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==Foundation== The company had its origins as "Taylor, Gue Co Ltd" founded in 1896 by [[John Goodman (Velocette)|John Goodman]]<ref name="siegal thruxton">{{cite journal|last=Siegal|first=Margie|title=Velocette Thruxton: A Tale of Two Fishtails|journal=Motorcycle Classics|date=January–February 2013|volume=8|issue=1|url=http://www.motorcycleclassics.com/classic-british-motorcycles/velocette-thruxton-zmsz13jfzbea.aspx|access-date=30 January 2013}}</ref> (born Johannes Gütgemann and later known as John Taylor before formally changing his name to Johann Goodman) and William Gue, which initially made cycle frames and parts, but later made the frames for the Ormonde Motorcycle. In January 1904 they were working on a tri-car powered by a 3.5HP water-cooled four-stroke engine, with 2-speed gearbox and novel clutch system.<ref>Motor Notes, The Clarion, 15 Jan 1904, p7</ref> In 1904 Ormonde merged with the engine maker Kelecombe, and when this company failed Taylor Gue bought the assets, and in 1905 built their first motorcycle, the ''Veloce''.<ref name="MCSJan69">The Velocette Saga, Motorcycle Sport, Jan 1969, p34</ref> Later that year, John Taylor set up Veloce Limited, to produce cycles and related products and services, and business continued for several years producing Veloce Cycles, but with his sons Percy and [[Eugene Goodman (Businessman)|Eugene]] he investigated the use of engines as the Veloce Motor Company and produced the V.M.C motorcycle in 1910, this had a 500cc side-valve engine with direct belt-drive and the option of a hub gear.<ref name="MCSJan69"/> In 1912 New Veloce Motors Ltd was formed, with J. Taylor and P.J. Taylor as shareholders, registered at Veloce Works, Spring Hill, Birmingham.<ref>New Veloce Motors, Coventry Herald, 16 Feb 1912, p2</ref> This company may have been to separate the risks of venturing into motorcycle manufacture from the rest of the business, but New Veloce Motors was wound up during WW1.<ref>In the matter of the New Veloce Motors Ltd, Birmingham Gazette, 24 Jun 1916, p4</ref>
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