Ace Hardware at a Glance
Ace Hardware is best known as the neighborhood hardware store with local owners behind the counter.
Its story starts in Chicago in 1924, when a small group of store owners joined together to buy goods in bulk.
Over time, Ace grew into a large retailer-owned hardware cooperative with a wide distribution network and thousands of stores.
The Founder’s Story
Ace traces its start to a small group of Chicago-area hardware store owners who wanted more strength as independents.
Instead of selling out to a larger chain, they chose a shared approach that let them stay local while buying like a bigger player.
Several early founders are commonly credited in historical accounts, including Richard Hesse, E. Gunnard Lindquist, Frank Burke, Oscar Fisher, and William Stauber.
The Problem They Wanted to Solve
Independent hardware stores often faced a simple problem in the early 1900s.
They had less leverage when they tried to buy goods, so costs could be higher and supply could be harder to secure.
The group behind Ace aimed to solve that by pooling orders and purchasing in bulk.
How It All Started
In 1924, a small group of Chicago hardware owners formed a buying group to purchase merchandise in bulk.
The goal was practical and direct: compete better by improving buying power and supply.
This early setup became the base for what Ace would grow into over the next decades.
The Idea Behind the Name “Ace”
The “Ace” name is often explained as a nod to World War I fighter pilots known as “aces.”
The idea fit the tone of the time and gave the young business a bold identity.
Historical sources also describe Ace adopting the name in the late 1920s, with incorporation in Illinois reported as 1928 in one account.
Early Growth in the 1920s and 1930s
Ace’s early decades were shaped by steady expansion among independent stores.
Historical accounts describe key early milestones like adopting the Ace name and building a growing member base.
One account reports that by 1934 the group had 41 members and about $650,000 in sales.
Leadership in the Early Years
Early histories often highlight Richard Hesse as an important leader in Ace’s formative period.
One historical account reports that he became president in 1930.
As with many long-running companies, some details vary by source, so the safest story is the high-level one: Ace formed from a small retailer group and grew through shared buying and shared support.
Staying Alive Through Big National Shifts
Retail in the 1930s and 1940s faced major pressure across the United States.
Some histories describe Ace navigating the Great Depression and later World War II-era constraints.
The key theme stayed the same: independent stores working together had a better chance to keep shelves stocked and stay competitive.
What Ace Sells and What It Supports
Ace is tied to hardware retail, but it is also deeply tied to supply and support.
In corporate materials, Ace describes serving stores with broad product categories like tools, paint and sundries, electrical, lawn and garden, outdoor living, and housewares.
Ace also highlights its distribution operations and the role they play in keeping member stores supplied.
How Ace Hardware Makes Money
Ace is known for a cooperative model that centers on supplying retailers.
In public reporting, Ace describes major revenue coming through wholesale operations, along with other areas like retail holdings and service lines.
A core point of the cooperative structure is that profits can flow back to member retailers through patronage dividends, which Ace reports annually.
The Cooperative Model and Why It Matters
Ace is widely described in company communications as a retailer-owned hardware cooperative.
That structure supports a simple promise: stores can stay locally owned while gaining scale through shared systems.
This “local ownership plus shared scale” idea is one of the main reasons Ace became such a lasting brand.
A Major Shift in Ownership Structure
One historical account describes a key transition during the 1970s.
It reports Ace becoming a retailer-owned cooperative across the 1973 to 1976 period.
In plain terms, the story is that retailers gained stronger ownership alignment with the larger Ace organization.
Defining Moments That Shaped the Brand
Many companies grow by adding stores, but Ace also grew by strengthening the system behind the stores.
That includes distribution reach, wholesale scale, and added support for local operators.
In more recent decades, several acquisitions became defining moments for that strategy.
Big Moments and Growth in the 2010s
In the 2010s, Ace made moves that expanded its wholesale footprint.
This mattered because supply and distribution are core strengths for a retailer network with many independent owners.
Two notable steps were the acquisitions that led to the creation of Emery Jensen Distribution.
Acquisitions, Mergers, and Partnerships
Ace has used acquisitions to expand distribution reach and add new capabilities.
These moves are described in Ace corporate releases and executive biographies.
The list below highlights verified acquisitions and the basic role each played.
- February 2014: Ace acquired Emery-Waterhouse, a move later tied to forming Emery Jensen Distribution.
- January 2015: Ace acquired Jensen Distribution Services and described the deal as expanding its wholesale distribution reach.
- September 2017: Ace announced it acquired The Grommet.
- September 2019: Ace reported completing the acquisition of Handyman Matters, which it said would operate as Ace Handyman Services.
Why Distribution Became a Big Story
Ace’s public communications often emphasize distribution as a competitive edge.
For a network of local stores, strong distribution helps owners keep shelves stocked with the items customers need.
Ace has described both U.S. distribution centers and international distribution capabilities in corporate materials.
People and Ideas That Shaped It
Ace began with a small group of independent owners, and that spirit stayed central to its identity.
Over time, leaders helped steer growth through distribution and expansion plans.
In modern company releases and reporting, CEO John Venhuizen is frequently quoted on performance, strategy, and growth.
Work, People, and Culture
Ace is closely tied to local ownership, and that shapes the culture.
Many stores are owned by people who live in the same towns they serve.
In corporate messaging, Ace often ties that local ownership to service and community trust.
The “Neighborhood Store” Positioning
Ace’s brand identity leans into being close to home and easy to rely on.
That “neighbor” theme supports the idea that the store is not just a place to shop, but a place to get help.
This positioning also fits the cooperative story, because local owners can keep local relationships while using shared support behind the scenes.
Reputation, Trust, and Public Perception
Customer satisfaction studies offer one window into how shoppers view big retail brands.
In the J.D. Power U.S. Home Improvement Retailer Satisfaction Study press releases, Ace placed second in both 2024 and 2025.
Those releases also show that rankings can shift year to year, which is normal in large retail categories.
What J.D. Power Rankings Show
In 2024, J.D. Power’s press materials show Ace ranked second, behind Menards.
In 2025, J.D. Power’s press materials show Ace ranked second, behind Lowe’s.
Ace has also highlighted past years where it ranked at the top, based on earlier J.D. Power reporting mentioned in Ace releases.
Competitors in the Hardware and Home Improvement Space
Ace operates in a crowded retail space where customers have many options.
Competition can vary by location, because local markets differ and store formats differ.
Based on widely tracked national retailer categories and the names that appear in major satisfaction studies, these are common competitors.
- The Home Depot
- Lowe’s
- Menards
- Other national and regional home improvement retailers and online options, depending on the market
Times of Trouble and Real-World Headwinds
Older histories describe Ace facing difficult eras like the Great Depression and World War II period.
Retailers had to adapt to changing supply conditions and customer needs.
In modern reporting, Ace also discloses business pressures, especially in international operations.
Recent Challenges Mentioned in Company Reporting
In Q3 2025 reporting, Ace disclosed international issues and noted non-recurring charges tied to those operations.
That same reporting described the loss of what had been the largest customer in its international wholesale business.
Ace also referenced an insurance recovery tied to a 2023 cybersecurity incident in that Q3 2025 reporting.
How Things Changed Over Time
Ace began as a bulk-buying effort among a small group of independent owners.
Over time, it grew into a much larger system with distribution infrastructure and broader services.
The heart of the story stayed consistent: local stores supported by a shared backbone.
The Push Into Services
Hardware is often tied to home projects, and home projects can involve both do-it-yourself and do-it-for-me needs.
In 2019, Ace completed the acquisition of Handyman Matters and stated it would operate as Ace Handyman Services.
This move shows Ace building beyond retail shelves into related service work.
Digital Growth in the Modern Era
Even a neighborhood brand has to keep up with modern shopping habits.
In its Q3 2025 reporting, Ace highlighted a 34.9% surge in digital business.
That kind of growth suggests Ace has been investing in how customers shop and how stores fulfill orders.
Where Ace Hardware Stands Now
Ace continues to present itself as locally owned stores backed by a larger cooperative organization.
In Q3 2025 reporting, Ace said it ended the quarter with 5,220 domestic stores.
In annual report materials for 2024, Ace also described a global footprint of 5,900+ stores.
A Snapshot From Recent Financial Reporting
Ace reports results publicly, and those results help show the scale of the business today.
For Q3 2025, Ace reported revenue of $2.5 billion and net income of $99.7 million.
That same report also included non-recurring impairment charges tied to international operations.
Impact on Industry and Society
Ace’s cooperative approach helped keep many independent stores viable across many decades.
That matters because local ownership can keep commerce and jobs rooted in local communities.
On the industry side, Ace’s model stands as a long-running example of independents gaining scale without losing local control.
Lessons From Ace Hardware’s Journey
Ace’s history highlights what can happen when small businesses band together with a clear goal.
It also shows that a strong supply system can be as important as a strong storefront.
These lessons are simple, but they repeat across almost every era of Ace’s growth.
- Local ownership can last longer when it is paired with shared buying power.
- A reliable distribution backbone helps local stores compete with larger formats.
- Growth can come from both store expansion and smart acquisitions that strengthen the system.
- Brand trust builds over time when the customer experience stays consistent.
Future Challenges and Opportunities
Ace’s opportunity is tied to staying “local” while meeting modern expectations.
That includes digital convenience, fast fulfillment, and consistent store support.
At the same time, company reporting shows that international operations can add complexity and risk.
What’s Next for the Brand
Ace has marked major milestones like a 100-year anniversary, and it continues to report ongoing store growth.
Its recent focus points, based on reporting and releases, include digital performance and ongoing system strength.
The next chapters will likely be shaped by how well Ace keeps local stores strong while the retail world keeps changing.
Verified Timeline: From the Beginning to Today
This timeline uses only milestones that are supported by the research sources summarized earlier.
Some early details can vary across histories, so those items are written in a careful way when needed.
The modern milestones come from company releases and company reporting.
1924
Ace traces its founding to a group of Chicago hardware store owners who formed a bulk-buying organization.
1927
One historical account reports the group adopted the “Ace” name.
1928
One historical account reports the business was incorporated in Illinois.
1930
One historical account reports Richard Hesse became president.
1934
One historical account reports growth to 41 members and about $650,000 in sales.
1973–1976
One historical account describes Ace becoming a retailer-owned cooperative during this period.
2014
Ace acquired Emery-Waterhouse (February 2014), later tied to forming Emery Jensen Distribution.
2015
Ace acquired Jensen Distribution Services (January 2015) and described expanded wholesale distribution reach.
2017
Ace announced it acquired The Grommet (September 2017).
2019
Ace reported completing the acquisition of Handyman Matters and said it would operate as Ace Handyman Services (September 2019).
2024
Ace marked its 100-year anniversary year and highlighted major store milestones in its communications.
2025
Ace reported 5,220 domestic stores at the end of Q3 2025 (quarter ended September 27, 2025), along with revenue of $2.5 billion and net income of $99.7 million for the quarter.
Facts
- Ace traces its founding to 1924 and describes origins with Chicago hardware store owners forming a bulk-buying group.
- Founders commonly credited in historical accounts include Richard Hesse, E. Gunnard Lindquist, Frank Burke, Oscar Fisher, and William Stauber.
- Ace has described itself as the world’s largest retailer-owned hardware cooperative in corporate communications.
- Ace corporate releases list its headquarters as Oak Brook, Illinois.
- Ace reported ending Q3 2025 with 5,220 domestic stores.
- Ace’s 2024 annual report materials describe a global footprint of 5,900+ stores.
- Ace reported Q3 2025 revenue of $2.5 billion and net income of $99.7 million.
- Ace reported a 34.9% surge in digital business in Q3 2025.
- Ace reported completing the 2019 acquisition of Handyman Matters and said it would operate as Ace Handyman Services.
- J.D. Power press releases show Ace ranked second in customer satisfaction among home improvement retailers in both 2024 and 2025.
Interesting Facts
These facts are useful for readers who like quick details that still tie to a real source.
Each item comes from the earlier verified research summary and stays within what those sources support.
If you want more items later, they should be added only if they can be verified the same way.
- The “Ace” name is commonly explained as a nod to World War I fighter pilots called “aces.”
- One historical account reports Ace adopted its name in 1927 and incorporated in Illinois in 1928.
- One historical account reports that by 1934 Ace had 41 members and about $650,000 in sales.
- Ace’s Q3 2025 report referenced an insurance recovery related to a 2023 cybersecurity incident.
- Ace’s Q3 2025 report also described losing what had been the largest customer in its international wholesale business.
- Ace has publicly highlighted its centennial era milestones, including store growth and anniversary messaging in 2024.
Sources: Ace Hardware, Ace Hardware Newsroom, J.D. Power, Encyclopedia.com, Deseret News, TaurusEmerald, CC BY-SA 4.0, via Wikimedia Common
