The firm was founded in 1970 by British physician
Tim Black and American
entrepreneur,
philanthropist and
libertarian Phil Harvey. It started as a small storefront in
Chapel Hill, North Carolina, selling condoms and lubricants. It soon became a mail-order catalog selling contraceptives through non-medical channels. While still graduate students in family planning and population dynamics at the
University of North Carolina's School of Public Health, they conceived the firm to fund a non-profit organization to use the profits to finance family-planning programs in developing countries.{{cite journal With a
Ford Foundation fellowship, they devised a plan to use
social marketing in the U.S., and with university consent, they began writing witty ad copy ("What will you get her this Christmas -- pregnant?") and advertising condoms in the mail and 300 of the largest U.S. college newspapers. Though selling condoms via the mail violated the
Comstock Act (not overturned in its entirety until 1972), they knew the law was rarely enforced. They began to see a profit, stating, "The mail-order condom market was just sitting there waiting for somebody," recalls Harvey. " ==Philanthropy==