10 Billionaire Entrepreneurs who Started with Nothing
The tales of entrepreneurs who began with nothing and worked their way up are educational and inspirational in the realm of business.
These stories not only depict the classic “rags to riches” tale, but they also impart important lessons about tenacity, resourcefulness, and foresight.
In this blog post, Incorpuk explores the stories of ten such entrepreneurs, showing how they built themselves, and profitable companies with little funding.
1. Jan Koum: From Food Stamps to WhatsApp Billionaire
The inspiring story of Jan Koum shows how perseverance, creativity, and a clear goal can turn hardship into achievement. Anyone aspiring to build a name for themselves in the technology and business industries can draw inspiration from his journey from a young person living off food stamps in a foreign land as an adolescent to a multimillionaire businessman.
Early Struggles and Determination
Resilience is a powerful force, as demonstrated by Jan Koum’s journey from being dependent on food stamps to becoming a millionaire through the founding of WhatsApp. Koum left Ukraine to relocate to the US, where he had severe financial troubles in his early years.
Koum and his mother battled to make ends meet while residing in a small home that was subsidized by the government. Despite these obstacles, Koum was committed to changing his situation. While in high school, he became interested in programming and read manuals from a used book store to sharpen his skills. Koum’s early life serves as a striking example of how perseverance in the face of difficulty and a strong desire to learn may lead to success in the future.
Launching WhatsApp
Notwithstanding these obstacles, Jan Koum’s idea for a messaging app that didn’t require much advertising materialized, giving rise to WhatsApp and completely changing the way people communicate today. When Koum and his co-founder Brian Acton launched WhatsApp in 2009, it soon rose to prominence as one of the most widely used messaging services globally. The simplicity, reliability, and privacy-focused features of WhatsApp resonated with millions of users.
WhatsApp’s Success and Sale
2014 saw Facebook purchase WhatsApp, the well-known messaging service, for $19 billion. Koum became one of the richest persons in the world as a result of the company’s success. Following the acquisition, WhatsApp’s user base grew rapidly, reaching billions of users globally. The story of WhatsApp’s rise to prominence and eventual sale serves as an example of how cutting-edge digital goods may have a major financial impact on the world at large and inspire the aspirations of countless entrepreneurs to build something profitable and revolutionary.
2. Howard Schultz: Brewing Success with Starbucks
Starbucks was once a small local coffee bean retailer, but Howard Schultz’s transformation of the company into a massive global coffeehouse chain is a masterclass in brand building, customer experience, and creative business strategies. Schultz’s path serves as an example of how vision, leadership, and a thorough comprehension of consumer needs can combine to build a globally recognized brand.
Early life
Growing up, Schultz lived in public housing buildings in Canarsie. While childhood friends describe a middle-class existence, Schultz claims his family was poor. At twelve years old, Howard secured his first job. He peddled newspapers for a living before working in a nearby café.
Schultz enrolled at Northern Michigan University following high school. After graduating, Schultz got a job at a nearby coffee shop to support his family. He would eventually be inspired to create Starbucks by this experience. Following his acquisition of Starbucks, Schultz was moved by Italy’s coffee culture and dreamed of introducing a comparable coffeehouse experience to the US.
This idea went beyond simply selling coffee to include building a cozy and welcoming “third place” where people could connect, work, or just unwind in between jobs and homes. After visiting Milan in 1983, Howard brought back the latte and cappuccino recipes, which caused Starbucks’ sales to quadruple the following year.
Schultz’s modest upbringing and capacity for huge dreams show that one’s origins need not determine their level of achievement in the future.
Expanding Starbucks
Throughout Schultz’s journey, the coffee shop model was reimagined with an emphasis on quality and customer experience, making Starbucks a household name. Starbucks quickly grew both domestically and internationally under his direction, earning a reputation for producing specialty coffee. Additionally, he developed a loyal customer base by using an inventive approach to community involvement, customer service, and store design. The significance of product, branding, and customer experience innovation as major factors in business success is emphasized by Schultz’s expansion strategy.
The company made US$3.28 billion In net income and US$32.25 billion in revenue in 2022. As of 2022, the entire headcount network consisted of more over 402,000 individuals. Also, there are currently over 35,000 Starbucks stores operating across 80 countries.
3. Steve Jobs: The Pioneer of Personal Computing
Jobs was born in San Francisco in 1955 and adopted shortly afterwards. He attended Reed College in 1972 before withdrawing that same year. He is a symbol of innovation and creativity in the tech world. His journey from starting Apple in a garage to becoming a key figure in personal computing, animation, music, and mobile communications is a source of inspiration. Jobs’ ability to foresee and shape the future of technology has left an indelible mark on the world.
Invention of Apple
In collaboration with Steve Wozniak, Jobs established Apple Inc. in 1976 and turned it into a telecommunications powerhouse. He oversaw the introduction of ground-breaking devices like the iPod and iPhone, and is widely regarded as a visionary and genius. In addition to making gadgets, Jobs’ vision for Apple included inventing goods that combined technology and art to create gorgeous and useful products.
4. Oprah Winfrey: From Poverty to Media Mogul
Oprah Winfrey’s journey from poverty to media mogul and international philanthropist is a testament to her tremendous talent and perseverance. Her story demonstrates the value of tenacity, compassion, and the capacity for profound human connection.
Early Life
Oprah Gail Winfrey was born on a farm in Kosciusko, Mississippi. Shortly after her birth, Vernita Lee and Vernon Winfrey separated, and she was raised by her maternal grandmother. She relocated to a poor neighbourhood in Milwaukee when she was six years old.
Her passion for speaking and reading, however, earned her a scholarship to Tennessee State University, where she pursued a degree in communication. Winfrey’s early work in radio and television broadcasting demonstrated her innate capacity for audience engagement and empathy.
The pivotal moment in her career came when she relocated to Chicago to headline a low-rated morning talk program. With her genuine and compassionate demeanour, Winfrey turned the program into one of Chicago’s most popular talk shows, paving the way for the debut of the Oprah Winfrey Show.
Her move to Chicago to host a low-rated morning talk show marked the turning point of her career. Winfrey’s authentic and empathetic approach transformed the show into one of the highest-rated talk shows in Chicago, setting the stage for the launch of the Oprah Winfrey Show.
Building a Media Empire
At age 49, Winfrey became a millionaire in 2003. She founded Oprah.com, co-produced a Broadway musical adaptation of The Color Purple, and debuted Oprah Radio, an XM Satellite Radio 24-hour service. Up until 2011, she kept up her hosting of the talk show. She founded and became the CEO of OWN: Oprah Winfrey Network after ending her talk show. Oprah proceeded to become a spokesperson for the well-known subscription weight loss program Weight Watchers International (WTW) in 2015 after purchasing a 10% equity investment in the company.
According to reports, Oprah Winfrey was worth $2.8 billion by the end of 2023. Her accomplishments as a media entrepreneur serve as an example of the value of producing content that speaks to people’s hopes and experiences.
6. Sophia Amoruso: Fashion’s Rebel Success Story
The rise of Sophia Amoruso to prominence in the fashion industry through her work at Nasty Gal is a testament to the value of personal branding and the spirit of entrepreneurship. Her journey from running a one-woman eBay business to becoming the CEO of a fashion empire serves as a contemporary example of how creative problem-solving and a distinctive brand identity can upend established industries.
Nasty Gal’s Beginnings
Starting with a small eBay store, Sophia Amoruso turned her love of vintage clothing into the fashion retail powerhouse Nasty Gal in 2006. Her story shows the potential of e-commerce and how a niche passion can grow into a thriving online business. It also highlights the importance of understanding market needs and leveraging the digital landscape to build a brand from the ground up. Amoruso’s keen eye for fashion and understanding of her customer base helped her curate a selection that appealed to a wide audience. After Nasty Gal outgrew its eBay roots and moved to its own e-commerce platform, Nasty Gal quickly became a household name.
Amoruso’s Unique Branding
It’s crucial to remember that Amoruso has faced her fair share of controversy during her journey. Following Nasty Gal’s bankruptcy filing in 2015, Amoruso resigned as CEO. Instead of letting this setback spell the end of her entrepreneurial career, she saw it as a chance to reinvent herself and try out new things.
Currently, Amoruso uses her website, Girlboss.com, and podcast, “Girlboss Radio,” to encourage and motivate budding business owners. She is a fervent supporter of women in business, pushing them to take chances, accept setbacks, and never give up. As of 2016, she had a net worth of $280 million.
6. John Paul DeJoria: From Living in a Car to Billionaire Entrepreneurs
John Paul Jones DeJoria is an American entrepreneur, self-made billionaire, and philanthropist best known as a co-founder of the Paul Mitchell line of hair products and The Patrón Spirits Company. DeJoria has been described as a living example of the American Dream due to his rise from homelessness to success in business.
Early Life
Born in Los Angeles, California’s Echo Park area, John Paul Jones DeJoria is the second child of Italian and Greek immigrants. When he was two years old, his parents had separated. His mother, who was raising only them, was unable to provide for the two of them, so he and his brother were placed in a foster home in East Los Angeles, where they stayed during the week and was returned to his mother at the age of nine. At the age of nine, he started helping his older brother support the family by selling newspapers and Christmas cards.
John Paul DeJoria’s poor beginnings were also highlighted by the fact that he lived in a car and sold shampoo door-to-door in his early years. He persevered in having a positive attitude and a strong work ethic despite these difficulties. He started his career in the beauty industry by working for a hair care company, where he gained experience in all aspects of the operation. DeJoria’s capacity to endure adversity and hold onto his self-belief established the groundwork for his subsequent achievements, demonstrating the efficacy of resiliency and diligence in surmounting life’s challenges.
Building Paul Mitchell and Patrón
Using just $700, DeJoria co-founded John Paul Mitchell Systems, which he eventually successfully expanded into a global hair care brand. Despite having money problems, DeJoria and hairstylist Paul Mitchell started their business in 1980 with just one product line. Their dedication to professional salon sales strategy, creative marketing, and high quality immediately yielded positive results. Years later, DeJoria made his way into the spirits sector with Patrón Tequila, revolutionizing the market for premium tequila by emphasizing excellence and workmanship. These endeavours demonstrate DeJoria’s spirit of entrepreneurship, his aptitude for spotting and seizing business possibilities, and his dedication to producing high-quality goods.
7. Sam Walton
American business tycoon Samuel Moore Walton is best known for creating Walmart and Sam’s Club, two retail establishments he launched in 1962 and 1983, respectively, in Midwest City, Oklahoma, and Rogers, Arkansas. As it expanded, Wal-Mart Stores Inc. became both the largest private employer in the world and the largest firm globally in terms of sales.
Sam Walton is a fantastic example of entrepreneurial vision and the influence of new retail techniques. He started out as a single-store owner before going on to build Walmart, the largest retail chain in the world. Retail has been radically changed by Walton’s values of low pricing, great volume, and unwavering devotion to customer satisfaction.
Early Years
Thomas Gibson Walton and Nancy Lee welcomed Samuel Moore Walton into the world in Kingfisher, Oklahoma. Up until 1923, he resided there on his parents’ property. In an effort to find a better method to support his family, Walton made the decision to attend college after high school. He was a cadet in the ROTC at the University of Missouri. In exchange for meals, he performed a variety of odd jobs throughout this time, including waiting tables.
At the age of 26, Walton took over the administration of his first variety store in 1945 after being discharged from the service. Walton bought a Ben Franklin variety store in Newport, Arkansas, with $5,000 he had earned from his Army days and a $20,000 loan from his father-in-law, Leland Robson. Walton made sure that the shelves were always stocked with a wide variety of goods and subsequently, the first Walmart store was launched in 1962.
In 1962, Walton launched the first Walmart in Rogers, Arkansas, with the ultimate goal of presenting customers with the lowest prices anytime and anywhere. His approach, which was revolutionary at the time, focused on passing savings onto customers to drive higher sales volumes.
Expansion and Technology
Walton was a trailblazer in the retail industry when it came to using technology, starting with the early use of barcodes, or universal product numbers, and electronic product scanning. He also developed advanced logistics and distribution systems. His emphasis on efficiency permeated every facet of the business, including direct manufacturer purchases, which further cut expenses. His approach to expansion was equally creative; before venturing into bigger cities, he focused on building a solid customer base in small and medium-sized communities.
8. Do Won Chang and Jin Sook Chang- Forever 21
Do Won and Jin Sook Chang launched Forever 21 in Los Angeles in 1984. In 1981, the couple left South Korea for Los Angeles, hoping to live the American Dream. They weren’t particularly good at English and were broke at the time. They were not graduates of college. Both of them were only 26 years old. Do Won was a gas station employee. While he was pumping petrol, he noticed something significant. The people who bought the most expensive cars were all working in the clothing industry.
In 1984, both of them set up shop in the Highland Park neighbourhood of Los Angeles, with 900 square feet dedicated to apparel. It was dubbed Fashion 21. The couple’s sales in that first year totalled $700,000. It turns out that Jin Sook, a former South Korean hairdresser, had a talent for identifying trends that were simple to replicate. The Changs benefited from this advantage in the very competitive clothing sector. Forever 21 had remarkable success by rapidly rotating its goods and maintaining low prices.
9. Roman Abramovich
The life story of Roman Abramovich is one of poverty to riches. He was raised in poverty after being born in Saratov, Russia, in 1966. His mother was a music teacher, and his father worked in a factory. Abramovich’s parents passed away when he was just 4 years old, leaving him to be raised by his grandmother and uncle in a shared apartment with other families.
Roman Abramovich saw a chance to enter the oil and gas industry in the early 1990s. After the Soviet Union fell apart, a lot of state-owned businesses were put up for sale, and Abramovich was able to buy stock in several of them. This was the start of his ascent to fortune and power as he rapidly established himself as an intelligent businessman and rose to become one of Russia’s wealthiest individuals. He acquired Chelsea Football Club, a premier club in the English Premier League, in 2003 and under his ownership, Chelsea became one of the most successful clubs in the world.
Apart from his commercial achievements, Roman Abramovich is renowned for his charitable contributions. He has made millions of dollars in donations to the arts, healthcare, and education, among other causes. The Roman Abramovich Foundation was established by him in 2004 with the aim of providing global support for diverse initiatives. Furthermore, the once-poor boy was also active in politics, and he served as governor of the Chukotka region of Russia from 2000 to 2008.
10. Ralph Lauren-Founder: Ralph Lauren
Ralph Lauren began from nothing and has grown to become one of the biggest fashion and clothing empires in the world, bringing in an estimated $7 billion annually.
Early Life
Lifshitz was raised in New York City’s Bronx. When they were teenagers, he and his brother adopted the last name Lauren. He worked in sales during the day and attended night schools for business after high school. He was inspired to start creating his own neckwear while working for a tie company, and he launched his own company in 1967, selling his distinctive tie line under the brand name Polo.
The Clothing Brand
Lauren’s designs were distinguished from the beginning of his company by an affluent aesthetic that mirrored the English aristocracy’s appearance as it was adopted by the sporty East Coast elite of the United States. His 1968 debut male collection included traditional tweed suits, while his 1971 debut womenswear collection carried on his look of good taste and traditional tailoring with a feminine touch. The mesh sport shirt, which came in a range of colours and included his distinctive image of the most aristocratic of athletes—the polo player—was first introduced by Lauren in 1972. It went on to become his signature piece.
After Ralph Lauren wore items from his current collection of male actors in the 1974 film adaptation of The Great Gatsby, the Ralph Lauren look spread across the country. The way the movie evoked the bygone, refined period of F. Scott Fitzgerald’s life made it the ideal medium for Lauren’s timeless, somewhat sentimental vision. When the designer made several of the outfits worn by Diane Keaton and Woody Allen in Annie Hall (1977), he attracted even more attention.
Many individuals were drawn to Lauren’s vision, and his label swiftly grew into an empire. Beginning in 1983, he expanded his business to include a variety of home furnishings, which eventually included pillows, throws, bed and bath items, furniture, and household paint. By developing lines of apparel and accessories aimed at a variety of budgets and markets, such as a children’s line and a denim line, Lauren further expanded the reach of his brand. By the 1990s, his stores and brands were well-known throughout the world.
Final Thoughts
These ten billionaire stories demonstrate that success is achievable even for people who begin with almost nothing. These people persevered in the face of adversity, worked hard, and took calculated risks. They were also driven to change the world and had a great enthusiasm for what they did. Despite the difficulties they faced along the way, they all demonstrated that anyone can become a millionaire entrepreneur, regardless of their family’s riches. The secret for anyone hoping to follow in their footsteps is to work hard to make their ambitions come true and to never give up on them.