Chapter VII

I have alluded on several occasions when writing about old merchants to the vast number that have come to this city from the six New England States. The immigration has been going on ever since the Revolution. At that time, or about eighty or ninety years ago, Boston, Salem and several other along-shore places did a heavy business in navigation. A great part of the tonnage of the United States was owned East. These ambitious young men could stay at home. Not so in after years, when New York city, like a fast race-horse, took the bit in her mouth, and went ahead with terrific commercial speed. Every city has been distanced in this mercantile race. Philadelphia, Boston, Baltimore, and all other Atlantic ports are nowhere when mentioned in contrast with New York. So soon as this last city fairly started ahead, the talent, enterprise, genius and smartness of the entire Union began to pour into New York, so that now, if a pestilence was to break out in this city tomorrow, there is not a house however lofty, nor a cottage so humble, but would be affected by the sad news. All are represented or connected in some way with the Empire City. This is particularly the case in the New England towns. Almost every family has sent here one or more representatives. All do not succeed, but some do, and this is quite sufficient to keep the ambition to get a clerkship in New York alive.

It is not deemed essential, as a general rule, that anything more is required to enter the mercantile career than a sound district school education. This consists in going to school in winter to a male teacher, and in summer to a female teacher, until the future great merchant is eight years old. After that, if the lad is located in the interior of New England, he goes to school in the winter only, and in the summer works on a farm.

His winter schooling generally ends when the boy is fourteen years old. He can by that time (if he is smart) parse pretty well, and has reached the "double rule of three" in Daboll. He needs no more towards his future success than a trunk, "Sunday-go-to-meeting" clothes, and a Bible. This the family provide, and with a few dollars and a mother's prayer, the young hero goes forth to seek his fortune in the great mart of commerce. He needs but a foothold. He asks no more, and he is as sure to keep it as that light will dispel darkness. He gets a place somewhere in a "store." It is all store to him. He hardly comprehends the difference between the business of the great South street house, that send ships over the world, and the Bowery dry goods shop with three or four spruce clerks. He rather thinks the Bowery or Canal street store the biggest, as they make more show. But wherever this boy strikes, he fastens. He is honest, determined and intelligent. From the word "go" he begins to learn, to compare, and no matter what the commercial business he is engaged in, he will not rest until he knows all about it, its details,—in fact, as much as the principals.

Another characteristic of the future merchant is this—no sooner has he got a foothold, than the New England boy begins to look for standing room for others. Perhaps he is the son of a small farmer who has several other children. The pioneer boy, if true blue, does not rest until one by one he has procured situations for all of his brothers. If he has none, he has friends in the village, and ere a year, Bill, Jo and Jim have been seduced off to New York. Such a boy must have been one of the firm of Fitch & Co., a large house that have a counting room in New street, and at present own nearly an acre of buildings, bounded by Broadway. New and Exchange streets.

I believe the father of Mr. Asa Fitch, Jr., the senior of the firm, is still alive; and if so, must be nearly ninety-five years old. He was born at Bean Hill, near Norwich, Connecticut. It is hardly necessary to go into the details of the career of the former Fitch boy. After a faithful clerkship of some years (as necessary to make a skilful merchant, as an apprenticeship to a trade of any kind is to eventual success) he was sent out by his employer to France. He there founded the house of Fitch, Brothers & Co., having (as soon as he was fairly established, himself) sent for two younger brothers, one named Douglas and the other William Fitch. Thirty years ago Fitch, Brothers & Co. of Marseilles, were established, and doing an immense business. Nearly all the American vessels and American produce sent from ports in the union to Marseilles, were consigned to the great firm. The United States government, also, found it necessary to appoint this house the agents of the Navy; and it had the supplying of all the provisions, making all the payments, &c, of the American squadron stationed in the Mediterranean. This business gave Fitch, Brothers & Co., a large capital to operate upon, and immense commissions every year. No French house in Marseilles could, or can now, compete with this old American house. It has its agents in New York, Philadelphia, Baltimore, Richmond, Charleston, Savannah, Mobile and New Orleans. Their agents would advance to shippers of cotton, rice, pot and pearl ashes almost the invoice cost in the American markets, to get the consignments of vessels and cargoes to Fitch, Brothers & Co.

This is a very curious sort of business, and can hardly be comprehended by the large mass of American readers.

There are merchants who hardly make any noise in the cities where they dwell, who are constantly shippers They watch foreign markets, and are constant buyers and shippers to ports where they think money can be made. Still there is a limit to this shipper's capital. I will call him Kennedy. Mr. K. thinks 300 tierces of rice and 100 bales of upland cotton, would pay him to purchase here and ship it to Marseilles. He has watched prices in both markets—he knows that very little rice and cotton have been shipped, and the chances are that both will command high prices in Marseilles. He goes to Mr. A. the agent of Pitch, Brothers & Co., and tells him what he thinks.

"You will do well to ship," says the agent. "What will you advance me?" asks Kennedy, and adds, "my invoice for rice and cotton will amount to about $16,000. I have bought at a bargain, and freights are very low. I will consign it to Fitch, Brothers & Co. I expect to make at least 20 per cent, on this shipment if prices keep up in Marseilles, but I tell you candidly, unless you advance me pretty near cost, I can't ship." Says the agent, "Well, Kennedy, I'll tell you what I will do. I will advance you seven-eighths of the invoice cost, that will be $14,000, as soon as you hand me invoice and bills of lading."

Mr. Kennedy at once goes to work, buys the rice and cotton. Ships it. Gets bill of lading, goes to the agent, and gets the advance of $14,000. He has bought the rice and cotton for cash. He pays for it with this money and $2,000 of his own. He insures the same for cost and a profit, say $18,000 in all, and transfers the policy of insurance to the agent of Fitch, Brothers & Co. The agent draws for the sum he has advanced after converting the dollars into francs, and sells his bills on the Paris banker of Fitch, Brothers & Co.

A few weeks pass away. The invoice of rice and cotton reaches Marseilles. Fitch, Brothers & Co. sell it at good prices, and make out sales. The profit, say, has been twenty-five per cent. They make out the accounts, deducting the advance of $14,000, and pay over through the New York agent, $4,000 profit, and $2,000, difference between cost and advance. The shrewd shipper pockets $4,000 clear profit on an actual outlay of only $2,000.

There are many of these quiet shippers in New York. They make no noise—rarely keep an office. Sometimes they have a desk, a tin sign, and a place in some other merchant's office, and yet, with a small capital, they are operating as buyers and shippers of cotton, rice and other produce to an extent of three or four million of dollars annually. The foreign houses who make such liberal advances through their agents aim but to get the American interest of seven per cent, for the use of money, and their regular commission.

In this way, by means of active agents in 1830 and up to 1840, Fitch Brothers & Co., cleared annually from $50,000 to 100,000 per annum by their commissions on vessels, cargoes and invoices of American produce cow signed to them in Marseilles.

Another branch of business was equally important. It was the reverse of the operations enumerated. Large wine manufacturers and dealers in France would wish to ship to the States. "Consign your cargo to our agent in New York, and we will advance you three fourths of the invoice cost," would say Fitch, Brothers & Co. Every year this business was enormous, and the agent in New York had to divide the commission he charged, and gave one half back to Fitch, Brothers & Co.

A third branch of the business was American orders for drugs, fruits, wines, &c, to be bought in Marseilles. A large drug house, for instance, in New York, could go to the New York agent of Fitch and get him to order out $20,000 worth of madders, brimstone, or any other product of the Mediterranean. Knowing that the house giving such orders was as good as gold, Fitch, Brothers & Co., would execute the order, and ship it, consigned to "Order." The bills of lading, so filled up, accompanied by an invoice, including Fitch, Brothers & Co.'s commission, would be sent to the agent. He at once sent a bill for the amount. It would be paid, or secured, and then the real orderers of the goods would be handed the bill of lading to order, endorsed over by Fitch, Brothers & Co.

So large were the operations of the New York agent, so important were they, that the elder Fitch (Asa Fitch, Jr.,) decided that he would cross the Atlantic and superintend the agency himself.

His next brother, Douglas Fitch, had become au fait at the business in Marseilles, and had married a French lady of wealth, showing a disposition to make Marseilles his home for life. Asa Fitch, Jr., had an awful dread of the sea. It was extremely curious that the moment he got out of sight of land, he dropped a helpless man, unable to raise his head until once more on land. It mattered little how long or how short was the passage, or whether rough or mild weather prevailed. In the fall of 1828 he left Havre for New York. He reached here more dead than alive, and was carried to the Atlantic Hotel, No. 5 Broadway. He remained at that hotel for some years, occupying the two front rooms on the second floor. During that period Mr. Fitch was making his arrangements for establishing a new commercial house in New York. He had a brother named William, and three favorite nephews. One of the last was the late somewhat celebrated Colonel William D. Lee, who was so deeply interested in the Tehuantepec route operations with Colonel A. G. Sloo. Robert Lee was killed in Texas. The other nephew, George Washington Lee, is still living and doing good in the world.

Mr. Asa Fitch opened his New York commercial house in Exchange street, under the firm of Fitch & Co. He had become immensely wealthy, and having a larger capital than he could use profitably in his business, he began to invest in real estate. On the South corner of Broadway and Exchange Place was a large double house, extending back to New street. Next to it was a house, and at the back of it a livery stable. Mr. Fitch purchased all that property from the corner of Exchange Place (Garden street formerly) down Broadway at least 150 feet, if not 200. He had put up an immense store on the New street corner, the summer previous to the great fire in December, 1835. When that fire occurred, the merchants hired the building of him for an Exchange. Then he rented the property on Broadway for the Waverly Hotel. At last he built the public stores, covering all that part of the block, and I have no doubt that, in one shape or another, that property has produced in rents from the U. S. Government, $800,000 to $1,000,000. Some say that he received $50,000 a year from these public stores, for twenty years. It may be so.

Asa Fitch was a gay and gallant bachelor, extremely polite to everybody, and especially so to ladies. He was once the most popular man in town. Neither has he in his great prosperity neglected the spot where he was born. One brother remained at home, and in place of the stony farm of 110 acres, worth about $4,000 when Asa left home, it is now the town of Fitchville, and factories loom up in it, worth a million of money. All belong to Asa Fitch.

Asa Fitch, Jr., must now be 75 years old, and when he dies will leave at least six millions of dollars worth of property. What a career! What fun he must have had in his day, and even now he is a jolly joker. What an amusing biography could be written of such a man! What novel could begin to equal it? Talk of the lives of statesmen, politicians, divines and medical men, there is no comparison between any one of them and the career of one of our great merchants.

Truthfully and forcibly written, a life of an eminent, merchant would be the book of the day. Particularly of any New York merchant. What a life would be one of P. Perit, written under his own dictation, or of Wm. H. Aspinwall. The life of Asa Fitch, Jr., with all his early struggles before he made a great bank account, would be a model book for unknown millions of young Americans who have to follow in his footsteps and struggle, and—succeed.