METHOD OF RAISING CAPITAL
The capital required for establishing the Company was previously put at what seemed an absurdly high figure. The amount actually necessary will be fixed by financiers, and will in any case be a very considerable sum. There are three ways of raising this sum, all of which the Society will take under consideration. This Society, the great "Gestor" of the Jews, will be formed by our best and most upright men, who must not derive any material advantage from their membership. Although the Society cannot at the outset possess any but moral authority, this authority will suffice to establish the credit of the Jewish Company in the nation's eyes. The Jewish Company will be unable to succeed in its enterprise unless it has received the Society's sanction; it will thus not be formed of any mere indiscriminate group of financiers. For the Society will weigh, select and decide, and will not give its approbation till it is sure of the existence of a sound basis for the conscientious carrying out of the scheme. It will not permit experiments with insufficient means, for this undertaking must succeed at the first attempt. Any initial failure would compromise the whole idea for many decades to come, or might even make its realization permanently impossible.
The three methods of raising capital are: (1) Through big banks; (2) Through small and private banks; (3) Through public subscription.
The first method of raising capital is: Through big banks. The required sum could then be raised in the shortest possible time among the large financial groups, after they had discussed the advisability of the course. The great advantage of this method would be that it would avoid the necessity of paying in the thousand millions (to keep to the original figure), immediately in its entirety. A further advantage would be that the credit of these powerful financiers would also be of service to the enterprise. Many latent political forces lie in our financial power, that power which our enemies assert to be so effective. It might be so, but actually it is not. Poor Jews feel only the hatred which this financial power provokes; its use in alleviating their lot as a body, they have not yet felt. The credit of our great Jewish financiers would have to be placed at the service of the National Idea. But should these gentlemen, who are quite satisfied with their lot, feel indisposed to do anything for their fellow-Jews who are unjustly held responsible for the large possessions of certain individuals, then the realization of this plan will afford an opportunity for drawing a clear line of distinction between them and the rest of Jewry.
The great financiers, moreover, will certainly not be asked to raise an amount so enormous out of pure philanthropic motives; that would be expecting too much. The promoters and stock holders of the Jewish Company are, on the contrary, expected to do a good piece of business, and they will be able to calculate beforehand what their chances of success are likely to be. For the Society of Jews will be in possession of all documents and references which may serve to define the prospects of the Jewish Company. The Society will in particular have investigated with exactitude the extent of the new Jewish movement, so as to provide the Company promoters with thoroughly reliable information on the amount of support they may expect. The Society will also supply the Jewish Company with comprehensive modern Jewish statistics, thus doing the work of what is called in France a "societé d'études," which undertakes all preliminary research previous to the financing of a great undertaking. Even so, the enterprise may not receive the valuable assistance of our moneyed magnates. These might, perhaps, even try to oppose the Jewish movement by means of their secret agents. Such opposition we shall meet with relentless determination.
Supposing that these magnates are content simply to turn this scheme down with a smile:
No.
For then the money will be raised in another way—by an appeal to moderately rich Jews. The smaller Jewish banks would have to be united in the name of the National Idea against the big banks till they were gathered into a second and formidable financial force. But, unfortunately, this would require a great deal of financing at first—for the £50,000,000 would have to be subscribed in full before starting work; and, as this sum could only be raised very slowly, all sorts of banking business would have to be done and loans made during the first few years. It might even occur that, in the course of all these transactions, their original object would be forgotten; the moderately rich Jews would have created a new and large business, and Jewish emigration would be forgotten.
The notion of raising money in this way is not by any means impracticable. The experiment of collecting Christian money to form an opposing force to the big banks has already been tried; that one could also oppose them with Jewish money has not been thought of until now.