Equally important were the contacts with new business associates, with whose assistance Benz founded a gas engine factory in Mannheim. But after only a short time he withdrew from this company since it did not give him a free enough hand for his technical experiments. Benz found two new partners and with them founded "Benz & Co., Rheinische Gasmotorenfabrik" in 1883 in Mannheim, a general partnership. Business was good and soon the production of industrial engines was being stepped up
With this new financial security, Karl Benz could now set about designing a "motor carriage", with an engine based on the Otto four stroke cycle. Unlike Daimler, who installed his engine in an ordinary carriage, Benz designed not only his engine, but the whole vehicle as well. On 29th January 1886, he was granted a patent on it and on 3rd July 1886, he introduced the