In 1983, Warren Buffett bought 90% of Nebraska Furniture Mart for $60 million with just a 1¼-page contract and a handshake. The seller, 89-year-old Rose Blumkin, started NFM with a $500 loan in 1937. Buffett was impressed by the prices and customer experience, skipping audits, lawyers, and investment bankers.

Mrs. B worked 70-hour weeks at NFM after the sale until retirement at 95. Annoyed by retirement, she opened a competing store with no noncompete clause from Buffett. The store became the third-largest carpet outlet in Omaha. Buffett eventually bought her out with legal paperwork.

Buffett praised Mrs. B’s business instincts, claiming she could outperform top business graduates and Fortune 500 CEOs. He admired her resourcefulness and success in building NFM into a top furniture retailer. Mrs. B’s entrepreneurial spirit and resilience left a lasting impression on Buffett and the business world.

Read more at Yahoo Finance: Warren Buffett Bought Nebraska Furniture Mart For $60M With A Handshake Deal In 1983. He Relied On His Shopping Experience Instead Of Audits