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How I Built This with Guy Raz

Room & Board: John Gabbert. A Broken Deal, a Family Rift, and the Birth of a Furniture Giant

How I Built This with Guy Raz

Guy Raz | Wondery

Business

4.731.4K Ratings

🗓️ 11 May 2026

⏱️ 63 minutes

🧾️ Download transcript

Summary

John Gabbert built a massive furniture brand. But in order to do it, he had to defy his family. 


John grew up working at his dad’s furniture store in the suburbs of Minneapolis. It sold classic, American-made furniture, with flowery prints and curved legs. But in 1972, John took a life-changing trip to Sweden, where he discovered an obscure store called IKEA. It was selling an entirely different type of furniture: simple, modern, and inexpensive, with a manufacturing process they controlled. To John, it looked like the future of furniture. The only problem, his dad didn’t agree. 


That disagreement led to a 10-year family rift—but also a new business. 


In 1980—zafter a deal to buy out his dad broke down—John spun out his own furniture brand, Room & Board. Today, it sells hundreds of millions of dollars of furniture in its own classic designs, mostly made by small American manufacturers. 


This is the story of how John did it, without outside investors, and without chasing growth for growth’s sake.


What You’ll Learn


Why the right thing for your business might be the hardest thing for your family

How John connected with young boomers—not their parents 

The key to long-term success: growing slow and saying “no”

Why John refused private equity money

Why Room & Board transitioned to employee ownership


Timestamps:

00:06:10 - Gabberts: flowery furniture in a fake living room

00:09:41 - Becoming president of the family business at age 23

00:13:33 - A fateful trip to IKEA in Sweden: “That's what the future needed to be”

00:18:36 - John tries to buy out the family business… until his dad backs out

00:35:47 - Design inspiration from modern art—and steel frames

00:46:38 - Why making furniture in America makes sense

00:55:27 - Investors come to call… and John says no

01:01:48 - The decision that transferred ownership to employees


This episode was produced by Chris Maccini with music composed by Ramtin Arablouei. It was edited by Neva Grant with research help from Rommel Wood. Our engineers were Patrick Murray and Kwesi Lee. 


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Transcript

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0:00.0

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1:28.3

One of the big decisions we made was there was a location in Los Angeles that I fell in love with. And we sat down as a group and said, okay, can we do this?

1:31.3

You know, the furthest we'd gone to Chicago, we didn't know what to do.

1:34.3

And we just said, no, we're not ready.

1:38.3

And to me it's an interesting point of view because people remember the decisions that they made where they did something.

1:45.2

Sometimes the decisions you made where you did nothing is the most important decision in the

1:50.3

business.

1:59.6

Welcome to How I Built This, a show about innovators, entrepreneurs, idealists, and the stories behind the movements they built.

2:10.4

I'm Guy Raz, and on the show today, how John Gabbard left his family's furniture business to branch out on his own with room and board,

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