Wheeler-Nicholson had to take Donenfeld on as a partner in order to publish Detective Comics

In 1937, in debt to printing-plant owner and magazine distributor Harry Donenfeld—who also published pulp magazines and operated as a principal in the magazine distributorship Independent News—Wheeler-Nicholson had to take Donenfeld on as a partner in order to publish Detective Comics #1. Detective Comics, Inc. was formed, with Wheeler-Nicholson and Jack S. Liebowitz, Donenfeld's accountant, listed as owners. Major Wheeler-Nicholson remained for a year, but cash-flow problems continued, and he was forced out. Shortly afterwards, Detective Comics, Inc. purchased the remains of National Allied, also known as Nicholson Publishing, at a bankruptcy auction.