For nearly a hundred years the name Medici held prominence if not dominance in the city of Florence. Despite exile, coups, a theocratic insurrection and repeated widespread incompetence in the family itself, the name built and maintained a strong presence in Florence, Italy and Europe. But the name was not just the family and its members, it was also a bank and by extension a valued currency and a form of credit.
Modern British popular historian Christopher Hibbert tells us that the contemporary French-Burgund historian Phillipe de Commines described the Medici he knew,
"... as not merely the most profitable organization in Europe but as the greatest commercial house that there had ever been anywhere. 'The Medici name gave their servants and agents so much credit ... that what I have seen in Flanders and England almost passes belief.'" [p.89]*
They were financiers for the papacy off and on, for monarchs all over, for several wars and, again and again, were asked to subsidize several acts of the Florentine Signoria. It was probably Cosimo de Medici in the 1420's who firmly established the dominance of the family's business and political influence in Florence. He was exiled from the city in 1433, but this caused such a flight of capital from Florence that the ban was lifted the following year and Cosimo made a triumphant return to even greater prominence. The banks by then were into everything. Their houses imported and exported jewelery, wool, silk, furs, finished goods like brocades and tapestries, as well as sugar, pepper, almonds, olive oil, lemons. One of the biggest trades was in alum, a mineral salt used in glassmaking, as well as tanning hides and making fast dyes, essential to current modes of cloth manufacture. [p. 88]*
Cosimo seemed a genius at finding and hiring gifted traders and managers, establishing trade houses in cities and capitals all across Europe. Beyond Florence and Rome, there were stations in Venice, Pisa, Bologna, Antwerp, Lübeck, Bruges, Lyons, Avignon, Geneva, Naples, Cologne and London. By 1470 the average had nine or ten employees, busy all day. Some had many more. And then there was the retinues, the messengers, the advisers that grew in numbers, the guards.
This grew and grew for decades. When Cosimo died in 1464, the Signoria named him father of the city. The greatest of all that would carry the name, perhaps, was Lorenzo, grandson of the great Cosimo. After his father Piero called 'the gouty', died in 1469, Lorenzo assumed control at the age of 20. In 1471 he is said to have calculated how much the family had given away since 1434 to charity, taxes and to build bridges, buildings and pave roads. A sum he thought amounted to 663,000 Florins, recalculated to some $460 million in 1971 dollars. He himself was not as good as his grandfather at managing these monetary surpluses.
Lorenzo was a great patron of the arts like his father and grandfather. He was a great intellect and interested in everything according to contemporaries. Also a great manager of people and institutions, as well as public and foreign affairs. He had maintained such a fine balance of alliances in Italy that when he died in 1492, Italy would lose that peace that had become an expected agent again for trade after centuries of disruptions.
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* Christopher Hibbert, The House of Medici: Its Rise and Fall, originally pub 1974, this edition Perennial/Harper Collins, New York 2003