The Secrets of Their Success

What do hair products, life insurance, hot rolls, and gunpowder have in common? They all helped build the fortunes of four successful Black entrepreneurs. These groundbreaking business leaders persevered during times of slavery and segregation, when Black Americans didn’t have the same opportunities as White Americans. As they built their companies, they forged paths to empower and improve the lives of other people in their communities. Here’s a look at their historic triumphs and the challenges they faced.

What do hair products, life insurance, hot rolls, and gunpowder have in common? They all helped build the fortunes of four successful Black entrepreneurs. During slavery and segregation, Black Americans did not have the same opportunities as White Americans. But these groundbreaking business leaders persevered. As they built their companies, they created paths to empower and improve the lives of other people in their communities. Here is a look at their historic triumphs and the challenges they faced.

Ever determined, Malone moved to St. Louis, Missouri, in 1902, because that city had a large Black population. There, she started selling her products door-to-door with a small staff of employees.

Soon business was booming, and Malone was able to hire Black women around the country. One of her salespeople was Madam C. J. Walker, who later became famous for selling her own line of beauty products. 

By the 1920s, Malone was one of the country’s first Black female millionaires, with a reported $14 million in assets, worth more than $230 million today. She dedicated herself to education, establishing Poro College, a cosmetology school for Black women. By the 1950s, Poro College had 32 branches throughout the country. 

Malone’s businesses generated tens of thousands of jobs for women around the world. She used her wealth to support Black-run organizations, including the medical school of Howard University in Washington, D.C.

Malone never forgot where she came from. An orphan herself, she financed a permanent home for a local orphanage in St. Louis. The organization still exists and is now known as the Annie Malone Children and Family Service Center in her honor. Says Keisha Lee, who runs the center today: “She left a legacy of caring for disadvantaged youth that has endured.” 

Ever determined, Malone moved to St. Louis, Missouri, in 1902. She went there because that city had a large Black population. She started selling her products door-to-door with a small staff of employees.

Soon business was booming. Malone was able to hire Black women around the country. One of her salespeople was Madam C. J. Walker. Walker later became famous for selling her own line of beauty products.

By the 1920s, Malone was one of the country’s first Black female millionaires. She had a reported $14 million in assets, worth more than $230 million today. She dedicated herself to education, establishing Poro College. That was a cosmetology school for Black women. By the 1950s, Poro College had 32 branches throughout the country.

Malone’s businesses created tens of thousands of jobs for women around the world. She used her wealth to support Black-run organizations. One was the medical school of Howard University in Washington, D.C.

Malone never forgot where she came from. An orphan herself, she financed a permanent home for a local orphanage in St. Louis. The organization still exists. It is now known as the Annie Malone Children and Family Service Center in her honor. Keisha Lee runs the center today. Says Lee: “She left a legacy of caring for disadvantaged youth that has endured.”

John Merrick turned his knack for listening into financial success—for himself and his community. Formerly enslaved, the entrepreneur started a chain of successful barbershops in Durham, North Carolina, in the 1880s. As Merrick cut hair, his customers told him about their lives and struggles. 

“He applied those lessons to the dreams he had of building a strong and prosperous Black community,” says Blake Hill-Saya, his great-great-granddaughter.

At the time, North Carolina’s Black and White populations were largely segregated. Many Black Durham residents had trouble making ends meet. 

John Merrick had a knack for listening. He turned it into financial success for himself and his community. The formerly enslaved entrepreneur started a chain of successful barbershops. That was in Durham, North Carolina, in the 1880s. As Merrick cut hair, his customers told him about their lives and struggles.

“He applied those lessons to the dreams he had of building a strong and prosperous Black community,” says Blake Hill-Saya. She is Merrick’s great-great-granddaughter.

At the time, North Carolina’s Black and White populations were largely segregated. Many Black Durham residents had trouble making ends meet.

Merrick figured out part of the problem. Very few of those people had access to life insurance. People who buy life insurance agree to make regular payments to an insurance company. In exchange, after they die, the company pays a sum of money to their heirs. The money can help families invest in their future, and even pass on wealth to the next generation. Most White-owned insurance companies, however, would not sell policies to Black families. 

In 1898, Merrick teamed up with local Black leaders to found North Carolina Mutual Life, one of the state’s first Black-owned insurance companies. He served as its first president. 

The business helped Durham’s downtown, known as “Black Wall Street,” thrive. North Carolina Mutual Life grew into the nation’s largest Black-owned insurance company, remaining in business for more than 120 years. 

Merrick figured out part of the problem. Very few of those people had access to life insurance. People who buy life insurance agree to make regular payments to an insurance company. In exchange, after they die, the company pays a sum of money to their heirs. The money can help families invest in their future. It can even help them pass on wealth to the next generation. But most White-owned insurance companies would not sell policies to Black families.

In 1898, Merrick teamed up with local Black leaders to found North Carolina Mutual Life. It was one of the state’s first Black-owned insurance companies. He served as its first president.

The business helped Durham’s downtown thrive. It was known as “Black Wall Street.” North Carolina Mutual Life grew into the nation’s largest Black-owned insurance company. It remained in business for more than 120 years.

Lucille B. Smith is considered Texas’s first Black businesswoman. In the 1940s, Smith developed the nation’s first instant hot-roll mix to help with a church fundraiser. The package contained premixed ingredients, so people could easily bake the dinner rolls—a revolutionary idea at the time. 

The kits were such a hit that Smith started selling them. She went on to create other foods, including chili biscuits. Her chili biscuits became so popular that they were served on airline flights and at the White House for President Lyndon B. Johnson. She also was the first food editor of Sepia, a magazine focused on the achievements of Black Americans.  

Lucille B. Smith is considered Texas’s first Black businesswoman. In the 1940s, Smith developed the nation’s first instant hot-roll mix. She did it to help with a church fundraiser. The package contained premixed ingredients, making it easy for people to bake the dinner rolls. That was a revolutionary idea at the time.

The kits were such a hit that Smith started selling them. She went on to create other foods, including chili biscuits. Her chili biscuits became very popular. They were even served on airline flights and at the White House for President Lyndon B. Johnson. She also was the first food editor of Sepia, a magazine focused on the achievements of Black Americans.

With her business profits, Smith helped fund one of the first college programs for food preparation, at Prairie View A&M. She had attended that historically Black university in Prairie View, Texas. 

According to her great-grandson Chris Williams, Smith was passionate about creating opportunities for other Black women. She recognized that life in the South was difficult for them at the time, and that many struggled financially. “She was never defined by other people’s expectations of her,” Williams says. “She consistently used her talents to help and uplift our community.” 

Today Williams runs Lucille’s 1913, a nonprofit that fights food insecurity, founded in Smith’s honor. He also serves his great-grandmother’s signature dishes at Lucille’s, a restaurant in Houston, Texas. According to Williams, Smith’s hot rolls are one of the restaurant’s most popular items.

With her business profits, Smith helped fund one of the first college programs for food preparation. It was at Prairie View A&M. She had attended that historically Black university in Prairie View, Texas.

Chris Williams is her great-grandson. He says Smith was passionate about creating opportunities for other Black women. She recognized that life in the South was difficult for them at the time. She knew that many struggled financially. “She was never defined by other people’s expectations of her,” Williams says. “She consistently used her talents to help and uplift our community.”

Today Williams runs Lucille’s 1913. The nonprofit, which fights food insecurity, was founded in Smith’s honor. He also serves his great-grandmother’s signature dishes at Lucille’s, a restaurant in Houston, Texas. Williams says Smith’s hot rolls are one of the restaurant’s most popular items.

Frank McWorter earned the name “Free Frank” for a reason. Born into slavery, he managed to buy something priceless: his freedom.

Although he was enslaved, starting in 1795, McWorter was allowed to work side jobs on nearby farms because there was a shortage of help in Kentucky, where he lived. His enslaver took a cut of his profits, but McWorter kept the rest. 

McWorter used those earnings to manufacture and sell saltpeter, a main ingredient of gunpowder. His savvy investment paid off when demand for saltpeter soared during the War of 1812 (1812-15). 

By 1817, McWorter had made enough money to purchase his wife’s freedom from her enslaver. Two years later, at age 42, he bought his own—at a time when few Black Americans in the South were free.

McWorter continued to run his saltpeter business until 1829. In the early 1830s, he and his family moved to Illinois, where slavery was illegal. McWorter bought 160 acres of land from the federal government. He built a farm and eventually an entire community, which he named New Philadelphia. That made him the first Black American to establish a town. 

McWorter kept farming and selling plots of land in New Philadelphia. He used his growing wealth to buy the freedom of 14 more family members. In total, he spent $14,000—the equivalent today of more than $425,000—to change their lives forever. 

Frank McWorter earned the name “Free Frank” for a reason. He was born into slavery. But he managed to buy something priceless: his freedom.

Although enslaved, McWorter was allowed to work side jobs on nearby farms. That started in 1795 because there was a shortage of help in Kentucky, where he lived. His enslaver took a cut of his profits. But McWorter kept the rest.

McWorter used those earnings to manufacture and sell saltpeter, a main ingredient of gunpowder. His smart investment paid off when demand for saltpeter soared during the War of 1812 (1812-15).

By 1817, McWorter had made enough money to buy his wife’s freedom from her enslaver. Two years later, at age 42, he bought his own. At that time, few Black Americans in the South were free.

McWorter continued to run his saltpeter business until 1829. In the early 1830s, he and his family moved to Illinois, where slavery was illegal. McWorter bought 160 acres of land from the federal government. He built a farm and eventually an entire community. He named it New Philadelphia. He was the first Black American to establish a town.

McWorter kept farming and selling plots of land in New Philadelphia. He used his growing wealth to buy the freedom of 14 other family members. In total, he spent $14,000, the equivalent today of more than $425,000. By doing so, he changed their lives forever.