Warren Buffett: "Best store I’ve ever been to"

Warren Buffett has built a billion-dollar empire by investing in companies. The success did not come by chance; even at a young age, the Oracle of Omaha decided that she would later earn millions. To achieve his goal, the young Buffett tried out a number of business ideas – some with mixed success. But one idea turned out to be “the best business I’ve ever been in,” the star investor recently said.

With 25 dollars to the pinball empire

While visiting a candy store that Buffett visited with his billionaire friend Bill Gates the 93-year-old became nostalgic. As he said in a video that Gates posted on his blog, he has a special relationship with pinball machines. “I claim to be pretty good at pinball. In 1946 I bought a machine for $25 and built a little empire out of it,” Buffett said. His idea: to set up the pinball machine in a barbershop.

Buffett brought his friend Don Danley on board, whose job it was to maintain and repair the machine if necessary. He also took care of the negotiations with the hairdresser, Frank Erico. As “Business Insider” reports, he lured him with the words: “We come on behalf of Wilson’s coin machine factory, and we have a suggestion from Mr. Wilson. It’s no risk for you. Let’s put this pinball machine in the back and your customers can play while they wait. And we’ll split the money.”

Even though Wilson’s coin machine factory didn’t exist, the hairdresser was convinced of the business idea. The deal was done and the business was a success – about a week later the duo had earned enough money to buy another pinball machine. Shortly afterwards, there were flippers in various hair salons all over Washington DC and Buffett was able to sell his business: with an investment of $25, the now billionaire investor made a profit of $1,000 as a teenager.

It was the best business he had ever been in, Buffett told Bill Gates. “I had reached a peak very early in my career.”

Business-oriented as a child

The pinball episode is one of the various businesses that Warren Buffett started at a young age.

At the age of six, he bought six-packs of Coca-Cola bottles for 25 cents and sold the individual bottles directly to his doorstep for 5 cents per bottle, making a 20 percent profit on each pack. He also sold used golf balls and delivered newspapers. At the age of eleven he bought his first shares: three shares in the utility company Cities Service – the foundation for his career as a legendary investor was laid.

Editorial team finanzen.net

– On our own behalf –

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