“If you are not prepared to live frugally, do not become an owner of a startup business. You will squeeze yourself from too many directions.” Those are the words of the late Edward Wedbush, the founder of Los Angeles-based Wedbush Securities. He died on January 5th.
When it came to penny pinching, Wedbush lived his advice. Having started his eponymous brokerage (one that ultimately diversified into investment banking and private equity investor among other things) with $5,000 of his own money, the Wall Street Journal obituary on the legendary Los Angeleno indicated that he was famously frugal. As the Journal's James Hagerty put it, Wedbush “gathered up stray paper clips at the end of board meetings. Office carpets were blotched with spilled coffee. Mr. Wedbush toted his lunch, prepared by his wife, to the office each day.”