Ettore Arco Isidoro Bugatti, who has married in the meantime, moved to Cologne in 1907 and is now designated to get going the car production of the renowned and successful Deutzer Gasmotorenfabrik (Deutz gas engine factory). Here, Otto invented his first four-stroke engine, Daimler and Maybach worked here. Past Type 6 and 7 at Mathis develop here No. 8 and 9, by now all four-cylinder with an impeccable reputation, but not very successfully in selling.
Because of the somewhat capricious nature of Bugatti, finally here it comes also to a break and so he returns to Alsace. 1909 is founded the own company in a former dye works in Molsheim. Bugatti has probably by the family (father and brother) and his way of life excellent contacts. The premises choose e.g. a Spanish banker for him, and he probably also helps in the further financing.
Bugattih has now family, for 1903 daughter L'Ebe is born, 1907 daughter Lidia and 1909 son Gianoberto (later known as Jean). He has married his partner Barbara in 1907. All together move into a rented house next to the ground with the two wooden huts, in which soon the later world famous cars will arise. Until 1910 one is to set up to begin with the actual work.
At Bugatti one often thinks of relatively large vehicles, such as e.g. the giant Royale, and forgets that he has started with small cars. Only because of his successful participation in racing there will be always light cars, which can compete from pace with big ones because of the excellent road holding. Thus, the type 13 will be second in a climbing race as the smallest car. Bugatti will during the interwar years rise up to the most successful (racing) brand at all.
The cars in front are still edgy and a step away from the typical horseshoe of the later years. This also applies in contrast to the later quite moderate prices. How good are his designs, shows the fact that the company Peugeot, one of the oldest car manufacturers in general, him for the reconstruction of the Type 19 (picture above) license fees pays, and thus helps him to solve his financial problems. From this occurs the Bebe, but with a simplified engine, because of affordability with a huge popularity.