Steven Johnson

Howard Schultz had 60 days to raise $3.8 million and buy Starbucks. Halfway there, one of his own investors went behind his back with an all-cash offer for the whole company. In the video below, Howard tells the story himself. It was 1987. Howard had raised a third of the money. The founder called him in: “I’ve got an all-cash offer. Howard, I just have to take it.” From who? “One of your investors.” Howard had no way to fight one of the most powerful men in Seattle. So a friend took him to see his boss, Bill Gates Sr. Gates asked two questions. Is everything you told me true? Have you left anything out? Then: “We’re going to take a walk.” They walked straight into the investor’s office. Gates stood over his desk and told him to stand down, and that Howard and Starbucks would never hear from him again. Howard bought Starbucks for $3.8 million. Gates Sr. never told a soul. Decades later, Howard told the story on stage. Bill Gates found him afterward and asked, “Who’s the guy?” He never knew what his father had done. Was that investor just doing business, or was it a betrayal?