Great find. Here's what I can tell you about small, or sample, Chestnut paddles. This is based on about 25 years of looking and collecting experience.
They are a fairly scarce item, much more rarely seen or found than either Peterborough Canoe Co. samples, or Canadian Canoe Co. samples. I have come across about ten Peterborough samples for every one Canadian Canoe Co. sample, and about five of the latter for every Chestnut sample. So, maybe 50 times more scarce than a PCC sample, and five times as scarce as a Can. CC sample. Both PCC and Canadian Canoe made small paddles in 12" and 18" lengths. As far as I know, Chestnut samples have only ever turned up in a 12" length. I'll wager that's the length of the one in your photo. If not, please advise, as you will certainly have something I've never seen, or even heard of.
These miniature paddles are often called "salesman's samples", but they were mostly advertising pieces handed out at trade shows or given in bulk to major retailers, who often added their own advertising decals. PCC made them by the hundreds, if not thousands, and handed them out at plant tours or gave them to service clubs to be used as event prizes and fundraising. They have always been popular with kids, and many found their way to summer cottages where they decorated walls, etc. In the 1920's, all three companies came under the same corporate umbrella, though operated separately, so it is not unusual that they would have adopted similar advertising programs. Paddles by the three companies bear strong similarities in shape, though often not totally identical. As I say, I am not aware of an 18" sample made by Chestnut.
There is one distinguishing feature of very early Chestnut sample paddles, particularly those made just after the fire (1920), according to legend. Those paddles were allegedly hand-whittled, rather than machine produced, As a result, they are slightly shorter, somewhat thinner and have a shaft with little or no hand grip. These paddles run a bit over 11" in length, and have an early Chestnut decal. See the comparison photo below. The one you have found is much closer in dimension and shape to the typical 12" paddle made at Peterborough and Canadian canoe companies. This is the shape/style typical of the later Chestnut sample paddles. Like PCC and Can. CC, these are machine made and finished.
As far as values go, a nice 12" or 18" PCC sample paddle with decal in very good condition can run from $75 to $125, possibly more if it has a 60th or 75th Anniversary decal as well. A Canadian Canoe Co. sample paddle will likely run twice that. A Chestnut sample paddle usually sells in the $300 - $400 range.
As for "display sample" canoe models made by Chestnut, I am so far aware of only two in existence, though there could be others. Both of these are 7' 1" in length, and appear to be half-size versions of the full-size, 14' 2" "Peach" made at Chestnut. Both of the Chestnut models known are believed to be from the 1910-20 era. A photo of a yellow sample is attached below; the other known model is dark green. Both are believed to be in original paint. Value wise, well into the 5-figure range.
I would be most pleased if you could let me know the dimensions of the Chestnut form in your photo. It might help to ascertain whether the two known sample canoe models could have been built on that form. Even if of different size, it is helpful in suggesting that there could be others out there, and what we should be looking for if something turns up. The Canadian Canoe Museum might well be interested in having the form, as would many collectors, myself included, should it ever become available.
Thanks for posting your 'discovery'. Let me know if you need any further information.
Cheers,
Roger