If you are about to take a place of business, you will do well to consider the following remarks:

2822. Small Capitalists

Let us take the case of a person who has no intimate knowledge of any particular trade, but having a very small capital, is about to embark it in the exchange of commodities for cash, in order to obtain an honest livelihood thereby. It is clear, that unless such a person starts with proper precaution and judgment, the capital will bo expended without adequate results; rent and taxes will accumulate, the stock will lie dead or become deteriorated, and loss and ruin must follow. For the least absorption acting upon a small capital will soon dry up its source; and we need not picture the trouble that will arise when the mainspring of a tradesman's success abides by him no more.

2823. Larger Capitalists

The case of the larger capitalist can scarcely be considered an exception to the same rule. For it is probable that the larger capitalist, upon commencing business, would sink more of his funds in a larger stock - would incur liability to a heavier rent; and the attendant taxes, the wages of assistants and servants would he greater; and therefore, if the return come not speedily, similar consequences must sooner or later ensue.

9624. Localities

Large or small capitalists should, therefore, upon entering on a shop-keeping speculation, consider well the nature of the locality in which they propose to carry on trade, the number of the population, and the habits and wants of the people, and the extent to which they are already supplied with the goods which the new adventurer proposes to offer them.

2825. New Neighbourhoods

There is a tendency among small capitalists to rush into new neighborhoods, with the expectation of making an early connexion. Low rents also serve as an attraction to those localities. We have found, however, in our experience, that the ealy suburban shops seldom succeed. They are generally entered upon at the very earliest moment that the state of the locality will permit - often before the house is finished the shop is tenanted, and goods exposed for sale - even while the streets are unpaved, and while the roads are as rough and uneven as country lanes. The consequence is that, as the few inhabitants of these localities have frequent communication with adjacent towns, they, as a matter of habit or of choice, supply their chief wants thereat; and the suburban shopkeeper depends principally for support upon the accidental forgetfulness of his neighbour, who omits to bring something from the better and cheaper market, or upon the changes of the weather, which may sometimes favour him by rendering a "trip to town" exceedingly undesirable.

2826. Failures - "While the grass is growing the horse is starving;" and thus, while the new district is becoming peopled the funds of the small shop-keeper are gradually eaten up, and he puts up his shutters just at the time when a more cautious speculator steps in to profit by the connexion already formed, and to take advantage of the now improved condition of the locality. It seems therefore desirable for the small capitalist rather to run the risk of a more expensive rent, in a well peopled district, than to resort to placee of slow and uncertain demand; for the welfare of the small shopkeeper depends entirely upon the frequency with which his limited stock is cleared out and replaced by fresh supplies.