Malcolmson is occasionally referred to in the literature as "Alexander Malcolmson" or "A. Y. Malcomson".
Malcomson married Sarah J. Mickleborough in 1889 and had six children: Mary J., Helen J., Grace L., George W., Alexander Y., and Allan R. Malcomson. Sarah died ca.1902 and he then married Alice Schofield in 1903, a marriage which produced two daughters, Dorothy J. and Margaret A. Malcomson.
However, the young firm quickly had trouble making payments to the Dodge brothers due to slow sales. Malcomson turned to John S. Gray, president of Detroit's German-American bank. Gray agreed to invest $10,500 in the automobile firm. Malcomson also convinced his young clerk, James Couzens, to invest, as well as the law partners John W. Anderson and Horace Rackham; in all, Malcomson brought a total of $28000 cash to the company. On June 16, Ford, 1903, Ford and Malcomson was officially re-incorporated as Ford Motor Co., with Gray as president and Ford as vice-president. Ford and Malcomson each owned 255 shares of the company (25.5% apiece), while Gray, Rackham, Anderson, Couzens, and other investors received shares proportional to their investment. The Dodge brothers each received 10% of the shares in the new company in return for materails provided.
Both Malcomson and Gray had larger businesses to run than Ford Motor Co. To keep Henry Ford in check, Malcomson installed his clerk James Couzens (also a shareholder) at Ford Motor in a full-time position. In any case, the company was an immediate success. Earnings in the first six monsths were over $100,000, and the company declared a 100% stock dividend; in the first year, the company made over $250,000 profit. Malcomson wanted to increase profits, and, believing luxury cars were the most attractive sector of the automobile market, directed Ford to design and build the larger and more expensive Model B and Model K. Ford was reluctant, but Malcomson was backed by his majority coalition on the Board, and Ford capitulated.
Malcomson plowed his profit from the sale of Ford stock back into Aerocar,building a factory and producing the Aerocar Model D and Model F. However, the cars were not very popular, and Aerocar went broke in 1908. He sold his factory to Hudson Motor Car and returned to the coal business, still owing money to his creditors.
However, Malcomson dove back into business, running his coal supply business. In 1913, he formed Malcomson and Houghten, a distributor of coal, coke, and building supplies. By his death, he had amassed an estimated $2,000,000, and his insurance policy of $633,250 was the fifth largest paid in that year.
Alexander Malcomson died in 1923, at age 59, after a long illness.