| Richard Thalheimer | |
|---|---|
| Born | 1948 (age 63–64) |
| Alma mater | Yale University Hastings Law School |
| Occupation | lawyer, entrepreneur |
| Known for | Founder of The Sharper Image |
| Website | |
| RichardThalheimer.com RichardSolo.com |
|
Richard Thalheimer (born 1948) is founder, and former CEO and chairman, of The Sharper Image Corporation.
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Thalheimer's family settled in Arkansas before the American Civil War and started a livery business. Thalheimer was raised in Little Rock. After graduating from Hall High School in Little Rock, Arkansas, he left for New Haven and graduated from Yale University in 1970. He entered San Francisco's University of California, Hastings College of the Law the following year, graduated with a J.D. degree, and was admitted to the California Bar in July 1974.
While still a law student, the 24-year-old Thalheimer started a part-time office supply business with $500 worth of copier paper. He named his fledgling enterprise "The Sharper Image," in part to help promote the quality of his copy machines.
After graduating from law school in 1974, Thalheimer passed the California bar exam and practiced law, but only for about a year. In 1977, Thalheimer found a product he believed would sell well — a runner's watch. Later, he discovered additional products that allowed The Sharper Image to increase sales, including introducing the children's two wheel Razor Scooter, and the company's most successful product, the Ionic Breeze Air Purifier.
As a result of the success of the Ionic Breeze, revenues rose to a record $760 million in 2003, with almost 200 stores in the US. He is credited with originating the upscale "gadget business" in catalog and stores, and was one of the first to utilize the power of the internet when The Sharper Image started selling online in 1996.
Thalheimer has from time to time attempted to influence politics in San Francisco, going so far as to send an email in 2003 to all corporate office employees of his company in which he suggested they vote for the business-friendly Gavin Newsom for mayor, over the Green party candidate, Matt Gonzalez.
Thalheimer and his daughter have appeared in a television infomercials for the Sharper Image's Ionic Breeze, as well as the FresherLonger Miracle Food Storage Set.
In March 2006, a hedge fund group purchased shares in Sharper Image and demanded Board representation. A compromise was reached, and Thalheimer installed three of these shareholders on the Board. [1]
The relationship between founder Thalheimer, and the new Board members was not to prove successful. On September 26, 2006, Thalheimer was removed as CEO due to the continued friction between the new Board members and Thalheimer; he was replaced by CEO Jerry W. Levin, former CEO of Revlon, The Coleman Company and American Household(formerly Sunbeam Corporation). For six months, Thalheimer remained on the company's Board of Directors and kept his spot as the largest shareholder of The Sharper Image until May 2007 (21%).[2]
Thalheimer was ousted as CEO of The Sharper Image due to the belief by the new Board members that they could make the company perform better, and move the stock price higher.
In May 2007, the hedge fund Board members approached Thalheimer to buy his remaining shares, following up their belief that they were about to move the company ahead, and that the share price would soon increase. After a lengthy negotiation, he sold his full remaining stock position in the company he founded 30 years prior, for $25 million, or 9.25 per share. This proved to be a fortuitous sale, as the new Board members' ambitions were not realized, sales declined under their supervision, and 9 months later, their shares were worthless.[3]
Inc. Magazine interviewed Thalheimer in July 2008 about the passing of Sharper Image. [4]
He has since started a new website, www.RichardSolo.com. It is a private company, featuring the same genre of products previously sold at The Sharper Image and makes a claim of providing very attentive customer service. In July 2008, a product featured prominently on his website became quite popular.[5]
Sharper Image filed for protection on February 19, 2008 with the U.S. bankruptcy court in Wilmington, Delaware, just 18 months after Thalheimer left, and only 9 months after buying out Thalheimer. The company closed all of its 184 stores in August 2008.