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Company Profile

Detroit Automobile Company

The Detroit Automobile Company (DAC) was an early American automobile manufacturer founded on August 5, 1899, in Detroit, Michigan. It was the first venture of its kind in Detroit. Automotive mechanic Henry Ford attracted the financial backing of twelve investors; Detroit Mayor William Maybury, William H. Murphy and others. As with many early car ventures, the company floundered, and it was dissolved in January 1901. Twenty vehicles were built and $86,000 of investment was lost.

History
Foundation The company was founded with a paid-up capital of $15,000 ($455,490 in 2019). initially with no pay until he left his job at the Detroit Edison Company, after which he was given a monthly salary of $150 ($4,555 in 2019). He refused to put a car into production until he had perfected it to his satisfaction, infuriating investors who quickly began to lose confidence in Ford's ability to bring a product to market. Later in life, Ford recalled this period as one that was driven by profit rather than innovation. A catalog produced by Detroit Automobile Company in 1900 showed, with a cost analysis, that the automobile was cheaper to maintain and operate than a horse and vehicle. Demise The Detroit Automobile Company was reorganized into the Henry Ford Company on November 20, 1901, after Ford gained further backing from investors because of his racing success. The factory location for the Detroit Automobile Company is less than a mile away southeast from Mr. Ford's Piquette Avenue Plant, which opened four years later. == References ==
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