Investing.com -- Staples founder Tom Stemberg passed away at the age of 66 on Friday, due to complications of gastric cancer.
Stemberg pioneered the office superstore industry when he authored the business plans for Staples in the mid-1980s. Stemberg, as legend has it, developed the idea to create an office supply chain store shortly after he was unable to locate a ribbon for his printer when a local dealer closed its doors for the Labor Day holiday. In 1986, the Harvard University and Harvard MBA alum opened the first Staples in the Boston neighborhood of Brighton, before expanding the company into Canada only five years later. By the company's 10th anniversary, Staples already surpassed $3 billion in sales after opening subsidiaries into Europe.
In total, Stemberg spent 16 years as Staples' CEO while leading a Fortune 500 company that now produces annual revenues in excess of $20 billion a year.
Along the way, Stemberg forged a close relationship with 2012 U.S. republican presidential candidate Mitt Romney, who served on the company's Board of Directors for 15 years and helped develop its business model. Stemberg's idea for Staples may have never gained traction without the funding from Bain Capital, the private equity firm co-founded by Romney.
At the 2012 Republican National Convention, Stemberg paid homage to his longtime friend by painting a vivid picture of Romney's sharp business acumen, even at a young age.
"Mitt was not a typical investor, he was a true partner," Stemberg said in a speech on August, 30, 2012. "Where some saw an unproven new business he saw a store that could save people money. He recognized that efficiency creates value."
"He never looked at Staples as merely a financial investment. He saw the engine of prosperity it could become."
After stepping down as the CEO of Staples, Stemberg became a managing general partner at Highland Consumer Partners, focusing on retail and consumer services companies. Stemberg also served on the boards of CarMax (N:KMX), Inc., City Sports, David's Tea, Guitar Center, Indochino, J.McLaughlin, Lululemon Athletica and Pharmaca.
Stemberg is survived by his wife Katherine, his six sons and three stepdaughters.