Richard Michael Schulze (born January 1941) is an American billionaire businessman. He is the founder of Best Buy and was chairman and CEO. On the ''

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'' 2016 list of the world's billionaires, he was ranked number 722 with a net worth of

US$ The United States dollar (symbol: $; code: USD; also abbreviated US$ or U.S. Dollar, to distinguish it from other dollar-denominated currencies; referred to as the dollar, U.S. dollar, American dollar, or colloquially buck) is the official ...

2.4 billion.

Early life and education

Richard M. Schulze was born and raised in

Saint Paul, Minnesota Saint Paul (abbreviated St. Paul) is the capital of the U.S. state of Minnesota and the county seat of Ramsey County. Situated on high bluffs overlooking a bend in the Mississippi River, Saint Paul is a regional business hub and the center ...

, where he attended Central High School. He subsequently spent time in the

U.S. Air Force The United States Air Force (USAF) is the air service branch of the United States Armed Forces, and is one of the eight uniformed services of the United States. Originally created on 1 August 1907, as a part of the United States Army Sign ...

with the

Minnesota Air National Guard The Minnesota Air National Guard (MN ANG) is the aerial militia of the U.S. state of Minnesota. It is, along with the Minnesota Army National Guard, an element of the Minnesota National Guard. As state militia units, the units in the Minnesota Ai ...

. After the Air Force, he worked as a consumer electronics salesman. He has an honorary degree from the

University of St. Thomas St. Thomas University or University of St. Thomas may refer to: *Saint Thomas Aquinas University, Colombia *Saint Thomas Aquinas University of the North, Tucumán province, Argentina *St. Thomas University (Canada), Fredericton, New Brunswick *St. ...

in Saint Paul.

Career

In 1966, mortgaging his home, he founded an audio equipment store named Sound of Music in Saint Paul. The company expanded to nine stores, and after a tornado destroyed one, he had a "tornado sale" at one location with a very large selection of goods and low prices. The sale was a hit, and he renamed the chain Best Buy and shifted the model to a superstore format with 18,000-sq-ft stores, everyday low prices, and a heavy advertising budget. The format was very popular and thanks to increased demand for consumer electronics (especially with the advent of

VCR A videocassette recorder (VCR) or video recorder is an electromechanical device that records analog audio and analog video from broadcast television or other source on a removable, magnetic tape videocassette, and can play back the recording. ...

s), the chain grew to 40 stores in 1989. Thereafter, he eliminated the commission model (customers disliked aggressive sales) and expanded Best Buy's offerings to include computer software, music, movies, and computer hardware. In 1994, he increased the average store size to between 45,000 and 58,000 sq ft. In 1995, the chain had $5 billion in sales and 155 stores. In 1996, Best Buy added appliances and kitchen utensils to its lineup. In May 2012, Schulze announced that he was stepping down as Best Buy chairman after an investigation found that he knew that the CEO was having a relationship with a female employee and did not alert the audit committee. As announced on August 6, 2012, Schulze made a bid to buy out the Best Buy company. According to the report, he already owned 20% of the company. This news caused the share price of Best Buy to go up slightly. By late February, talks between Best Buy Co. and Schulze ended. Private equity investors and he sought three board seats in exchange for acquiring a minority stake in the company, but he was not able to line up the funding. On March 25, 2013, Best Buy Co. Inc. announced that Schulze would rejoin the company that he founded with a new title: chairman emeritus. The Richfield, Minnesota-based retailer also announced that two former executives, Brad Anderson and Al Lenzmeier, will serve as Schulze's representatives on the board of directors. They are key Schulze allies who had advised him on his attempt to buy the company.

Philanthropy

In 2000, Schulze donated $50 million to the University of St. Thomas, at the time the largest donation to a Minnesota college or university. The money went to help open the UST School of Law, featuring the prominent Schulze Grand Atrium, as well as the Schulze School of Entrepreneurship, part of the St. Thomas College of Business and located in Schulze Hal

both schools are in downtown Minneapolis, Minnesota, Minneapolis. Schulze sits on the Board of Governors of the UST School of La

In 2014, after fire destroyed the Naples, FL YMCA, the Richard M. Schulze Family Foundation donated $1.5 million for restoration. And in 2018, Schulze through his Family Foundation donated $750,000 to the Sky Family YMCA in Bonita Springs, Florida.

Personal life

Schulze lives in

Naples, Florida Naples is a city in Collier County, Florida, United States. As of the 2020 census, the population of the historical city (i.e. in the immediate vicinity of downtown Naples) was 19,115. Naples is a principal city of the Naples-Marco Island, Flori ...

. He is a

Catholic The Catholic Church, also known as the Roman Catholic Church, is the largest Christian church, with 1.3 billion baptized Catholics worldwide . It is among the world's oldest and largest international institutions, and has played a ...

and was married to Sandra J. Schulze until her death in 2001, with whom he had four children. He is remarried to Maureen Schulze.Star Tribune Business: "Best Buy founder Richard Schulze plans billion-dollar foundation" by: NEAL ST. ANTHONY and PATRICK KENNEDY
June 18, 2013 On November 9, 1991, Minnesota Governor

Arne Carlson Arne Helge Carlson (born September 24, 1934) is an American politician who served as the 37th Governor of Minnesota. A Republican, Carlson's viewpoints are considered to be moderate. He first won election to the governors office in 1990. Carlso ...

designated the day as ''Richard M. Schulze Day''.

References

External links

Forbes 400

Best Buy News Center: Biography: Richard Schulze
{{DEFAULTSORT:Schulze, Richard M. 1941 births Living people American billionaires American philanthropists American chief executives American people of German descent Businesspeople from Saint Paul, Minnesota Best Buy people People from Bonita Springs, Florida Catholics from Florida