In 1975, a 95-year-old CEO bought a bankrupt furniture store for $80,000, then quietly built an $858 million business and donated millions | World News
In 1975, Jake Jabs made the bold decision to invest $80,000 and later emerged from a weak furniture business into a multi-million dollar company. The 95-year-old founder and CEO of American Furniture Warehouse took over the troubled company when it was on the brink of bankruptcy and has devoted decades to building the company on affordability, efficiency and a customer-oriented approach. Fortune reports that by 2025, what started as a business challenge grew into an $858 million company operating in several western states.In addition to being a successful retailer, Jabs has earned a reputation through philanthropic contributions to charities, universities and community projects.
How a struggling furniture store became a multimillion-dollar business in 1975
Jabs’ relationship with American Furniture Warehouse began in 1975, when he purchased a furniture company on the verge of bankruptcy for $80,000. The company had assets worth about $1.5 million but was facing bankruptcy and needed someone willing to rebuild it.Jabs took on the challenge of reinventing the business to focus on low prices, efficient operations and attracting customers who wanted affordable furniture. Over the next few decades, the company expanded throughout the western United States. American Furniture Warehouse eventually grew into a privately held company with 18 locations in Colorado, Arizona and Texas.The company reported 2025 revenue of approximately $858 million, making it one of Colorado’s largest private companies. Despite its size, it remains family-run rather than part of a larger corporate chain.
Childhood experiences shaped Steve Jobs’ dedication
For Jobs, philanthropy was closely tied to his early life. He was one of nine children raised on a farm near Lodge Grass, Montana, and his family lacked basic modern conveniences like electricity and running water. Those experiences stayed with him as he built his career.He spoke of seeing poverty both at home and while traveling around the world. These memories influence the organizations he chooses to support, particularly those dedicated to providing opportunity to people facing financial challenges.“I grew up in poverty and saw a lot of poverty,” Jack Jobs recalled in a recent interview with CBS News. “I’ve been to 50 countries and seen a lot of poverty, so I love contributing to philanthropy and things that help people get out of poverty.”
How Jabs turned business success into community support
Last year alone, Jabs reportedly donated more than $1 million to charities across Colorado. His contributions have supported a wide range of organizations, including groups involved in disaster relief, hospitals, veterans services, disability support, food assistance and global health initiatives.He is also a long-time supporter of CBS Colorado’s Wednesday Children program, which helps foster children find permanent homes.Jabs said effective giving requires trust in organizations that have experience and knowledge in the areas they serve. Rather than trying to manage every detail personally, he focused on supporting groups already working directly with the community.His approach has won recognition beyond the business community. He received the American Red Cross Hero Award and the Volunteers of America Good Samaritan Award, honors often associated with those who step up during emergencies or provide direct community service.
How education became a big part of Steve Jobs’ legacy
Some of Jabs’ largest donations have gone to education, specifically programs designed to help future entrepreneurs.Fortune magazine reported in 2011 that he donated $25 million to Montana State University’s business school. At the time, it was the largest private gift in the history of higher education in Montana. The donation led to the creation of the Jack Jabs School of Business and Entrepreneurship and funded a new facility called Jabs Hall.Two years later, he committed another $10 million to the University of Colorado Denver Business School. The donation established the Jack J. Jobs Center for Entrepreneurship and became one of the largest donations the school had ever received at the time.For Jabs, supporting students has a personal connection. He often refers to his background when explaining why education is important to him. He has said he cares about young people who may be in a similar situation to him and wants to provide opportunities that may otherwise be difficult to access.
this 95-year-old CEO who continue to work with purpose
Even in his nineties, retirement was not part of Jobs’ plans. He spends most of his week working at American Furniture Warehouse.He’s said before that enjoying your work changes the way you look at it, but he also believes it’s important to have a purpose. After growing a struggling furniture store into a multimillion-dollar company, Jobs later in his career focused on making success benefit others.
