planta-^ tion. William Montgomery went back first, Isaiah fol-1 lowed, and lastly their father came down. After i short period Isaiah returned for the family and J brought them all back from Cincinnati by river. ^ Sometime in 1S66, when Isaiah was about ig yearsl of age, the father and the two sons began business* THE NEGRO IN BUSINESS 85 loer the name of Montgomery & Sons. Isaiah was assigned to do the bookkeeping and take care of the correspondence. He soon found that he was defi- cient in his knowledge of mathematics and, to over- come this difficulty, obtained special instruction at night for a term from one of the pioneer teachers who came South immediately after the war. This teacher is well remembered by Mr. Montgomery. Her name was Miss Lou Smith, of Urbana, Ohio. She carried him, he says, through Ray's Third Arith- metic and did him a service for which he has ever since been grateful. About this time he began studying bookkeeping. He made the acquaintance of some of the clerks on the Mississippi packets and they would occasionally, at his request, bring him a book on bookkeeping or something else that he needed, to continue his studies. The circumstances under which Mr. Montgomery, his father and brother, came to have the management of the Hurricane Plantation after the war are pe- culiar and interesting. It was the express wish of Mr. Joseph E. Davis, after the close of the war, that all of his ex-slaves should remain on the plantation that had been their home and the home of their chil- dren, " Indeed," says Mr. Montgomery, " most of them, 300 or more, were born there and the big books of the plantation, formerly kept by my father, were the histories of all that was known of their ancestry." In order to effect this purpose Mr. Davis specific- ' ally conveyed his Warren County properties to Ben- 86 THE NEGRO IN BUSINESS jamin T., William T., and Isaiah T. Montgomery by an act of sale and in order to better carry out his pur- pose Mr. Davis made an effort to reach all of his for- mer slaves whenever they were overtaken by any se- rious mishap. Mr. Davis at the time of conveying this property to his former slaves was well advanced in years and did not long survive the sale. An earn- est attempt was made by his executors after Mr. Davis's death to carry out the provisions of the will. One of these executors was Mr. Davis's brother Jef- ferson Davis, ex-president of the Confederacy. In attempting to operate the plantation along the lines indicated difficulties were soon encountered. Among the first was the arrangement of the living premises. In slavery it had been found desirable to have " quarters " located within a limited area. This was for the convenience of supervision. In freedom it was necessary to have the buildings located on the holdings of tenants. Many more buildings were re- quired and it was necessary to have them of improved construction. They suffered also from competition with cheaper properties, offering lower rents to la- borers and in some instances practically a year's free use of the land in order to induce laborers to settle upon them. High waters occasionally came, causing overflows which made it necessary for large expendi- tures in the construction of levees. In order to meet these expenses the managers, the elder Montgomery and his sons, applied to the executors for a reduction in the annual payments, which approximated at that time $14,000 per annum. The heirs, however, re- THE NEGRO IN BUSINESS 87 \ f sisted any reduction that would trench upon their in- come. The original price of the plantation, which comprised 4,000 acres was $300,000 in gold, bearing interest at six per cent. The price of the land was high and under all the circumstances, in spite of the effort made, could not always be made to meet the an- nual payments. The contract was finally dissolved by the mutual consent of both parties after it had been in operation from 1867 to about 1885. " One of my most vivid experiences," says Mr, Montgomery in some of his reminiscences, "came during what was known as the Kansas Higera, when thousands of laborers from the Mississippi valley crowded the steamers and poured into Kansas by way of St. Louis. A large body of these emigrants left our plantation and as nothing could be learned of these people as to their future I determined to look I into the matter myself. I procured letters of credit I and went first to St. Louis and thence to Kansas City, ' where 1 found large numbers of them very scantily provided for and lioused in churches and public build- ings. After providing for tlieir comfort and arrang- , ing for those who wished to return I pushed on to Lawrence, Kansas, where the sentiment was partic- ularly bitter against any effort to induce the refugees to return. I went directly among the crowd that had left our plantation and camped with them in their crowded quarters. In the course of a long conference. with the leaders they revealed to me that they had come to Kansas in quest of lands to be purchased I for the permanent homes and if these could not be THE NEGRO IN BUSINESS had they preferred to go back with me. I had theml name a committee to accompany me to Topeka, where I I presented the case to Gov. St. John and his board ' of managers. The means at the command of those men was limited, but they decided to make a location and a colony called Nicodemus was located near Coun- cil Grove in Waubaunsee county, on condition that I buy a half section of land in it. We improved our lands there and owned them for a number of years under the supervision of my brother, who finally sold them and invested in North Dakota. The colony maintained itself for a number of years. I returned J home from the trip and set myself to mending our 1 broken fortunes, closing as best I could, the drama .1 of a fruitless struggle. Father died not long after i this. Mother soon followed him to the old plantation i burying ground, where they rest in the reserve held sacred for the immediate members of the Davis fam- ily." This closed for Mr. Montgomery a disastrous but instructive experience. He bad gained some knowl- edge, under his father's instruction, in the manage- ment of the large property and he had learned some- thing of the conditions of pioneering in his efforts to found the Negro colony of Nicodemus upon the prairies of Kansas. About the year 1885 he wound up his connection with the cotton planting industry and started out to conduct a little mercantile and res- taurant business near the National Cemetery at Vicks- burg. Miss. It was while at that place that Maj, )rge W. McGinnis, Land Commissioner of THE NEGRO IN BUSINESS 89 I Louisville New Orleans and Texas Railway began . correspondence which resulted in a conference and ' then in a trip through the Delta and selection of Mound Bayou as the site for a Negro settlement. As the Delta land was subject to malaria, obstructed with great forests of timber and tangled thickets of cane and briers, and burned by the Southern sun, it . was deemed unsuitable for white immigrants, and ca- pable of being exploited only by means of black tabor. The land commissioner of the railway consulted Mr. Montgomery, with the result that the latter undertook to plant a Negro colony on these lands if the rail- way would furnish the land. Mr. Montgomery's description of his first visit to the site of the new town is an interesting one. Mound Bayou is situated near the center of the great Yazoo Delta about midway between Memphis and Vicksburg and nearly twenty miles east of the Mis- sissippi river and a like distance from the hills that form the western boundary of the delta. The name is derived from a large mound, the relic of a pre-his- toric people, situated at the junction of two prominent bayous, which compose the most important part of the natural drainage system of the region. " On a summer morning in July, 1887," said Mr. Montgomery, " the fast express dropped me at a cross-road sawmill. I was accompanied by a civil engineer, with whom I had spent the day previous in the trackless forest northwest of the town of Shaw. It was not yet day when we disembarked from the train. We went a short distance to the quarter mill THE NEGRO IN BUSINESS and were generously treated to a hearty breakfast. " Immediately afterwards we started to tramp northward on tlie line railway. After a walk of nearly three miles my companion paused and said : ' Herj is the land,' " I gazed north and south along the railway rigl of way, which cut a wide path, something like thffl street of a great city, through the forest and jungleJ On either side were impassable barriers of cane, which " stood twenty-five feet high, interwoven with briers and thickly studded with mighty trees, some of them one hundred and fifty feet in height. " I tramped up and down," continued Mr. Mont^ gomery, " looking for a place oi entrance. Finally^ I found a hunter's trail which had been kept open by wild beasts and wandering cattle. This led along the bank of the bayou, from which the locality derived it^ name. A mile further along this path came out 1 the railway again. We, however, turned furth^ north and found the woods somewhat more open. A? the falling shadows reminded us that the day was nearly done we stood upon the spot now occupied by the town. " ' This will do,' I remarked to the engined ' Draw a plat of these lands stretching four miles t the east and west, north and south. Send me one to the land office and make a duplicate. That will be notice, when it reaches me, that your task is done a mine is begun.' " The first settlers began to move into the new tow site in Febniary, i8S8. They did not stop there bufl THE NEGRO IN BUSINESS 91 I went directly to the log shanties that had been buitt I upon the lands tliey were to occupy. A month later I ground was broken for the first small store-house and ■two dwellings, one to be occupied by Mr. Montgom- ffery and the other by the family of a cousin. Since there were no lands available for immediate cultivation the little community had to support itself by cutting the timber until the area cleared was suffi- ciently large to permit cultivation. The original survey of the town was made in 1S90 when it was regularly incorporated. At that time it embraced about twenty acres. At that time there was one country store and two small business houses employing altogether about $3,000 capital and do- . ing an annual business of possibly $5,000. At the [ present time the town embraces an area of 75 acres, I with a population of 400. The agricultural settle- I ment about the town covers about 40 square miles, aver 30,000 acres, owned and occupied by 2,000 I colored people. Mound Bayou is the tenth station in l:importance between Memphis and Vicksburg, and af- l fords the railway company an approximate revenue F of $30,000 per annum in freight and passenger traffic. The forests of oak, elm, hickory, ash, cypress and gnm afford an annual business of almost $9,000. In his work of founding the city, Mr. Montgomery t spent a g;reat deal of time traveling in Mississippi, I Arkansas, Louisiana, Tennessee and Alabama, keep- ing before the race the subject of home and farm owning, and conducting prospectors and settlers to Mound Bayou. Mr. Montgomery was the first i&i 92 THE NEGRO IN BUSINESS mayor of the town; the present mayor {1907) is B. H. Creswell. One of the most helpful and hiteresting phases of the settlement of Mound Bayou has been tlie amount of original business enterprise shown by the various set- tlers. Besides the great majority, who are prosper- ously engaged in agriculture, a considerable class of business men have sprung up, In the town there are 22 mercantile houses, such as groceries, dry goods stores, etc., which do an annual business of one hun- dred thousand dollars. There are three blacksmith and wagon repair shops, whose yearly business amounts to $3,000. One live newspaper, the Mound Bayou Demonstrator, does the unusual business of $1,500 a year. There are one practising physician, one photog- rapher, who does $1,000 worth of business every year, one harness maker, with an annual business of $1,000; three restaurants and boarding houses, one gin and saw mill, with a yearly business of $5,000; and two gins whose business amounts to $5,500 yearly. The Bank of Mound Bayou, which is more fully consid- ered in the chapter on Banking, has an authorized capital of $10,000; fully paid up and deposits amount- ing to $40,000. The Mound Bayou post office, es- tablished in 1888, has an annual stamp sale of $850. The annual stamp cancellations amount to $700, and the annual money order receipts and disbursements are as much as $30,000. In the town are a Baptist High and Normal Institute and the American Mis- sionary school, both of which are endeavoring to add industrial departments; a public school, employing- ' THE NEGRO IN BUSINESS 93 three teachers ; and five public schools in the surround-^ ing country. There are two Baptist Churches, worth together $3,000, two Christian Churches; worth to- gether $1,500; one A. M. E. Church, worth $3,000; and one M. E. Church, worth $800. The cotton pro- duction for the season of 1905 was 4,000 bales. CHAPTER X THE NEGRO UNDERTAKER The interest and even fascination with which the Negro people have ahvays viewed the great mystery of death has given the ceremonies that are connected with tills dread event a special and peculiarly impor- tant place in their social life. Out of this instinctive awe and reverence for the dead has arisen the demand for solemn and decent and often elaborate burial serv- ices. To meet this demand there has grown up a prosperous business. It is a curious fact that with the exception of that of caterer there is no business in which Negroes seem to be more numerously en- gaged or one in which they have been more uniformly successful. This is due to the fact that here, as in the case of schools and churches, racial instincts and interests have created demands which the white business men could not or were not able to properly provide for, A prominent feature of the secret organizations, which have sprung up and become extremely popular in re- cent years among the colored communities, has been t the provision for sick benefits and burial expenses. I This demand and these organizations have created al special business opportunity for Negro business men of which they have very largely taken advantage. 94 THE NEGRO IN BUSINESS 95 One of the men who early perceived an opportu- nity for the colored business man in the direction I have indicated was Elijah Cook, the Negro under- taker of Montgomery, Alabama. Mr. Cook was bom a sJave over sixty years ago in Alabama. He was several times sold on the auction block, and at one of these sales was separated from his brother, of whom he has never heard since. When he had become a youth, Mr. Cook asked his master to allow him to learn the carpenter's trade, at which he spent several years as an apprentice. At the end of this time, he hired his time from his master for twenty-five dol- lars a mcmth. When the war broke out, Mr. Cook continued to pay his master's wife the stipulated sum per month, and continued to faithfully do so until he was emancipated. At the close of the war, the trade that Mr. Cook learned in slavery stood him in good stead, as he was immediately able to get work. The laws against teaching a slave to read and wirte had fired Mr. Cook with a desire to acquire those forbidden accom- plishments, and, like many other freedmeii. his first thought was to procure an education for himself, and for his people. He was the leader in founding the first colored school in his city, which was held in a basement dug under a dilapidated church. He him- self, with that devotion that proves the capacity of the race, attended night school after working most severely all day long. Looking about him, Mr. Cook saw that there was no colored undertaker in the city, and that the corpses g6 THE NEGRO IN BUSINESS of the colored people were being hauled to the ceme- tery in rough wagons. He therefore bought a hearse, and went into business for himself. He has con- ducted this business for twenty years, with such in- dustry and wisdom that he has accumulated towards twenty thousand dollars. He is one of the most re- spected citizens of Montgomery, and is foremost in every plan for the betterment of the race. Another successful undertaker of Montgomery is Mr. H. A. Loveless. He, too, conducts a profitable business. Much enterprise has been shown by Mr. Wm. M. Porter, of Cincinnati, Ohio. He was bom a slave in Tennessee, in 1850, and was well grown before op- portunities for education came to him. At the end of the war, he went to Cincinnati, and hired out as a hackman, working in this capacity for ten years. At the end of this time he went into the undertaking business and married Miss Davis, a teacher in the public schools of Cincinnati, to whose efforts and judgment much of his success is due. I'or more than twenty years he was the only colored undertaker in Cincinnati, and used his monopoly so well that his real estate holdings "in Cincinnati amount to about $25,000, to say nothing of the value of his horses and rolling stock. After his success in Cincinnati, Mr, Porter looked about him for new opportunities, and opened a branch office in Lexington, Kentucky, with Mr. J. C. Jack- son in charge. A few years later, another office was opened in Chicago, and gradually since, other offices liave been opened by him in small towns in Kentucky THE NEGRO IN BUSINESS 97 land Ohio, and put in charge of competent men. Mr. I Porter has been fortunate in finding men to work for } him who are rehable and honest. He is one of the most successful undertakers that we have. The life of Mr, J. C. Jackson, mentioned above as the Lexington, Kentucky, partner of Mr. Porter, has been a most eventful and busy one. He was born in 1848, and worked on a farm in Kentucky until he reached his majority. He then came to Lexington I with his small savings which he invested in a small ' fruit and confectionary store. His thrift, honesty, f and busines ability in the management of this store 1 recommended him to the notice of the officials of the Lexington branch of tlie Freedman's Bank, of which he was soon made teller. He was promoted to the cashiership of the Little Rock Branch of the same in- stitution, which position he held until its failure in 1 1874. He then returned to Lexington and secured a I position as ganger under the United States Govem- I ment, which position he held for seven years. He [ also tried his hand at running a newspaper, and the " American Citizen," edited by him, was an able and excellent journal. He sold the paper, however, to become the partner of Mr. Porter in an undertaking I establishment in Lexington. They started on a small I scale, with one funeral car, a team of horses and a ' small stock of goods. Largely owing to the fidelity ind ability of Mr. Jackson, the estabhshment has grown to the point where it is considered by many to be the finest in central Kentucky. A new building 4 . 98 THE NEGRO IN BUSINESS has recently been built, which has in connection with it the best equipped livery stable in Lexington, with a capacity of one hundred horses. Mr. Jackson was extremely happy in his marriage, as his wife identified herself with his interests, and has been of invaluable assistance to him. I cannot pass over his activity in public life. He has served as a trustee of Wilberforce University ; as a representative of his church in the General Con- ference of the A. M. E, Church, was chairman of the committee which secured an equal division of the public school funds for the support of colored schools; was a member of the committee which persuaded the city council of Lexington to establish that city's first Negro School ; was a member and a spokesman of the committee which secured from the Kentucky leg- islature the enactment which established the State Normal School for Negroes at Frankfort, Kentucky; and was for twelve years a member of the trustee board of Berea College. He was a life long friend of Rev. John G. Fee, the founder of Berea College, and was first man asked by Rev, Fee's family to serve as pall-bearer at his funeral. He is an influen- tial member of the Executive Committee of the Na- tional Negro Business League. One of our very successful men is Mr. G. W. Frank- hn, Jr., of Chattanooga, Tenn. He was born in 1865 in Quitman, Ga., and began learning the blacksmith's trade at the age of ten. Long before he became of age, he was operating four distinct lines of business, a blacksmith shop, a hack line, a coal yard, and an ^ I'RESTON TAVLOK, THE NEGRO IN BUSINESS 99 undertaking establishment. He coiiduded finally to concentrate his efforts in one direction, however, and decided to devote himself to undertaking. His first few years as undertaker were spent in Rome, Ga., but he moved to Chattanooga in 1894. He found the new field unfavorable, as other colored men preceding him there in this business has abused the people and lost their confidence. Mr. Franklin had labored to overcome this handicap so well that he is to-day one of the most prosperous colored men in Chattanooga. His rolling stock and general equipment are equal to L the best in Chattanooga, white or black. He has H3ught and operated two cemeteries for colored people, ^the East View and the Pleasant Garden. He owns his own place of business in the heart of the business sec- ■ tion of Chattanooga, within a block of the Union Sta- Ition. and within forty steps of the First National IBank. He also owns valuable real estate in exclusive ■ ■portions of the city. Mr. Franklin built with his own | {hands some of the hearses, and one of these, exhibited Bt the Nashville meeting of the National Negro Eusi- Iness League, was a feature of the meeting. His business gives employment to seven people, besides three members of his own family, whom he has taught to be of great help to him in his work. 1 have before now called attention to the fact some hoi our most successful business men have come from ■among the ranks of our ministers. These men have [very often had opportunity to develop a latent talent Ijor administrative work and business in looking after I Ithe affairs of their churches. One such as these is ^ lOO THE NEGRO IN BUSINESS Rev. Preston Taylor, who early in life learned a trade, has been a contractor, assistant baggage-master as well as preacher, and has finally become comfortably well off in the business of undertaking. Rev, Preston Taylor was born in Shreveport, Louisiana, November 7, 1849, of slave parents. In early childhood he expressed a desire to become a min- ister, and this ambition has directed his life. He has interested himself along other lines; but not for a sin- gle year since arriving at maturity has he neglected what he regarded as his highest calling. His spirit of patriotism was shown when in 1864 he saw a band of soldiers marching along the road and determined to join them; be enlisted as a drummer and was at the seige of Richmond, Petersburg and at the surrender of Lee. Later he learned the stone cutters' trade and became skillful in monument work and also engraving on marble. He found much work to do in Louisville, Kentucky, but the white men re- fused to work with him because of his color. He was then offered a position as train porter on the Louisville and Chattanooga Railroad, and for four years he was classed as one of the best railroad men in the service. When he resigned, he was requested ' to remain with a promotion as assistant baggage- master, but as he could be no longer retained, he was given a strong recommendation and a pass over all the roads for an extensive trip which he took J through the North. On his return he accepted the pastorate of ^istian Church at Mt. Sterling, Kentuckv, whei THE NEGRO IN BUSINESS remained for fifteen years devoting his time to the building up of the congregation and the erection o£ meeting houses. It was at this time that he did a great deal toward helping the people in an educational way. One thing that deserves special mention was the purchase of the old college property at New Cas- tle, Kentucky, at a cost of $18,000, where to-day stands a thriving Bible college, of which he is still a trustee and financial agent. For a number of years he was editor of the " Colored Brethren," a depart- ment in the Christian Standard, and has also written for many books and periodicals. Some idea can be gathered of his courage and en- ergy from a passage in his life. When the Big ' Sandy Railway was under contract to be completed from Mt, Sterling to Richmond, Virginia, the contrac- tors refused to hire colored men to work on it. He at once made a bid for Sections 3 and 4 and was suc- cessful; he then erected a large commissary and quar- ters for his men, bought se\-enty-five head of mules and horses, carts, wagons, cans and all the necessary implements and tools; with one hundred and fifty colored men he led the way. In fourteen months he completed the most difficult part of this great trunk line at a cost of about $75,000. The president of the road. Mr. C. P. Huntington, said that he had built thousands of miles of road but he never before saw a contractor who finished his contract in advance. He was then requested by the chief engineer of the works to move his force to another county and help out some of the white contractors. 102 THE NEGRO IN BUSINESS During the past twenty years he has occupied as pastor the pnlpit of two of the leading Nashville churches. The Lee Avenue Christian Church, where he has been for- seventeen years, is a iarge, strong and imposing edifice, of which the congregation and citizens of Nashville are proud. It was built under his direction and through his personal effort. His philanthrophic spirit is strong, and a deed of charity rendered by him during a recent severe win- ter will forever live in the hearts of the people of Nashville; for through his own warm and tender feeling for suffering humanity, individual help, so- hcitations from friends, he was enabled to feed, warm and clothe almost a thousand suffering poor people and shield them from the cold. In the Spring of i88S he embarked in the under- taking business and has met with unusual success. He stands well toward the head of his profession not only as a funeral director, but as a safe and wise busi- ness man. Mr. Taylor employs twenty-one men and often has J to call in extra help. He bears the distinction of di- ^ recting the largest funeral procession that has ever passed through the streets of Nashville; it was that of three colored firemen that were killed in the great conflagration of January 2, 1892. He built a large catafalque with the aid of his own men, which held all three of t!ie caskets, and was drawn by six beau- tiful, black horses followed by sixty carriages, two abreast, occupied by all the officials of the city, and THE NEGRO IN BUSINESS 103 accompanied by the police and fire departments, the schools, the lodges, and citizens by the thousands. Aside from his regtilar profession, he is president of the Odd Fellows' Association, the Knights of Pythias* Temple Association, the Steam Railway Em- ployees' Association, and the Rock City Coal Com- pany ; he is also director of the " Negro Combine " and the One Cent Savings Bank, and Chaplain of Co. " G," the Uniform Rank, Knights of Pythias. Recently Mr. Taylor purchased beautiful " Green- wood Cemetery," a tract of forty acres of land lo- cated four miles southeast of Nashville, laid out in lots, walks and drives, ornamented with shrubs and trees. In all his efforts he has had the aid of his wife, formerly one of the original Fisk Jubilee Singers, and a woman of strong sympathies, and invaluable to her husband. CHAPTER XI JAMES C. THOMAS, UNDERTAKER AND BUSINESS MAN It is said that the richest man of African descent in New York is James C. Thomas. He is an under- taker. Although colored men have been in business for nearly 150 years in New York City, there are very few if any of these men or their descendants who have had more success in business than this man who came to New York as a cabin boy on one of the Southern steamers, and worked for sixteen years af- ter that as the hotel steward. This is one of the facts, of which there are many similar mentioned in this book, which indicate that, however great an obstacle prejudice may be, it is not the determining factor in the success or failure of colored men. The same conditions which have made members of the white race who had advantages fail and those who have not had advantages succeed hold also in the case of the colored man. It is thrift, industry, moral earnestness that makes success, James C. Thomas is a Texan. He was bom at' Harrisburg, Texas, in 1864. He received very little education. At the age of nine his father and mother died, and he had after that, to take care of himself. He had six sisters, some of them older, and others younger than himself. As soon as he was able to 104 m THE NEGRO IN BUSINESS 105 earn anything, he was compelled to contribute to the support of the family. Beginning; life thus early, he managed to pick up a living for himself and to contribute his share to the support of the other members of the family. He drifted with some other members of the family I to Galveston, and after doing odd jobs about there 1 for a time, he found a place as a cabin boy on a steam * boat. A few years ago, and indeed to a large ex- • tent still, the position of cabin boy on one of the 1 steamboats was the goal of every colored boy's am- bition. To be nimble and handy enough at running on errands; to be able to ingratiate himself into the good will of the captain or steward of one of these boats, was the secret hope and ambition of every lively apd alert young Negro, boy. Many g, colored boy has been started out on a life I of aimless wandering, drifting about from place to place, in consequence of the attractions of a place ' on one of these boats. On the other hand, not all the men who have started out in this way have been injured by this experience. This life appeals to a very natural spirit of adventure, the desire to see new and strange places and people. To many a young man who had no opportunities for learning at home, these voyages ha\'e been in the nature of an education. It has given him a bigger idea of the world, caused him to realize the possibilities of his own life, and given him the courage to attempt things that he would never thought himself or members of his race able io6 THE NEGRO IN BUSINESS ; been the case with Mr. to do. This seems to I Thomas. He first found a place upon the boat running be- tween New Orleans and Galveston. In those days, Galveston was not the important port it lias since become, and New Orleans had not yet lost the prestige she had before the war as the port at which the great traffic of the Mississippi Valley was discharged. Life on the levees and along the docks was in its glory and was full of attractions for young men in search of adventure. Young Tiiomas was attracted by all this, and lingered about New Orleans working on the boats for the most part, in the capacity of cabin boy, until he was seventeen years of age. At this time, in 1881, young Thomas was employed on a steamer plying between New Orleans, Cuba, and Mexico, At this time the yellow fever appeared at Havana and New Orleans. Both cities were quar- antined. Rather than go into quarantine, the boat upon which Mr. Thomas was employed, came to New York, It was thus, quite by accident, that Mr. Thomas became a New Yorker. In the meantime he had learned a good deal about the business in which he had been engaged, and in New York he was able to obtain a position as stew- ard in some of the hotels at New York, Boston, and Saratoga, Mr. Thomas was employed in these dif- ferent places for sixteen years, from 1881 to 1897. He had always been thrifty and saving and during these years, particularly after his marriage, he worked with a definite purpose in view. He saw others about THE NEGRO IN BUSINESS 107 t getting money easily and spending it freely, but I he had determined to accumulate sufficient capital to I enable him to go into business for himself. He was ■ married in 18S4 but he did not begin business until 1 1897- There were already several Negro undertakers in INew York but Mr, Thomas believed that there was I room for another, and if possible, a better one than ■ any of those then existing. He decided to begin in I a very small way. He had never been in business for I himself, and there was much that he had to learn I by experiment. He rented a house on Seventh avenue, land after buying his stock, fixing and furnishing it I to begin business, he found that he had but four dol- jlars left. When Mr. Thomas began business there were but wo colored undertakers in the business in New York and Brooklyn. The larger part of the business which should have come naturally to colored undertakers , was in the hands of white men. At the present time, fc.Mr. Thomas not only does more business than any iother colored undertaker in New York, but there is I tut one undertaker in the city who has more funerals 1 the course of the year than he. In spite of that f fact there are now eight colored undertakers doing business in the city. Mr. Thomas, largely as a result of his economical, careful, and conscientious dealings with his colored patrons, and by his ability to meet ■ peculiar needs, has enabled him to compete so tsuccessfully with white undertakers that he has se- 4 io8 THE NEGRO IN BUSINESS cured the colored business largely for colored business men. When he started in business, Mr. Thomas rented the building on Seventh avenue, in which he did busi- ness. He is still occupying- that house, but at the present time he owns it and the adjoining property as well. He has several times refused $65,000 for the two buildings. These valuable holdings, and other property in New York City, Mr. Thomas has acquired since he engaged in business. He was the first president of the Afro-American Realty Company, and is still one of its heaviest stock- holders, and a director in the company. He likewise owns stock in the Chelsea National Bank of New York, one of the larger banks of that city. He is a member of the New York Undertakers' As- sociation, to which he has been sent on several oc- casions by the local association to represent them. He has the confidence and respect of his fellow- undertakers, because he has demonstrated that he un- derstands the business as well as they. The $20,000 business yearly that he does, is earned, not because he is a colored man, but because he has been able to measure up to the best and highest in his profes- sion. And in this measuring up, he has taught the colored people that there are colored men who are . competent, honest, and reliable. Since 1897, ^^- I Thomas has superintended the funerals of some thirty- five hundred persons, including the raising and re- interring of bodies that have been buried for as many as eighty years. This of itself is an art separate 1 I THE NEGRO IN BUSINESS 109 F and apart from the general work of an undertaker. In Greater New York and adjoining towns in New I Jersey and Pennsylvania, especially among the colored I people, there are constant calls for Mr. Thomas' serv- ices, so much so that he has found it necessary and profitable to open branch offices in a number of places. To be known as the second largest business house of this character in New York, is a real distinction [ which is to be gained only by keen business foresight, I and the mastery of the field in which one may be [ engaged. Where white undertakers had charge of I the undertaking work of the various colored lodges I and churches in New York before Mr. Thomas' time, I it is now handled almost exclusively by colored un- f dertakers. He keeps constantly employed a number [ of men and women, some of whom have gained com- [ plete knowledge of the business in his establishment. In 1884, Mr. Thomas was married to Miss Ella I Rollins, of Richmond, Virginia, and she has been of L great assistance to him in his business, having entire Pcharge of the work in his absetice. They have seven [ children, all of whom are being educated, in addition I to their school training, in their father's business. I CHAPTER XII THE NEGRO BANKER As our people have made progress in the i lines of business a demand has arisen among; them for savings banks. That this demand has arisen speaks well for the industry and thrift of the race. That it has been met by the establishment of more than thirty successful banks operated wholly by members of our race, testifies to its capacity to meet the demands which its new necessities impose. I cannot here do justice to all of these new and important institutions. I am compelled to limit myself to writing of those with whose workings I am more familiar and whose stories seem to me most interesting and instructive. The first bank conducted by Negroes was estab- lished directly after the war as part of the work of the Freedman's Bureau. This bank was a failure. The little savings of thousands of industrious freed- men were lost. Widespread as was the confidence and the hope that this institution inspired among- all classes when it was first founded, the discouragement caused by its failure was even more wide-reaching. It was years before the Negro people regained sufficient confidence in banks and in themselves to make a Negro bank possible. In March, 1888, the legislature of Virginia granted a charter for a sav- IIO THE NEGRO IN BUSINESS 111 , ings bank to the Grand Fountain of the United Order fccf True Reformers, The bank was opened for busi- I ness April 3, iS8g, and received deposits to the amount I of $1,268.69 the first day. It is said that when appHcation for a charter for f this bank was first made to the Virginia legislature it was not treated seriously. The idea of a bank con- ducted by Negroes was at this time so novel that many members of the legislature voted for it out of a I spirit of fun. never expecting to see a real Negro [■savings bank in operation in Virginia. In a recent report to the Hampton Negro conference IW. P. Burrell, secretary of the True Reformer, tells ['a very interesting anecdote in regard to the origin of [the True Reformers' Bank. " It might be interesting to know," says Mr. Burrell, " that this bank, founded by William W. Browne, had its origin in a lynching wiiich occurred in Charlotte County at a point called Drake's Branch. A branch of the organization of True Reformers had been founded at Mossingford and the fees of the members, amounting to nearly $100, had been deposited in the I safe of a white man, who had thus an opportunity. r to see that the Negroes of the county had some money L and that they were organizing for some purpose. We I decided that this was an unwise thing and so de- l termined to break up the organization. This fact ' was reported to Mr. Browne and by a personal visit to the place he succeeded in saving the organization and at the same time had his attejition called to the need of a colored bank, where colored people could ' 112 THE NEGRO IN BUSINESS carry on their own business and not have it exposed^ to unscnipulous whiles. The idea of a banlt was first advanced by a countryman named W, E. Grant and immediately adopted by Mr. Browne. Thus it came to pass that because of an unpleasant race feel- ing in Charlotte County, Virginia, the oldest incor- porated Negro bank came into existence." In the report to which I have referred Mr. Burrell calls attention to one important fact in regard to the colored banks of Virginia, namely, that three of them have started since the passage of the suffrage laws of the state requiring Negro voters to be property- holders, to be well educated and to be war veterans.. In the early history of the colored banks in Vir-^1 ginia considerable difficulty was experienced because* they were not directly connected with the clearing'-fl house, through which an exchange of checks amongS the banks is ordinarily effected. This made " col- ored " depositors unwilling to open accounts in these colored banks because their checks could not be han- dled without trouble and inconvenience. The whitej banks refused to accept them because they could no! " clear " them in the ordinary way. This form oi boycott was broken up. however, by white merchants who threatened to withdraw their deposits from the ■' white " banks unless they made some arrangement , by which the checks of " colored " banks could 1 cashed. This led finally to the voluntary offer ot^ the part of the leading national banks to act as clear-3 ing house agents. They did this not so much. pef-J haps, to help the colored man as to facihtate the busi^ THE NEGRO IN BUSINESS 113 sbess of the white depositors. At the present time all tof the " colored " banks dear through some member ^of the clearing house, for which privilege they pay a small annual tax. At the meeting of the National Negro Business League in New York in 1905, Rev. W. L. Taylor, President of the True Reformers, stated that at that time the bank held in the deposits $350,000 of money belonging to Negroes, The capital stock of $100,- 000 has all been paid up and there are over i:,ooo depositors. During the twenty-six years it has been in existence this institution has done more than $14,- 000,000 worth of business. Since it was started there have been established in different parts of the world,' according to Mr. Taylor, nineteen other Negro banks. That number has since been increased until in 1907 there are thirty-three such institutions. The cashier of the True Reformers' Bank is Mr. R. T. Hill. Shortly after the founding of the True Reformers' Bank in Richmond and largely as a result of the apparent success of the experiment a Negro bank was established in Birmingham. Alabama. The president of the new bank was Rev, W. R, Pettiford. The circumstances which turned his thought toward the founding of a bank for Negroes "'jiire interesting. " I was riding on the electric railway through a district in the suburbs of Birmingham," he says, " where a large number of colored people were em- ployed. There were a number of these colored ; on the car who had just been paid off. I had 114 THE NEGRO IN BUSINESS not gone far when I was shocked by seeing a woman among the crowd on the car, drinking whiskey. Though I was a minister and she knew me, I had no influence over her. It was at that time that the thought came to me that there should be some sort of business which should take care of the money of that class of people and that such an institution would enable me, as a minister, to instruct them in ways in which they might better dispose of their earnings. It was in the early part of the year i8go that the first notion of establishing a bank came into my head," Shortly after this Mr. W. W. Browne, President of the True Reformers' Bank, of Richmond, Va., vis- ited Birmingham. Mr. Browne was an old acquaint- ance of Mr. Petti ford's and they talked the project of forming a bank in Birmingham, similar to one in Richmond, over together. Mr. Browne suggested that the colored people of Birmingham form a branch bank, but after talking it over with some of his Birmingham friends it was decided that it would be better to start an independent institution. In order to arouse interest in the proposed scheme meetings were held in different parts of the city and the adjoining towns. It took about three months agitation to get enough sentiment back of the project to make sure of Its success. The organization was completed in August and tiie formal opening was set for October, 1S90. But even this preliminary action was not taken with- out considerable difficulty. In offering the stock for jgle among the colored people the promoters were THE NEGRO IN BUSINESS IIj [ met with tlie statement that, " Negroes can't run a [ bank; that it had heen tried by the Freedman's Bu- reau and had failed." Some of the leading white citizens, upon hearing the proposition, predicted that the new bank would not last three months, Others said six, and tliose who were most favorable to the ■project gave the institution a year as the limit of ■its existence, Aii this was,' of course, discouraging. ' But the promoters did not lose heart and preparations went forward. A building was rented for $30 per month for three years. A vault was constructed, furniture ordered purchased and the books ordered. When all this had been accomplished a new dif- , iiculty arose. While the president was absent from the city the vice-president and the cashier were in- formed by their attorney that to incorporate, under the laws of Alabama, it would be necessary to begin with a paid-in capital of $25,000 with $25,000 more subscribed. As the company only had at that time $2,000 in cash this seemed a rather serious obstacle. Tlie officers in charge were so disheartened by this news that they stopped the work of the carpenters, the masons and the book-binders and the whole en- terprise came to a standstill. Mr, Pettiford first learned of the condition of af- fairs when he returned to Birmingham. He refused I to be discouraged. He learned that it would be |, possible to do business as a private concern and ac- Icomplish practically the same results that he had ■hoped to attain as a regularly incorporated bank. The Bbook-binders, the carpenters and the masons were |ii6 THE NEGRO IN BUSINESS I again set to work but llie work had received such a ' set-back as a consequence of this delay, that it was ] feared it would not be possible to open the doors of ' the new bank upon the date appointed. It was de- cided, however, that it would be better to keep their promises to the public even if they were forced to receive deposits on an ordinary table, ratlier i than put off the day of opening. Thus it was | that the Alabama Penny Savings and Loan Com- pany opened its doors on the day set, October 1 15, 1S90, and received on deposit that day $555. This added to the $2,000 already paid in from j the sale of stock constituted tlie capital of the in- stitution. This amount of capital did not justify pay- ing salaries so the officers worked for the time being 1 without pay. Meanwhile the president and the cashier had been studying bookkeeping under a special teacher and i other ways acquainting themselves with the banking business and preparing themselves for their novel ex- periment. Like so many other of our business men who have succeeded in business they have had to gain their knowledge of the thing they sought to do j by the hard and expensive method of experience. The \ sum of the business knowledge of all the officers of the new bank did not amount to very much at this 1 time. The president, who was a minister, had had I iome business experience as financial agent of Selma I ["University. The cashier, who was a graduate of Tal-, [adega College, was formerly the first colored scbooll ■teacher of Birmingham and was at this time a suc-« THE NEGRO IN BUSINESS 11? I cessful grocer. The vice-president was a bartender, I bnt he had a reputation for honesty and had also I the confidence of the colored population generally. The necessities of the business, however, were soon [ to increase the business knowledge of the directors of I the new bank and that in directions of which very J little is to be learned in books. They found that ' in starting a Negro bank they had a task before them quite different from that which confronts the average white banker. They had to make known to the col- ored people of Birmingham what the uses and value of a bank were. They had to instruct them in meth- ods of saving and show them later how to make investments with the money they had saved. In order to accomplish this the officers of the bank began a campaign of education. It was here that the advan- tage of having a preacher attached to a Negro busi- ness organization became apparent. In order to in- struct the colored people in the value of saving their money and depositing it in the bank it was necessary to preach to them the importance of securing homes of their own, of providing for the education of their children. During the next five years the bank continued to prosper, notwithstanding the panic of 1893, in which eleven hundred banks throughout the country are said to have closed their doors. The First National Bank I of Birmingham (white) failed and filled the people t with fright. They crowded to the colored bank de- I manding their money, but such was the confidence I its officers that their word that the bank was all ii8 THE NEGRO IN BUSINESS right persuaded the people not to withdraw their money. During this panic the Pennj^ Savings Bank was enabled to relieve the First National Bank con- siderably by advising colored depositors of that bank to continue their confidence in it. This act won tlie colored enterprise the friendship of the white banks of the city. In 1895 the bank was incorporated under its pres- ent name with a capital of $25,000, of which $10,000 was paid up. In 1896 a three-story building was bought for $6,500 and the bank moved into it. This new building, with its elegant fixtures, had a great effect on the people, who were more convinced than ever of the stability of the enterprise. As an instance of the good feeling toward the bank of the white people of Birmingham, when the rumor got abroad a few years ago that the bank was hav- ing a run on it owing to the great number of deposi- tors who came in the day before Christmas to draw money to buy presents, a white gentleman came in and told Rev. Pettiford that in case money was needed he and his banker would render any assistance needed, as the colored bank was rendering too much service to the community to be allowed to go to the | wall. Two banks in the city also proffered assistance at this time, which fortunately was not needed. In October, 1904, the resources of the bank were $144,354.45. Its deposits were $118,943.14. It owned furniture and real estate valued at nearly $28,- 000. It had cash in hand in other banks amounting to about $9,000. THE NEGRO IN BUSINESS 119 ih addition to tlie banks of Richmond and of Bir- mingham, which are the pioneer Negro banks, there has grown recently, practicaUy since the formation of the National Negro Business League in 1900, a number of Negro banks. One of these, The One Cent Savings Bank of Nashville, Tennessee, was founded by J. C. Napier. Mr. Napier received his collegiate education at Oberlin. He did not graduate, however, but left in his junior year to accept a position in the Depart- ment of War, at Washington, D. C. Like many other young colored men in the departments, he took advantage of his residence in Washington to take the law course at Howard University. When he had passed the bar examination in the District of Columbia he was appointed under the civil service to a first- class clerkship under the Sixth Auditor, from which position he soon received a promotion. Following tliis he was for several years revenue agent for the district embracing Kentucky, Tennessee, Mississippi, Alabama and Louisiana. When he resigned this posi- tion, he was appointed gauger of the Fifth Internal Revenue District of Tennessee and served for several years in this capacity with honor to himself and his race. He finally ga\'e up government service in order to devote his entire time to his profession and to business. How he has succeeded is known to all. The Napier Court, owned by Mr. Napier, three- story brick building located on one of the best streets of Nashville, and containing offices, a bank and a spacious hall, excited the interest and surprise of the es to the National Negro Business League meet- 3 THE NEGRO IN BLSINESS ing in Xashville in 1903. He is ratcil as one of the ' largest lax pajers of his city and state. Thee which he takes i lh« : enterprise 1 One Cent Savings Bank, which he founded and guided through its early and experinrental stage. Although this institution is still (,1907) young, it has become recognized as one of the siibstaniial business institu- tions of XashviUe. It enjoys the perfect confidence of all the people, black as well as white, Mr. Napier has been four times a member of the city council of Xashville and is in good repute with his white neighbors. For four years he lias been a member of the executive committee of the National Negro Business League, and to him was due in large measure the success of the Nashville meeting of that organization. Like most of our successful men, Mr. Napier attributes much of his good fortune to his wife, who was Miss Nettie D. Langston, daughter of Hon. John M, Langston, the Virginia congressman. In speaking of tlie Negro town of Mound Bayou I promised that I should consider in greater detail the Bank of Mound Bayou. On January 13. 1904. Mr. Charles Banks, vice-president of the National Negro Business League, inspired by the stories of business success which he had heard at its Nashville meeting, called together a number of the business men of Mound Bayou and organized the Bank of Mound Bayou. The bank was capitalized at $10,000. The editors of the Chattanooga Tradesman, the first trade paper in the South, impressed with the success of the Bank of Mound Bayou, sought from Mr. Banks THE NEGRO IN BUSINESS 121 Tecwitly a statement concerning hs affairs. Under the head, " I'inanciering By Negroes," Mr. Banks wrote as follows: " The institution was organized to accomplish at ' least two or three special ends, besides doing the I commercial business of a bank for the Negro fanners I and merchants of this section, viz. ; To form a nucleus for the savings of those who have learned [ to save, and to teach, by the best lessons practicable, I the benefits and advantages accruing from a constant and systematic saving to those who have not maae [ a beginning. " Of course, it will be borne in mind that the I originators of the movement foresaw what could be done in the way of financing worthy and deserving enterprises among our people when the funds were gotten together and the influx thereto properly ar- ranged. Just how much success a Negro bank has made in a Negro town is evidenced by the following I comparative statement : Opening for business March 8, 1904, with a paid in capital of $3,400, the bank showed total resources, $25,000, on Dec. 5, of the same year, at which time a 10 per cent, dividend was I declared and 7 per cent, passed to surplus fund; all ; a period of less than nine months. During the I cotton season the total clearing of the bank through its correspondents, other banks, etc., reached over $190,000 in one month. In this connection it may be of some interest to state that our institution receives all the business courtesies that ovir business ability and daily balance warrant, from our correspondents. THE NEGRO IN BUSINESS I notwithstanding; our bank is owned and controlled ab- \ solutely by Negroes. " Seeing the necessity of creating, by the Negroes' ' own effort, a fund to take care of mortgages held by the ' long time ' loan companies, such as the Colonial and Middlesex, in this section, and realizing that tlie future identity of this as a Negro colony depends in a large measure upon the continued ownership of the lands by Negroes, the promoters of this same bank have recently launched a company to be known as ' the Mound Bayou Loan and Investment Co., with an i authorized capital of $50,000. It will, in some re- spects, be conducted like a building and loan associa- tion especially with reference to payments, with the purpose of taking care of maturing mortgages on , lands more than for building houses. Money paid into 1 this department is to remain a number of years, with annual interest or dividend payments, thus avoiding the hazard such a bank as ours would undergo even with time deposits, to take care of the business cited. In this, too, we have had the encouragement of white men of standing in this section." Another successful bank is the Central Trust and Investment Company of Jacksonville, Fla,, of which Mr. S. H. Hart is president and cashier. It was opened for business on October 6, 1902, with a capital [Stock of $10,000, only partly paid. When the doors 'ere opened the bank had $406 in cash and $800 in securities. The success of the institution is shown by ; •he fact that in May, 1904, its balance was $20,000, ,nd that in the first two years of its existence alone THE NEGRO IN BUSINESS 123 it did a business of more than half a milHon dol- lars. It has 500 depositors, of whom about 20 are white. It is one of the designated depositories for - the funds of the city, — a fact which speaks loudly for the integrity and standing of the institution. It has three New York correspondents and is a member of the American Bankers' Association. It is owned and officered entirely by colored men. The follow- ing quotation from the Jacksonville (Fla.) Evening Metropolis pays a high tribute to Mr. Hart's bank: " The last annual report of the American Bankers' Association, held in San Francisco, Cal., has on its long Hst of banking institutions the Central Trust and Investment Company, of Jacksonville, a financial institution at whose head stands S. H. Hart, and whose treasurer Is George H. Mays. " What is important about this is that the Central Trust and Investment Company is the only institu- tion south of Richmond, Va., that has a membership in that association, and they have exchange relations with several of the large banks in the city of New York, and also belong to the Bankers' Money Order Association, issuing money orders that are payable anywhere in or out of this country. " All of Florida knows that the Central Trust and Investment Company is owned, manned and managed wholly by colored men. ' From the start it has steadily gained the business confidence of the community, and among their long list of heavy depositors are many of the best and largest business men of both races in Jacksonville, 134 THE NEGRO IN BUSINESS Every feature of their business enjoys a steady and most encouraging growth, a fact that can only be at- tributed to the business methods that are pursued in tile management." The Independent Order of St. Luke, with head- quarters at Richmond, Va., has in connection with it St Luke's Penny Savings Bank, of which Mrs, Maggie L. Walker, is president. Although this bank is not very old, and although it has to compete with older and larger banking institutions, it has prospered surprisingly, its assets being reckoned in 1905 as $^5,000. Mrs. Walker is also editor of the St. Luke's Herald, the official organ of the Order. Another philanthropic organization with a bank connected with it is the Knights of Pythias, of which Mr. John Mitchell, Jr., is the head. Mr. Mitchell is the editor of the Richmond Planet, one of the best of our race newspapers, and is well known all over the country. The bank of which he is president is 4tnown as the Meclianics' Saving Bank. It began business in 1902 with a capital stock of $25,000 and deposits amounting to $4,000. Its assets are now over $50,000, Mr. Mitchell had the honor in September, 1904. of attending the National Bankers' Convention in New York city. He was the first colored delegate that ever attended one of these conventions, and he tnade an address which was well received by the newspapers of the country. Mr. Mitchell is a good type of the sane and sensible business men of our race who are doing much to win THE NEGRO IN BUSINESS I2S for us as a race the respect of our white neighbors. Other banks established by Negroes and which are meeting with satisfactory success are: The Lincoln Savings Bank, Vicksburg, Miss.; the Nickel Savings Bank, Richmond, Va. ; The Dime Bank, Kingston, N. C. : the Gallilean Fishermen's Bank. Hampton, Va. ; the Capital City Savings Bank, Little Rock, Ark,, and the Unity Savings Bank and Trust Com- pany, carried on under the direction of Mr. J, N. Donahoo, at Pine Bluff, Ark. The colored people of Muskogee, Indian Territory, recently established two banks, The Creek Citizens' Bank, with a capital of $50,000, of which A. G, W. Sango is president and the Gold Bond Bank, with a capital of $20,000 of which Dr. Sims is president. In addition to these may also be mentioned the following Negro banks: The Union Savings Bank, Vicksburg, Miss. ; the Wage Earners' Bank, Savannah, Ga. ; the American Trust and Savings Bank, Jackson, Miss. ; the Delta Savings Bank, Indianola, Miss. ; the People's Penny Savings Bank, Yazoo City, Miss.; the Bank of the Sons & Daughters of Peace, Newport News, Va. ; the Isaac H. Smith's Bank, Newbern, N. C, ; the Solvent Savings Bank & Trust Co., Memphis, Tenn. ; the Bluff City Savings Bank, Natchez, Miss.; the Gideon Savings Bank, Norfolk, Va. ; the Southern Bank, Jackson, Miss. ; the People's Savings Bank, Hattiesburg. Miss.; the One Cent Savings Bank, Co- lumbus, Miss., and the Metropolitan Bank, Savannah. Ga. CHAPTER XIII W. R. PETTIFORD, A MINISTER- BANKER It is a matter of some interest and importance that so large a number of our ministers have found their way, for one reason or another, into the ranks of our business men. That so many Negro ministers are able to go into business and succeed is due, I am inclined to believe, to the fact that they usually have a much wider training in practical affairs than ministers of the white race. If they are sometimes short on theology they are usually long on experi- ence of men and things. Many of them have worked at the trades in different parts of the country. It usually requires considerable executive ability to keep a Negro church together. Thus, in one way and an- other, they get a training for which there is no pro- vision made in the curriculum of the ordinary the- ological seminary and often turn out valuable business men. It does not appear that they lose anything as preachers on that account. It has generally happened that the motives that first induced them to go into business have been the desire to aid their people by helping them to help themselves. It was considera- tions of this kind that induced Rev. W, R. Pettiford, of Birmingham, to interest himself in the establishment J of the Alabama Penny Loan and Savings Bank. 126 VlCESBDHr., MlSB. (SI MlU. W. E MOM.IBU . (31 HiaBWll.I,v R. MoLliHOK, Mnsii _ tUsBL Z tlOLUWUl, S THE NEGRO IN BUSINESS 127 Mr. Pettiford was born in Granville county, N. C, I January 20, 1847, His parents were William and ' Matilda Pettiford, both free. His grandmother on his mother's side was a white woman and his grand- father on the same side was an Indian. His father was an African. Their being; free, of course, he never I was a slave. While a boy he had but little oppor- I tunity in getting an education. His father induced I a prominent white man to stand for a neighborhood I school on Saturdays and Sundays only, schools among J colored people being objectionable, for fear the slaves [ would take advantage of them. At the age of ten, [ his father sold his httle farm and moved to Person • county, N. C. He was the oldest of four children, and, therefore, had to work on the farm, while the younger children had the privilege of attending school. At night when they were in from school and be , from the farm, he would get them to show him some [ of the lessons they had gone over during the day. ' In this way he received some instruction in arithmetic and geography. He learned to write a little by taking letters he obtained from friends and examining them in order that he might learn how to make the alpha- bet. He found he could do very well after a little while, and continued this effort until he could write letters enough to make himself understood. ' To hear my younger brothers and sisters recit- f ing their lessons," said Mr. Pettiford, — " they ap- peared to know so much more than I did — made me feel very bad, so much so. that I said to myself, ' If ever I get an opportunity, I will know something." 128 THE NEGRO IN BUSINESS I sought an opportunity to get private instruction of a teacher of the district school who boarded with my mother, and through each term I received some lielp in that way." At the same time he was dependent upon the one- horse farm carried on by his father. After he had arrived at the age of seventeen, he saved up enough money to buy a pig from his brother and began to raise hogs. His father allowed him the use of a parcel of land, on which he sowed oats to fatten his hogs in the fall. Afterwards he converted these hogs into cash. This bit of independent business encour- aged him very much, as it led him to see that he could I make some money for himself, even though he was working for his father. Soon after this he made a contract with a farmer to clear a lot of land, and after he was through with his father's work he would go to this land, cut and burn brush, until he got it in good shape. In that way he was enabled to earn something additional. " Near the end of the war," said Mr, Pettiford, " I lived close by a tan-yard, where I worked at night, often making one dollar a night in Confederate money. When the war closed it left a nice little sum on my hands worthless. Just before the end of the war my services were secured by a wealthy fanner who had become a member of the cavalry company, ^ and I was to be his body-servant. The company was I made up at Yanceville, N, C, For one cause or an- other the company was detained at this point, and THE NEGRO IN BUSINESS 129 just as we were ordered to Richmond and before the order could be executed the war closed." Whn he came to be twenty years of age his father, as Mr. Pettiford expresses it, " gave him one year " and he became his own man. Then he engaged him- self to work in a tobacco factory in Roxbury, N. C, where he worked for a number of years for small wages. Afterwards, business grew so dull that he was compelled to leave the tobacco factory and did any kind of work that he could find. He got a spade and shovel and ditched a number of summers by which means he made a little money. It was very encouraging to him to be able to handle his own funds. He would engage himself to split rails, clean wells, or do any kind of work for which he could get pay. July 4, 1868, he was converted, and baptized August 3, of the same year, by Ezekiel Horton of Salisbury. N. C. This event filled him with new hope and stimulated his ambition to accomplish more in life. He was elected clerk of the Pleasant Grove Bap- tist Church, Roxbury, N. C, and it was at this time that he was converted. July 4, 1869, he was married to Miss Mary Jane Farley, daughter of Joseph, Bethel Hill, Person county, N. C. Scarcity of business forced him to leave North Carolina, looking for higher wages and better oppor- tunities. Having this in mind, he addressed a letter to the postmaster at Memphis, Tenn., requesting him to hand it to any one who wanted work done. He gave the letter to Gen. N. F, Forest, who was then building a railway from Selma to Greensboro, Ala- 130 THE NEGRO IN BUSINESS bama. lie wrote to him to come and bring with him as many men as he could get. Arriving at Marion, Alabama, the terms of railway work did not suit him, and having paid his own fare, as well as his wife's, he did not feel like returning so he went on a farm near Uniontown, Alabama, under a contract for twelve months. Up to this time he had picked up some of the rudi- ments of education, still studying and teaching others at night, as his brothers and sisters had taught him. At the end of the year he had lost his wife. He had, however, saved up enough money to enter school. He attended the Marion Normal School, continuing there for seven years. " During my vacation," said Mr. Pettiford, " 1 cut wood to sell, hauling it with an ox-cart until I was able to pass the examination to teach a primary school. Then I taught school through the spring and summer and went to school in winter. One year I failed to collect any money for teaching, because the state superintendent refused to pay in script as he had been doing, deciding to wait until the taxes were collected and pay in cash. This left the teachers of the state without money until July of the next year. However, I was determined to make the nine months' term at Marion. I sought work before and after school for the purpose of mak- ing enough money to pay my board, that I might be able to attend the sessions. I would rise early in the morning in order to prepare my lessons before the ringing of the college bell. Then I would go to the garden where I was engaged to work at ten cents an J THE NEGRO IN BUSINESS 131 ', putting in two-and-one-half hours before school and two-and-one-half hours after school, caring for . horse, waiting on table, serving in the kitchen in order to keep myself in school and buy my clothes for the term of nine months. This I did without los- ing one day. At the end of this terra I owed for only one month's board, nine dollars. This was paid soon after I received a notice that the $250 I had earned in teaching could be collected. Mr. Adam Moore, for whom I worked at this time, informed me that he could get plenty of laborers for five cents an hour, but since he saw that I meant to help ray- self he would give ijie the job and let me be my own ' boss,' giving' me ten cents an hour. I still feel grateful to him for this act of kindness." After he had continued in this school for about seven years, Mr, Pettiford was elected principal of the school in Uniontown, .\la., where he served for four years. On July 24, 1873. he married Miss Jen- nie Powell, who died September 5, 1874. He re- mained single for six years, continuing his school work, teaching and studying. In this place he was elected by the board of Selnia University as assistant teacher, with the privilege of studying theology, re- ceiving twenty dollars per month for his service. He refused a scholarship offered him at Talladega anil Nashville because of his anxiety to help in building up a school for the education of the young ministers in his own state. In his vacations he served as mis- sionary and agent, going on the field without any appointed salary, doing what he could in collecting 4 132 THE NEGRO IN BUSINESS money and getting stiKlents for Selnia University. However, at the opening of each school year the Ijoard would vote him a small amount of money for the work clone in die summer months. One summer lie purchased a horse and buggy, using these a whole summer, taking an assistant with him without cost to the board. In 1879 he was elected general financial agent for the school, working a year in this capacity, he resigned, against the wish of the board, to accept the pastorate of a church at Union Springs, Alabama. On November 23, 1880, he was married to Miss Ella Boyd, daughter of Richard and Caroline Boyd of Selma, Ala. Then he moved to Union Springs and took up the work of the pastorate. The church was repaired, the belfry built and the indebtedness paid off during the time he was there. At the same time he held the principalship of the public school. He worked there for over two years. Here, too, he continued the study of theology under a private in- structor. On the last Sabbath of February, 1883, he resigned this charge and accepted a call to the Six- teenth Street Baptist Church, Birmingham, Alabama. Many offers were made by the church at Union Springs to have him remain there. The church of- fered to raise his salary and a number of the leading white citizens offered to contribute annually to his salary if he would only remain. After weighing the matter well he decided that he could do better work for his people in Birmingham. He resigned a salary of $800 to accept one of $500. Many of the leading colored men of the state felt that his experience in THE NEGRO IN BUSINESS 133 money matters prepared him for the Birmingham pas- torate, where a church had to be built. Wlien lie look charge in Birmingham there was a membership of about 1 50, holding services in a store- room down town and the organization was in debt to the extent of about $500, His first effort was directed toward cancelling this debt and erecting a building suitable to present needs and future growth. In this he was successful, the building costing $14,- 000, At the National Convention at St. Louis, which nominated President McKinley for the first time Mr. Pettiford was a delegate-at-large from the State of Alabama. He was also honored by the convention by being chosen as a member of the notification com- mittee to notify Vice-President Hobart of his nomi- nation. He was elected president of the Alabama Penny Savings and Loan Company the first time in August. 1899, and has been re-elected every year for fifteen years. I am convinced that Mr. Pettiford has performed no greater service for the Negro race and for humanity as a minister of the gospel than he has as president of this bank. One of the things of first importance, which this bank has "been able to do for the Negro people of Birmingham has been to encourage the building of homes. This work has been so that, of the 10.000 depositors of the bank at the present time, more than 1,000 of them have purchased and own their own mes. Nearly all the depositors of the bank are J 34 THE NEGRO IN BUSINESS colored. The few white men who have made use ' of it are those who have close and constant dealings with tlie colored population. " It is my opinion," says Mr. Pettiford, " that ninety per cent, of our depositors never carried an account with any bank before the establishment of our in- stitution. Our work is that of reaching out and touch- ing a class of people that has not heretofore been reached by any other banks. We are changing tlie wasteful expenditure of their money in such a way as to make its use profitable to themselves and a good to the community. It has been the constant aim and policy of our bank, through its officers, to teach and encourage our people not only to save their earn- ings but to make wise investments as well. By this means it has been possible to stimulate a wholesome desire among our people to become property-owners and substantial citizens." The Alabama Penny Savings and Loan company has become, during the fifteen years of its existence, an agency through which a large class of worthy citizens have been able to secure loans to assist them in legitimate enterprises. "As a rule," says Mr. Pettiford, "the officers of banks conducted by persons of the other race are not well acquainted with the colored man who ap- plies for a loan, and, therefore, are unable, in most cases, to accommodate him. The colored banker, however, knows his own people well and is thus en- abled to extend to them credit with safe discrimina- tion. In this way the money of our people is kept THE NEGRO IN BUSINESS 135 constantly in circulation in our immediate community, instead of finding investment in stocks and bonds and similar securities elsewhere." This is an important consideration when one re- flects that it is just because the money of the country banks has been so largely invested in these sort of securities that has given Wall street and New York the tremendous power of which it exercises at the present time in the business world; " By very safe and careful methods of extending credit,'' continues Mr. Pettiford, " our bank has as- sisted many persons in the establishment of small business concerns and such persons, after getting on their feet, have proved valuable customers. The management of our bank has all along recognized the principle that, in order to grow truly strong, our constituency must be strengthened. For this rea- son, as well as to do good generally, it has been its constant aim to lose no opportunity to assist in the general uplift of our Negro constituency. In this ef- fort not only is the Negro benefitted but the general welfare of the community is subserved." There are at present nine banks in Birmingham operated by white persons. All of these banks, I am informed, have been uniformly friendly to this Negro enterprise and at the present time they are more so than ever before. The reason is that they have learned by experience that the business 'of this Negro bank has worked no detriment to their business. On the contrary it has aided it. It has aided it for the reason that, notwithstanding the number of depositors 136 THE NEGRO IN BUSINESS in the Kegro bank, there has been a noticeable in- crease in tile number of colored depositors in the banks conducted by white men. One reason for this is, as Mr. Pettiford explains, the aggressive advertis- ing of the Alabama Penny Savings has helped all the others. " The establishment of varied businesses among the members of the colored community of Birmingham has had a good effect on all classes of our citizens," said Mr. Pettiford at a recent meeting of the Na- tional Xegro Business League. " Xew opportunities are opened to those who are finishing at the schools and who have qualified themselves for a higher grade of service. This fact is encouraging to the Negro because it teaches him that better oppfirtunities await those who are prepared to perform ef^cient service. They can see a line of progress which appeals to them in the interest of education and morals. The es- tablishment of banks and other businesses among us gives promise of a variety of occupations for our people, thus stimulating them to proper preparation." I have repeated here at some detail the story of the founding and the working of this bank because it illustrates better, perhaps than any incident I have been able to lay my hands on how closely the moral and spiritual interests of our people are interwoven with their material and economical welfare. The sav- ings bank teaches to save, to plan, to look ahead, to build for the future. Every man it makes economic- ally independent at once becomes a customer. The savings bank which has money seeking investment on | THE NEGRO IN BUSINESS 1 37 the other hand is constantly seeking men of enter- prise and initiative, desiring to go into business, to whom it can safely intrust its capital for investment. There is no wealth in the seas and in the mines equal to that which is created by the growth and estab- lishment in a people of habits of honesty, thrift and intelligent forethought. The importance of Mr. Pet- ti ford's work in connection with this bank is that he, and those associated with him, have been far-seeing enough to attempt to develop this wealth that is latent in the Negro people. CHAPTER XIV THE NEGRO INVENTOR AND MANUFACTURER The number of Negro inventors has not been small. The records show that even in the slavery days Negro invention had contributed something valuable to the sum of mechaiiical devices that have made modern civilization possible. At the Paris exposition in 1900 one part of the " Negro Exhibit " consisted of a carefully prepared list of patents which had been ob- tained by Negroes. The number of these patents of which record was obtained amounted to something like 300. Very frequently it has happened that the man who discovered a patent has made it the basis of a busi- ness enterprise. An instance of this kind is furnished by Mr. H. C. Haynes, the inventor of the Haynes Razor Strop, and dealer in razors, of Chicago, III. Mr. Haynes was born of former slave parents in Selma, Ala., and the poverty of his parents was such that after attending school for three terms, he was compelled to leave, in order to support his mother and small sisters. At the age of ten years, he began blacking boots and selling papers about the hotels of Selma. For four years he did this, and at the age 1 of fourteen became an apprentice to one of the oldest I and best Negro barbers in Alabama. As he was at- 138 THE NEGRO IN BUSINESS 139 tentive and faithful, he was in fifteen months con- sidered a first-class barber. It was during this time that he conceived the idea of a ready-to-use razor strop. At that time barbers were accustomed to se- cure for their strops old traces and parts of harness, which were with much trouble transformed into strops, Ygung Hayiies used his spare time in experimenting in the direction of making a strop which would be ready to use immediately after its purchase. He was, however, compelled to lay aside work, or a thought of his invention, on account of the poverty of his family, and to devote all his time to work which would bring in immediate money. l*or several years he fol- lowed bis trade in various parts of the country, as far north as Chicago and as far west as San Francisco. It was in San Francisco at last that he found time again to give some attention to his strop. He built a laboratory in one corner of the shop in which he worked, and labored there for nine months, at the end of wliicb time be had completed a few strops, which he was at once able to dispose of to a number of barbers. He returned to Selma witli his savings, and opened a barber shop of his own, lie now felt that he was able to marry, and succeeded in winning the hand of one of the school teachers of Selma. He found, however, that the South was not at this time the place to introduce innovations, and determined that he would have to go North, where improvements ■ were eagerly sought, to seek his fortune. After a I number of adventures, during which Mr. Haynes 140 THE NEGRO IN BUSINESS nearly lost his eyes, he and his wife landed in Chicago in 1896, but without a dollar. By this time, he found tliat the barber trade in the North had largely slipped from the Negro's hands. One cause of this was that the numerous barber schools which had sprung up would not accept Negro pupils, and turned out thousands of excellent white barbers, who were displacing Negroes in the finest shops in the country. Mr. Haynes looked over the situation carefully, and instead of abandoning himself to mere complaining, succeeded in finding a way in which he could turn the situation to profit. He saw that the Negro barber's best chance was to produce something which the white barber would buy, and, of course, in this connection, he thought of the barber strop on which he had e.xperimented so long. As he did not have the money necessary to launch a manufacturing business, he at once set about getting the money. He had two old razors made of the best steel, and these he traded to a barber with a profit to himself. He then began the business of trad- ing razors for barbers, with a commission for him- self, and as he was an excellent judge of steel, he became known as the "king of razor-sellers." With his earnings he bought small rjuantities of leather, which at odd hours he manufactured into strops of the pattern he had invented. These proved popular and profitable beyond his hopes, and at the end of the 1 year, he had a respectable bank account and a large ji custom. During this hard year his faithful wife had gone 1 THE NEGRO IN BUSINESS 141 into domestic service. At the end of the year she was able to resigti her position, and join her husband in his business. They rented a place on Dearborn street, of which the ground floor was used for the factory and the second floor for residence. Mr. Haynes began an extensive advertising campaign in all the barbers' magazines and in all publications which reach barbers, with the result that a good n*ail order business was soon built up. In the winter of 1899 they made over one thousand razor strops, and in 1900 Mr. Haynes decided to make a tour of the Eastern States in the interest of his trade. He es- timates that during this tour, which extended as far east as Halifax, N, S., he personally introduced his strops to about two hundred thousand barbers. While he was in New York he succeeded in attracting the attention of some of the leading wholesale dealers in barber suppHes, and received orders from them to the extent of several hundred dollars. In addition to his strops, he took orders for razors and shears made according to his own designs and bearing his name. When he returned to Chicago, he promptly filled all the orders he had taken, and then set out for San Francisco to complete his tour. Dur- ing this year, his wife mailed about two hundred thou- sand circulars to barbers all over the country, with the result that the mail order business grew to such pro7 portions that stenographers had to be secured to handle the correspondence. Mr. Haynes also made a trip to London, where he established an agency. His strops and razors give such satisfaction that his trade 142 THE NEGBO IN' BUSINESS grows bener every year. It is asserted that t ' other I are more of his strops sold than ot any < brands on the inaHceL Mr. Haj-nes says tha strops are used exclusively in the barber sbgps c Waldorf Astoria Hotel, the Hoffman House, an Imperial Hotel of New York City ; the Great Noi Hotel, and Palmer House, and the Auditorimn i Chicago, and the Plankington Hotel of Milwaul Mr. Haj-nes' strops have the distinction. I ; formed, of being used by Herr Francis Haby, Berlin, private barber to the Emperor of Germany. In August, 1904, the Haynes Razor Strop C01 was organized in Chicago. Mr. Haynes plans t troduce modem machinery into his factor}-, v he says, will enable him to turn out more strops j day than are turned out by any other plant of I kind in the world. Mr. Haynes has a patent pending on a new inven- tion, called " The Twentieth Century Razor Strop- per," which is a device enabling an inexperienced person to strop a razor without cutting the strop. He has advanced orders for this device amounting to several thousands of dollars, which will be filled as soon as the patent is granted. He imports his razors from Gottlieb and Hammesfaher, of Solinger, Ger- many, who make them according to Mr. Haynes' de- sign and stamp his name on them all. This year he imported over six thousand razors, and ordered for the 1905 trade, about eight thousand razors and three thonsand pairs of scissors. Mr. Haynes' exhibit was one of the most interesting and popular features at THE NEGRO IN BUSINESS H3 the Indianapolis session of the National Negro Busi- ness League in 1904. Like other of our business men, Mr. Haynes de- clares that he is indebted for his success to the as- sistance and advice of his wife. It seems characteristic of our business men, and this is what makes their stories worth repeating, that they have in almost every case, come up from the bot- tom round of the ladder, Mr, A, C. Howard, the manufacturer of shoe polish in Chicago, is no excep- tion to the rule. He was born a slave in 1863 in Mississippi, and was taken by his mother to New Orleans at the end of the war in search for his grand- mother who had been sold away from thetn. The grandmother was found, and she at once put the boy into day school, which he attended for about five years. The rest of his education he secured by reading at odd times. When he was ten years old, he had to go to work to support his mother, and became a cab driver. He worked at this occupation until he had saved enough to take his mother North, and they both went to New Bedford, Mass. The grandmother had already preceded them. The whole family soon settled in Boston. Mr. Howard secured a position as steward on a yacht, where he was soon detailed, on account of his politeness and efficiency, to wait on the captain. For a while, he worked as a porter on the raih-oad, but soon returned to the sea, where he was employed by the Portland Steamship Company. Mr. Howard always made it a point to do more than was ex- THE KEGKO LV BUSINESS I of him, and it was oot loog before be wax. promoted to a higher positioa. In two years, he came assistant steward o£ a Portland Line sli But Sir. Howard again returned to the employ of the' Pulfman Company, in which he made so good a record that during his second year he was detailed to con- diKt 3 special Pullman train through Mexico on a tour of thirty-five days. TTiis was a distinction which indicated the company's confidence in him. This con- fidence was not a gift, but was founded upon his record. He attributed his success with the Pullman Company to the fact that he made it a point not to complain about conditions which did not plea=e him. but to plan tlie best remedy for them. In addition, he was polite, faithful, and hard-working. Notwithstanding the success which Mr. Howard won on the road, he was not satisfied. He saw that if he remained \\ith the company for the rest of his life, and did the best work that was in hira. he could hope to rise no higher than porter. He saw tliat the best way open to him to rise in the world was to go into business, and his shoe polish business is the result. Nine years before this, Mr. Howard, while working for the Pullman Company, had seen that there was much room for improvement in the blacking com- monly used by the Pullman porters, and had begun to experiment in the direction of making a more sat- isfactory shoe polish. In this hne he believed he had made a success, and the only thing necessary was to put his product on the market. In preparation THE NEGRO IN BUSINESS 145 for his entrance into business, Mr. Howard persuaded his wife to go to night school and become an ef- ficient bookl we should ijot overlook or seek in any way to minimize the dangers and difficulties which the conduct of those large business organiza- tions present. I am inclined to believe that the se- verest test to which the ability of our people for or- 159 i6o THE NEGRO IN BUSINESS ganized self-contro! and for self-government has ever been subjected is offered in the experiment of the financial management and control of some of the large business organizations which have recently been formed among the members of our race, Xot all of these ventures have been successful. Some failures were to be expected. The crucial test of our ability to win success in tliese highly organized and concen- trated forms of business enterprise is however, our power as a people, to recover from, and profit by the failures ■ we make. We too must learn, as others have learned, by expe- rience. But if we, as a people, succeed here, I do not believe that prejudice or color will long shut us out from a share in any of the duties and responsi- bilities of the community in which we live, or that any opportunity or position that a self-respecting peo- ple would desire to possess will long be closed to us. During the past ten years Negroes have tried the experiment of corporate management of their busi-JT ness in many different lines. Tl^ey have owned ana worked coal mines. They ha-\'e built and operatet cotton mills. Recently, there was organized in Indian Territory a company for owning and operating oil wells, ltd Jacksonville a company of colored men built and con-B ducted a street railway. In Nashville a company haiH been organized to run a line of automobiles in oppo- sition to the street railway company of the city. Since 1906 no less than fifteen banks have been or- THE NEGRO IN BUSINESS ganizeci ill different parts of the country. A large number of grocery and dry goods stores have been or- ganized and conducted as joint stock companies. Many of these companys, as for instance the South- ern Grocery Company of Pine Bluff, Ark., mentioned elsewhere in this book, have made use of some orig- inal devices for extending and maintaining their trade. A large number of experiments have been tried in some form of co-operation by which purchasers should share in the profits of the business to which they give their trade. Perhaps the most numerous and popular form of co-operative business in which our people have en- gaged is that of building and loan associations. Nearly every colored community of any size has a building and loan association, and these organizations have been of the very highest value in teaching the people habits of saving and enabling small wage- earners to purchase homes. It is said that one-half of the homes owned by colored people in Virginia were built by the aid of building and loan associa- tions. One of the first and more interesting forms of cor- porate business enterprises in which colored men have engaged is that connected with the mutual benefit ajid l>enevoIent associations. These organizations, with their insurance and mutual benefit features, were al- most the first to put large sums of money in the con- trol of Negroes. In 1904 it was estimated that these insurance companies did a business of $1,000,000 a year. Having collected these large sums by a small I63 THE NEGRO IN BUSINESS per capita tax, spread ovtv a large and widely scat-^ tered membership, it was necessary to find luvestinent I for them. Sometimes these companies have erected J handsome buildings, sucli as the $65,000 Masonic ] Temple at Pine Bluff, Arkansas. Sometimes they 1 liave purchased land for investment, as in the case of J the Grand Lodge of Masons of Mississippi, whiclil purchased 1,000 acres of timbered land in Mississippi! with the purpose of selling the timber, introducing ' A system of intensive agriculture upon the soil, and applying the rents to reducing the assessments levied upon its members. The Knights of Honor of Mis- 1 sissippi started a bank at Greenville, Miss. The Su-a preme Lodge of the Knights of Pythias launched al scheme for building lodge buildings throughout the country. Some of these organizations have started commercial enterprises. Others have loaned their funds to members to aid them in lifting mortgages J from their farms in order to replace them by others J at a lower rate of interest. At other times they I have loaned money to their members to enable therafl to build houses. The True Reformers of Richmond, one of the first " large secret orders formed by Negroes, seems to have engaged in all the forms of business enterprises men- tioned. The Grand Fountain of the order establishedj a Savings Bank in 1889. It was one of the first Negrra savings banks founded in this country. The samq Grand Fountain conducts a hotel in Richmond ; pub- * Ushes a paper, and owns an extensive printing plant , It also owns real estate in Baltimore and in Wasliing- J THE NEGRO IN BUSINESS 163 pton, D. C. The office building of the order in Rich- t inond was erected at a cost of $45,000. .\ Mercan- tile Department is also conducted by the order. Through this mercantile department a number of stores in different parts of the country are managed. There is also an Old Folks' Home, which is part of the insurance department of the business. Although it has Iwen found an advantage to con- duct all these different enterprises in close affiliation with each other, each department, as for instance the banking and the insurance department, have inde- pendent business organization with independent finan- cial responsibility. All these different enterprises have grown up quite naturally out of the necessities, and in response to the opportunities w-hich the condi- tions presented. The bank was established to furnish a depository for the funds collected by the insurance de- ,. partment. In the same way the Nickel Savings Bank is the depository of the funds of the People's Insurance " Company, of which Rev. Evans Payne was the foun- der. The Mechanics Savings Bank, Richmond, Va,, founded by John Mitchell. Jr., though distinct from that organization, is known as the Pythians' Savings Bank. The St. Luke's Savings Bank, also of Rich- mond, uf which Mrs, Maggie L. Walker was founder, is the depository of die funds of the various organiza- tions connected with St. Luke's. The Galilean Fish- erman's Bank at Hampton. Va., is the depository of the funds of the Fishentien's organization. The management of these banks is distinct from the I management of the organizations whose funds they l64 THE NEGRO IN BUSINESS control. The fact that they have become the depos-' itories of their funds however, has led members of I these different orders to make these same banks the I depositories of their savings. So, also, the commercial companies which tliese se- cret orders have established, and the investments in land and buildings they have made, all followed quite naturally upon the accumulation of capital in the hands of these associations. W. P. Burrell, general secretary of the True Re- formers, in an article in the Colored American Maga- zine, for May. 1904, says that the property of the various departments of that order was valued at that time at something like $400,000. Another important business organization to encour- age savings and secure investment for capital of col- ored people, is the Afro-American Investment and Building Company, of Brooklyn, N. Y. This company was brought into existence by eighteen persons who had conceived the idea of organizing a Negro Protec- tive Leag;iie which should have for its object the eleva- tion of the status of the members of the race throughout the country. An organization for this purpose was perfected in June, 1892, Fred R, Moore was chosen president, John A. Strachan secretary, and F. H. Gil- bert treasurer. Other members were W. M. Lash, C. W. Boyd, Frank H. Smith, John P. Arlington, and Prof. Charles A. Dorsey. When they came to dis- cuss measures and means however, it was decided that* the original plan of the league was too large and per^l !, a little too vague. It was decided that it would THE NEGRO IN BUSINESS 165 be better to undertake to do something in a smaller way that would be positively helpful. The plan finally decided upon was that of the A fro- American Invest- ment and Building Company. The eighteen members present at the meeting of August 18, 1892, pledged themselves to subscribe to as many shares in the com- pany as they were financially able to do. The total sum subscribed in this way and paid into the treasury amounted to $62. By the close of the year this sum had been increased to $496. Having accumulated this much capital, the company was finally incorporated. The office was located at No. 15 Douglass street, Brooklyn. Starting in this humble way the company has pro- ceeded slowly and safely along the lines prescribed by conservative business policy. Organized under the laws of the State of New York, it has been subject to the regular supervision of the banking department of the state. It has been compelled to furnish every year a minute account of all its transactions. In order to meet these requirements, it has not been able to pay the large dividends that small investors so often expect from their investments, and has not had the popularity, perhaps, that it deserved among the mem- bers of the colored community of New York and Brooklyn. The company has, however, managed to show each year, a slight increase in business. It has never failed to credit at least five per cent, per annum to the shares of its members. It has purchased for its mem- bers nine houses at prices ranging from $700 lo $3,- l66 THE NEGRO IN BUSINESS 900, the company furnishing the money and permit-J ting members to make monthly payments and charg-- ing never more tlian six per cent, per annum for the ( use of the monies invested. It has been the means of encouraging the formation of a number of other small business enterprises among colored people, and" has demonstrated that colored men can conduct busi- ness enterprises of this kind with the same conser- vatism and regard for sound business policy as white men. In 1897 an attempt was made by a number of white men to buy the charter of the company, and when it was found that the directors were not dis- posed to sell they offered to subscribe an equal num- ber of shares on condition that representation was given them upon the board. This proposition was given careful consideration, but it was finally decided that it was unwise to permit the control of the or- ganization to slip from the hands of the colored men who first organized it. During the thirteen and one- half years that it has been in existence, the company has handled something like $90,000, The officers and directors of the company are drawn from some of the most successful business men in New York. Its mem- bership is largely within the ranks of the working people who are seeking in this way to secure money to purchase homes. Another company of a different type is the Metro--i poiitan Mercantile and Realty of 150 Nassau street, j New York, which was organized in June, 1900. andlj is now doing an extensive business in many of I THE NEGRO IN BUSINESS 167 Southern states. This company seems to have profited by the experience of the True Reformers, and to have started to do from the outset what the True Reform- ers have learned to do in the course of something like twenty years. The following statement of the origin and nature of the business of the company has been furnished me by Mr. John H. Atkins, treasurer of the organiza- tion: " The Metropolitan Mercantile and Realty Com- pany," says he, " was incorporated July 3, 1900, by L. C. Collins and John H. Atkins, graduates of the Hampton Normal and Industrial School, and the Law Department of the New York University, and by P. Sheridan Ball, a graduate of a New Jersey business college. These gentlemen were made secretary, treas- urer and president, respectively of the company, which places they have ever since held. " The company began business with an autliorized capital of $100,000, of which $40,000 was subscribed, and a large portion paid in. The stock was divided into 20,000 shares, at five dollars each, and sold for that until the first authorized issue of $roo,ooo had been taken. " The company rented a small room in the Ameri- can Tract Society Building, and there opened its of- fice. This one room served as the president's, secre- tary's, and treasurer's offices and reception room, but it was not very long before it was necessary to take another room, and to-day our offices occupy a suite of i i68 THE NEGRO IN BUSINESS four large rooms in the same building adjoining the one we first rented. •' During the first month, thirty stockholders were secured and the company began to take shape. No one had any substantial faith in the possibilities of the company at that lime, and many of those who were prevailed upon to buy stock said that they had thrown their money away with white people, and had been letting them rob them for years, and that they might as well throw a little money away witli Ne- groes. " To sell this first $100,000 worth of stock was a very large task, and required almost three years to accomplish. But it was noticeable that just before our first issue had been exhausted, there were greater demands for the stock than ever before; and hence. the dirctors thought it wise to increase the capital stock, and asked the stockholders to authorize an additional issue of $400,000, which was done in August, 1903. This made the company's authorized capital stock a half-million dollars. " During the first three years the operations of the company were very successful ; this warranted the rais- ing of the par value of the stock from five dollars per share to ten dollars per share. Of the new issue of stock, more than $200,000 worth has been sold, which is at the rate of $100,000 a year, as against about $33.- 000 a year, for the first three years. The stock is sold for cash or on instalments, and has paid a yearly dividend of 7 per cent, for four consecutive years. ^ THE NEGRO IN BUSINESS 169 land purchasers are given one year in which to pay I "P- ' The company has also placed upon the market a $50,000 bond issue of six per cent, gold coupon ten year bonds, and a large number of them have already been sold. " The funds of the company are invested mainly in real estate, in the form of homes for stockholders, I the company advancing eighty per cent, of the price I of each home, and allowing the stockholders to pay back the amount as refit, and charging them six per cent, for the money invested in the house. Of these I homes the company has built and bought more than sixty, ranging in price from $500 to $5,000 each. " The company has built several churches and one large hall for the Masons and Knights of Pythias, of Georgia. And every one of these buildings has been I built under the direction of, and by Negro mechanics: our master-builder in the North, being a Hampton man, and our master-builder in the South being a Tuskegee man. " The company is doing business in nearly all the middle and southern states, and has stockholders in nearly all of the states of the Union, as well as the West Indies and Philippine Islands. It is giving em- ployment to more than 300 men and women of our race, who are serving as cashiers, merchants, salesmen, agents, commission men, bookkeepers, stenographers, typewriters, messengers and bankers, ' In July, 1904. the company established a bank in ' Savannah. Georgia, which has been very liberally pat- lyo THE NEGRO IN BUSINESS ronized by our people in tiiat section of the country ; I and it is our purpose to establish banks in other cities. The store in Plainfield, New Jersey, carries a large stock of first-class fancy and staple groceries, and i doing a very large business ; has every equipment that 1 goes witli a store of its kind. The company operates I a sick and death benefit association, paying from two J , to ten dollars and a half, per week, sick benefits, andl from fifty to two hundred dollars, death benefits; audi has on its books nearly $100,000 ' financial ' members. ■ " The Metropolitan system is managed by a Board J of Directors, nine in number, who have served 1 tinuously ever since incorporation. The company is^ planning to develop its mercantile department in the! near future, establishing a wholesale and retail house! in the City of New York, with a hundred branch storesi in different cities of the country." The rapidity with which this company has grown up; the extensive business that it is now doing, and the plans that it has for the future have this lesson; , they give us an indication of the power latent, in 10,-' 000,000 of people when they learn to combine theirl efforts. Among the various other corporations that havel been formed in recent years for the purpose of en- couraging saving among our people, and for turning these savings to account is the \Vage Earner's Loan and Investment Company, established in Savannah, igoo. The fifth annual statement of this companyJ shows that the property owned by them amounted iifi 1905 to $20,897.28. This company was organizetfi THE NEGRO IN BUSINESS 171 with a paid in capital of $103. At the time of this report it has a paid up capital of $6,732.63. Its de- posits amounted to $12,30^.43, and its loans to $15,- 757-94- The company is organized to encourage small wage earners to save a portion of their earnings and be- come depositors. Money is loaned upon real estate, The annual statement shows pictures of a number of houses that have been built by the bank, allowing I their owners to pay for them upon the instalment plan. Somewhat different from either of the foregoing , companies is that organized by the waiters of the Ryan Hotel in St. Paul, Minn. This company was organ- ized on October 13, 1896, with five members and a capital of $13. Until December, 1903, it was operated as a mutual company, largely, as I gather, for making loans among its members. In 1903 it was incorpo- rated with a capital stock of $50,000 of which $10,000 was preferred and $40,000 common stock. The com- pany now does a general insurance business, buys, sells, and rents houses, makes all sorts of loans for long and short terms, and sells sick benefit and acd- dent insurance. Recently there has been organized in connection with this company, the Cosmopolitan Mutual Casualty Company, which provides a benefit in case of accident or sickness. Quite as interesting and novel in some of its features as the foregoing companies is the Great Southern Home Industrial Association of Birmingham, Ala. This is an insurance company which not only offers tyz THE NEGRO IN BUSINESS sick and accident benefits, but extends to its members the opportunity of an education in the Great South- ern Home Normal and Industrial College. Organized about 1900, with a capital of $50, by Rev. \\'. L, Lauderdale, a one-armed colored man, the Great Southern Home Industrial Association in the first six years of its existence wrote insurance to the amount of $150,000. It had a membership in 1906 of nearly 110,000, mostly in Alabama, Georgia, Florida, and Mississippi, It had forty-four branch oifices in these states, and as many superintendents. It gave employment to more than two hundred young men and women. Mr. Lauderdale, in his canvasses about Birmingham, observed the inadequacy of the public school system, and determined to found an industrial and normal school as his contribution to the advancement of his race. The school, a three-story building, was opened on February 22, 1904, to two hundred and fifty stu- dents. The orphans of deceased members, the chil- dren of living members of the association, and mem- bers themselves were admitted to the school free of charge. From others a small tuition fee is demanded. At the present time the Negro race is still in the experimental stage, as concerns business on the large scale planned by the organizations here mentioned. Some of the purposes for which these corporations are organized seem strange and even fantastic to sober business men. These organizations have grown up however, to meet a real need. Many of these schemes ■ that seem most fantastic are those that are best fitted < THE NEGRO IN BUSINESS 1 73 to the needs of the people for whom they are designed. If some of them should ultimately fail of success it will not be wholly the fault of their managers, who are for the most part sincere and earnest men. Our people must leam not merely the lessons of industry and thrift; they must also leam to employ corporate action for the achievement of their ends as individuals and a race, in the same way that the white man has learned to employ it. This means they must leam self-control and self-government. These organizations are to a large degree the schools and the only schools in which these lessons can be learned. A form of business enterprise in which, in recent years, members of the Negro race have beg;un to win a foot-hold, is the priming and pubHshing busi- ness. There have been papers published by Negroes in the interest of the Negro race ever since John B. Russwurm began publishing in New York City the " Freedom's Journal " and the " Right of All." But these papers have been established, for the most part, not as business enterprises to make money. They have been established to further the cause of the Ne- gro race as a whole, to enforce some particular doc- trine, or to promote the interests of some particular school of opinion. These papers have not had any- thing for sale. They have had no commodity to dis- pose of as the grocer or the baker or the shoemaker. They have been supported, like the church, for the good they did. It is, therefore, impossible to treat of these papers fairly, looking at them merely as busi- ness concerns, organized to make money. Their va!ue can only be measured by the service they have been to the cause to which they were devoted. The most notable of the papers of this type was " The North Star " and its successor, " Frederick Douglass' " paper, founded by Frederick Douglass in 174 THE NEGRO IN BUSINESS 175 1847 and continued to the opening uf the Civil War. This first and important paper established by a col- ored man was not a business success. In recent years, however, it is possible to note a change in the character of many of the pubHcations conducted by colored men. As Negroes through their churches and through their secret societies and in other ways have learned to unite their efforts and to work together in a large and organized way they have found the necessity for a type of paper which was not merely the cliampion of some school of opin- ion but furnished to members of these organizations or to the persons engaged in some common task, as, for instance, the work of the schools and of educa- tion, regular news reports describing the work ac- complished and detailing plans and methods. Such for instance are papers like the " Southern Work- man," published at Hampton and the " Tuskegec Student," published at Tuskegee. These are to a certain degree class papers and supply a definite sort of news. More recently there has been established at Vincennes, Indiana, and published by David V. Bohannon the " Negro Educational Review," a mag- azine devoted to the subject of general education with special reference to the Negro. In addition to the papers of the class to which I have referred there is a considerable number of re- ligious papers devoted to the interests of their sep- arate denominations. Among these are such papers as " The Southwestern Christian Advocate," of New Orleans, Louisiana ; " The American Baptist," of 176 THE NEGRO IN BUSINESS Louisville, Kentucky; " The National Baptist Union," of Nashville, Tenn. ; "The A fro- American Presbyte- rian," of Charlotte, North Carolina, and " The Chris- tian Recorder," of Philadelphia, Pennsylvania. Some of these papers have extensive printing establishments and have already become publishers of books and pamphlets in a small way. In addition to the religious organs there are papers established by the fraternal and beneficial organiza- tions. Among these are " The Odd Fellows Jour- nal," published in Philadelphia ; " The True Re- former," and " The St. Luke's Herald," published at Richmond, Virginia. The mutual benefit organiza- tions could not well perform tJie work they have set themselves to do without these organs to keep their members informed in regard to the doings of the local organizations in different parts of the country. Still another class of publications which seem to offer a field for successful business enterprise is rep- resented by the magazines published by Negroes. Ac- cording to a recent statement there are now six of such periodicals in existence. Two of these are quar- terlies published in the interest of the two principal religious denominations. Of these periodicals " The Colored American Magazine," and " Tli£ Voice of the Negro," the former published in New York and the latter in Chicago, are perhaps the best established and the best known. To these should be added the name of Alexander's Magazine, a more recent but quite as creditable publication. While these magazines are, to a certain extent, the spokesmen for certain types THE NEGRO IN DUSINESS 177 : opinion and draw their contributions from those writers who are in accord with those opinions their principal aim is to provide articles of information valuable to all schools of opinion. In doing this they are not merely laying the foundation for a business that should become more profitable as time passes but they are making their readers acquainted with what is being accomplished by other members of their race in a way that no mere partisan paper coukl possibly hope to do. The value of these articles consists in the interest and authenticity of the facts they repre- sent rather than in the support they give to any school of opinion. In my opinion, it matters not how important or entertaining the opinion of any one writer or school of writers may be nor does it matter much how wise or just that writer's opinion be. Opinions can never be as valuable to a race that is seeking to get on its feet as knowledge. We need to know for our own encouragement what members of the race are actually doing, each In his own community to solve his own problem or to better the condition of others. As long as the magazines and papers conducted by Ne- groes do nothing but give voice to the opinion of its editors or the leaders that this paper represents jusf so long will the readers of that paper be dependent upon that editor and the party which he represents for guidance and direction, at least, in regard to those subjects of which the paper treats, whether they be politics, education, religion, or business. While I am finding no fault with the editors of the 178 THE NEGRO IN BUSINESS papers that devote tliemsehes to teaching a doctrine I do believe tliat at the present time it is extremely important that the class of publicalions which give us information and news should be encouraged and, if possible, increased. It is very important to us as a people that we get to know each other, not merely as the partisans of one set of opinions or another but as individuals. Where parties and opinions serve, to a large extent, to divide and neutralize each other's efforts, a knowledge of the facts in regard to those interests which we have in common will enable us to work together as one people. So far as I am able to judge there is, at present, no paper which so far meets the needs of our people in this direction as the " New York Age," of which T. Thomas Fortune is editor. This paper is gradually assuming, under the direction of Mr, Fortune, the character of a national newspaper, giving from week to week all the available information in regard to happenings that particularly concern our people. Mr, Fortune has strong opinions and he expresses them vigorously. But the " New York Age " contains, in addition to the opinions of Mr. Fortune, which are always striking and interest- ing, an amount of information about every subject that especially concerns the Negro that makes it well nigh indispensable to those who desire to follow the fortunes of their race and keep informed in Tegard to its successes and failures, Mr. Fortune has had a long and varied career as a journalist. He was bom of slave parents in the wi] of Marianna, Jackson county, Florida, October THE NEGRO IN BUSINESS 179 3, 1856. His parents were Sarah Jane and Emanuel Fortune. He began his newspaper career when a mere lad by doing odd jobs about the office of the "Marianna Courier" and it was in this and other newspaper offices that he picked up a large part of his education, which he has steadily increased by study and travel since. He did his first work as a compos- itor in tiie office of " The Jacksonville Union," after- wards " The Jacksonville Courier," whither his par- ents had moved after leaving Marianna, It was while he was engaged as a compositor that he received in 1874 an appointment as a mail agent between Jacksonville and Chattahoochie. In 1875 he was appointed Special Inspector of Customs for the Eastern District of Delaware. But he soon gave up this position in order to enter the Normal Department of Howard University at Washington. He remained at school there for two years and then went back to his work of printer in the composing-room of " The People's Advocate." While there he was married to Miss Carrie C. Smiley. In 1879, Mr. Fortune went to New York City. He did some work in the composing-room of the " New York Weekly Witness " and shortly afterwards made his first start in journalism as editor of " The Rumor," His partners in that venture were George Parker and William Walter Sampson. The name of this paper was afterwards changed to that of " The Globe." This was followed later by " The Freeman," which he continued to edit with much success until offered a position on the editorial staff of the " New York Even- iSo THE NEGRO IN BUSINESS ing Sun." Mr. Fortune is one of the few colored meii of African ancestry who have ever held a position of impfjrtance upon the editorial staff of one of the great metropolitan dailies, Mr. I'ortnne later left " The Sun " to take editorial cliarge of " The Freeman," which, having come into the hands of the firm of Fortune and Petersen, as- sumed the title of " The New York Age," the paper with which he has ever since been connected. During the twenty-five years that he has been con- nected witli journalism Mr, Fortune has traveled widely and written much on all phases of the Negro question. On November 29, 1902, he went to the Iliilippines as the special commissioner of the United States Government. He traveled widely over the ter- ritory of our new colonial possessions and had there an opportunity to get a clearer insight than he ever had into the difncuUies presented by the Race Problem. His wide knowledge of conditions in the South has made him a valuable counsellor in all movements begtm in tlie interest of the upbuilding of the Negro people. His absolute fearlessness and directness has led him to express his convictions on all subjects with n frankness and vigor that left no uncertainty in re- gard to his position. It was he who proposed, in T887. the plan for the Afro-American League and it was he who two years later issued the call for the National organization of these leagues. Mr. Fortune was also prominent in the organization of the Afro- Council, which grew out of the Afro- American League, of which he has been at different times Presi- THE NEGRO IN BUSINESS l8l dent and Cliairnian of the executive committee, lie took a very important part in tlie organization of the National Negro Business League, in which lie has been from the first chaimian of the executive commit- tee. In every movement that seemed let him to be for the advancement of the race he has always had a larger share of the burdens than he has of the honors. Mr. Fortune has not merely written for the press. He is the author of a volume of essays and sketches entitled " White, and Black." In his leisure moments he has found time to write an occasional poem. These poems have been recently collected in a single volume, entitled " Dreams of Life," and published by the firm of Fortune and Petersen. In all of his work on " The .Age " he has had the active sympathy and help of his partner, Mr, Jerome B. Petersen. Another name that should be mentioned in this connection is that of Fred R. Moore, editor of " The Colored American Magazine." This publication, which Mr. Moore purchased in May. 1894, and moved from Boston to New York City, has devoted itself particularly to reporting the business progress of the Negroes of the country. This is its greatest service, and in my opinion greatest merit. Mr. Moore was born in Prince William County, Virginia, in 1857. but was brought in childhood to Washington. D. C. where he attended the public schools. Through influential friends, interested in him because of his unusual brightness, he was ap- pointed in 1875 ,-1 messenger in llie Treasury Depart- l82 THE NEGRO IN BUSINESS ment. After serving in this department for several years, lie came to New York with Secretary Manning of the Cleveland administration. When Mr, Manning founded the Western National Bank of New York City, Mr, Moore was given an honorable position in the institution. He has but recently resigned a re- sponsible and lucrative position with the great Na- tional Bank of Commerce of New York City. That Mr. Moore enjoyed the confidence of his employers is shown by the fact that he often carried for them to the Clearing House securities valued at millions of dollars. Being an ambitious man, Mr. Moore was not sat- isfied until he had founded an independent business of his own. In 1893 he called about him some of the best colored men in Brooklyn and organized the " Afro- American Building and Loan Company," which has for eleven years done an extensive busi- ness in real estate and mortgages, and which has enabled many stockholders to li ft mortgages, buy homes and free themselves from various financial bur- dens. The fact that Mr. Moore has been elected President of the company every year since its organ- ization testifies to his ability and integrity. He is re- quired each year to make a report to the Superintend- ent of the Bankers' Department of New York con- cerning the business transacted by the company, and on every occasion his reports have been approved. Mr. Moore has become widely known throughout the country through his connection with the National Negro Business League as its National Organizer. THE NEGRO IN BUSINESS 183 In 1902 he went to Richmond, Virginia, as a delegate to the third annual meeting of the Business League, and at the next session held at Nashville, Tennessee, was elected to the new office of National Organizer. Immediately upon his return to New York he began an extended correspondence with business men all over the country, and is largely responsible for the spread of the League's influence over so great a territory. I think I am safe in saying that without the unselfish and diligent efforts of Mr. Moore, the Business League would be to-day greatly contracted in its influence through the country. He -is especially interested in young men, and has helped many a one to get on his feet and to start a successful career. There is hardly a race institu- tion in the vicinity of Greater New York that has not felt his encouraging and wise influence. For instance, the flourishing St. Augustine's Protestant Episcopal Church of Brooklyn owes much to Mr. Moore's as- sistance and labors in the early years of its existence. His home is one of the most beautiful in Brooklyn, and his amiable wife and six children render it ideal. It is impossible that I should consider here or even mention by name all or even a representative por- tion of the publications issued by Negroes in different parts of the L^nited States. As I have said a number of these papers are published by individuals or com- panies who do an extensive printing business, Among those I should like to mention here is Mr. Charles Alexander, publisher of " Alexander's Magazine." Mr. Alexander, in addition to conducting his maga- 184 THE NEGRO IN BUSINESS zine, carries on a first-class printing business in Bos- ton. He has several times published the proceedings of the National Negro Business League, M. M, Lewey, pubHsher of " The Florida Sentinel," at Pen- sacola, Florida, does an extensive printing business in addition to conducting his paper which is among ihe best published by members of our race. A, N. Johnson, of Mobile, Alabama, is widely- known as the editor of " The Mobile Weekly Press," a brave and thoughtful Negro journal. Besides his activity as an editor, however, he conducts one of the most prosperous and well-equipped undertaking busi- nesses in the State of Alabama. Mr. Johnson has had more educational advantages than many of our business men, as he spent five years in the State Normal School at Montgomery, and two years in Talladega College. He was a railway postal clerk for three and one-half years, having passed the highest grade examination of any who had entered the ser\'ice before 1894.. He established " The Weekly Press" in 1894, and has In connection with it a job press which does not only most of the Negro printing in Mobile, but also a good share of the white printing. He also established on the principal business street in Mobile one of the best Negro drug stores in the country. Soon after this he went into the undertaking busi- ness. He bought three fine hearses and an ambulance. Mr. Johnson's establishment is said to be one of the most completely equipped in the whole South, His business exceeds $15,000 every year. ^ THE NEGRO IN BUSINESS iSj The only large publishing businesses conducted by Negroes are those of the great church organizations, the Baptists and the Methodists, the African Metho- dist Episcopal, the African Methodist Episcopal Zion, and the Colored Methodist Episcopal Churches. These denominations have a combined membership of perhaps what has been roughly estimated at two mil- lions and a half. This constitutes a definite clienteUe for religious books and publications. The African Methodist Episcopal Church has two centers of publi- cation, one at Nashville, Tennessee, and the other at Philadelphia, Pennsylvania. A few years ago it was estimated that these organizations were doing a busi- ness of over $50,000 annually. The A. M. E. Z. Church has its publishing and book concern at Char- lotte, North Carolina, and the C. M. E. church its publishing house at Jackson, Tennessee. It was esti- mated several years ago that these concerns did a business of twenty thousand dollars annually. The Baptists have their publication house at Nashville, Tennessee. The story of this concern is told in the chapter following. Among the publications issued by the A. M. E. Church at Philadelphia are " The A. M. E. Church Review," edited by H. T. Kealing, and " The Christian Recorder," edited by Dr. H. T. John- son. The organ of the A, M. E. Z. Church is " The Star of Zion," edited by Dr. George C. Clement, at Charlotte, North Carolina. CHAPTER XVIII THE STORY OF THE NATIONAL BAPTIST PUBLISHING BOARD One of the most interesting; and extraordinary in- stances of Negro business enterprise and success is that of the National Baptist Publishing Board, founded by the efforts of Rev. R. H. Boyd, of San Antonio, Texas. Mr. Boyd is a man who has had no particular educational advantages. He started life in a very humble way. For many years he was known, as was stated by one speaker at the last meeting of the National Negro Business League, as a " Cow Puncher." But he became impressed as far back as the St. Louis convcTition of i8g6 with the notion that the 2,000,000 and more members of the Negro Bap- tist Church in this country needed a form of religious literature adapted especially to their needs, and he set about making that possible by establishing a publish- ing house which should print such literature. The National Baptist Publishing Board was founded at Nashville. Tenn., on December 15, 1896. It was the outgrowth of a resolution passed by the National Baptist Convention of America, in its annual session at St, Louis, Mo., on September 16, 1896, recommend- ing the publication of literature to be prepared by Negro Baptist authors, for the colored Sunday schools 186 THE NEGRO IN BUSINESS 187 Sie National Baptist Convention. The publication of this literature was to begin January i, 1H97, Rev. R. H. Boyd, of San Antonio, Tex., was elected secre- tary, treasurer, and general manager. He was given the follo'wing coinmiltee of five as his advisors in the undertaking: Rev. G. W. D. Gaines, of Little Rock, Ark.; Rev. E. C. Morris, of Helena, Ark.; Rev. E. R. Carter, of Atlanta, Ga. ; Rev. G. W, Moore, of George- town, Ky., and Rev. J. G. Jeter, of Little Rock, Ark. At the first meeting of the committee it was found that not one dime had been appropriated for the ex- penses of this gigantic undertaking, hence the whole project seemed a joke, and those acquainted with the conditions considered it so. Two members of the committee severed their connection at once, and decided with the others that it was impossible. Dr. Boyd, the secretary, however, had great faith in the possi- bility of the undertaking, and loudly contended that the time was ripe when the great body of Negro Bap- tists of America should begin such a work. He con- tended that past experience had shown " that Negro preachers could preach the gospel best to Negro con- gregations, that Negro professors had made the best progress in the school room with Negro pupils, and," he concluded, " Negro writers could give a better Bi- ble exegesis for Negro Sunday schools." He was determined therefore to undertake the project regard- less of consequences. As the American Baptist Publication Society of Philadelphia had been the chief agency in furnishing Sunday school literature to the Negro Baptist Sun- n i8S THE S-EGRO IX BfSIXESS day scbocds of the United States, be at once opened currcsponclence with that institntHHi. asking permis- sion to use 3 number of reprints of that great publish- ing concern to get out the first issue of the intended series of Sunday school periodicals. The secretary offered to become personally responsible for the ex- pense. This proposal. Dr. Boyd says, was promptly refused. On November 7, 1896, he visited Nash^TlIe, Tenn., and laid his plans before the Sunday School Board of the Southern Baptist Convention, offering hitnself as before as personal security, for the reprinting of portions of their series with the imprint of the Na- tional Baptist Publishing Board upon tlie same. He was at once told by Dr. J. M. Frost, secretary of this institution, that the Sunday School Board owned no type or presses, but that their printing was done by the Brandon Printing Company under contract. Still permission was granted for the use of the reprint of fonr of their periodicals. A contract was made at once with the Brandon Printing Company, — Dr. Boyd and wife, owning as they did considerable prop- erty in Texas, becoming personal security to the Brandon Printing Company, to publish this, series, first, from the reprints of the Baptist Sunday School Board, and afterward from such manuscripts as the secretary would furnish from the pens of Negro Bap- tist authors. When this contract had been success- fully entered into. Secretary Boyd rented a small room at 408 Cedar street. This small room, S x 10 feet, one small second-hand table, two small, second-hand THE NEGRO IN BUSINESS 189 I split bottom chairs, and one oil lamp, a small bottle of ink, two plain pen holders, five cents worth uf pen points, and fifty cents wort!i of plain writing paper and envelopes, constitnted the initial fixtures and furniture of the National Baptist Publishing Board. On the 15th of December, 1896, public an- nouncement was made that the National Baptist Pub- lishing Board had opened its doors for business, and was ready to take orders for Sunday school supplies for the first quarter, 1S97. It can easily be imagined how ridiculous this seemed, with a backwoods, un- educated preacher as secretary, with such surround- ings and furniture for its headt|uarters, to call this undertaking The National Baptist Publishing Board of the National Baptist Convention of America, an institution that was to supply the Sunday school lit- erature for one million and a half Negro Baptists. At the same time it had to enter into sharp compe- tition with a publishing concern seventy-five years its senior and with thousands at its back. The first work to be done was the preparation of covers for each of the four Sunday school magazines I or periodicals. This required a considerable amount of thought and preparation. But so well was this task accomplished, and so attractive were the designs that even the opponents of the institution, who availed themselves of every opportunity for the most searching criticism, could not help admiring the neat, appro- priate, and attractive desigtis. Hence the series was ' known throughout the entire N^ro Baptist press as ' Negro Backs." igo THE NEGRO IN RUSINESS Secretary Boyd, altliougli a novice in the business, proved himself tlie right man in the right place. He has been careful to do two things; first, to acquaint himself with the ways and methods of distributing Siuiday school and church supplies, and second, to thoroughly arm himself with every associational and Sunday school minute, magazine, or publication that would give him at least the key to the addresses of Sunday school superintendents, church clerks, and pastors of Negro Baptist churches. Then he prepared price lists, order blanks, self- addressed envelopes, and a circular letter which he had his printer set up in imitation of typewriting, on letterheads that he had already prepared. While the letter was in preparation, he secured the services of three young women and set them to work directing envelopes to addresses taken from these associational and Sunday school minutes. He mailed in one day 5,000 of these letters, addressed to superintendents, clerks, and pastors in every state in the Union where he knew there was a Negro Baptist church. These envelopes contained this personal letter, an order blank, a price list, and a self-addressed envelope. Secretary Boyd also acquainted himself with the kind of song books. Bibles and other Sunday school necessities such as were in use in general in Baptist Sunday schools. He made arrangements with the printing department of the Publishing House of the Methodist Episcopal Church, South, to supply him with these in such quantities daily as he might have use for. THE NEGRO, IN BUSINESS 191 i'is not necessary to follow this institution through all the details of its growth, but it is sufficient to say that as the result of active, earnest, and determinci! work the record of the Secretary shows that from De- cember 15th, 1896, to January 17th, 1897, just thirty days, 750 Sunday schools had been sent supplies, and he had received from them in cash nearly $r,200. The first year's report, which covered in fact only eight months, was submitted to the National Baptist Convention at its annual meeting in Boston, Mass., in September, 1897, ^nd showed an annual circula- tion of 700,000 Sunday school magazines and cash re- ceipts of $5,089. It also showed that the secretary had been able to supply his office with a desk, safe, and other necessary fixtures, and had been compelled to employ for the last part of the year two clerks, and a bookkeeper; that all current expenses had been met. and about $1,000 had been expended in missionary and benevolent work. This report was such a surprise that it was adopted with but little opposition. Secre- tary Boyd was re-elected and was advised to incor- porate the institution under the laws of the State of Tennessee, and to report the results at the next annual meeting. The second annual report of the secretary showed that the institution had been incorporated, that the annual circulation had increased from 700,000 copies annually to 1,953,750, and the cash receipts for the fiscal year had grown to $19,426.97, and that a lo- cation for the institution had been purchased at the corner of Market and Locust streets, Nashville, at a 1 192 THE NEGRO IN BUSINESS cost of $i,ooo; that machinery, type, etc.. had been bought at a cost of $10,986.88; that an editorial staff had been appointed to edit the Sunday school period- icals, which were then being printed on their own presses by Negro workmeii. In this report Secretary Boyd gave a complete itemized inventory of the machinery, printing appa- ratus, office fixtures, stock, etc. This report createe able to write at the end of Lhis life the following sentences: ' With travel extensive and diversified, and with I residence in tropical latitudes of Negro origin, I have I decided conviction, despite the crucial test to which he has been subjected in the past and the present dis- ' advantages under which he labors, that nowhere is i the promise along all lines of opportunity brighter for the American Negro than here in the land of his na- ■ tivity." This statement is supplemented by another I made at a different point in his book: "Labor to make yourself," he says "as indispensable as possible I in all your relations with the dominant race, and color will cut less figure in your upward grade." If Judge Gibbs is the most distfnguished man in the THE NEGRO IN BUSINESS group of men who are directing the business enter- prises and seeking to promote the economic welfare of the race in the Southwest, the most aggressive figure there is Hon. John E. Bush. Mr. Bush was bom in Moscow, Tennessee, in 1858. Shortly after the breaking out of the war. when large numbers of slaves were sent South to escape the advance" of the Union Army, young Bush and his mother were brought to Arkansas. Of all this he remembers little. His first memories are of a little one-room cottage and of a lively scramble from dawn to dark to get enough to eat. There were twelve chil- dren in the family. His mother was a nurse and spent comparatively little time at home. Food was uncertain and the children largely put to their wits to get enough. At the same time this mother made a brave struggle to give her children an education, " Mother wore herself out trying to get us edu- cated," said Mr, Bush in speaking of those early days. " I often wonder what it was that put it in my head to make the effort. Somewhere and somehow I got the ambition to try to make a man of myself. Prob- ably it was the earnestness of my mother that instilled the action into my head," It was, however, very little schooling that Mr. Bush obtained in the ordinary way. As soon as he was able to do work and imtil he was fifteen, he was apprenticed to a brick-maker. He learned this trade and then went to teaching school in the country dis- tricts. It was while he was a teacher there and else- THE NEGRO IN BUSINESS 223 where that he obtained most of his knowledge of books. It was while he was still a teacher in the country schools that he made his first great business venture. He bought a lot for $150. Promising to pay for it in monthly installments of $10 per month. Mr, Bush had begun at this time to think somewhat vaguely of marriage. He says he had no one in particular in mind at this time. " But," as he himself expressed it, " there's no use to have a bird unless you have a cage to put it in." Soon after he began paying for this lot he became I- badly frightened for fear something would happen to I prevent him from paying for it and so he would lose ' all tlie money he had put into the property. Turning ' the matter over in his mind he determined to make ' some heroic sacrifices. By pinching, he was able to pay for the property in six months. This was when he was but 19 years old. After paying for the lot it seemed an easy step 1 to build a house on it. This he did at a cost of $350. [ 'Shortly after he was married. By this time he had [ become a teacher in the Capitol Hill School at a sal- [ ary of $80 per month. Immediately after he was [ married he found that he had lost his position. The f trustees of the school failed to reappoint him for the I succeeding year. He was compelled to seek a posi- [ tion at Hot Springs. While he was in Hot Springs he found the income I of $10 per month from his little property in Little I Rock was a very welcome addition. He conceived ' 224 THE NEGRO IN BUSINESS the idea that it would be well for him to set aside a certain proportion of his income for investment. This he has consistently done ever since. As his sal- ary increased he was able to set aside a proportion- ately larger sum for investment. Returning from Hot Springs in 1SS4 he ran for the position of county clerk. He invested what money he had been able to save at Hot Springs in this cam- paign and gained the election but was, he claims, counted out. His opponents stole the ballot boxes. He was compelled to go back as a school teacher info the country again. Having lost his position in the city schools he was unable to finish a second house that he had already begini building. He made an arrangement with the carpenter by which the house should be finished and he slionld have time to pay for it, after he got again on his feet. After this he was appointed railway postal clerk. He was in the mail service about ten years. During that time he sold half of his lot he had first purchased and with the ' money and $300 more he Iranght three more lots. At this time he began actively trading in real es- tate. He bought a lot for $600 and sold it in a short time for $1,400. He bought another for $800 and . sold it for $1,600. Mr. Bush lost his position in the mail service when [Mr. Cleveland w-as elected and went back to teaching I school again. At the time of his discharge he was snperintendent of mails at Little Rock. After this he returned to the profession of teaching and taught for I several years until under President Harrison he re- THE NEGRO IN BUSINESS ceived the appointment to the position that he now holds of Receiver of the U, S. Land Office. Some years ago Mr. Bush in association with C. W. Keatts, organized a mutual benefit and benevo- lent organization, known as the Mosiac Templars of America. Of this order Mr. Keatts has been grand master and Mr, Bush grand secretary since the order was founded. This organization has grown until at the present time it has branches in every southern state. It has paid out over $200,000 in benefits and has something like 20,000 members. Although Mr. Bush started as I have said with very little education he has by constant application while he was a school teacher and at odd moments, managed to widen his knowledge of books as well as of men and things. He read Elackstone through several times and in that way acquired the knowledge of the fundamental principles of common law. He made such progress with his studies outside of school that he was able to pass the high school examinations and receive a diploma of graduation from that institu- tion, Mr. Bush is the owner of a beautiful dwelling on West Ninth street across from which he has erected a brick block which cost $15,000. This building has been fitted with a handsome club room where enter- tainments are held and guests of the members enter- tained. The rent from this building alone amounts to $125 per month. In addition to this Mr. Bush owns. I am informed, fifteen houses m the city of Little Rock. He has forty acres of land in the sub- urbs of the city for which he was offered $12,000. 1J& THE NEGRO IN BUSINESS Closely associated with Mr. Bush in all his enter- "! prises is Mr. C. W. Keatts. These two men grew up from boyhood together. They faced the same hardships and have had much the same successes. .J Mr. Keatts remembers a time, he says, when hisJ mother and her four children used to live for daysJ upon fifteen cents worth of herring. As he grew upl he was put to work on a farm outside of the city of I Little Rock. For his work he received no wages. " The first real wages I ever earned," said Mr. Keatts, in speaking of this matter, " was for sweeping out the office and keeping books for Constable Mc- Kamey. I did not know anything about keeping books, but he gave me $-.50 a week for my work." Mr, Keatts was seventeen years in the goverimient mail serv'ice, " but I never saved a cent," he says, " until I got out of politics," He made his first money in real estate investments. He became so well known in this business that he was appointed receiver of the Little Rock Electric Rail- way. A large part of the property of this company consisted of real estate that had been purchased for a park on the outskirts of the city. This property was cheap and it was believed that Mr. Keatts could dispose of it to colored men who wanted to build. In this the persons who were influential in having him appointed were not deceived. It is said that Mr. Bush at the present time owns $50,000 worth of property in Little Rock and its sub- urbs. It is probable that Mr. Keatts is nearly if not THE NEGRO IN BUSINESS 227 [ quite as well to do as Mr. Bush. He pays $320 in real estate taxes alone. Another man who has had unusual success in Little Rock is J. E. Henderson, jeweler. Mr, Henderson was born in Little Rock. It was the friendship of a Southern white man that permitted him to make his way into the jeweler's business. As a boy Henderson entered the shop of Capt. J. V. Zimmerman, the old- est watchmaker in Arkansas. He did odd jobs about the place and gradually as he showed an interest in the work, beginning first as a helper and mastering ht- tle by little all the details of the business he was at length able in 1896 to go into business for himself. Since that time he has been three times robbed and once suffered loss by fire, but has managed in spite of these difficulties, to continue in business. He started with a stock of $125 and with this small cap- ital and the industry of his hands he has been able to accumulate a stock of considerably over $1,000 and has purchased a home which he values at over $2,000. During the time he has been in buisness he has taught two other young men the trade of watch-maker and watch repairer. One of these is in business in St. Louis and tJie other is or was for a time in charge of Mr. Henderson's shop at Little Rock. In establish- ing himself in this business Mr. Henderson has opened this trade to other members of his race who, other- wise, would hardly have the opportunity to obtain the necessary training. .Another enterprise recently established by the busi- ;n of Little Rock is the People's Mutual Aid I 228 THE NEGRO IN BUSINESS Association, of which C. B. King, Cashier of the Capital City Savings Bank, is general manager and J. H, McConico is treasurer. This is what is known as an industrial insurance company. It pays sick, accident and death benefits. In my opinion, the importance of the work that Mr. Bush and his associates have accomplished in Little Rock and the Southwest is less in the tangible re- sults I have here been able to mention than in the spirit of enterprise and progress with which the Ne- gro communities of the Southwest, largely as a con- sequence of their preaching and example, seem to have been inspired. It seems to me important to point out also, that this has been no merely sentimental under- taking. Mr. Bush and those who are associated with him clearly see that their own fortunes are intimately bound up with those of the other members of their race in that region. He and they see that if those communities can be made prosperous and respected it will increase the opportunities of Negro business and professional men and lift from the whole race in the same degree, the burden of prejudice that now rests upon it. Mr. Bush declares that the Negro has ceased to be a force in politics in Arkansas since 1874. It has taken the Negro people some time to adjust their ideals to the new situation and to make up their minds to obtain through industrial and business upbuilding of the Negro people the welfare and opportunity for growth that they first sought through the use of the ballot. THE NEGRO IN BUSINESS 229 Though the industrial and boisiness movement has taken hold on all parts of the South where the Negro people have established communities there is perhaps no part of the country where Negroes have made more progress in this direction than in this South- western country of which Little Rock seems to be at present the center. 'Chapter xxii PENSACOLA, A TYPICAL NEGRO BUSINESS COMMUNITY In some of the preceding chapters I have attempted to give some brief description of certain of the larger business enterprises which have sprung up in Negro communities where Negro business men have accu- mulated sufficient capital and business experience to justify them. It has seemed to me that it would be interesting to follow this with a more intimate study of the business enterprise of a single business community. I have se- lected as representative of that healthy progressive communal spirit, so necessary to our people, the city of Pensacola. I have chosen this city, not because I regard it superior to other Negro communities, but rather because it is typical and because, through the kindness of Mr. William Wilson and the Colored American Magazine, of New York. I have been able to secure more complete information in regard to this community than I have been able to obtain in regard to others. Pensacola, the " Deep Water City," is situated in the Western part of the State of Florida. EscamKa , County, of which Pensacola is the county seat, joins a county in Alabama. Pensacola is called the " deep water city," because of the depth of its harbor, which 230 THE NEGRO IN BUSINESS 231 is the deepest on the coast of the Gulf of Mexico, hav- ing- a depth of thirty-three feet at its bar channel, which enables the largest vessels in the world to easily enter the harbor. This circumstance has made Pen- sacola famous. The population of Pensacola is nearly twenty-eight thousand; and about one-half of this number are Negroes. They pay taxes on $450,000 worth of property. About one-half of the colored people own their homes. These homes are not of the one and two-room cottage variety, but are nicely built after the latest modern plans. Among these are fifty two-story houses of from eight to ten rooms. Of course, as in all other towns, Pensacola has a number of colored churches. There are five churches of the Zion connection; four of the -Bethel and ten Baptist churches. Talbert Chapel, a large brick structure, with a seating capacity of twelve hundred, and a membership of five hundred, is the largest of the Zion churches. Rev. William Mosely is the pas- tor. Of the African Methodist Episcopal or Bethel churches. Allen Chapel is the largest. It has a mem- hership of 400. The new edifice is just being com- pleted, having been erected at a cost of $i8.cxx>. With a seating capacity of 1,400, it is the finest colored fhurcli in the city. It is pastored by the Rev. G. B. Williams. Mount Zion is the leading Baptist church in the citj". The edifice now occupied is a large frame build- ing, hut a contract has recently been let for the erection of a brick structure with a .seating ca- pacity of one thousand. The membership of this 232 THE NEGRO IN BUSINESS churcli is 600 and, under the leadership of their pas- tor, Rev. Thomas BeUinger, has become, I am in- formed, a force for moral and social betterment in the community. The labor condition of the colored population of Pensacola has always been satisfactory. In no other city in the Union, it is claimed, is the Negro laborer so thoroughly in control of the labor situation in the field of both common labor and the trades. Labor unions are numerous, but they admit colored men to their or- ganizations without difficulty and on the bay, where union labor alone is employed, the colored laborer is a valuable and respected factor. In the organiza- tions themselves both races stand on an equal footing. In the Baymen, Lumbermen and Cotton Screwmen's Associations, both white and colored men work side by side in entire harmony under the same system, and the same scale of wages. This is also true of some of the other organizations. Secret organizations here, as elsewhere, p!ay a considerable role in the social life of the colored population. The Masonic order has five lodges with a large aggregate member- ship. Two Royal Chapters and one Kniglit Templar represent higher masonry. The Odd Fellows have four lodges and a membership of 920. One of these lodges owns a large brick building which is used for a place of meetings and for offices. There are two lodges of Knights of Pythias, with a membership of 200 members. These lodges have now in course of erection a large hall. The Knights of Labor have THE NEGRO IN BUSINESS 233 r 120 members in the city. There are other secret so- cieties of less note. In the matter of education for the colored popu- lation there is still much to be desired. Complaint is made that the school term is not long enough and neither sufficient school room nor teachers to do the work required have yet been provided by the city. The Escambia High School and the Baptist Acad- emy are private institutions. There are eight public schools for colored children. Twenty-six teachers are regularly employed. The professions are represented among tlie col- ored population by three lawyers and four physicians. The Negro lawyers seem to have the entire respect of the members of the bar and are accorded the same courtesies in the courts that are shown to white law- yers. The colored physicians are also succeeding finely. Isaac L, Purcell, C, H. Alston and George W. Par- ker are the barristers. All of them are admitted to practice in al! state courts. Mr. Purcell is a member of the bar of the United States Supreme Court, hav- ing lately had several cases there. Doctors H. G. Williams, Charles V. Smith, C. S. Sunday, and M. S. G. Abbott compose the medical fraternity. Dr. Abbott is an alumnus of Shaw Uni- versity and the remainder are all graduates of Me- harry Medical College, Nashville. Dr. Smith is a native Pensacolian. He is a graduate of the Tuske- gee Institute fwhere he was known as a brilliant stu- dent) and of Meharry, '94. He practiced in Georgia 4 234 THE NEGRO IN BUSINESS and southern pans of Florida bciure tinally settling in Pcnsacola, where he came six years ago, and where he DOW enjoys the largest colored practice. He is a specialist, and is highly regarded in his community. Dr. \\'illiams is a West Indian, and has practiced in Pensacola ten years. He is tlie proprietor and man- ager of tlie Pensacola Drug Store, and has a verj- large practice. Dr. Sunday is a son of John Sunday, and is a native of this dty. He graduated from Me- harry in 1898, and served during the Spanish-Ameri- can War on a hospital boat. There are two weekly newspapers published by col- ored men in Pensacola. One of these is the Florida Sentinel, owned and edited by M. M. Lewey, a mem- ber of the Executive Committee of the \ational Ne- gro Business League, Comiected with the office of the Sentinel is a job printing office in which an exten- sive printing business is carried on. The Sentinel is printed on a large cylinder press which turns out 1,600 impressions an hour. It is the boast of the business manager of The Sentinel that it has the largest ad- vertising patronage of any Xegro paper in the South, except one. The colored population has its share of the clerk- ships in the postoffice. Six of the first-class clerks and four of the regular carriers are colored men. There are in Pensacola owned and conducted by col- ored men, one dry goods store, one job printing office, one tin shop, one undertaking establishment, one real estate agency, one Mutual Aid Society, five saloons, one locksmith, nine grocery stores, one wood and coal 4 THE NEGRO IN BUSINESS 235 I yard, six meat markets, thirty restaurants, fifteen barber shops (four exclusively for whites) two blacksmith shops, two wheelright shops, and one fur- niture store. There are of course various other ' smaller businesses that might be included, The grocery stores that are best known and do the I most business are the Escambia Grocery Company, tlie Excelsior and the Economy Grocery Company, Alexander Oliver, who for a number of years was the head clerk in a large white wholesale grocery in this city, manages the " Escambia." D. J, Cunningham is proprietor of "The Excelsior " and C. J. Hardy is the manager of the " Economy." The one dry goods store, owned and conducted by [ colored men, is that of W. A, Woods & Co, Samuel ] Charles is one of the more substantial , colored busi- ness men in the city. He runs a colored shoe store and sells leather and findings. He is also the owner of considerable Pensacola real estate. One of the more prominent colored business men is George B. Green, proprietor of a furniture and general .store. The building occupied by this store, is owned by Mr. Green who is also the owner of other valuable property. W. H.- Harvey is proprietor of the only undertaking establishment in Pensacola con- ducted by a colored man. Because of the large number of sailors and visitors in Pensacola and because of its great import and ex- 1 port Jjusiness, the saloon and restaurant businesses I pay exceedingly well. There are two colored men 236 THE NEGRO IN BUSINESS here who conduct the best of such places — Josf H. James and Richard Morris, Jr. The wealthiest colored man in tliat section of itS state is John Sunday, who is said to pay taxes on $90,000 worth of property. He owns valuable hold- ings in the principal business streets of the city, and employs steadily a force of men to repair old and build new houses. He is worth, at a conservative estimate, it is said, $125,000. In addition to other enterprises Pensacola has a conservatory of music. This is conducted by Wil- liam Charles Morris, who has studied in the music department at Tuskegee and in the Conservatory of Music, New York. There are numerous other small business enterprises among the colored population of Pensacola. Those that I have mentioned are sufficient to show to what extent, in the more progressive colored communities in the South, members of the Negro race are learning- to do their own business and direct their own affairs, while at the same time entering into relations of help- ful co-operation with the members of the white popu- lation in the industrial and economic development of their city and state. CHAPTER XXIII SOME CONSPICUOUS BUSINESS SUCCESSES Among the men whose careers bear witness to the enterprise and pioneer spirit of successful Negro busi- ness men are R. B. Hudson, wood and coal dealer, of Selma, Alabama; H. L. Sanders, the white jacket manufacturer of Indianapolis, Indiana; James N. Vandervall, the mattress manufacturer, of Orange, New Jersey, and John S. Hicks, of Erie, Pennsyl- vania. Mr, R. B. Hudson was born in Perry County, Ala- bama, in 1866. He came of strenuous and pious stock, and attributes his success in life to the sim- ple lessons in morality which he learned at his mother's knee. His early life seems to have been un- eventful. That he received considerable schooling is shown by the fact that he has for fifteen years been principal of the colored public schools of Selma, It appears that he had some little money saved by 1S96. In tlie fall of that year, he called a meeting of five men to organize a coal company, for which he be- lieved he saw an opening. The five men together made up a sum of $250, which was the capital on which the new company began business. With this money they rented a yard, repaired the fence?, pur- chased scales and shovels and bought one car-load of 237 2j8 THE NEGRO IN BUSINESS coal. The doors were opened for business, and a few orders were taken, which were delivered on a wheelbarrow. After a while a horse and cart was rented for the deliveries. The first season they ex- perienced some hardships, but were able, during the winter, to buy a horse and a second-hand wagon and some harness. Several car-loads of coal were disposed of. There was no return of money, however, to the stockholders, as all profits were promptly added to the capital. Three of the original members drew out at the end of the first season as they had become discouraged by the absence of dividends. The remaining two men bought out the stock of their former associates, and resolved to persevere. The season of 1897 was a little more encouraging, but profits were severely cut into by competitors who were willing to cut prices. Those " friends." already referred to, who seem always to be at hand to tell a man why he cannot help failing, were not lacking in Mr. Hudson's case. They succeeded in frighten- ing his partner, who drew out of the company at the end of this season. Mr. Hudson, the founder of the company, was left alone. The " friends " begged him to stop before he ruined himself, but Mr. Hud- son had resolved that he must succeed and he stuck to' J his task. In preparation for the season of 1898 he made a!^ personal tour among the mines and investigated for himself what kinds of coa! were the best. He bnught a quantity of the best coal, and placed it in his yard THE NEGRO IN BUSINESS 239 j to wait for winter. He was thus prepared for the i rush of business which came with the beginning of j winter. Orders for his liigh grade coal were so rap- idly received that another team had to be added. Car I after car of coal was disposed of. Since that season the Hudson Coal Yard has been one of the stable enterprises of Selma. His notes and papers are accepted with eagerness by the banks, and the mines seek his patronage. The patrons range " from the poor laborer's wife who comes in to buy a nickel's worth of coal, to the rich man who orders seventy tons for his winter's supply, and the retail dealer in Uniontown, nearby, who orders two car- loads of coal for his trade. The white and colored schools of Selma buy Mr. Hudson's coal, and among his patrons are numbered many of the bankers, law- yers, judges, merchants, and personages of the city. Of the six coal yards in Selma, Mr. Hudson's ranks second in volume of business, and is making a strong pull for first place. He keeps his patrons by the kind- ness and tact with which he treats them, by his hon- esty in giving good weight, and by his promptness in making deliveries. He now has eight carts with good mules and harness. On his private side-track stands two or three cars of coal at a time. In the busy sea- son fifteen black men work as laborers to handle the coal. Instead of spending his time in complaining that every door was shut to them, Mr. Hudson has made positions for the members of his family. His brother is manager of the yard, his father, in an 240 THE NEGRO IN BUSINESS emergency, is glad to lend a hand, and his wife keeps the books. Like many of our business men, he has taken upon himself many duties outside of his business. Besides his position as principal of the colored schools of Selma, he is clerk of his church, trustee of the Selma (Ala.) Baptist University, President of Uniontown Baptist Sunday School Convention, secretary of the Alabama Baptist State Convention, and statistical sec- retary of the Alabama Baptist Sunday School Con- vention, Of him the Southern Watchman says: •' Prof. Hudson is a born leader. Men follow him willingly and he lifts them into efficiency. Young men and women love him and honor him." More humbly than Mr, Hudson did Mr. H. L. San- ders, the white-jacket manufacturer of Indianapolis, Indiana, start life. He was born near Lexington, Kentucky, in 1852. and spent the early years of his life as a laborer on a farm. He was allowed to go to school about two months in the year for a few years. In 1874 he came to Indianapolis and found employment as a pan-washer in one of the leading hotels. His faithfulness in this lowly position soon procured his promotion, and in a short time he was Fccond cook at a salary of $33 per month. Out of l!:is small sum he contrived to save something every rnonth, and at the time of his marriage a few years later he had saved enough to furnish a house com- pletely. He then took a position as waiter at the Grand Hotel, Indianapolis, where he remained five years. During these years, with the aid of his wife, ^ THE NEGRO IN BUSINESS 241 a very sensible woman, he saved enough to buy and furnish a neat and cosy home. While Mr. Sanders was working at the Grand Ho- 1 tel, his wife, to assist him to economize, was in the ! habit of making his white jackets herself, Mrs. San- I ders' jackets were so superior that Mr. Sanders' fel- t' low waiters began to ask that he have her make their ' jackets too. Mrs. Sanders began to try and did so, and the demand increased so rapidly that she was forced to rent a sewing machine to supply it. Mr. Sanders, in off hours, hegan to peddle his wife's work in the other hotels, and found a ready sale. In 1889 he found that the trade justified his open- ing a small store, in which he displayed his white jackets, and started a gentlemen's furnishing depart- I ment, of which the first stock was three dozen white [ collars and one dozen white shirts. In 1890 he bought his first sewing machine; in 1892 he bought another, and in 1893 he had to buy two more. These machines were used until 1898, when the pressure of business compelled him to install six new machines operated by electricity and a stock of gentlemen's furnishings costing $1,500, At this time, his eldest son, Edward, was about thirteen years old. Although the boy was still in short trousers, his father started him on the road I through Indiana, Ohio, Michigan and Ilhnois to so- ) licit orders for the business. I think I am safe in [ saying that young Sanders was probably the youngest I salesman and drummer who ever traveled in this I country. He was successful too, for to-day. as a re- 242 THE NEGRO IN BUSINESS suit of his travels, a large list of orders continually come in from these states. Mr, Sanders now gives employment to thirteen persons, including one travel- ing representative, two cutters, one bookkeeper, two sales-ladies, and seven operatives. He has recently enlarged the business so as to employ twenty persons. , His gross receipts for the year 1903 were $15,0 and his stock invoiced in January, 1904, $4,225, MnJ| Sanders keeps abreast of the times, and among other useful equipments used by him is a button-hole ma- chine, which cuts and works 2,000 button holes a day. He has a new home, which ranks among the best owned by colored people in Indianapolis. It is fur- nished with electric lights, bath, furnace, and all mod- cm improvements. His son,- Edward, is now assistant business man- ager of the business. He has prepared himself to take up his father's work, and is a graduate of the Manual Training High School of Indianapolis. Mr. Sanders has been successful because he was frugal and industrious from the beginning, and be- cause he had the enterprise to make the best of the good business opportunity which was opened to him through his wife's home-made jackets. James N. Vandervall, the mattress manufacturer of Orange, N. J., was bom in Richmond, Virginia, in 1S62. He received his education at the old Rich- mond Normal School and, barring one month's study of law at the Howard University Law School, Wash- ington, D. C, this was all the training he received. After finishing his course in school he became an THE XEGRO IS BUSINESS apprentice to a blacksmith and remained at the trade until lie mastered it. In 1882 j-Dung^ Vaodcrvall went to New York, seeking work at bis trade. He found on his arrival there that there was no opporttmity for a colored man in the trades in New York. Though be had been trained as a blacksmith, be soon found work as a waiter. After his work at the forge this task seemed, as he says, like drudgery. He quit this place after a short time and found work in a carpet factorj'. He remained there until the strike of 1884. In the j-ear before the strike came on, he had mastered the de- tails of the carpet business. Immediately after the strike was declared, Mr. Vander**all went to Orai^e in quest of work. He engaged himself to pri^-ate families, and for a year " found the trail," as he himself e.xpresses it Early in 1885 he began work on a commission basis for The Lindsay Carpet Cleaning Company. Finding that Mr. \'anden-all. on the basis of his ctwitract. was making as mtKh as the firm, the company made htm a proposition: to accept a salarj- of $ij per week, or gi\*e up his work. He gave up his work. He did this because he felt that his work alone was responsi- ble for the large increase in the business of the com- pany. In 1897, in direct opposition to his former em- ployer, be opened a carpet cleaning establishment. He had no. machinerj'. .\11 of his cleaning and reno- vating was done by hand. He did satisfactorj- work, 244 THE NEGRO IN BUSINESS but found that he could not do it rapidly enough t(M keep up with the work of the other houses, all ofl which were well equipped with machinery. He con-J tinned to conduct this business until 1890, when he J was appointed a clerk in the Census Bureau at Wash-l iiigton. After a year's residence in Washington, Mrt] Vandervall became dissatisfied with the lot of a dfrj partment clerk, and resi^ied. He returned to Or-I ange, in 1892, and began in earnest to build a reno- vating factory. He began in a very small house. Lacking the machinery usually employed in reno-^ vating carpets and mattresses he was compelled to rely upon those older and more primitive methods in which a stick in the hand is the only tool used. Often in these early days, Mr. Vandervall tells me, he and his family did not have bread to eat. When he could not get carpets tp overhaul he employed his time repairing bicycles or any other work that came to hand. His wife, who had been his constant helper in all things, rendered him in these early struggles unselfish and self-sacrificing assistance. In a short time Mr. Vandervall was so far success- ful that he was able to purchase his shop and the ad- joining property. Upon this property he built a three-story brick factory and supplied it with machin- ery for cleaning and repairing carpets and the manu- facture of mattresses. Included in this machinery was a large twenty-four horse power engine. Since then the success of the factory has been assured. Early in its history Mr. Vandervall gave his es- tablishment the name. "The Carpet Hospital," This THE NEGRO IN BUSINESS 245 gave a certain dignity to the business and advertised it. After five years the business bad so £ar outgrown its quarters that Mr. Vander\'all was compelled to erect an addition. He erected in front of the old building a new four-story brick building and put in it the best improved machinery. There are, besides the Vandervall factory three other factories in Orange engaged in the same busi- ness. The Vandervall factory does as much busi- ness, it is said, as the other three factories combined. In conversation with Mr. Vandervall he related the following incident which illustrates the confidence which the work and methods of this "The Carpet Hospital" have gained among its customers: One of the largest and wealthiest hospitals in the city ad- vertised for bids for making a number of mattresses so he sent in his bid. The chairman of the board notified Mr. Vandervall by telephone of the bids and asked him to make his bid at least as low as the sec- ond lowest. He told the chairman that he could not do this. He had given the figures, he said, at which he could make the mattresses and make them hon- estly. After the adjournment of the board Mr. Van- dervall was notified that though his hid was among the highest it had been accepted because the board believed he would da the best work. Most of the public institutions in Orange county give all their trade in those lines in which Mr. Vandervall is en- gaged to him. He also gets much work from the leading furniture dealers of New York City. .A. few years ago Mr. Vandervall added to the 246 THE NEGRO IN BUSINESS equipment of his factory a machine for the cleaning: and opening of feathers. Besides making pillows and feathered goods for ' private families, he has now yearly contracts with the largest department store in Orange and several in New York for the manufacture of high grade pillows and the lightening of all kinds of feathers. Connected with the factory, there is a large storage room for tlie care and overhauling of property of persons who live, in New York and the Oranges, There are only ; few factories of this kind in the vicinity of New York - and few are better equipped than Mr. Vandervall's. Mr. Vandervall has been able to build up a large and profitable business because he early learned that it pays to do superior work, and that if there is preju- dice against color, there is none against high-class workmanship. The factory employs at the present time from ten to sixteen persons regularly and does a business of $20,000 a year. One of the advantages of beginning at the bottom, is that by getting an intimate acquaint- ance with difficulties one learns how to overcome them. Mr. Vandervall has turned his experience to good account by the invention of a machine which does the work he was formerly compelled to do by hand. It is called the Crescent Carpet Cleaning Ma- chine. It is patented and has met with favor among men in the carpet cleaning business in different parts of the country. Mr, Vandervall owns a beautiful home on Main Street. In 1888 he was married to Miss Isabella THE NEGRO IN BUSINESS 247 Brown of Trenton, N. J. They have three daugh- ters. In the business, moral and educational Hfe of his city, he takes much interest. Being a large tax-payer, he enjoys the respect and confidence of the financial institutions. In the municipal government he is a ■ prominent factor. He is the leading colored citizen j of his community. John S. Hicks, of Erie, Pennsylvania, has gained 1 a reputation as a business man, by the able way in J which he has conducted a bakery, ice-cream and candy I factory, Mr. Hicks was born in Virginia, At an early age he went with his parents, who were, free colored peo- ple, to Massachusetts, wliere he secured a place at \ery small wages, in a bakery and ice-cream factory. After saving sufficient money to furnish him the neces- sary capital Mr. Hicks went into business for him- self. He conducted this business until 1873, when, upon the strength of a circular that fell into his hands, he was induced to go to Erie, where he has since lived. Upon his arrival in Erie he sought work and found it in the largest ice-cream factory and bakery in the city. His knowledge of the details of the business soon made him indispensable. He was promoted and made foreman. During the time that he was foreman the quality of the goods sent out by the firm improved steadily and attracted the attention of the general trade throughout the state. About this time the business changed hands and. though by this change Mr. Hicks received a larger I-248 THE NEGRO IN BUSINESS salary and a more important position, the business did not prosper untler the new management and when it finally failed it was owing Mr. Hicks $400 for I wages. After this the business was sold to the owner of I the building in which it was located. From this man Mr. Hicks purchased the bakery and the ice-cream I machinery, giving him his notes in payment. Later Mr. Hicks transferred the business to a third party, taking a note for $500 from the purchaser. He has the note still. Three weeks later after he had sold , the first business he opened a new place of his own. These somewhat intricate business maneuvers, in which there was no doubt a good deal of fumbling ' and uncertainty, are important only as showing the sort of school in which Negro business men are com- pelled to learn. Mr. Hicks, in starting out in life, had first to make himself master of the trade and ■ vocation that he had chosen or that circumstances had chosen for him. Having accomplished this he had acquired a sort of capital of which no business failure or bad management could rob him. The problem of I getting his knowledge and experience into the market I in the best and most satisfactory way was a new and I different problem. Here Mr. Hiclis had to serve a ■ I new apprenticeship. By sticking to his task, learning I'by his mistakes, he succeeded at last in getting on his I feet. His trade had soon increased sufficiently to justify Phim in purchasing his first piece of property, for which went in debt to the extent of several thousand THE NEGRO IN BUSINESS 249 dollars. Finding' the building he was occupying too small for his increasing trade, he erected on this prop- erty a brick building costing $2,000. His trade con- tinued to increase. Nine years after he had first opened his business he purchased the property adjoin- ing; that on which he was doing business and erected a three-story brick building, which cost $9,000, and paid cash for both building and land. Two years later he replaced the building be had first erected by a new brick building, which cost him $7,000. At this time his trade had extended to pretty nearly every part of the State of Pennsylvania, Not long after this he was compelled, in order to meet the de- mands of his trade, to build, as an addition to the two buildings he had already erected, a building 75x52, brick, with a metal roof, which cost him $4,000. This building was fitted with new and improved machinery. Some notion of the extent of Mr. Hick's business may be gathered from the fact that his sugar and salt bill for one year alone was $3,500. His ice bill amounts to something like $1,500 annually. Mrs. Hicks has been of inestimable help in her husband's business. In the business and political life of Erie, Mr. Hicks is a wholesome factor. Few men take more interest in the building up of the city than he. He owns stock in the various financial institu- tions of Erie and the county, and in all matters of a public nature he exercises the influence of a responsi- ble citizen. The men treated in this chapter have won success various lines. But they have all had in common 250 THE NEGRO IN BUSINESS the qualities of thrift, honesty, and energy. If a larger number of our young men believed they could do what these men have done, the Race Problem would be considerably forwarded toward solujtion. CHAPTER XXIV THREE PERSONAL NARRATIVES OF BUSINESS SUCCESS It has been my notion that the reports of the annual meetings of the Business League should furnish, as far as possible, a record not merely of the business progress of the race but also of the personal achieve- ment of individual Negro business men. I Have al- ways encouraged as far as I was permitted to do so, members of the League to be autobiographical, to tel! us those things of which they knew the most, and which, after all, are most interesting and most help- ful, namely the record of their own personal strug- gles and achievements. Speakers at our meetings have not always been as specific and personal as I should like to have them. In two or three cases, however, members of the League have told us their stories in so interesting and helpful a way that I feel that I could not do better than reproduce their stories here, in their own words. The first address which I desire to reproduce is that of Mr. J. M. Hazelwood. of Charleston, West Virginia. Mr. Hazelwood is, perhaps, the wealthiest colored, man in his state. His address is important because it answers a question that is of increasing in- terest to our business men and our race, namely: How we are to maintain ourselves in the gainful oc- 251 4 252 THE NEGRO !N BUSINESS cupations of which we already have possession. Mr. Hazelwood has answered this question practically in his own business and his narrative will indicate how others may be able to do the same. The title of his paper is : " How to Establish and Maintain the Bar- ber Business." "I entered the barber business," said Mr. Hazel- i wood, " as an apprentice in the city of Parkersbur^f, I W. Va., in the year 1880. After serving in that ca- I pacity for one year I secured a position as journey- man barber in a shop at Corning, O., where by close] application to business and the practice of economy, I I had within eight months saved enough to purchase I the business and become proprietor. This busim was successfully conducted for about one year when I took advantage of an opportunity to dispose of it prof- itably, as the town was too small to give promsie of future development. West Virginia, then as now, offered a great many inducements not offered by other states, and my at- tention was attracted to it, as I was in search of a per- manent location. I went to Point Pleasant in 1883 and worked there for nine months. From there I went to Charleston, the capital of the state. Upon arriving in Charleston I secured a position as journey- man barber in a shop owned by a white man. After working a short time in this position and having been convinced of the importance of Charleston as a busi- ness center, T decided to " let down my bucket where 1 I was." A partnership was formed with Mr. J. W. 1 Vinney and we opened a three-chair shop on the main THE NEGRO IN BUSINESS 253 street of the city. This partnership continued for one year, at the expiration of which time I purchased Mr. Vinney's interest. From the beginning this business was a success and constantly increased in volume until I now employ seven barbers, two porters and a cashier and have one of the best established shops in the state. It lias occupied one stand continuously for ■ the past twenty years. " In 1898 I opened in the Citizens' Bank Building I a four-chair shop, which has been successful and is f at present employing four barbers and one porter. In 1903 I opened in the Kanawha Banking & Trust Company Building a six-chair barber shop equipped . with the latest and most improved appliances, includ- ' ing a ladies' and gentlemen's manicuring and hair- dressing parlor. This shop was fitted up at a cost of over $6,000 and is conceded, I am told, to be the finest in the state of West Virginia. It employs six barbers, two ladies in the hair-dressing department. a cashier and two porters. The investment has proved a satisfactory one, " In the barber, as in other businesses, it is neces- sary to observe certain rules in order to succeed, and I attribute my success to the fact that I have observed ' them. I have always tried to make my shops the best I in my city and my motto has been to lead and not to follow. A man desiring the services of a barber will invariably go to the place where he knows he will I find a clean and well-kept shop; neat, polite and tidy j workmen; tools sterilized and in good order; pure I and wholesome dnigs, toilet articles, clean linens, and I 254 THE NEGRO IN BUSINESS pleasant, inviting surroundings. These I have always endeavored to keep. " My consumption of barbers' suppHes has become so great that I am reckoned as a jobber, and 1 have built up a good business by carrying a stock and sell- ing throughout the state. " The barber business, as you know, belonged al- most exclusively to our race a few years ago, but like all other money-making occupations, has attracted the white man and is rapidly passing from our grasp. This is due to the fact that our people have not kept pace with the times, but are content with methods and customs of twenty-five years ago. The white man is using modern and scientific metliods and has established schools all over the country where young men are taught the trade. " There is no trade at which one can earn better wages and at which one can find more ready employ- ment. In my opinion our trade schools would do well to turn their attention to this branch of industry to the end that we may produce sober, intelligent bar- bers to hold the ground we are losing and reclaim what we have lost, " The ladies' and gentlemen's manicuring and hair- dressing department in connection with my last place was opened largely as an experiment. It has proved a success. Like the barber business, the great diffi- culty is to keep competent persons to do the work. I am of the opinion that this line of business offers flattering inducements to those of our young women who will enter and pursue it in a systematic way. THE NEGRO IN BUSINESS 255 'To my mind there is no prejudice in tlie barber business. With the proper quahfications and meth- ods our people will be able to hold it, but they must ever bear in mind that it is a question of the survival of the fittest." What Mr. Hazelwood has done in the barber busi- I ness, Mr. Victor H. Tulane, of Montgomery, Ala- bama, has done in another and entirely different form I of business, Mr. Tulane is a dealer in groceries, I wood and coal. " My story," he said, " is indeed [ very simple. Owing to the fact that in boyhood I was forced to help earn a support for my mother, who was then in poor health, I was deprived of the ad- vantages of attending school, except for a very lim- ited time; but regardless of educational deficiencies, I determined to make a man of myself, and some day have and control a business of my own, "Thirteen years ago (in 1893), with no previous experience, I entered the grocery business with a cap- ital of ninety dollars, saved from the small salary of three dollars per week. For quite a while I had great difficulty in securing a store-house in which to begin operations, but finally succeeded in finding in the sub- urbs of Montgomery an unsuccessful and disheart- ened grocer who was very anxious to close out his business; with but little ceremony he sold me his entire stock, consisting of a pair of rusty scales, a small battered oil tank, two primitive show-cases, a few candy jars, a peck measure, one lamp and a broken meat knife, together with a few odds and ends of [ groceries. But insignificant as were these purchases. 2S6 THE NEGRO IN BUSINESS 1 found after settling for them and paying in advance ' one month's rent for the store that my funds were almost exhausted. With the small balance in hand ■, and a memorandum furnished by certain neighbors] who were generous enough to name to me a numlx of the articles usually kept in a grocery store. I pr* ceeded to the city to purchase additional supplies, aft^'*] which I was ready for business. " On having been open a day or two I found mysdf H still short of several articles and was again compelled J to go to market — a five-pound bucket of lard and ten cents worth of salt being among the things then purchased; immediately after returning to my store, \ strange to say, I had a call for five cents worth of | salt, and not yet having learned how to weigh, an^ knowing full well that a merchant could not succ without making a profit, I straightway proceeded i order to be on the safe side, to divide the ten cent ' package of salt into three equal parts ; these package f I sold for five cents apiece. " The building in which I was located was abou^ 15 ft. by 20 ft., and finding that this area was mucKJ too large to be filled by my small stock of merchan- dise and desiring to have a fu!i store, I appropriated one side to the use of charcoal — an article which I found to be in great demand. " My inability to carry on the business properly,, arising principally from ignorance of its particuIarB^.J caused me no Httle inconvenience, and I at once set about to overcome this difficulty. I began by hiring a small boy who had previously received a little knowl-' THE NEGRO IN BUSINESS 257 f edge of store-keeping, and through him I succeeded in learning how to weigh. My next step was . to , solicit patronage; and of this I received much, too I much, since most of the goods then sold were on i credit and are yet unpaid for. For two years, how- ever, I worked diligently; but notwithstanding my earnest endeavor and the kind assistance of my mother, who was then out in service and readily and regularly contributed her little earnings toward the support of the business, I could barely manage to keep afloat. I then decided that something was wrong and set about to ascertain just what and where it was. After careful investigation, I found that I was credit- ing more" rapidly than collecting. My business was really in such a bad condition that had I been com- pelled to pay a bill no greater than the sum of ten dollars bankruptcy would have been inevitable. I Nevertheless, I then became more determined to suc- ceed than ever before and, profiting by past experi- [ *nces and encouraged by the kindness of a few faith- ful friends, I soon found myself on the road to suc^ cess. But this road, however, is by no means a smooth one, (as is well known to you all) therefore, do not be misled to believe that my obstacles, hard- ships and adversities vanished at this point, for they certainly did not. Here I would relate an incident i which .is sufficient to show what difficulty I had in securing credit from the wholesale merchants. To , this time I had not applied for credit ; first, because 1 I was practically a stranger in the city, and second. ! because my trade was not sufficient to warrant me in ■ 36o THE NEGRO IN BUSINESS of property adjoining my stnre. and thereby secured ample yard. In the meantime, the increasing volume of business in the grocery department forced me to enlarge my store, " Both time and propriefy forbid me attempting to mention the remaining stages of development through which my business has passed; and for these j reasons I shall only say in conclusion that at the pres- ent time I am planning to erect a modem two-storyJ brick store-house upon a very desirable comer lot re- 1 cently purchased for the purpose. " By always giving close attention to the minor de- A tails, ever striving to give satisfaction (believing that! a satisfied customer is the very best advertisement to j be had ) and above all things, by dealing in a straight- forward, honest and upright manner. I have succeeded -1 in gaining the respect and good will of the public at j large, together with the support of the majority of ] the colored people and many of the white of my city. , "Now, gentlemen. I sincerely trust that you wiU',] overlook the personal nature of these remarks, for, under the existing circumstances, there seems to be no I alternative — so please bear with me a little further, ^ while I make the following comparisons: "Thirteen years ago I was a renter; to-day I am ] landlord of not a few tenants. " Thirteen years ago my stock represented less than \ a hundred dollars; at the present time it values several | thousand. " Thirteen years ago I had but one helper — a small J THE NEGRO IN BUSINESS 261 i^; today I employ on an average of seven as- sistants the year round, not including my wife. " Eleven years ago I was unable to secure credit to the amount of three dollars; but since that period, tlie very house that then refused me has credited me at one time several hundred times this amount; and to-day it is not ' How much do you owe? ' but ' How much do you want ? ' " Ten years ago my business barely required the service of one horse and wagon ; at present it demands tiie use of several. '■ Ten years ago I did an annual business of some- tiling less than a thousand dollars; during the year of 1903 the volume of my business exceeded the amount of $25,000." One of the interesting stories I have heard recently is that of William Alexander, of Little Rock, Ark. Mr. Alexander is a painter and contractor. In 1904 his aggregate business amounted to $12,123,50 for the year. In 1893 he was little more than a common laborer. He had had some experience in a store but he had no trade and he was without work. The story of how, in the face of prejudice and in spite of "discouragements, he succeeded first in learning his trade and through the medium of that trade succeeded in establishing a large and profitable business is worth telling in some detail. From 1888 to 1890 Mr. Alexander held a position as storekeeper for Mr. W. W. Dickinson, of Littlfl^ Rock. Of his condition and state of mind while 1 was in this position he says : " Like most young" 262 THE NEGRO IN BUSINESS Negroes whose opportunities are in advance of theiri common sense, I spent my money as fast as I made 4 it, never dreaming tliat conditions would change.*" In 1892 he left his position because of a quarrel with a white man in another department of the business and suddenly found himself outside of his job with- out a dollar and with no place to turn for work, j More than this, the fact that he had held the position J of " storekeeper " worked against him in his effort to get work. He was regarded as a " spoiled nigger " and of " no account." From this point on I will tell Mr, Alexander's story, practically in his own words, as he retold it at the meeting of the National Negro Business League held in New York in August, 1905. " Finally," he says. " I came across a man that wanted his barn painted. I had had no training or experience as a painter, but I determined to try, A rickety' ladder which I constructed, one paint-brush and a bucket was the sum total of ray working ma- terials. I went to work on this barn as though soul and body depended upon it. I worked early and late. It would be impossible for me to tell how many times I stood off and looked at it and then touched it up I here and there before I got up courage to tell the man that I had finished the job. He came out and inspected the work, and, after a careful examination, was so pleased that he asked me to figure on painting his two-story residence. He could not have frightened , nie more if he had rejected the work on the barn. 10 earthly resources but my labor. I dii THE NEGRO IN BUSINESS 263 have credit for a quai't of paint and had no knowledge whatever of mixing colors. After much deliberation I got up sufficient nerve to take the job and trusted to work and to Providence for the balance. " I asked several old painters to show me how to mix my paint. They demanded one-half of the con- tract price, which I refused. I finally came across an old white painter who was engaged in other business. He told me what I most wanted to know, mixed a bucket of paint for me and told me where to write for books, etc., that would help me. I made me a lad- der and got some people passing by to help me raise it. I stuck to this job as I did the first, and when I had finished the man pronounced it the best job that he had ever had, notwithstanding the fact that a white painter had painted the same house twelve months pre- viously. His next-door neighbor liked the job so well that he let me the contract, over the bid of a white contractor, to paint his house. When I had finished this job I found that T had gotten ahead far enough to Invest a little money in working materials, so I bought an extension and two step-ladders. " The last man I worked for recommended me to a friend who was having two houses built. He sent for me and told me to go round to the architect's office and figure on the plans, I went but the architect told me flatly that no Negro figured on any plans of his. I went back and informed my employer, whereupon he took me in his buggy and went down and made it plain to the architect that it was his money that was paying for the plans and his money would erect the 264 THE NEGRO IN BUSINESS house. He insisted on his right to make terms witi whom he chose for performing this work, regardlfisi of the color of the hand that wrought it. " They turned over to me what I have since learnK was the Hue print and not the plans. To me it mat^ tered little for none of it added to my intelligence : I did not know what a plan or specification meanl I looked over the paper with a wise air and told thq man that I would do the work for $120, The papers were drawn up and the contract closed. I had noi advanced far on the job before I discovered that ', had bid $120 on a $200 job. I made up my mind to " take my medicine and finish my contract even though I should lose money. The architects were naturally sore, and after I had finished the job they brougl^t, out three experienced white painters to pass upon th( work. " I felt that my hour had come. The three paintersi examined the work carefully and when I looked upm to hear my doom they remarked, ' it was as good a^l job as anybody could do.' " That opened the door for the Negro painter i Little Rock. Up to this time no Negro had beenl able to figure on plans held by white architects, butT that let down the bars and to-day they have the same* chance as any other contractors, I had learned thfr following lesson: Do all of your work well, your obligations promptly and carry out your con-'J tract if you lose money. Adhering to these principles* had sent my stock up considerably. I was regardet I reliable and efficient workmati. THE NEGRO IN BUSINESS 265 " Work was picking up so that I had to supple- ment my equipment by the addition of a horse and wagon. I tKSUght a horse for $10 and a wagon for $5, and made a set of harness out of some old rope that I had at home. The season was growing late and winter approaching, but I secured a contract to paint six houses. This tided me over the winter and placed me in a condition to buy a set of harness and employ two painters to assist me. My $15 horse and wagon soon proved too light for the amount of work "that I was handling. I swapped my horse and got a good one by paying $35 difference. Also bought a strong, substantial wagon. In this I was criticised by many of the older Negro painters of the city, but I had discovered something that they probably had not thought of, that is, a painter handling a half dozen jobs at the time, paying to have his ladders, paints, etc., hauled, would pay out more in a month's time than the cost of keeping a horse, " I never let up in preparing and keeping myself posted on the progress of the trade. I procured all of the literature that was available on the subject and anybody that knew more about the business than my- self would find me a frequent caller. I was ambitious to take my place as one of the painters of the state that could handle any contract awarded him. Most of the Negro contractors were satisfied with painting cottages, fences, etc., but T wanted to be able to paint anything from the state house to a hitch ing-post, hence I never stopped reaching out, while I held fast at the same time to all that I had gained. ^ 166 THE MEGRO IN BUSINESS " TTie Opportunity came for mc to prove that I could handle large contracts. The Capital Theatre and T. H. Bimch Grain Works had to be painted. The con- tracts were awarded me over five white contractors, I made the required bond, and turned the job over to them on schedule time, having met everj- requirement of the contract. The completion of these jobs re- moved every barrier out of my way, I was and am regarded now as a contractor and not a " Xigger Con- tractor." My working material has grown from the one rickety ladder, paint brush and bucket to include all of the working paraphernalia demanded by the time, I buy my paint in wholesale quantities from Cincinnati, St. Louis, and Chicago. I now work twelve men every working day in the year, wages ranging from 5i-50 to $2.75 per day. My aggregate business for the year closing December 31st, 1904, was $12,123.50. When I started as a painter in Lit- tle Rock I was a tenant, to-day I own my home and seven city lots besides. My painting business is now in a condition to run itself and a large part of my time is spent in aiding and fostering other race en- terprises. Aside from my contracting business, I am president of the Relief Joint Stock Grocery Co., a director and member of the Discount Board of the Capital City Savings Bank, president of the State B, Y. P. U. In my own way I am trying to help the race by doing, — bringing something tangible to pass — something that will stand after I am gone and open opportunities for generations to come." Mr. Alexander concluded his narrative with some THE NEGRO IN BUSINESS 267 general remarks that I think are well worth repeating. He said: " The struggle of the black man in this country is everywhere much the same. He must go out, as it were, and dig out of nothing — something. He must close his eyes to opposition and let work and perse- verance be the key-note of his ambition. The success that is built from the ground with one's own hand is lasting and sacred, but things thrown upon us gen- erally go as they come. All of us must work without ceasing along our chosen lines, for that is the only key that will unlock the door of opportunity.'' THE NATIONAL NEGRO BUSINESS LEAGUE As I have said elsewhere in this book, the number of successful business men and women of the Negro race that I was continually coming in contact with during my travels throughout the country was a source of surprise and pleasure to me. My observation in this regard led me, a few years ago, to believe that the time had come for bringing together the leading and most successful colored men and women in the country who were engaged in business. The benefits of such a meeting were obvious. In the first place, the bringing together of these persons would result i in their getting acquainted with each other, and re- | ceiving information and inspiration from one another. In the second place, plans could be formed for ex- tending the influence of the meeting to the remotest corners of the land through the organization of local leagues of business men and women, and thus en- courage, more and more of our people to enter busi- After consultation with prominent men in all parts i of the country, it was decided to call a meeting of j our business men and women in Boston, Massachu-} setts, on August 23d and 24th, 1900, for the purpose ' of organizing the National Negro Business League. 268 THE NEGRO IN BUSINESS 26g' Early in igoo letters were sent to a great number of our people who were engaged in business, acquainting them with the proposed meeting, its objects, and its time and place. The proposition recommended itself at once to our people. This is shown by the fact that in answer to the invitation over four hundred delegates presented themselves at Boston on the appointed date. They came from thirty-four states, from Mississippi and Maine, from Virginia, and CaHfornia, thus jus- tifying the word, " National," in the new organiza- tion's title. The following officers were elected: Booker T. Washington, President; Giles E. Jackson, Vice-President; T. Thomas Fortune, Chairman Ex- ecutive Committee; E. A. Johnson, Compiler; Gilbert C. Harris, Treasurer, and E. E. Cooper, Secretary. The meeting was enthusiastic but at the same time practical. Those who were in attendance believed in the timeliness of the organization. They had noticed that almost without exception, whether in the North or in the South, wherever there was a black man who I was succeeding in business, who was a taxpayer, and I who possessed intelligence and high character, that individual was treated with respect by the members of the white race. This fact suggested that, in propor- tion as we could multiply these examples North and South, our problem would be solved. This was the assumption on which members of the League took up the task it offered them. They recognized that a use- less, shiftless, idle class is a menace and a danger to any community, and that when an individual produces what the world wants, whether it is a product of hand, THE NEGRO IN BUSINESS lieart or head, the world does not long stop lo inquire what is the color of the skin of the producer. It was easily seen that if every member of the race should strive to make himself the most indispensable man in his community, and to be successful in busi- ness, however humble that business might be. he would contribute much towards smoothing the "pathway of his own and future generations. It was evident, also, that the success of Negro busi- ness men was largely dependent upon, and would tend to instill into the mass of the Negro people habits o£ system and fidelity in the small details of life, and that these habits would bring with them feelings of self-reliance and self-respect, which are the basis of all real progress, moral or material, I have said that the meeting was practical. This- spirit was expressed by a certain well-intentioned dele- gate who said to the assembly : " You do not look like a set of men who are interested in resolutions. Thank God ! you look to me like men interested in executions! " An idea of the temper of the meeting, and of the effect which it produced upon those who were present can be had from the following extracts from a writer in the Boston Transcript : — " The silly, uneducated, shiftless Negro puts his pay on his back: the business Negro puts his pay in the bank. Here were men who had penetrated the real secret of success; men who understood that the only- sure basis of progress is economic, men who would sacrifice to-day's indulgence for to-morrow's Independ- A THE NEGRO IN BUSINESS 271 ence. The spirit of the whole occasion was distinctly .hopeful. No one 'cried baby.' Regarding material advancement as the basis of every other sort of prog- f ress, the convention listened eagerly to every account I of Negroes, once poor, who had now built houses, I bought land, opened places of independent business, and established solid bank accounts. Repeatedly it [ was pointed out that men born slaves had actually be- come rich ; also that the total material progress of the Negro race had been accomplished in only thirty-five years — a happy augury for the future ! " And think what this orderly, decorous, well- dressed, educated assemblage represents! Think of the change brought about by thirty-five years of Ne- gro progress — slaves, freedmen, laborers, capitalists, reformers, leaders of a struggling race, and all in scarce more than a generation of time! Thhik of the millions who are stil! coming up; the millions who have in them the possibilities of success ; the millions whom we must judge by the standards of the business convention and not by the standards of the criminal court. The convention, now that it has come and gone, leaves a memory of heroic hopefulness and pa- tience." From the success of the meeting at Boston, it was evident that the organization of the National Negro Business League was a step in the right direction. It set going a most earnest and active inquiry among our ' people as to each other's success, and brought to view. I from far and wide, many business enterprises which THE NEGRO IN BUSINESS were not known beyond Uie immediate vicinity in which ihey were located. The second annunl convention of the Business League met in Chicago, III., on August 21, 1901, for a three days' session. Nearly three hundred dele- gates, representing twenty-five states, were in attend- ance, A considerable proportion of them were from the West, whereas in the first convention a majority were from the East. This showed that the organiza- tion, by meeting at Chicago, had widened its influ- ence, The League was welcomed to the city by repre- sentatives of the Governor of Illinois, and the Mayor of Cliicago. President McKinley sent a kindly let- ter regretting his inability to be present. As at the first meeting, the sessions were largely taken up by addresses on the part of chosen delegates on the va- rious lines of business in which they were engaged. The excellence of these addresses may be known from the list of those who spoke, which included men like Theodore W. Jones. W. L. Taylor, Charles Banks, S. R. Scottron, L. G. Wheeler. J. C. Napier, R. H. Boyd, C. H. Smiley, and John S. Trower. Between the Boston meeting and that at Chicago, many new business enterprises sprang up among mem- bers of the race, thus showing the value of the in- spiration and the quickening of interest which only the bringing together of those who were already en- gaged in business could impart. The third session of the Business League was held in Richmond, Va., on August 25, 26, and 27, 1902. About two hundred delegates were present, represent- THE NEGRO IN BUSINESS 273 I ing twenty-six states. The practical aims of the meet- I ing were indicated by the president in his annual ad- | dress. ' I am glad to say," he said, " that this Business League is composed of workers and not mere talkers. ' Those who are taking part in the program during the I three days' session have been asked to do so because I of the fact that they have actually succeeded in demon- 1 I strating their ability to succeed in some line of in- L dustry. AVe have no one on the program who is to j I advise others to do that which he himself has not done. I For the most part, those on the program will tell i I plain simple way how they themselves have built up ' I from a small beginning large and successful business j enterprises which have helped to secure for them the | respect and confidence of both races in their communi- 1 ties. It would be comparatively easy to have men of j I eloquence and enthusiasm speak to you for hours, tel!- ling you how to do something which they themselves I I have not done, but we have determined to have only I I those represented on the program who have actually ] I succeeded." The addresses, which followed the lines of those of , \ the two previfjus meetings, were delivered by such men [as W. P. Burrell, H. A. Tandy. A. C. Howard, Dr. I J. W. E. Bowen, Rev. Preston Taylor, Judge Robert I I H. Terrell, J. E. Bush, and Giles B. Jackson. The fourth annual session of the Business League! k-was held in Nashville, Tennessee, on August i9th,l I 20th. and 2lst, 1003- Over two hundred delegatesT [ were present. It must be remembered that many ofB I 274 THE NEGRO IN BUSINESS these deleg;ates came as representatives of local busi- ness leagues, whose membership is often quite large. I I think I am safe in saying that the two hundred dele- gates at Nashville represented three thousand men and I women of our race who are engaged in business. Never were kindlier addresses made to colored au- J iliences by white men than those made by Mayor-elect Williams of Xashville; Mr, H. C. Collier, president o£ \ the Chamber of Commerce of Nashville, and Mr, J, L. DeMovilie, president of the Retail Merchants' Asso-"| ciation of Nashville. The meetings were held in the Hall of the House of Representatives of Tennessee. Among those who delivered addresses were Philip A. Payton. Jr., Edward C. Berry. Dr, John H. Smythe, Fred. R. Moore, and M. S. Alexander, Mrs, Fannie Barrier Williams, writing to the Chicago Unity con- , cerning this meeting said : " lb was an excellent tonic for drooping and discouraged spirits to be in this brac- ing atmosphere of optimism as expressed by this ad- vance guard of practical prosperity and wealth-accu- mulating strength. Whatever may be said by the 1 preachers of despair and the false prophets of evil I concerning the future of the Negro race in this coun- try, these steady and silent workers for success in every nook and corner of the South are developing the only real and tangible defense against all possible adversity and opposition. The business interests represented at | the Nashville convention, interests created by the mem- bers of the League, and belonging solely to its mem- bers and associates, w-ill measure up to over $2,000,- 000. From the Wall street standpoint this is notj THE NEGRO IN BUSINESS 275 much, but from the standpoint of men who are merely- learning to live and learning to be something in a nation of great things, it is all-important and inspir- ing. The next session of the Business League was held in Indianapolis, Ind., on August 31 and September i and 2, 1904. Over two hundred and fifty delegates were present, from almost every state in the Union. The organization was welcomed by Hon. Chas. W. Miller, attorney-general of Indiana; Hon. John W. Kern, Democratic nominee for the governorship of Indiana, and Mayor Holzman of Indianapolis. During the past five years the work of the Business League has greatly extended through the influence of Local Business Leagues in various parts of the country. There are at present 320 of such leagues. During the coming year or two, an effort will be made to systemize their work and give it a more definite character than it has had in the past. CHAPTER XXVI THE NATIONAL NEGRO BUSINESS LE.\GUE IN NEW YOKK One of the most successful sessions of the Business League was held in the Palm Garden, 58th street and Lexington avenue, New York. August 16, 17 and 18, 1905. It was accounted the biggest, most representa- tive and useful meeting the league has ever held, and that is why I refer to it at length. There were nearly , 400 delegates present, representing thirty-one states and the Republic of Santo Domingo. Pennsylvania sent thirty-five delegates. New York and Virginia thirty each. Probably every considerable Negro com- munity in the United States except Louisiana — and possibly every business interest of any particular inv portance was represented. At the opening meeting letters were read from the President of the United States, Theodore Roosevelt, and from the Governor of New York, Hon. Frank W. Higgins, which indicated Interest in the work of the League and appreciation of the importance of the movement it represented. The letter of the President in particular was so wholly in sympathy with the purposes of the league that it is worth quoting here, merely for its Intrinsic value and as an indication of what one of the wisest 276 BTBAK, BBOOKI-TII. IB) WiLLUH U. IlAVIh, , t4) F.H.Gil . , 11, ST»MOOBiPHKll. WUHIMOTON, {91 B. C. HOUBTOM. Al-IMANT KAH. Font Wosra, T>x. (T) Kmukt* i, Sodtt. Corhki i EXECUTIVE COMMITTEE K.VT[OSAL NEGRO BUSINESS LEAGUE. (II J B. B«I.I., HOD»roN, TU. (2) S. E. CUVBTKBT. M. D.. Bobtob. M*bb. (S W.L. liixott.Breaaoiiij.V*, (4)T. TBI Ifi) J. C. jAosaOK. Lxxno- . Penbacola. PiA. (8) G. P. Boo«», ColOudo SrsiWeS, CdL. (8) S. A. irCBHIsa, U. D,, IirDIiMiMLIB, iKl). (10) JOHI Bubs. Littlb Rock. AWt. (.ll> Jik«b C. Napub, Nabbtillb. Tbo. (S) N. T nil. «. I THE NEGRO IN BUSINESS 277 ' and most sincere friends of our race hopes and desires for us. The letter was as follows : Oyster Bay, N. Y., August 12, 1905. My dear Mr. SCotl: — I wish all success to the National Negro Business League. Your organization is absolutely out of poli- tics ; and in stimulating activity among your people and working to increase their efficiency in the industrial world it is also doing far-reaching work in the way of giving them a realizing sense of their responsibilities as citizens and power to meet these responsibilities. I need hardly say that I put moral betterment above physical betterment. But it is absolutely impossible to do good work in promoting the spiritual improvement of any race unless there is a foundation of material well-being, because this foundation necessarily implies that the race has developed the root qualities of thrift, energy, and business sense. It is as true of a race as of an individual that while outsiders can help to a certain degree, yet the real help must come in the shape of self-help. The siiccess of your organization ^nd the develop- ment among our colored fellow-citizens of the very qualities for which you stand will mean more for the solution of the race problem than any philanthropic efforts merely from outside could possibly do. Wishing you all success, I am. Sincerely yours, Theodore Roosevelt. Mr. Emmett J. Scott, Corresponding Secretary, National Negro Business League, New York, N. Y 278 THE NEGRO IN BUSINESS Later in the course of its proceeding;s members had an opportunity to hear a number of prominent New York business men, whose achievements in the busi- ness world made their encouragement and advice es- pecially interesting and valuable. Addresses were made by such eminent citizens as Mr. Osvk'ald Garri- son Villard, of the New York Post, who was particu- larly welcome to the members of the leag^ie because he happens to be a grandson of William Lloyd Garri- son ; by Hon. John Wanamaker, Mr. Robert C. Ogden and Mr. George Foster Peabody. Some of the things these men said were so important that they deserve to be quoted here. They will contribute something to define the purposes and indicate still further the pos- sibilities of the Business League. Mr, Ogden said, among other things : " I am a working man, and — putting it man and boy together — I have not been out of daily employ- ment for a period (let me see, I have education enough to work out the problem) — I should say for fifty-two years. (Great applause.) Yes, for nearly fifty-three years I have been engaged in daily work, and I have come from my daily work to this meeting of the Busi- ness League, simply as a business man — not to make a speech but to have just a little friendly talk for the benefit of us all. (Applause.) " I feel that it would he almost an impertinence to come here with a formulated speech. It has been my privilege during the last few days to look over the newspaper reports of the meetings of this league, and ' I have been very deeply impressed by the wisdom and . THE NEGRO IN BUSINESS 279 * the common sense that has been expressed from this I platform; and, therefore, I feel that it would be an impertinence on my part to attempt to add anything to the very excellent statements, based upon actual ex- perience, and the very logical deductions from those experiences that have been made here during the last two days. I do say, however, with a great deal of interest, that I am gratified and very much impressed by two or three facts concerning the convocation of this league in New York. First, that it is in New York, We know that there is a great deal of pro- vincialism in New York. I sometiines like to discuss with my friends the provincialism of the metropolis; that, however, has nothing to do with the present oc- casion—but the fact that NEW YORK is NEW YORK, and is the metropolis makes powerful and influential anything that New York takes hold of. Therefore, I am immensely gratified that the public press and the thinking people of New York have taken hold in their sympathies and in their thoughtful in- terests, of this convention, of this league, because the fact that it is here, — the fact that the best part of our press is fully reporting your proceedings, and the ablest of our editors are discussing your proceedings each day and deducing therefrom lessons of value that will add to the force and value of this league, in rela- tion to the people of the United States. (Applause.) Again, I am gratified, as one that is deeply interested in all the things that are before you here, for the splendid way you are addressing the country. Then, too, it is interesting to note the progress ihat is being THE NEGRO IN BUSINESS made in so many lines of industry. I know perfectly well the handicaps and the limitations that so many of the race represented here have to work under before they can reach success. But I have been deeply impressed for a number of years with the fact that no man in America has equal opportunities for useful- ness with the intelligent, conscientious, devoted and patriotic colored man. (Long applause.) The op- portunity that is open before him may lead through paths of self-sacrifice, may lead through difficulties and trials, and may never have a brilliant outcome at the end; but his opportunity for downright and real use- fulness is the greatest opportunity, I think, that Amer- ican civilization offers to-day, because of the power and the influence of a man of the Afro- American ract upon others who need his influence; and in needing hiafl influence so many of them create the power for goodn that lies In his hands. This has been a conviction of mine for a very long while, and while I honor every channel of education, while I would not put the slight- est limitation upon the opportunities of any man, while all should have equal opportunity for the very best that America has to offer, I yet feel that the whole develop-. ment of education, that the whole power of higher edu- cation rests fundamentally upon material interests. Not that money is of itself the great thing, but moneyj is the power and is the illustration of what characters and perseverance can do, so that material prosperity 1 underlies all sorts of progress. We know perfectly ^ well that commerce is the hand-maid, the twin sister j of education; we know tliat throughout the world , THE NEGRO IN BUSINESS 281 » where the nations are uuciviHzed and barbaric there is no commerce in its real sense. Where commerce goes there civilization follows. And it is the same principle throughout our body politic, that where there is com- mercial success there is made the opportunity of in- tellectual development, of mental progress, of develop- ing civilization. So if I have been able to state this principle in any way that makes it clear, I think it will be recognized as a resulting conclusion that wherever the facts of material progress are brought together in such a way as to be evidence of a real, substantial, material progress that exists in fact, there we have the basis of all the development of intelligence and of civihzation. So I welcome with a degree of enthu- siasm that I can hardly express, this meeting of this Business League in New York. . . . The great I mass of the men who have to-day great material pros- I perity have been the men that have lifted themselves and in lifting themselves, have hfted the communities around them. They have cheapened transportation, they have made some facility that has made life richer. Who has been made poorer by the invention of the Bell telephone? Who has been made poorer by any of the inventions of Edison? No one. Thousands, I may say possibly tens of thousands have been made richer by the intellectual development of these men, by the genius they have put into things. And there- fore, I think that out of it all may come the thought that we are living in a time when it is a splendid time to live, and living in a business world because of the opportunities it offers not only for personal ad- 282 THE NEGRO IN BUSINESS vantage, but also for the uplift of the community and of the health of our environment. . . . " But I should like to go back just in this closing word to the beginning of what I tried to say, that aUhougli the limitations are great and the handicap is heavy, and although you have a great many friends who are sympathizing with you — there is no use of fighting prejudice with opposition; opposition is the food upon which prejudice feeds. Kindness and pa- tience and sound common sense will win in the long run — and although the way may be painful and slow, and although there are many sympathizing friends that, in ways you do not know, are striving to make the limitations lighter and the path smoother, yet out of it all the intelligent colored man of America measured by the divine standard, has the greatest op- portunity for usefulness that lies before any Ameri- can." (Great and prolonged applause.) No speech during the session of the league seemed! to make a deeper impression than the plain talk of ' Mr. John Wanamaker. " You are beginning,"^ said Mr. Wanamaker, " at the best time that America has ever had. You are beginning with great friendships and great hopes for your success. "You are at a mo- ment of great responsibility because the world is watching closely every step you take to measure your capacity for citizenship and for a right to the place that you claim to walk along in the conduct of business i with other men. " The very existence of this Bvisiness League leaves { upon its face an indictment against expectation of ' THE NEGRO IN BUSINESS I progress by chance, by favoritism, by sympathy. You cannot afford to stop for a single minute in longing to become the ward of the nation, to be paid for serv- ices that you did in the war. to be considered because of any handicap that you may feel to be upon you. I believe that it has been proven that every dependence upon the politics that invites you to make successful homes and successful businesses has been a disappoint- ment to you. (Applause.) The great dream that I you are to be lifted and carried has been exploded, (Applause.) You are like a man that was kicked by \ a mule. You were not quite so handsome afterward, but you have learned a great deal. . , , " I remember very well when Philadelphia had among its business people splendid colored men. Their very names were a passport in any place of business where they presented the card of William Still (ap- , plause), and many others whose names are familiar to you and to me. Age and time have changed the scene in every city, and those old business men, cot- ' ord men, many of them, lost their businesses before they passed away. How did they lose them? I be- lieve that they held such a reputation in the city that, as I said before, the city was proud of them. They were splendid men but they lost their businesses, and as an old business man, I am speaking the fact : They lost their businesses because the Swiss, the Germans nd others who were Americans and were white men. did that same business better than they did it. Their ' color had not the least thing to do with it. (Ap- plause.) If you want names and locations I can give 284 THE NEGRO IN BUSINESS them to you readily. But I am afraid that I should "I speak too long should I continue. "" I have learned a great deal from colored people. They were my early friends. . . . There was a-jl very fine old colored woman in Philadelphia that I-l thought a great deal of ; she was old enough to be my 1 grandmother and she did claim relationship with me. Her hair was kinky, her bonnet was old-fashioned — an old-fashioned quaker bonnet and I remember very well that at that time these little short plush capes were very fashionable in Philadelphia; they had just learned to make a cheap kind of seal skin and old Aunt Hannah would go about with her basket doing her work. She was very much in earnest about not having a cape. And so she got into several houses where they were cutting out and making these capes for the children and everybody liked her so much that she had no trouble in getting them to give her a num- ber of scrap pieces of the goods, and with the pieces thus obtained from several houses, she made a very ■ interesting little cape. It was not the most beautiful J cape in the world, it did not quite go all around but! it was warm and it covered a good heart. (Ap- plause. } She was passing along Eighth street one day ; she was always welcome at my mother's house, and she told us of a certain experience she had one day when she heard some people on the street who were behind her and they seemed to be finding a great deal -of amusement out of her newly made cape : she said she looked around to see who it was and she saw a young man and a girl, and she supposed them to be ■ THE NEGRO IN BUSINESS 285 1 and wife (they were so happy together) and she heard them talking, and she said she walked a little slow and as they kept on talking about her new cape — having great fun — they came right up to where I the old lady was and just as they passed, the man turned and said, ' Auntie, what is your cloak trimmed with?' (hardly suppressing his laughter) to which the old lady, making the lowest bow that was possible for her to make, said in reply : ' With good manners, sir.' Old Aunt Hannah teaches me to-day that it would not be good manners for me to interrupt your business beyond the expression of my warmest in- terest in the start you have made. . " I do not believe for myself that I would ever 'mark a man down (no. I won't say that, for you might not understand what I meant when I say mark a man down) I mean to say rather that I would not write him down as a NEGRO lawyer, or a NEGRO preacher, or a NEGRO banker. The question is, does he understand law, can he properly conduct the case, is he honest ? If he is a baker, the question should be, ■ Does he make good bread? ' Does he get there on time; can you depend on his word? These are the tests. I think it is rather a disadvantage for a man to be simply known as a very smart man or a very smart Negro; he wants to be a very true man, a very thorough man if he means to succeed, to do it along ■ the lines of the thousands of splendid men that have made New York city, the nation's metropohs, what it is — the greatest city iu the world for commerce to-day — the greatest for finance — the greatest for 286 THE NEGRO IN BUSINESS enterprise, and yet if you go back to the beginnings of these magnificent businesses in old Wall street and throughout this whole city, you will find that they were built upon very small foundations but very solid ones. You will find that almost every great fortune from Vanderbilt's down had its beginning with very small details that were faithfully done. The greatest bankers in every city in the world have a history which reveals the fact that the foundations of their businesses were laid by men with very small means. Some of the bankers commenced as peddlers but they did not spend their time as some of the colored people (and also some of the white people in Philadelphia) do — on the street corners smoking cigarettes; they did not come an hour and a half behind time with some excuse for the non-performance of some duty; they were men who made their names to count for something and you must do exactly the same thing. There is no set of principles for the white man dif- ferent from that of the black man. It is precisely the same thing. . . . " If you realize that there is a MAN in- side of you and that the world does not want so much to add to its population as it does to have more MAN inside of every man, making the man more of a man and making him more useful as the days go on — -'if you will do that we will strike hands together because our hearts are one to make this the greatest country in the world. And every man that believes that and stands by it, whatever the difficulty is, is a THE NEGRO IN BUSINESS 287 sharer in the destiny of our country and In its com- ing glory." (Loud and long applause.) I have quoted at considerable length the speech of Mr. Wanamaker because it puts in plain, simple and eloquent terms what seems to me the essential mean- ing of the Business League and because coming from a man of the wide experience and business sagacity of Mr. Wanamaker is testimony that in this organization we are on the right track. At the opening meetings of the sixth annual session of the league addresses of welcome were made by Hon. Charles W- Anderson, Collector of Intenjal Revenue for the Fifth District, New York City; and by Acting Mayor of New York, Hon. Charles V. Fornes, Mr. Anderson speaking in behalf of the New York Business League and Mr. Fornes on behalf of the city of New York. The invocation was pro- nounced by Rev, W. H. Brooks, pastor of St, Marks M. E. Church, An interesting part of the opening exercises was the singing of a Negro anthem, com- posed by J. Rosamond Johnson, of the theatrical firm of Cole & Johnson. The anthem was sung by mem- bers of the Williams and Walker Glee Clnb, which acted as a sort of choir to the league, furnishing music at appropriate periods during the sessions. The papers read at the last session of the league were undoubtedly more interesting and important than those read at any previous meeting. An interesting fact brought out in the paper of Rev. W. R. Pettiford, president of the Alabama Penny Savings and Loan Company, of Birmingham, was that THE NEGRO IN BUSINESS since the first meeting of the Business League in 1900, no less than fourteen new banking institutions have ' been established in different parts of the South by Negroes. These banks, as appeared from Mr. Petti- i ford's report, have been estabhshed largely as a re--| suit of the indirect influence of the National Negro ' Business League. Other papers indicated that the discussions at the League meetings have encouraged some of its more thoughtful members to make special studies of conditions in their localities, with the pur- pose of seeking out and directing attention to the in- fluences in their communities that are acting for and against the welfare of the race. Such for instance, were the papers of S. Laing Williams, of Chicago on " The Chicago Strike and Negro Labor," and that of D. Macon Webster, of Brooklyn, on the " Business Interests of Greater New York." One of the most interesting papers of the session was that of William Alexander, of Little Rock, Ark., a portion of this is reproduced in another chapter. Wholly different in character was the address of H. T. Kealing, of Philadelphia, entitled, " The Place of Failure in Success." In this paper, which was full of wit and shrewd observation, Mr. Kealing illus^l trated by specific example the value of experiencefT particularly hard experience, in the future success of individuals and of our race as a whole. The proceedings were naturally not without a touch of humor. In this instance this element was fur- nished by the "opera house man" of Sullivan, Ind.,,: J in bis quaint account of the curious assortment nf busi-. THE NEGRO !N BUSINESS nesses in which he and his associates were engaged. Besides " the only opera house in Sullivan," Mr. Bass owns and conducts two barber shops, handles barber supplies and operates a livery, feed and sale stable. He and his associates own a brick hotel of twenty-five rooms and in addition own twelve dwellings. Finally he is proprietor and manufacturer of the Bassonian British Lustre for the hair. All this indicates at least a commendable disposition to try experiments and gain experience in various directions, which at this stage in the progress of our race is a valuable element in our future success. Other interesting papers were read. Those already mentioned, however, will indicate the variety and gen- eral character of the matters that are considered at the meetings of the league. The following are the officers of the league elected at the last session held at Atlanta, Georgia, in August, 1906; President, Booker T, Washington, Tuskegee Insti- tute, Ala. ; First Vice-President, Ira O. Guy, Topeka, Kansas; Second Vice-President, Dr. S. G. Elbert, Wilmington, Del.; Third Vice-President, Charles Banks, Mound Bayou, Miss,; Fourth Vice-President, F, D, Patterson, Greenfield, Ohio; Corresponding Sec- retary, Emmett J. Scott, Tuskegee Institute, Ala. ; . Treasurer, Gilbert C. Harris, Boston, Mass.; Compiler, S. Laing Williams, Chicago, 111.; Registrar, F. H. Gil- bert, Brooklyn, N. Y. ; Official Stenographer, William H. Davis, Washington, D, C. ; Transportation Agent, Field Adams, Washington, D. C. 290 THE NEGRO IN BUSINESS Executive Committee : — T. Thomas Fortune, Red Bank, N. J., Chairman; Dr. S. E. Courtney, Boston, Mass.; J. C. Jackson, Lexington, Ky. ; J. C. Napier, Nashville, Tenn. ; W. L. Taylor, Richmond, Va. ; W. O. Emory, Macon, Ga. ; J. E. Bush, Little Rock, Ark. : P. A. Payton, Jr., New York, N. Y. ; Theodore W. Jones, Chicago, 111. ; S. A. Fumiss, Indianapolis, Ind. : M. M. Lewey, Pensacola, Fla. ; N. T. Velar, Brinton, Pa. THE NEGRO IN BUSINESS PART II PROGRESS OF THE AMERICAN NEGRO During the past twenty-five years the Southern Ne- gro has made substantial progress in many directions, has responded unmistakably to the demands of Ameri- can civilization. Some measure of this . progress is to be found in the answers to these questions : 1. Has the Negro, succumbing to a competition too severe, exhibited tendencies to die out, as has, for ex- ample, the Maori population of New Zealand ? 2. Has the Negro, with reasonable rapidity, be- come more intelligent ? 3. To what extent has the Negro bought homes? 4. In his occupations is the Negro advancing to higher levels? The facts show pretty plainly that, severe to htm as is competition with many races which centuries have made more efficient, the Negro holds his own with dogged persistence. In 1880 there were 6.580,- 789 Negroes in this country; twenty years later we find this number increased to 8,840,789 an increase of 2,259,996 souls, or 34,3 per cent. Certainly a new born race that can merely maintain its numbers in the face of the severest competition the world can boast, deserves praise; but what shall be said of my race? It has not merely maintained its numbers, but 293 I i 294 THE NEGRO IN BUSINESS has actually grown 34.3 per cent, in twenty years. course the Africanization of this republic is not im minent. It is true that in Arkansas, Oklahoma, Mis-^ sissippi. Alabama, Florida, West Virginia, the Negrc element has actually increased faster than the natiA/i whites of native parents ; but despite this fact, in the^ South Atlantic states as a whole — Delaware, Mary-F land, District of Columbia, Virginia, West Virginia, I North Carolina, South Carolina, Georgia, and Flor- ida — the native whites of native parentage increased 29.2 as against 19.9 per cent, for the Negro element. As an element in the total population of the country, the Negro race has steadily decreased since the first census — '790. (The only real exception to this statement is the year 1810, in which the population of Negroes was larger than in 1800 owing to the large importations of slaves, before the restriction of the slave trade in 1S08.) Thus in 1880 the Negro ele- ment was 13. 1 per cent, of the total population, but in 1900 only 1 1.6 per cent. In the matter of numbers this is clearly " a white man's country," and yet the Negro race is steadily advancing, and in two decades has increased in number 34.3 per cent. The Red In- diatii of America and the Maori of New Zealand are not precedents for the Negro of the United States. Neither death nor deportation will benevolently as- similate the Negro into non-existence; the Negro is' here in America, and here to stay. His well being and continued progress are essential to the welfare of the republic. This solidarity of interest has been splendidly rec- THE NEGRO IN BUSINESS 295 ognized by the white people of the South. I be- lieve that the Southern white people realize more and more dearly the fundamental idea of the American common school — that all of the property of the state should educate impartially all the children of all the people. It is not merely the man who enters the tax office who really pays the taxes ; the laborers, .each of whom pays one quarter cent more to the pound for a commodity because of a license tax, really pay the license tax, however indirect the payment. The moral idea that underlies the American common school and the actual incident of taxation — these two things are winning; increasing recognition in every one of the Southern States, Moreover the value of land is largely determined by the relative intelligence and consequent efficiency of the laboring population; and the Kegro constitutes a very large percentage o£ the South's labor. Since 1880 $105,807,930 have been spent for the Negro schools in the former slave states. In the school year. 1879-80, $2,120,485 were spent for colored schools, and in igoo-oi, $6,035,550 — an increase of $3,915,065, or almost 2S5 per cent. In 1879-80 the expenditure per capita of the school population for the colored was $i,or, but 1900-01, $2.21. It is true that in the latter year the white child received $4.93 or considerably more than twice the amount received by the colored child. I believe, nevertheless, that the w^hole South is interested in the spread of Negro education. Negro illiteracy is a stain that the schools are rap- idly washing away. Though constituting only 13.1 296 THE NEGRO IN BUSINESS per cent, of the total population in 18S0. the colored population bore the burden of 51.6 per cent, of the illiteracy. Though 70 per cent, of the colored pop- ulation were illiterate in 1880, only 45.5 per cent. were illiterate in 1900 — a magnificent progress for the South and the Negro. It is true for the whole country that only 4.6 per cent, of the native white population were illiterate in 1900, as against 44.5 per cent, of the colored, but the South is determined to lessen this immense handicap upon the Negro just as rapidly as possible. During my efforts toward the uplift of some part of my race, I have had reason again and again to recognize that the mere ability to read and write is not all an American citizen must have; he must be and he must have sound moral character. Too often members of my race have been content with merely being " smart," I am glad to say that in many schools in the South carpentry and gardening have been emboldened to stand erect in company with reading, writing and arithmetic. But aside from these matters, the Negro has progressed since 1880 in literacy in the most gratifying way; to appreciable extent progress in Hteracy indicates prog- ress in intelligence, in character, in general efficiency. The schools have greatly aided the Negro in the buying and proper maintenance of homes. The white or black man, by the sweat of whose brow a home has been bought, is, by virtue of that fact, an in- finitely better citizen. Under authority of a special act of Congress, investigation concerning the pro- prietorship of homes was first made in 1890. THE NEGRO IN BUSINESS 297 In i860 the Nei without a home of his own, without capital, without thrift, with nothing like proper appreciation of the value of a home. And yet in 1890, of the homes occupied by Negro heads of families, 18.7 per cent, were owned — an immense ad- vance in civilization, and all in thirty years. More- over, of the homes thus owned 88.8 were owned ab- solutely free of all encumbrance. The significance of this fact is rendered more clearly when you consider that only 71.2 per cent, of the homes occupied by white heads of families in that year were owned. In the decade 1890 to 1900, the Negro heads of families " increased their ownership of homes to 21.8 per cent, and of this increased number, 74.2 per cent, were owned as against 68 jier cent, for white heads of families. I am unaware that history records such an example of substantial progress in civilization in a time so short. Here is the unique fact that from a penniless population, just out of slavery, that placed a premiuni upon thriftlessness, 372,414 owners of homes have emerged, and of these, 255,156 are known to OAvn their homes absolutely free of encumbrance. In these heads of Negro families lie the pledge of my race to American civilization. In the occupations in which the Negroes are en- gaged, are they advancing to higher levels? Of the wage-earners in the whole country in 1900, 14,3 per cent, were colored. As compared with the other ele- ments the colored element has the largest proportion engaged in agricultural pursuits and in domestic and personal service; and the smallest proportion in pro- 4 29S THE NEGRO IN BUSINESS fessional service, trade and transportation, and manu- facturing and mechanical pursuits. The census of J900 shows that about 34 per cent, of the Negro wage earners of the United States are agricultural laborers; tliis is a fact fundamental in any solution of the race problem. About 19 per cent, of the Negro wage- earners are farmers, planters and overseers ; and about 14 per cent, are laborers (not specified) : about 12 per cent, were servants and waiters; about 6 per cent, laundresses and launderers ; and every other class of Negro wage-earners constitutes less than 2j/ per cent, of the total. From this rather detailed state- ment it is clear that the Negro is chiefly represented in agricultural labor — 34 per cent, of the Negro wage-earners were, in 1900, agricultural laborers and ' 19 per cent, were farmers, planters, and overseers;. these two groups thus accounting for 53 per cent. of'"J the total wage-earners. An examination of the Ne- ■ gro in agriculture will therefore be an examinatioa J of the great masses of the race. In the United States as a whole in 1900, 746,717! farms were operated by Negroes; 27.2 per cent, of* the farms in the South Central division and 30 per cent, of the farms in the South Atlantic division were operated by Negroes; 33 per cent, of the farms in Florida; 39.9 per cent, of the farms in Georgia; 42.1 per cent, of the fanns in Alabama; 50.2 per cent, of the farms in Louisiana; 27.2 per cent of the farms in Mississippi were, in 1900, operated by Negroes, The Negro, therefore, is of fundamental importance in American agriculture. Of the Negro farmers in THE NEGRO IN BUSINESS 299 the United States 70.5 per cent, derived their prin- cipal income from cotton, 12.4 per cent, from miscel- laneous products, 6.9 per cent, from hay and grain, 4.1 per cent, from live stock, and 2.6 per cent, from tobacco. In the South the Negro farmers were al- most wholly occupied with growing cotton and corn. An investigation of the black fanners and laborers in the cotton belt of the South is an investigation of the great mass of the Negro people in America, For many reasons it is most convenient to compare ! conditions in i860 rather than in 1880 with condi- I tions in 1900. The census for 1900 contains a considerable body I of evidence that I might use for testing the progi'ess I of the Southern Negro in agriculture. Thus, in 1900 about 34 per cent, of the Negro wage-earners in the United States were merely agricultural laborers, and about 19 per cent, of the Negro wage-earners were farmers, planters and overseers. These farmers, I planters and overseers have simply lifted themselves I by their boot straps! They have risen from a low I to a higher level in their occupations and in American \ civilization. I might show how the Negro agricultural laborer I of exceptional ability has become share tenant, then leash tenant, then part owner, and finally owner — all with almost lightning rapidity and against fearful lodds. Moreover I might cite in proof of the progress foi the Negro in agriculture the value of his farm ■products not fed to live stock. Thus in the South At- lantic States 35.5 of the number of farms operated 3O0 THE NEGRO IN BUSINESS by Negro farmers in 1900 had products in 1S99, not fed to live stock, worth $100 and under $235 ; and 30,4 per cent, had products worth $250 and under $500. And in the South Central States 31.6 per cent, of the number of farms operated by Negro farmers had prod- ucts in 1899 not fed to live stock worth $100 and under $250; and 36,7 per cent, had products worth $250 and under $500. This is an enormous advance for the Negro since 1860. But I propose to test the progress of the Negro in agriculture by the severest test — not a comparison with European peasantry, but with native whites with native parents in the Southern States. Certainly no fair-minded man could wish a test more severe: cer- tainly we should be surprised if these native whites of purest stock did not immensely outstrip the Negro. Let us, however, inquire how these two classes com- pare (i) with respect to the amount of cotton pro- duced to the acre; and (2) with respect to the relative number of owners added since i860. The advance of the Negro as an independent factor in the production of cotton is well illustrated by the comparison of results obtained, especially under the two forms of land tenure in which each race exercises. to the same degree, individual judgment in the- cul- tivation of its crops, as cash tenants and as owners. In 1899 the average yield of cotton was 0.397 '^'''° ^^'^ the white owner and 0.36S bale for the Negro owner; 0.403 bale for the white cash tenant, and 0,381 bale for the Negro cash tenant. In each form of tenure the Negro produced only from two or three one-hun- THE NEGRO IN BUSINESS 301 I dredths of a bale less than the white man, and re- ived only 60 cents to $1 less income. In Arkansas [ colored farmers for all three tenures had a greater J production per acre than the white, Mississippi I showed a greater production for colored cash tenants. Three other cotton states agree with these in crediting a higher production to colored share tenants. " Con- sidering the fact that he emerged from slavery only one-third of a century ago," says the wholly dispas- sionate census report, " and considering also his com- parative lack of means for procuring the best lands ' or getting the best results from what he has, this near [ approach to the standard attained by the white man's ' experience for more than a century denotes remark- able progress." Practically all of the Negro owners of farms have become owners since i860; in that year the Negro was landless. In the South Central States since i860 Negro farmers have come to operate as owners and managers 95.624 farms and as tenants 348.805. The farms operated by owners or managers are thus 21.5 per cent, of the total. The per cent, of gain in owner- ship is about half that made by the white farmers ► since i860. These -facts spell progress unmistakably. I In the South Atlantic States in i860 there were 301,- ' 940 farms, practically all operated by white farm- owners and managers. In 1900 there were 673.354 farms operated by white farmers: and of these 450.- 541 were conducted either by farmers who owned the whole or a part of their land, or by hired white man- agers, and 222,813 by cash or share tenants. In 302 THE NEGRO IN BUSINESS forty years the number of farms operated by white farmers increased 371,414 and of that number 148,- 601 or 40 per cent, were those of owners or managers and 222.813 o"" ^ P^"" '^^"t- those.of tenants. At the same time 287,933 Negroes had acquired control of farm land in these states of whom 202,578, or 70.4 per cent, were tenants and 85.355 or 29.6 per cent! were owners or managers. In these eventful forty years the relative number of owners among the Negro farmers of the South Atlantic States has grown from absolutely nothing, three-fourths as rapidly as the rela- tive number of owners among the whites, who in i860 owned every acre of the land. In both the South Cen- tral States and South Atlantic States the Negroes have thus compassed a magnificent achievement. In the short space at my disposal I have simply at- tempted to indicate some of the ways in which the Negro of the South has made substantial progress, and responded to the demands of American civiliza- tioa CHAPTER XXVIII THE NEGRO AND THE I^BOR PROBLEM OF THE iiOUTI! Recent industrial changes bring into prominence two facts, first, that the South is likely for all times to be the cotton center of the world, and second, tbat the continued increase in the use of cotton goods among all nations will give to every acre o£ land in the South a value that it has not heretofore possessed. With these facts in mind a natural inquiry is, what can the Negro do to help forward the interest of the South, and what can the white man do to help the Negro and himself? I shall hope to suggest an answer to both these questions. A few days ago I spent a day in the rural district of one of the counties of Georgia, and heard a great deal of discussion about the scarcity of ef- ficient farm labor. After spending the day in the country, I returned to Atlanta for the night. Between lo and II o'clock I made a tour through Decatur street and several streets in that vicinity. I think I do not exaggerate when I say that I found in and near Decatur street enough people who were not regu- larly employed to operate successfully fifty of the largest plantations in the State of Georgia. This single example would mean little except that it represents 303 4 304 THE NEGRO IN BUSINESS a condition more or less prevalent in practically all of our larger cities and all of our Southern States. As an economic problem, we have on the one hand a surplus of idle labor in the cities and on the other much vacant land, unpicked cotton and a scarcity of farm labor; it is a tremendously difficult situation. The problem of changing these conditions confronts not only the South, but the North as well, and it is not by any means confined to my race. For the pres- ent, I desire to deal with it mainly as it affects my race and the land-owners of the South, be that land- owner white or black. In order that what I may say on this subject shall be of any value to the white man or to my own race, I shall have to ask the privilege of perfect frankness. The many subjects affecting the interest of both races require perfect frankness on both sides. My readers will agree witli me, I think, when I say that it is possible for a Negro to know more of the feelings and motives of colored people than a white man can pos- sibly know. In my recent visit to Atlanta, I did that which I have often done in large cities of the South where-J ever I have found a floating class of colored peopleH'J I made individual inquiry as to why they preferred ani uncertain existence in the city to a life of comparative! prosperity upon a farm, either as owners, renters, or J laborers. While I shaJ! not attempt to use their exact J ■words, I sum up the reasons they gave me in a fewfl sentences. Just now, — at the time I write — the South is i THE NEGRO IN BUSINESS 305 the midst of the season when land-holders are mak- ing plans for another year's crop. Some of the mat- ters that were brought out I shall try to discuss a little fiiHy and maybe with profit to land-owners. In the South as elsewhere, there are two classes, those whom_ labor seeks and those who have to seek labor. The first group is comparatively small, but such a class exists ; but it can and ought to be increased. There I are, in my opinion, two classes of faults as between I white farmers and black labor, One, on the part of the white people, the other on the part of the black people. To find and state faults, however, is easy. To suggest a remedy, one that shall promote the pros- perity and happiness of both races is the aim of this [ chapter, To return to the main complaints of the colored I people as they have stated them to me time and I time again: These people who have talked may I be right, they may be wrong, they may state facts, ' or they may state untruths, but this I know, they I represent the attitude of a large class of the colored I people, who give the following as chief reasons for I leaving the farms : Poor dwelling-houses, loss of earnings each year be- ', cause of unscrupulous employers, high-priced provi- is, poor school-houses, short school terms, poor school teachers, bad treatment generally, lynchings and ' whitecapping, fear of the practice of peonage, and [ general lack of police protection and want of encour- 1 agement.. Let us assume that these conditions do exist in 3o6 THE NEGRO IN BUSINESS some sections, and with certain individual planters. As a mere matter of dollars and cents, if for no higher reason, I believe that it will pay every owner of a. \ plantation throughout the South to see to it that thea houses of the tenants are not only made comfortable-B but attractive in a degree. The land owner who thinkaf that he can secure the best class of colored people; when he provides only a broken-down, one-room cabia! for them to live in will find himself mistaken. Thei chances are that the planter who provides comfortable* houses for his tenants will keep them much longer' and will have a more reliable service. The matter of being cheated out of his earnings at the end of the year is, of course, a complaint that is very hard to discuss, and I know is likely to involve much exag^-j geration, and the more ignorant the aggrieved personi is, the more given is he to such complaints and < aggeration, but I must not conceal the fact that such ' feeling is deep and wide-spread, and I ought to make the same statement regarding the high prices charged during the year for provisions, etc., supplied. Some of the colored people who have migrated into the cities give as their reason for leaving the country the poor school facilities in the rural communities. In practically every large city in the South, the col- ored man is enabled by public missionary and private schools, to keep his child in school eight or nine monthsj of the year. Not only is this true, but the school-^r houses are comfortable and the teachers are efficientj In many of the niral communities, the location of the school-house is far from the home of the child, the-^ THE NEGRO IN BUSINESS 307 building' is uncomfortable, the term lasts but four or five months, the teacher's salary is so small that it generally invites a most inefficient class of teachers. I know one community that has had great trouble this' year in getting cotton pickers and other laborers, and inquiry reveals the fact that the Negro children were in school last year only four months, and the teacher received from the public fund but $ll per month for his services. Under such conditions, who can blame a large number of colored people for leaving the planta- tions of the country districts? Purely as an economic proposition, I believe that it will not only pay the land owners of the South, either as individuals or by united effort to see that good school-houses are provided on or near these plantations, that the schools are kept open six or eight months in a year, and there is a good teacher regu- larly employed ; where the school fund is not large enough to supply a good school-house, they should ex- tend the school term and provide a first-class, moral teacher. Further, it will pay to !ea«! the way in seeing that reasonable facilities are also provided. This, I repeat, will lead to demand for land, and increase of efficiency of the labor force. Financially, there will soon be a great difference in the price of land when there are tenants bidding for opportunities instead of going to cities as now. Wherever it is practicable, I would urge that a primary course in agriculture be given in every county school. This would lead to a love of farm work and country life. n, many are not on the farm as they say. 308 THE NEGRO JN BUSINESS because they have nol been treated fairly. To illus-1 trate: I recall that some years ago a certain white! farmer asked me to secure for him a young colored ] man to work about the iiouse and to work in the field. The young man was secured, a bargain was entered into to the effect that he was to be paid a certain sum of money and his board and lodging furnished aa. | well. At the end of the colored boy's first day on the;! farm he returned. I asked the reason and he said that after working all of the afternoon he was handed a buttered biscuit for his supper, and no place was pro- vided for him to sleep. At niglit he «'as told he could find a place to sleep in the fodder loft. This white fanner, whom I know well, is not a cruel man and seeks generally to do the right thing, but in this case he simply overlooked the fact that it would have paid him better in dollars and cents to give some thought and attention to the comfort of his helper. This case is more or less typi- cal. Had this boy been well cared for, he would have;| so advertised the [dace that others would have soughfel work there. It is too well known that in a few counties of sev- 1 eral of our Southern States there has been such a reign of lawlessness led by the whitecappers and lynchers that many of our best colored people have been driven from their homes and have sought iti large cities safety and police protection. In too many cases tile colored people who have been molested have .been those who by their thrift and diligence have secured homes and other property. These colored THE NEGRO IN BUSINESS 309 people have been oppressed in most instances, not by property-holding intelligent white people, but by the worst and most shiftless element of whites. Have the higher class of whites escaped the responsibility for letting their affairs be controlled by the worst ele- ment? The practice of peonage in a few counties of the South has also caused a fear among an element of the colored people that prevents their going into, or remaining in the country districts that they may be forced to labor involuntarily and without proper re- muneration. I have said that such lawless conditions exists in only a " few " counties in the South, and I use the word advisedly. In the majority of the coun- ties of the South, life and property are just as safe as anywhere in the United States, but the harm comes because of the widespread notoriety that a few lawless communities and counties have given the South, and this serves to spread the idea pretty generally among the colored people that if they want police protec- tion when they are charged with crime or under sus- picion, they must hastily seek the confines of a city. I repeat that fear has stripped some counties of this most valuable colored labor, and left the dregs of that population. In the matter of law and order, my con- stant appeal is that there be hearty co-operation be- J tween the best whites and best blacks. Nothing is clearer than that crime is rarely com- j mitted by the colored man who lias education and owns property. I have not failed either to say to the' colored people on not more than one occasion, " We shall see to it that crime in all its phases is condemned by the 310 THE NEGRO IN BUSINESS , and a public sentiment kept alive that will make it impossible for a criminal to be shielded or protected by any member of the race, at any time or in any place." Few white people realize how far a little encourage- ment goes in helping to make better and more useful citizens of the colored people. Some months ago, I recall that I listened for an hour to a white man in the South who was making a political speech. He was in a state where a revised constitution had dis- franchised nineteen-twentieths of the colored voters and there was not the slightest chance of any political " uprising," or even opposition on the part of the colored people. Yet two-thirds of this man's address was devoted to ridicule and abuse of the colored peo- ple. The sad feature of such an address lies in the fact that in many parts of the country such a speech is taken seriously. To most of those who heard it and those who knew the man in that community, it did no especial harm for the people knew that his talk did not tally with his actions, but he had become so ac- customed to making that kind of speech that he re- peated it by force of habit. This man had drawn his first life's sustenance from the breast of a colored woman, had been reared by one, and at that moment had dozens of the best colored people of that section on his plantation, any one of whom would have laid down his life for him. and the man himself would have fought to the death in the defense of these col- ored servants of his. *ery year these land holders were making him THE NEGRO IN BUSINESS 311 ■ by their patient, faithful labor, and he would trust them with all that he possessed. In this com- munity the Negroes had never made an unavailing appeal to this man for aid in building churches or school-houses, or in supporting a school. Few white men anywhere in the world in their actual daily practice had done more to help the black man. Yet, such a speech read in the newspapers at a distance would give the impression to a thousand colored la- borers that the county in which the speaker lived was for them absolutely unsafe. Such a speech was not calculated to gain a single vote, but it was calcu- lated in my opinion, to lose to the community a good many bales of cotton. I repeat that few understand how much good can be accomplished in the way of helping the colored people to lead law-abiding and useful lives if more white people would take occasion, both in private and public, to praise their good quali- ties instead of reviling and ridiculing them. In regard to the duties and obligations of my own people, I would say that unless they realize fully the opportunities that are before them in the South and seize every chance to improve their method of labor, the time will come when Italians and other foreigners will attempt to displace them in the labor work of the South, just as the Chinese are displacing the Negroes in South Africa. One charge frequently brought against us is that we cannot be depended upon for constant and uninter- rupted labor; that an excursion or other excitement t'ill take laborers from every place where their services 312 THE NEGRO IN BUSINESS are most needed. The complaint is frequently madi that if paid on Saturday night, the laborers will probri ably not return to work until all the cash received has been expended and that on the plantations, the colored ' tenant takes but little interest in caring for the property of the landlord. These things our people should change. The South, I believe, is on the eve of a season of prosperity, such as it has never before experienced, and by nlutual understanding and sympathetic co- operation each of these two races of the South can help forward the interests of the other, and thus cement a friendship between them that shall be an object lesson for all the world, To help toward this end is my apology for speaking so plainly and in such detail. THE NEGRO AND HIS RELATION TO THE SOUTH In all discussion and legislation bearing upon the presence of the Negro in America, it should be borne in mind that we are dealing with a people who were forced to come here without their consent and in the face of the most earnest protest. This gives the Ne- gro a claim upon the sympathy and generosity of the white race that no other race can possess. Besides, though forced from his native land into residence of a country that was not of his choosing, he has earned his right to the title of American citizen by obedience to the law, by patriotism and fidelity, and by the mil- lions which his brawny arms and wilhng hands have added to the wealth of this country. It is a sign of a new era that we can so far forget the past, that the most progressive and intelligent white citizens of the Southern States are wise and brave enough to devote serious attention to the Negro and his relation to the economic progress of the South, It is well, it is praiseworthy, it is wisdom that they do this. No people ever had so much to gain by lifting up a race. No people had so much to lose by the degradation of a race. Although, myself, a Negro and an ex-slave, there is no white man whose heart is more wrapped up in 313 3H THE NEGRO IN BUSINESS Uie interest of the South or loves it more dearly than I do. She can have no sorrow that I do not share; she can have no prosperity that I do not rejoice in. She can commit no error that I do not deplore. She can take no step forward that I do not approve. Different in race, in color, in history, we can teach the world that although thus differing, it is possible for us to dwell side by side in love, in peace, in ma- terial prosperity. We can be one, as I believe, we will be in a larger degree in the future, in sympathy, purpose, forbearance and mutual helpfulness. Let him who would embitter, who would bring strife between your race and mine, " be accursed in his basket and his store, accursed In the fruit of his body and in the fruit of his land." No man can plan the degrada- tion of another man without being himself degraded. The highest test of the civilization of a race, is its willingness to extend a helping hand to the less for- tunate. The South extends a protecting arm and welcoming I voice to the foreigner, all nationalities, languages and j conditions, but in this, I pray that it will not forget the ; black man at its door whose habits it knows, whose i fidelity it has tested. The South may make of others I larger gatherers of wealth, but it cannot make of them I more law-abiding, useful and God-fearing people than the Negro who has been by its side for three cen- turies, and whose toil in forest, field and mine has helped to make it a land of promise and glorious pos- sibility. EuFtire we can make much progress, we must de- THE NEGRO IN BUSINESS 315 cide whether or not the Negro is to be a permanent part of the South. With the Hght that is before us, I have no hesitation in declaring that the bulk of the Negro population will reside in the South. Any hesitation or doubting as to the permanent residence of the race will work infinite harm to the industrial and economic interests of both race. Here, in His Wisdom, Providence has placed the black man. Here he will remain. Here he came without a language, here he found the Anglo-Saxon tongue. Here he came in paganism, here be found the religion of Christ. Here he came in barbarism, here he found civilization. Here he came with untrained hands. here he found industry. " If the Negro in contact with American civilization has done these things dur- ing the years he has been in America, is it not wise to trust still to the Creator, aided by the Negro him- self, to work out his problems and his destiny? " It is not wise that the South should be willing to cease its efforts now and turn the work over to others for completion. Its duty to the Negro will not be fulfilled until it has made of him the highest type of American citizen, in intelligence, usefulness and mo- rality. The South has within itself the forces that are to solve the tremendous problem. It has the climate, the soil and the material wealth. It has the labor to be performed that will occupy many times our present Negro population. While the calls come daily from South Africa, from the Hawaiian Islands, from the North and the West, for the strong and willing arm 3l6 THE NEGRO IN BUSINESS oi tile Negro in the field of industry, the South, its very door, has that which others are energetically seeking. Not only is the South in possession of that which others are seeking, but more important than all, custom and contact have so knit the two races together that the black man finds in these Southern States an open sesame in labor, industry and business, that is not surpassed anywhere. It is in the South alone, by reason of the presence of the Negro, that capital is freed from the tyranny and despotism tliat prevent men from employing whom they please and for that wage that is mutually agreeable and profit- able. It is in the South that that form of slavery which prevents a man from selling his labor to whom he pleases on account of his color, is almost un- known. We have had slavery, now dead, that forced an individual to labor without a salary, but none that compelled a man to remain in idleness while his family starved. The Negro in all parts of the comitry is beginning to appreciate the advantages which the South affords for earning a living, for commercial development and in proportion as this is true, it will constitute the basis for the settlement of other difficulties. The colored man is beginning to learn that the bed-rock upon which every individual rests his chances for success in life, is securing in every manly way — never at the sacri- fice of principle — the friendship, the confidence, the respect of his next-door neighbor in the little com- munity in which he lives. Ahnost the whole problem [ the Negro in the South rests itself upon the ques- THE NEGRO IN BUSINESS 317 n^i as to wheriier lie makes himself of siidi indis- pensable service to liis neighbor, and the community, that no one can fill his place better in the body politic. There is no other safe course for the Negro to pur- sue. If the black man in the South has a friend in his white neighbor, and a still larger number of friends in his own community, he has a protection and a guarantee of his rights that will be more potent and lasting than any our Federal Congress or any outside power can confer. While the Xegro is grateful for the opportunities , which he enjoys in the business of the South, it should be remembered that it is indebted to the black man for furnishing labor that is almost a stranger to strife, lock-outs and labor wars; labor that is law-abiding, peaceful, teachable; labor that is one with the whites in language, sympathy, religion and patriotism; labor that has never been tempted to follow the red rag of anarchy, but always the safe flag of his country and the spotless banner of the cross. But if the South is to go forward and not stand still, if she is to reach the highest reward from her \vonderfuI resources and keep abreast of the progress of the world, she must reach that point, without need- less delay, where she will not be continually advertis- ing to the world that she has a race question to settle. We must reach that point where, at every election. from the choice of a magistrate to that of a Governor. the decision will not hinge upon a discussion or a re- vival of the race question. We must arrive at a period where a great fundamental question of good road edu- 3l8 THE NEGRO IN BUSINESS cation of farmers, agricultural and mineral develo] meiit, manufacturing and industrial and public school education, will be, in a large degree, the absorbinj topics of our political campaigns. But that we may- get this question from among us the white man has a duty to perform ; the black man has a duty to per- form. No question is ever permanently settled until it is settled in the principles of highest justice. Capi- tal and lawlessness will not dwell together. The white man who learns to disregard the law when a Negro Is concerned, will soon disregard it when a white man is concerned. In the evolution of the South, it seems to me that we have reached that period where private philan- thropy and the Christian church of the white South should, in a large degree, share directly in the eleva- tion of the Negro. In saying this, I am not unmind- ful of, nor ungrateful for, what has already beenj done by individuals aTid through public schools. Wh< we consider the past, the wonder is that so mi has been done by our brothers in white. All gri reforms and improvements rest in a large degre^^ upon the church for success. The Southern people" acknowledge that Christianity and education make a man valuable as a citizen, make him more industrious, make him earn more, make him more upright. In this respect, let us see how the three largest white denominations in the South regard the Negro. To elevate the ignorant and degraded in Africa. China, India, etc., these three denominations in the South give annually about $544,000, but to elevate THE NEGRO IN BUSINESS 3 '9 the ignorant, the degraded at their doors, to protect their families, to lessen their taxes, to increase their learning power ; in a word, to Christianize and elevate the 'people at their very side, upon whom in a large measure their safety and prosperity depend, these same denominations give $21,000 — $21,000 for the be- nighted at their doors, $544,000 for the benighted abroad. That thirty-five years after slavery and a fratricidal war, the master should give even $21,000 through the medium of the church for the elevation of his former slave, means much. Nor would I have one dollar less go to the foreign fields, but I would plead with all the earnestness of my soul that the Christian South give a larger attention to the 8,000,000 Ne- groes by whom it is surrounded. Every dollar that goes into the education of the Negro is an interest bearing dollar. For years all acknowledge that the South has suf- fered from the low price of cotton because of over- production. The economic history of the world teaches that an ignorant farming class means a single crop, and that a single crop means, too often, low prices from over-production, or famine from under- production. The Negro constitutes the principal farming class of the South. So long as the Negro is ignorant in head, unskilled In hand, unacquainted with labor-saving machinery, so long will he confine himself to a single crop, and over-production of cotton will result. So long as this is true, the South will be bound in economic fetters; it will be hugging the bear, while crying for some one to help it let go. Every 320 THE NEGRO IN BUSINESS man, black and white in the South, with his crop" mortgaged, in debt at the end of the year, buying his meat from Illinois, his corn from Iowa, his shoes from New York, his clothing from Pennsylvania, his wagons from Indiana, liis plow from Massachusetts, his mule from Missouri, his coffin from Ohio, — every one who is thus situated, is a citizen who is not pro- ducing the highest results for the state. It is argued that the South is too poor to educate such an individ- ual so as to make him an intelligent producer. I re- ply that the South is too poor not to educate such an individual. Ignorance is many fold more costly to tax-payers than intelligence. Every black youth that is given this training of hand and strength and mind so that he is able to grasp the full meaning and responsibility of the meaning of life, so that he can go into some forest and turn the raw material into wagons and buggies, becomes a citizen who is able to add to the wealth of the state and to bear his share of the ex- penses of educational government. Do you suggest that this cannot be done? I answer that it is being done every day at Tuskegee and should be duplicated in a hundred places in every Southern state. This. I take, to be the White Man's Burden just now — no. no, not his burden, but his privilege, his opportimity, to give the black man sight, to give him strength, skill of hand, light of mind, and honesty of heart. If this is done I will paint a picture that will repre- sent the future and the land where the white race and mine must dwell. THE NEGRO IN BUSINESS 32 1 Fourteen slaves brought into the South a few cen- turies ago, in ignorance, superstition and weakness, are now a free people, multiplied into 8,000,000; they are surrounded, protected, encouraged, educated in hand, heart and head, given the full protection of the law, the highest justice meted out to them through courts and legislative enactments; they are stimulated and not oppressed, made citizens and not aliens, made to understand that by word and act that in proportion as they show themselves worthy to bear responsibili- ties, the greater opportunities will be given them. I see them loving their land, trusting it, adding to its wealth, to its intelligence, to the renown of each South- ern commonwealth. In turn, I see it confiding in them, ennobling them, beckoning them on to the high- est success, and all of us have been made to appreciate in full that, ** The slave's chain and the master's alike are broken, The one curse of the race held both in tether ; They are rising, all are rising, The black and white together." CHAPTER XXX THE FRUITS OF INDUSTRIAL TRAINING The political, educational, social and economic evO; lution through which the South passed during;, say; the first fifteen or twenty years after the close of th^ Civil War, furnished one of the most interesting pe^ i riods that any country has passed through, A large share of the thought and activity of the white South, of the black South and tliat section of the North especially interested in my race was di- rected during the years of the reconstruction period towards politics, or towards matters bearing upon what were termed civil or social rights. The work of edu- cation was rather slow and covered a large section of the South; still I think I am justified in saying that in the public mind the Kegro's relation to politics over- shadowed nearly every other interest. The education of the race was conducted quietly, and attracted com- paratively little attention just as is true at the present time. The appointment of one Negro postmaster at a third or fourth rate post-office will be given wider publicity through the daily press than the founding of a school, or some important discovery in science. With reference to the black man's political relation to the state and Federal Governments, I think I am safe in saying that for many years after the Civil 322 THE NEGRO IN BUSINESS 3-23 War, there were sharp and antagonistic views between the North and the South, as well as between the White South and the Black South. At practically every point where there was a political question to be de- cided in the South the blacks would array themselves on one side, and the whites on the other. I remem* ber that very soon after I began teaching school in Alabama, an old colored man came to me just prior to an election. He said: "You can read de news- paper and most of us can't, but dar is one thing dat we knows dat you don't, and dat is how to vote down here; and we wants you to vote as we does." He added, " I tell you how we does, we watches de white man; we keeps watching de white man; de nearer it gets to 'lection time de more we watches de white man. We watches him till we finds out which way he gwine to vote. After we find out which way he gwine'r vote, den we votes 'zactly de other way : den we knows we's right." Stories on the other side might be given showing that a certain class of white people, both at the polls and in the Legislatures voted just as unreasonably in opposing politically what they thought the Negro or the North wanted, no matter bow much benefit might ensue from a contrary action. Unfortunately such an- tagonism did not end with matters political, but in many cases, affected the relation of the races in nearly every walk of life. Aside from political strife, there was naturally deep feeling between the North and the South on account of the war. On nearly every ques- tion growing out of the war, which was debated in 324 THE NEGRO IN BUSINESS Congress, or in political campaigns, there was tliel keenest difference and often the deepest feeling. ] There was almost no question of even a semi-poUtical 1 nature, or having a remote connection with the Ne-I gro upon which there was not sharp and often bitterj division between the North and the South. It is need-"'! less to say that in many cases the Negro was the suf-i ferer. He was being ground between the upper and I nether millstones. Even to this day, it is well nigh] impossible, largely by reason of the force of habit in J certain states to prevent state and even local cam- I paigns from being centered in some form upon the 1 black man. In states like Mississippi, for example, ■ where the Negro ceased nearly a score of years ago, i by operation of law, to be a detennining factor in pol- itics, he forms in some way the principal fuel for cam- paign discussion at nearly every election. The sad J feature of this is, as I have indicated in a previous ] chapter, to prevent the presentation before the masses | of the people of matters pertaining to local and state ■] improvement, and to great national issues like finance, ' tariff, or foreign policies. It prevents the masses from J receiving the broad and helpful education which every « political campaign should furnish, and. what is equally J unfortunate, it prevents the youth from seeing andl hearing on the platform the great political leaders of I the two national parties. During a national cam- 1 paign, few of the great Democratic leaders debate-J national questions in the South, because it is felt that J the old antagonism to the Negro politically will ke^i the South voting one way. Few of the great Re- 4 THE NEGRO IN BUSINESS 325 publican leaders appear on Southern platforms, be* cause they feel that nothing will be gained. But this is somewhat aside from my purpose, which is, I repeat, to malce plain that in all political matters, there was for years after the war no meeting grounds of agreement for the two races, or for the North and South. Upon the question of the Negro's civil rights as embodied in what was called the Civil Rights Bill there was almost the same sharp line of division be- tween the races, and, in theory, at least, between the Northern and Southern whites, largely because the former were supposed to be giving the blacks social recognition and encouraging intermingling between the races. The white teachers who came from the North to work in missionary schools, received for years little recognition or encouragment from the rank and file of their own race. The lines were so sharply drawn that in cities where native Southern white women taught Negro children in the public schools, they would have no dealings with the North- ern white woman, who, perhaps, taught Negro chil- dren from the same family in a missionary school. I want to call attention here to a phase of Recon- struction policy which is often overlooked. AH now I agree that there was much in Reconstruction that was unwise and unfortunate. However, we may regard that policy, and much as we may regret mistakes, the fact is too often overlooked that it was during the Reconstruction Period that a public school system for the education of all the people of the South was. first established in most of the states. Much that 326 THE NEGRO IN BUSINESS was done by those in charge of Reconstruction legisla- tion has been overturned, but the public school system ' still remains. True, it has been modified and im- proved, but the system remains, and is every day grow- ing in popularity and strength. As to the difference of opinion between the North ] and the South regarding Negro education, I find that I many people, especially in the North, have the wrong ] conception of the attitude of tJie Southern white peo- , pie. It is and has been very generally thought that what- is termed "Higher Education" of the Negro, has been from the first op|>osed by the white South. ^ This opinion is far from being correct. I rememberj that in 1881, when I began the work of establishing'! the Tuskegee Institute in Alabama, practically all | the white people who talked to me on the subject took it for granted that instruction in the Greek, Latin, and modern languages would be one of the main fea- tures of our curriculum, I heard no one oppose what ' he thought our course of study was to embrace. In i fact, there are many white people in the South at the | ' present time who do not know that instruction in the ] dead languages is not given at the Tuskegee Institute, In further proof of what I have said, if one would go through the catalogs maintained by the states for Negro people, and managed by Southern white peo- ple, he will find in almost every case that instruction in the higher branches is given with the consent and approval of white officials. This was true as far back , 1880. It is not unusual to meet at this time South- i ern white people who are as emphatic in their belief J THE NEGRO IN BUSINESS 327 1 the value of classical education as a certain element of colored people themselves. In matters relating to political and civil rights, the breach was broad, and without apparent hope of being bridged; even in the matter of religion, practically all the denominations had split on the subject of the Negro, though I should add that there is now, and always has been, a closer touch, and more co-operation in matters of religion between the white and colored people in the South than is generally known. But the breacii between the white churches in the South and North remains. In matters of education the difference was much less sharp. The truth is that a large element in the South had little faith in the efficacy of the higher or any other kind of education of the Negro. They were indifferent, but did not openly oppose: on the other hand, there has always been a potent element of white people in all the Southern States who have stood out openly and bravely for the education of all the people, regardless of race. This element has thus far been successful in shaping and leading public opinion, and I think that it will continue to do so more and more. This statement must not be taken to mean that there is yet an equitable division of the school funds raised by common taxation, between the two races in many sections of the South, though the Southern States de- serve much credit for what has been done. I wish, however, to emphasize the fact that while there was either open antagonism or indifference in the directions I have named, it was the introduction of industrial training into the Negro's education that 328 THE NEGRO IN BUSINESS seenied to furnish the first basis for anything like united and sympathetic interest and action between the] Ivvu races in the South, and between the whites in thefl North and those in the South. Aside from its direct! benefit to the black race, industrial education hss fur-."! nished a basis for mutual faith and co-operation, which J has meant more to the South, and to the work of edu- cation than has been realized. This was, at the least, something in the way of con- struction. Many people. I think, fail to appreciate tlie difference between the problems now before us and those that existed previous to the civil war. Slavery presented a problem of destruction ; freedom presents d a problem of construction. From its first inception the white people of the I South had faith in the theory of industrial education, I because they had noted, what was not unnatural, thatj a large element of the colored people at first inter-1 preted freedom to mean freedom from work with) the hands. They naturally had not learned to appre-- ciate the fact that they had been worked, and that] one of the great lessons for freemen to learn is tol work. They had not learned the vast difference be- 1 tween working and being worked. The white people:! saw in the movement to teach the Negro youth thfii dignity, beauty and civilizing power of all honorable-3 labor with the hands, something that would lead thel Negro into his new life of freedom gradually and J sensibly, and prevent his going from one extreme ofl life to the other too suddenly. Furthermore, indus-1 trial education appealed directly to the individual and'-a THE NEGRO IH BUSINESS 329 community interest of the white people. They saw at once that inteIHgence coupled with skill would add wealtli to the community and to the state, in which both races would have an added share. Crude labor in the days of slavery, they believed could be bandied and made in a degree profitable, but ignorant and unskilled in a state of freedom could not be made so. Practically every white man in the South was inter- ested in agricultural or in mechanical or in some form ' of manual labor; every white man was interested in all that related to the home life,— the cooking and serving of food, laundering, dairying, poultry-raising and house keeping in general. There was no family whose interest in intelligent and skillful nursing was not now and then quickened by the presence of a trained nurse. As already stated, there was general appreciation of the fact that industrial education of the black people had direct, vita! and practical bearin.^ upon the life of each white family in the South; while there was no such appreciation of the results of mere literary training. If a black man became a lawyer. ' a doctor, a minister, or an ordinary teacher, his pro- fessional duties would not ordinarily bring him in touch with the life of the white portion of the com- munity, but rather confine him almost exclusively to , his own race. While purely literary or professional I education was not opposed by the w^hite population, it [ was something in which they found little or no inter- I est. beyond a confused hope that it would result in ] producing a higher and better type of Negro man- [ hood. The minute it was seen that through industrial 330 THE NEGRO IN BUSINESS education llie Negro youth was not only studying chemistry, but also how to apply the knowledge of chemistry to the enrichment of the soil, or to cooking, or to dairying, and that tlie student was being taught not only geometrj- and phj-sics. but their application to blacksmithing, brickmaking, farming, and what not, then tliere began to appear for the first time a common bond between the two races and co-operation between the North and South, One of the most interesting and valuable instances of the kind that I know of is presented in the case of Mr. George \V, Carver, one of our instructors in agriculture at Tuskegee Institute. For some time it has been his custom to prepare articles containing in- formation concerning the conditions of local crops, and warning the farmers against the ravages of certain insects and diseases. The local white papers are al- ways glad to publish these articles, and they are read i ' by white and colored farmers. Some months ago a white land-holder in Montgom ' ery County asked Mr. Carver to go through his farm I with him for the purpose of inspecting it. While do- ing so Mr. Carver discovered traces of what be thought was a valuable mineral deposit, used in mak- ing a certain kind of paint. The interest of the land- owner and the agricultural instructor at once became mutual. Specimens of the deposits were taken to the laboratories of the Tuskegee Institute and analyzed by Mr. Carver. In due time the land-owner received a report of the analysis, together with a statement show- ' ing the commercial value and application of the min- THE NEGRO IN BUSINESS 331 ' eral, I shall not go through the whole interesting story, except to say that a stock company, composed of some of the best white people in Alabama, has been organized and is now preparing to build a factory for the purpose of putting their product on the market. I hardly need add that Mr. Carver has been freely consulted at every step, and his services generously recognized in the organization of the concern. When the company was being formed, the following testi- monial among others was embodied in the printed copy of the circular : — " George W. Carver, Director of the Department of Agriculture, Tuskegee, Alabama, says: — " ' The pigment is an ochreous clay. Its value as a paint is due to the presence of ferric oxide, of which it contains more than any of the French, Australian, American, Irish, or Welsh ochres. Ferric oxides have long been recognized as the essential constituents of such paints as Venetian red, Turkish red, oxide red, Indian red, and scarlet. They are most durable, be- ing quite permanent when exposed to light and air. As a stain they are most valuable,' " In further proof of what I wish to emphasize, I think I am safe in saying that the work of the Hamp- ton Normal and Agricultural Institute, under the late General S. C. Armstrong, was the first to receive any kind of recognition and hearty sympathy from the Southern white people, and General Armstrong was, perhaps, the first Northern educator of Negroes who won the confidence and co-operation of the white South. The effects of General Armstrong's Introduc- 332 THE NEGRO IN BUSINESS tion of industrial education at Hampton, and its exten- sion to the Tuskegee Institute in tlie far South, are now actively and helpfully apparent in the splendid work being accompHslied for the whole South by the Soutbeni Education Board, with Mr. Robert C. Og- den at its head, and by the General E. 170. Any or all of Mr. Washington's books may be or- dered from the publishers of this volume. THE END ;- i '1 Ml! t ft ■*:*. ^'iy^ y