John Merrick's barbershops served as an incubator for him to learn how to interact with customers and develop an understanding of how to attract and maintain a large client base. Merrick's success in running his barbershop business eventually led him to set up a mutual aid society in Durham, NC. Through the society, Merrick and other African American business owners recognized the need for insurance protection and financial services in the African American community. Merrick leveraged his barbershop network to form the North Carolina Mutual Life Insurance Company, which soon grew to become one of the most successful African American-owned businesses in the United States.