Tandy Leather Factory

Tandy Leather Factory, Inc.

Company type	Public
Industry	Leathercraft supplies retail and wholesale
Predecessor	Tandy Corporation
Founded	1919 in Fort Worth, Texas, United States
Founder	Norton Hinckley and Dave L. Tandy
Headquarters	Fort Worth , United States
Area served	Worldwide (including Canada, UK, Australia, Spain)
Key people	Johan Hedberg (CEO), Daniel Ross (General Counsel)
Products	Leather and leathercraft supplies
Number of employees	571 (2013)

Tandy Leather Factory, Inc. is a U.S.-based specialty retailer and wholesale distributor specializing in leather and leathercraft supplies, operating more than 100 locations worldwide. Initially a division of the Tandy Corporation, it experienced several ownership changes before being acquired by The Leather Factory in 2000. Its main office and flagship retail location are situated in Fort Worth, Texas, which also hosts the Al and Ann Stohlman Leathercraft Museum.

The company’s leadership team includes CEO Johan Hedberg and General Counsel Daniel Ross. In 2013, Tandy Leather reported revenues of $78.3 million, operating income of $11.2 million, and net earnings totaling $7.3 million. The workforce numbered 571 employees, with subsidiaries established in Canada, the UK, Australia, and Spain to support its international retail leather operations.

Tandy Leather Factory’s operational approach centers on distributing leather goods and related products through both retail stores and wholesale outlets. It leverages its longstanding brand reputation and strategic management to sustain market position and foster business expansion.

Origin

Founded in 1919 as a family-run enterprise in Fort Worth, Texas, Tandy Leather began as the Hinckley-Tandy Leather Company, created by Norton Hinckley and Dave L. Tandy. The company initially supplied sole leather and shoe repair materials to dealers within Texas. During World War II, due to leather rationing, the firm shifted focus toward leatherworking as a hobbyist pursuit, prioritizing supplies for military use.

Charles Tandy, Dave Tandy’s son, joined the business after the war in 1948 and emphasized leathercraft as the company’s core focus. He launched the first two retail outlets dedicated solely to leathercraft products in 1950. Disagreeing with this new direction, Hinckley departed to continue his work in shoe findings.

The company’s reliance on mail order sales proved highly lucrative, achieving a full return on investment within its initial year. Within two years, sales reached $2.9 million with 15 stores operational. The firm expanded rapidly throughout the 1950s via store openings and acquisitions. By 1961, with 125 stores across the United States and Canada, it rebranded as Tandy Corporation. In 1963, Tandy gained control over Radio Shack’s management, reversing a $4 million loss into profit within two years and ultimately acquiring an 85% stake in Radio Shack common stock.

In 1975, the Tandy Corporation Board announced a corporate restructuring plan to divide its operations into three publicly traded companies: Tandycrafts, Inc., Tex Tan-Hickok, Inc., and Radio Shack. This restructuring aimed to deliver specialized leadership tailored to each business segment, thereby ending the corporate structure that had previously grouped Radio Shack with Tandy Leather Company.

The beginning of The Leather Factory

In 1976, Wray Thompson was elevated to President of Tandy Leather Company, managing 288 stores alongside National Sales Manager Dave Ferrill. Ron Morgan was appointed Eastern Divisional Vice President in 1977. Although the company celebrated opening its 300th store, declining popularity of Nature-Tand products led to decreased sales and profits. Following Charles Tandy’s unexpected death in 1978, corporate direction became uncertain, resulting in Thompson’s resignation from the presidency.

Subsequently, Thompson and Morgan joined forces to launch a new leathercraft venture comprising three entities: Midas Leathercraft Tool Company (focused on import/export), MT Enterprises (customer development and consulting services), and Midas Leathercraft (retail operations). In 1980, they collaborated with Scholze Tannery (part of Brown Group) to enter the leathercraft market more robustly, relocating their base to Chattanooga, Tennessee. Before relocating fully, Jon Thompson—Wray’s son—initiated establishment of Midas Leathercraft retail operations in Arlington, Texas.

Jon Thompson personally oversaw logistics to open the Arlington store amid limited Tennessee-based support. By 1984, Ivan Leathercraft was producing over 1,000 products for Midas Leathercraft Tool Company’s distribution to The Leather Factory and other clients. The business grew to six stores and appointed George Hurst—formerly Tandy’s merchandising manager—as General Manager. Despite this expansion, Brown Group planned to divest subsidiaries with revenues under $100 million or those considered non-core businesses, placing The Leather Factory up for sale.

Midas Leathercraft acquires The Leather Factory's assets

In January 1985, the partners of Midas Leathercraft Tool Company completed the acquisition of The Leather Factory's assets. At the time, Midas held assets slightly exceeding $200,000 but took on close to $1.2 million in liabilities to finalize the purchase. Following the departure of two managers, Wray Thompson brought in Clyde Angus, a former Regional Manager at Tandy Leather, along with his son Mark, who had experience managing the family’s western store in Pennsylvania.

The year 1986 saw The Leather Factory introduce a wholesale club model, utilizing membership fees to enhance marketing efforts and drive sales growth. By 1989, the company had moved its warehouse and manufacturing operations from Chattanooga to Fort Worth, Texas, and inaugurated its twelfth retail location.

By 1991, The Leather Factory expanded its footprint by acquiring American Leather Company and was operating fourteen stores. Wray Thompson and Ron Morgan focused on promoting internal talent to spearhead strategic development: Jon Thompson assumed responsibility for operations, Mark Angus was appointed Sales Manager in Fort Worth, and Greg Sartor, previously President of ST Leather, joined as Craft Sales Manager. In 1993, The Leather Factory became publicly traded through a reverse merger on the American Stock Exchange and added five Vice Presidents to its leadership team: Jon Thompson, Dave Ferrill, Mark Angus, Greg Sartor, and Robin Myers Morgan.

The Leather Factory acquires Tandy Leather Company

In 1999, Tandy Leather Company discontinued its sales divisions to concentrate on mail order and online sales channels. On November 30, 2000, The Leather Factory purchased Tandy Leather’s operational assets. Shannon Greene, who had joined as controller in 1997, was elevated to Chief Financial Officer. Additionally, Jim Linnell was recruited to establish and lead a new series of Tandy Leather retail stores.

In 2005, The Leather Factory rebranded itself as Tandy Leather Factory. CEO Wray Thompson highlighted that merging Tandy’s well-established brand with The Leather Factory’s solid foundation aligned with the company’s long-range strategic vision.

After nearly five decades in the industry, Wray Thompson retired in 2006, with Ron Morgan succeeding him as CEO. Both Ron and Robin Myers Morgan retired in 2009 after extensive tenures in leadership roles. Jon Thompson was appointed CEO while Mark Angus took on the role of Senior Vice President; Shannon Greene continued as CFO.

The company pursued international growth by opening a second European branch in Cadiz, Spain in 2012 and launching its first wholesale/retail store near Sydney, Australia in 2011. In 2013, Tandy unveiled its Flagship store adjacent to headquarters; this building earned the TEXO/AGC Distinguished Building Award for its architectural excellence visible from Interstate 20. The Al and Ann Stohlman Museum was also relocated to the headquarters’ lobby to deepen brand legacy and enhance customer interaction.

Tandy Leather Museum & Gallery

Situated within the lobby of Tandy Leather’s corporate headquarters in Fort Worth, Texas, the museum and gallery present historic leather artwork including the distinguished Al and Ann Stohlman Collection. The exhibits also showcase creations by renowned artists such as Ken Griffin, George Hurst, Jim Linnell, Al Shelton, and Christine Stanley, emphasizing the company’s cultural significance within the leathercraft industry.