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{{short description|American entrepreneur and philanthropist (1859–1936)}}
{{AFC submission|t||ts=20131113185506|u=Legal2000|ns=5}} <!--- Important, do not remove this line before article has been created. --->
{{Infobox person
| name = Aaron E. Nusbaum
| image = A. E. Nusbaum.jpg
| alt = <!-- descriptive text for use by speech synthesis (text-to-speech) software -->
| caption =
| birth_date = {{Birth date|1859|01|08}}
| birth_place =
| death_date = {{Death date and age|1936|07|01|1859|01|08}}
| death_place =
| other_names = Aaron E. Norman
| occupation = {{hlist|[[entrepreneur]]|[[philanthropist]]}}
| years_active =
| known_for =
| notable_works =
}}
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'''Aaron E. Nusbaum''' (January 8, 1859{{spaced ndash}}July 1, 1936), later '''Aaron Norman''', was an American entrepreneur and philanthropist who is best known as one of the two men who acquired 50% of the stock in the fledgling [[Sears|Sears, Roebuck and Co.]] from [[Richard Warren Sears|Richard Sears]] and started it on the road to becoming a retail giant.


⚫
== Early career ==
⚫
'''Aaron Nusbaum''' (January 8, 1859 to July 1, 1936) was a millionaire and entrepreneur who is best known as one of the two men who acquired 50% of the stock in the fledgling Sears, Roebuck and Co. from Richard Sears and started it on the road to becoming a retail giant.
⚫
By 1893 he was a successful businessman in Chicago and earned his first fortune when he obtained a concession to sell soda water soft drinks at the [[World’s Columbian Exposition]]. He received the contract by doing a favor for [[Marshall Field]], a member of the Fair’s planning commission. His profit for the summer’s work was $150,000.00. ($3,750,000.00 in 2010). He invested part of that money in Bastedo Tube Company, a [[pneumatic tube]] manufacturer whose product is used to deliver messages and money in department stores between floors and departments.<ref>EmigrantEntreprenueship.org; Daniel A. Wren and Ronald H. Greenwood, Management Innovators (1988).</ref> A sales call in 1895 led to his investment in Sears.


⚫
== Purchase of Sears ==
⚫
=='''Early Career'''==
⚫
In 1895 Nusbaum had a meeting with [[Richard Warren Sears|Richard Sears]], the co-founder of Sears Roebuck and Company. Nusbaum thought the meeting would involve selling pneumatic tubes to Sears however Richard Sears had other plans. The company was short of cash and Sears offered to sell Nusbaum half of the company for $75,000.00.<ref>Gregory D.L. Morris, Financial History, Spring 2007; EmigrantEntreprenueship.org.</ref> In 1890 [[Julius Rosenwald]] had married Augusta Nusbaum, Aaron's sister.<ref>Sears Archives.</ref>{{full citation needed|date=February 2022}} Nusbaum asked his brother-in-law if he would be willing to buy a quarter of Sears Roebuck for $37,500.00. Rosenwald agreed and they paid Richard Sears $75,000.00 for one-half interest in Sears Roebuck and Company.<ref>{{cite news|last=Livingston|first=J.A.|title=Employee morale is secret of Sears, Roebuck success|newspaper=St. Petersburg Times|date=April 27, 1950}}</ref> The sale took place in 1895<ref>EmigrantEntreprenueship.org; Peter M. Aseoli, Julius Rosenwald (2006).</ref> and at that time the company was grossing about $800,000.00 a year. By 1900 that figure had grown to $11,000,000.00.<ref>Gale Encyclopedia of U.S. Economic History.</ref>


In 1901 Sears and Rosenwald had a dispute with Nusbaum, bought him out for $1.25 million<ref>Emmet and Jeuck, ''Catalogues and Counters'' (1950) pp 47-53</ref> and Nusbaum resigned as Secretary and Treasurer.<ref>Encyclopedia.com; Daniel A. Wren and Ronald B. Greenwood, Management Innovators (1988); Gregory D.L. Morris, Financial History, Spring 2007.</ref> He was succeeded as Secretary by the Company’s outside lawyer, [[Albert Henry Loeb]] of Loeb & Adler (now known as [[Arnstein & Lehr, LLP]]) who had prepared the papers for Nusbaum’s departure and had also structured the original sale to Nusbaum and Rosenwald and the incorporation of Sears in Illinois.<ref>Daniel A. Wren and Ronald Greenwood, Management Innovators (1988); EmigrantEntreprenueship.org.</ref> The decision to oust Nusbaum was difficult for Rosenwald. Despite repeated attempts by his wife Gussie for reconciliation, Nusbaum never spoke again with his brother-in-law or sister.<ref>{{cite web |last1=Deutsch |first1=Stephanie |title=Julius Rosenwald |url=https://www.immigrantentrepreneurship.org/entries/julius-rosenwald/ |website=Immigrant Entrepreneurship |publisher=[[German Historical Institute]] |date=June 18, 2012}}</ref>
⚫
By 1893 he was a successful business man in Chicago and earned his first fortune when he obtained a concession to sell soda water soft drinks at the World’s Columbian Exposition. He received the contract by doing a favor for Marshall Field, a member of the Fair’s planning commission. His profit for the summer’s work was $150,000.00. ($3,750,000.00 in 2010). He invested part of that money in Bastedo Tube Company which manufacture pneumatic tubes to send messages and money between departments and floors in department stores. <ref>EmigrantEntreprenueship.org; Daniel A. Wren and Ronald H. Greenwood, Management Innovators (1988).</ref> A sales call in 1895 led to his investment in Sears.


⚫
== Later years ==
⚫
=='''Purchase of Sears'''==
⚫
After Nusbaum left Sears, he took an extended trip to Europe. On returning, he changed his name to Aaron Norman and his investments added to his wealth.<ref>{{cite book |last1=Deutsch |first1=Stephanie |title=You Need a Schoolhouse : Booker T. Washington, Julius Rosenwald, and the Building of Schools for the Segregated South |date=2011 |publisher=[[Northwestern University Press]] |isbn=978-0810131279}}</ref> He founded Abacus & Associates, a wealth investment firm, which is still operated by his family.<ref>{{cite web|title=The BeeHive Fund|url=http://www.thebeehivefund.com/|accessdate=13 November 2013}}</ref> Upon his death in 1936, Nusbaum willed a million dollars to the Assistance Fund, Inc, a New York charitable organization.<ref>{{cite news|title=Leaves Million to Charity Fund|newspaper=Rochester Journal|date=July 22, 1936|agency=Associated Press}}</ref>


⚫
== References ==
⚫
In 1895 Aaron Nusbaum had a meeting with Richard Sears, the co-founder of Sears Roebuck and Company. Nusbaum thought the meeting would involve selling pneumatic tubes to Sears however Richard Sears had other plans. The company was short of cash and Sears offered to sell Nusbaum half of the company for $75,000.00. <ref>Gregory D.L. Morris, Financial History, Spring 2007; EmigrantEntreprenueship.org. <ref> In 1890 Julius Rosenwald had married Augusta Nusbaum, Aaron’s sister. <ref>Sears Archives.<ref> Nusbaum asked his brother-in-law if he would be willing to buy a quarter of Sears Roebuck for $37,500.00 Rosenwald agreed and they paid Richard Sears $75,000.00 for one-half interest in Sears Roebuck and Company. The sale took place in 1895 <ref> EmigrantEntreprenueship.org; Peter M. Aseoli, Julius Rosenwald (2006).<ref> and at that time the company was grossing about $800,000.00 a year. By 1900 that figure had grown to $11,000,000.00. <ref> Gale Encyclopedia of U.S. Economic History.<ref> In 1901 Sears and Rosenwald had a dispute with Nusbaum, bought him out for $1.25 million and Nusbaum resigned as Secretary and Treasurer. <ref> Encyclopedia.com; Daniel A. Wren and Ronald B. Greenwood, Management Innovators (1988); Gregory D.L. Morris, Financial History, Spring 2007.<ref> He was succeeded as Secretary by the Company’s outside lawyer, Albert Loeb of Loeb & Adler (more known as Arnstein & Lehr, LLP) who had prepared the papers for Nusbaum’s departure and had also had structured the original sale to Nusbaum and Rosenwald and the incorporation of Sears in Illinois. <ref>Daniel A. Wren and Ronald Greenwood, Management Innovators (1988); EmigrantEntreprenueship.org.<ref> The decision to oust Nusbaum was personally painful for Rosenwald. Despite repeated attempts by his wife Gussie for reconciliation, Aaron Nusbaum never spoke to his sister or brother in law again. <ref>EmigrantEntreprenueship.org.<ref>
⚫
{{reflist|30em}}


== External links ==
⚫
=='''Later Years'''==
*{{Commons category-inline}}


{{Authority control}}
⚫
After Nusbaum left Sears, he took an extended trip to Europe. On returning, he changed his name to Aaron Norman and his investments added to his wealth. <ref>Stephanie Deutsch; You Need a Schoolhouse: Booker T. Washington, Julius Rosenwald, and the Building of Schools for the Segregated South (2011).<ref> He founded Abacus & Associates, a wealth investment firm, which is still operated by his family. <ref>www.thebeehivefund.com (2013).<ref>


{{DEFAULTSORT:Nusbaum, Aaron}}
⚫
=='''References'''==
[[Category:American businesspeople]]
⚫
{{reflist}}
[[Category:American philanthropists]]
1. EmigrantEntreprenueship.org; Daniel A. Wren and Ronald H. Greenwood, Management Innovators (1988).
[[Category:1859 births]]
2. Gregory D.L. Morris, Financial History, Spring 2007; EmigrantEntreprenueship.org.
[[Category:1936 deaths]]
3. Sears Archives.
4. EmigrantEntreprenueship.org; Peter M. Aseoli, Julius Rosenwald (2006).
5. Gale Encyclopedia of U.S. Economic History.
6. Encyclopedia.com; Daniel A. Wren and Ronald B. Greenwood, Management Innovators (1988); Gregory D.L. Morris, Financial History, Spring 2007.
7. Daniel A. Wren and Ronald Greenwood, Management Innovators (1988); EmigrantEntreprenueship.org.
8. EmigrantEntreprenueship.org.
9. Stephanie Deutsch; You Need a Schoolhouse: Booker T. Washington, Julius Rosenwald, and the Building of Schools for the Segregated South (2011).
10. www.thebeehivefund.com (2013).
<!--- After listing your sources please cite them using inline citations and place them after the information they cite. Please see http://en.wikipedia.org/wiki/Wikipedia:REFB for instructions on how to add citations. --->
*
*
*
*

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Latest revision as of 23:16, 19 October 2024

Aaron E. Nusbaum
Born(1859-01-08)January 8, 1859
DiedJuly 1, 1936(1936-07-01) (aged 77)
Other namesAaron E. Norman
Occupations

Aaron E. Nusbaum (January 8, 1859 – July 1, 1936), later Aaron Norman, was an American entrepreneur and philanthropist who is best known as one of the two men who acquired 50% of the stock in the fledgling Sears, Roebuck and Co. from Richard Sears and started it on the road to becoming a retail giant.

Early career

[edit]

By 1893 he was a successful businessman in Chicago and earned his first fortune when he obtained a concession to sell soda water soft drinks at the World’s Columbian Exposition. He received the contract by doing a favor for Marshall Field, a member of the Fair’s planning commission. His profit for the summer’s work was $150,000.00. ($3,750,000.00 in 2010). He invested part of that money in Bastedo Tube Company, a pneumatic tube manufacturer whose product is used to deliver messages and money in department stores between floors and departments.[1] A sales call in 1895 led to his investment in Sears.

Purchase of Sears

[edit]

In 1895 Nusbaum had a meeting with Richard Sears, the co-founder of Sears Roebuck and Company. Nusbaum thought the meeting would involve selling pneumatic tubes to Sears however Richard Sears had other plans. The company was short of cash and Sears offered to sell Nusbaum half of the company for $75,000.00.[2] In 1890 Julius Rosenwald had married Augusta Nusbaum, Aaron's sister.[3][full citation needed] Nusbaum asked his brother-in-law if he would be willing to buy a quarter of Sears Roebuck for $37,500.00. Rosenwald agreed and they paid Richard Sears $75,000.00 for one-half interest in Sears Roebuck and Company.[4] The sale took place in 1895[5] and at that time the company was grossing about $800,000.00 a year. By 1900 that figure had grown to $11,000,000.00.[6]

In 1901 Sears and Rosenwald had a dispute with Nusbaum, bought him out for $1.25 million[7] and Nusbaum resigned as Secretary and Treasurer.[8] He was succeeded as Secretary by the Company’s outside lawyer, Albert Henry Loeb of Loeb & Adler (now known as Arnstein & Lehr, LLP) who had prepared the papers for Nusbaum’s departure and had also structured the original sale to Nusbaum and Rosenwald and the incorporation of Sears in Illinois.[9] The decision to oust Nusbaum was difficult for Rosenwald. Despite repeated attempts by his wife Gussie for reconciliation, Nusbaum never spoke again with his brother-in-law or sister.[10]

Later years

[edit]

After Nusbaum left Sears, he took an extended trip to Europe. On returning, he changed his name to Aaron Norman and his investments added to his wealth.[11] He founded Abacus & Associates, a wealth investment firm, which is still operated by his family.[12] Upon his death in 1936, Nusbaum willed a million dollars to the Assistance Fund, Inc, a New York charitable organization.[13]

References

[edit]
  1. ^ EmigrantEntreprenueship.org; Daniel A. Wren and Ronald H. Greenwood, Management Innovators (1988).
  2. ^ Gregory D.L. Morris, Financial History, Spring 2007; EmigrantEntreprenueship.org.
  3. ^ Sears Archives.
  4. ^ Livingston, J.A. (April 27, 1950). "Employee morale is secret of Sears, Roebuck success". St. Petersburg Times.
  5. ^ EmigrantEntreprenueship.org; Peter M. Aseoli, Julius Rosenwald (2006).
  6. ^ Gale Encyclopedia of U.S. Economic History.
  7. ^ Emmet and Jeuck, Catalogues and Counters (1950) pp 47-53
  8. ^ Encyclopedia.com; Daniel A. Wren and Ronald B. Greenwood, Management Innovators (1988); Gregory D.L. Morris, Financial History, Spring 2007.
  9. ^ Daniel A. Wren and Ronald Greenwood, Management Innovators (1988); EmigrantEntreprenueship.org.
  10. ^ Deutsch, Stephanie (June 18, 2012). "Julius Rosenwald". Immigrant Entrepreneurship. German Historical Institute.
  11. ^ Deutsch, Stephanie (2011). You Need a Schoolhouse : Booker T. Washington, Julius Rosenwald, and the Building of Schools for the Segregated South. Northwestern University Press. ISBN 978-0810131279.
  12. ^ "The BeeHive Fund". Retrieved 13 November 2013.
  13. ^ "Leaves Million to Charity Fund". Rochester Journal. Associated Press. July 22, 1936.
[edit]
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