Amazing Entrepreneurs & Business People: A2

INTRODUCTION

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The Amazing People Club®

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Mayer Amschel Rothschild

1744–1812

the man who started one of the richest banks in history

I came from a poor family but worked hard to build one of the biggest fortunes in history. I became the banker for many rich and powerful people. My sons, who also became successful bankers, expanded my business.

I was born in a poor area of Frankfurt in Hesse (now part of Germany). I had seven brothers and sisters and my family never had enough money. My father had a small business. He bought and sold goods and did some currency exchange. I worked hard to help my family. I did jobs for my father and I learned a lot about his business. I learned how to buy and sell at the best price.

My father wanted me to learn to read and write. He also wanted me to learn useful business skills. So, in 1757, I was sent to Hanover to train with Jacob Wolf Oppenheimer, a banker.

In Hanover, I learned all about banking. I was a quick learner and very good at mathematics. I learned that it wasn’t enough to keep money in the bank. You also needed to use money and make good investments. I listened to the bank’s richest clients. They knew many interesting ways to become rich.

The bank also owned a lot of rare coins and I became very interested in them. When I returned to Frankfurt, I started to buy and sell rare coins.

Soon my business was doing well and Prince William of Hesse became my client. The prince introduced me to many of his rich and powerful friends and they became clients, too.

In 1785, the prince became King William the Ninth of Hesse. He and his friends often asked for my advice about money. They paid me well to make good investments for them. I often went to other countries and found the best investments. I took many risks, but I did well. I made a lot of money for my clients and myself. In this way, I became the international banker for many powerful people.

By that time, I had a wife and children. I married Guttle Schnapper in 1770, and we had ten children – five boys and five girls. I trained my boys in the business when they were very young. For our family, banking was more than a job. It was our family fortune and we had to protect it.

I could see that the world was changing and I discovered many new opportunities for our business. The United States of America was created in 1776. It was a new country and it needed a national bank. In 1791, I became the main shareholder in the Bank of the United States. And, in 1804, when Napoleon Bonaparte became Emperor of France, many European governments were frightened. Napoleon wanted to expand his empire and rule other countries. These governments borrowed a lot of money from me to pay for soldiers to fight against Napoleon.

For our family, business was a kind of war. We always needed to protect ourselves and find new opportunities. My sons, who were now well trained, helped me to expand the Rothschild empire.

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