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There’s No Business Like Shoe Business
Methods of Prosperity newsletter no. 65. Phil Knight (cont.)

TL;DR

There was too much work for Phil Knight to do alone. He hired his sister part time. He needed more help. He’d given a pair of Tigers to an acquaintance named Jeff Johnson. They knew each other from track meets. Jeff had sold shoes for Adidas. Now he worked as a social worker. 

Jeff started a family and needed to earn more cash than his day job could provide. Phil offered Jeff a commission sales job to sell Tiger shoes. Enthusiastic about selling the shoes, Jeff suggested expanding the business. 

Phil warned him about the company’s financial struggles and negative cash flow. Jeff persisted. He became Blue Ribbon’s first full-time employee. 

Phil’s bank thought Blue Ribbon was growing too fast. It was a vicious cycle of debt and short supply. He needed equity.

To be continued...