Natural Grocers Got Its Start With A $200 Loan

It's hard to travel even a few miles in most of the United States without stumbling upon a grocery store chain such as Whole Foods, Trader Joe's, or Kroger. But every chain has to start somewhere, and for Natural Grocers, the journey began with just $200.

Today, we know Natural Grocers as a health food store offering grocery items and household products that are sustainably made and are healthy for your body and mind. All of the products on its shelves are 100% organic, and its meat is 100% grass-fed, according to the store's website. Perhaps its biggest draw is affordability; the chain wants people to afford good-for-you food even on a low budget, which has helped the retailer open more than 160 locations around the United States. The story of Natural Grocers coming to life starts with founder Margaret Isely falling ill — and looking for a solution outside modern medicine.

Natural Grocers has an interesting history

Natural Grocers started as a door-to-door venture back in 1955. According to the chain's website, Margaret and Philip Isely built the brand after Margaret's second child was born; she found that improving her diet and overall nutrition resulted in recovery from an illness that medicine couldn't seem to solve.

As a result, the couple wanted others to be able to focus on improving their health from the inside out, so they began going door-to-door, taking orders for healthy foods their neighbors wanted. To do so, they needed to take out a $200 loan to help keep their family afloat, which ended up being the best risk they took. By 1958, Natural Grocers opened its first brick-and-mortar in Colorado and has continued to expand.

Natural Grocers has been nationally recognized for the difference it makes in the grocery industry. In 2022, the brand received two accolades in the categories of Food Security/Nutritional Leadership and Workforce Development/Employee Support from the Progressive Grocer Impact Awards, per a company press release.

Natural Grocers now has nearly 175 locations

Nearly 70 years later, the $200 loan seems to have paid off. Though Margaret and Philip have passed away (Margaret in 1998 and Philip in 2012), their children have taken over the family business. According to Inc. Magazine, as of April 2015, the organic food store was worth $521 million — and at the time, there were only 93 stores nationwide. With more than 160 today (per its location directory), it is safe to assume the brand is worth substantially more.

Margaret and Philip Isely had seven children, though two died at a young age, per Inc. Now, the business is run by two of their kids, Kemper and Zephyr, who share the title of co-president. The brand continues to expand, with a new Colorado store opening in December 2022 and a new Idaho location slated to open in Winter 2023, per the brand's website.