Benjamin Pierce Cheney
Benjamin Pierce Cheney | |
|---|---|
| Born | Template:Birth date Hillsborough, New Hampshire, U.S. |
| Died | July 23, 1895 (aged 79) |
| Occupation | Entrepreneur |
| Known for | Founder of the company that evolved into American Express; director at Wells Fargo & Company; railroad investor |
Benjamin Pierce Cheney (; August 12, 1815 – July 23, 1895) was a prominent American entrepreneur and one of the original founders of the company that evolved into American Express.
Early life
Born in Hillsborough, New Hampshire to Jesse and Alice (Steele) Cheney, Cheney hailed from a lineage of early Massachusetts settlers, including John Cheney of Roxbury and Newbury. He was also connected to Benjamin Cheney of Hartford, Connecticut, who had ties to John Fitch, the pioneer behind the steamboat invention.
Beginning his working life at the age of 10 in his father’s blacksmith shop, Cheney subsequently gained experience at a tavern and general store in Francestown, New Hampshire. By 1831, he took on the role of stagecoach driver along routes connecting Nashua with Exeter and later Keene—routes that proved lucrative due to the scarcity of railroads at the time. Through these endeavors, he forged important business connections, notably with statesman Daniel Webster, and earned a reputation for managing substantial bank funds with reliability. By 1836, Cheney had progressed to become a stage agent based in Boston.
Wells Fargo and American Express
In 1842, Cheney partnered with Nathaniel White and William Walker to establish an express service operating between Boston and Montreal. A decade later, in 1852, he completed his initial acquisition by purchasing Fisk & Rice's Express, which operated between Boston and Burlington, Vermont. This acquisition paved the way for the creation of the United States & Canada Express Company in 1854.
That same year, Cheney suffered the loss of his right arm in a railway accident while returning from Canada.
In September 1854, he was appointed director of Wells Fargo & Company, succeeding Alpheus Reynolds. On April 15, 1863, Wells Fargo assigned Cheney along with Danford N. Barney and William Fargo to oversee company operations in California, where they spent several months managing business affairs.
Cheney stepped down from Wells Fargo’s board in 1877 but resumed a directorial position from 1882 until early 1884.
In 1879, he sold United States & Canada Express to American Express, becoming its largest shareholder as well as serving as treasurer and director. Additionally, he maintained significant investments in Wells Fargo, National Express, and other enterprises.
Railroad interests
Cheney expanded his business portfolio by investing in railroads such as the Vermont Central Railroad (later known as Central Vermont), Northern Pacific Railway, Atchison, Topeka and Santa Fe Railway, and the San Diego Land and Town Company. He also founded and served as director for the Market National Bank of Boston and the American Loan and Trust Company.
He provided financial backing for both Northern Pacific and Atchison, Topeka and Santa Fe railroads while securing contracts for Wells Fargo's express services on these lines. Cheney held a directorship at Santa Fe from 1873 through 1894.
Unlike many fellow directors who divested their shares during financial difficulties, Cheney retained his holdings throughout the railroad’s bankruptcy amid the Panic of 1893, enduring considerable personal financial setbacks during its restructuring.
Family life
On June 6, 1865, Cheney married Elizabeth Stickney Clapp from Dorchester, Massachusetts. The couple had five children: two sons—Benjamin Pierce Cheney Jr. and Charles P.—and three daughters—Alice Steele, Mary, and Elizabeth.
Philanthropy
Cheney held membership in the New England Historic Genealogical Society and made a donation of $50,000 to Dartmouth College. In 1886, he gifted a bronze sculpture crafted by Thomas Ball depicting his acquaintance Daniel Webster to the state of New Hampshire; this statue is currently located in front of the New Hampshire State House. His involvement in the expansion of eastern Washington included financing a railroad line, which resulted in the town of Cheney, Washington being named after him. Established in 1880 and officially incorporated in 1883, the town received a $10,000 endowment from Cheney that supported the founding of a school in 1882, an institution that later became Eastern Washington University.
Since 1864, Cheney had been a devoted benefactor of the Massachusetts Horticultural Society, and his estate in Wellesley, Massachusetts, is presently maintained as the Elm Bank Reservation.
Later life
Cheney accumulated a wealth estimated at $10,000,000 during his lifetime. Following the passing of Leland Stanford in 1893, Cheney was reinstated as a director at Wells Fargo and continued in this role until his death in July 1895. His son took over the directorship and served until 1899.
Upon retiring to his estate along the Charles River in Wellesley, Massachusetts—now known as the Elm Bank Horticulture Center—Cheney dedicated himself to enhancing the property with elaborate gardens and conservatories. He passed away on July 23, 1895.