On August 19, 1899, he resigned from the Edison Illuminating Company and, with others, organized the Detroit Automobile Company, which went into bankruptcy about 18 months later. Meanwhile, Henry Ford designed and built several racing cars. In one of them, called Sweepstakes, he defeated Alexander Winton on a track in Grosse Pointe, Michigan on October 10, 1901. One month later, Henry Ford founded his second automobile venture, the Henry Ford Company. He would leave that enterprise, which would become the Cadillac Motor Car Company, in early 1902. In another of his racing cars, the 999, he established a world record for the mile, covering the distance in 39.4 seconds on January 12, 1904 on the winter ice of Lake St. Clair.
On June 16, 1903, Henry and 12 others invested $28,000 and created Ford Motor Company. The first car built by the Company was sold July 15, 1903. Henry owned 25.5% of the stock in the new organization. He became president and controlling owner in 1906. In 1919, Henry, Clara, and Edsel Ford acquired the interest of all minority stockholders for $105,820,894 and became the sole owners of the Company. Edsel, who succeeded his father as president in 1919, occupied that position until his death in 1943, when Henry Ford returned to the post.
In September, 1945, when he resigned the presidency for a second time, Henry Ford recommended that his grandson, Henry Ford II, be elected to the position. The board of directors followed his recommendation.
In 1946, Henry Ford was lauded at the Automotive Golden Jubilee for his contributions to the automotive industry. In July of that same year, 50,000 people cheered for him in Dearborn at a giant 83rd birthday party. Later that year, the American Petroleum Institute awarded him its first Gold Medal annual award for outstanding contributions to the welfare of humanity. The United States government honored him in 1965 by featuring his likeness with a Model T on a postage stamp as part of their Prominent Americans series. In 1999, Fortune magazine named Henry Ford the Businessman of the Century.