Gold in the Wood, Not the Ground
In 1853, a young John Mohler Studebaker arrived in Hangtown (Placerville), California, with 50 cents in his pocket and dreams of gold. However, he quickly realized the miners needed equipment more than he needed to dig. He accepted a job making wheelbarrows. Over five years, he earned the nickname "Wheelbarrow Johnny" and saved an incredible $8,000âa small fortune at the time.
The Capital Injection
While his brothers Henry and Clement were struggling to expand their wagon shop in South Bend, Indiana, John returned home in 1858 with his bag of gold. He bought out his brother Henry (who wanted to leave due to the looming war) and injected his capital into the business. This money allowed Studebaker to mass-produce wagons for the Union Army, setting the stage for their industrial dominance.
The Last Survivor
John M. Studebaker was the only one of the five brothers to live long enough to see the company fully transition to automobiles. He served as president of the company well into the 20th century. He often told employees, "I am not a capitalist. I am a worker who has saved his money." He died in 1917, having successfully bridged the gap between the covered wagon and the gasoline engine.