In early 1901, William S. Harley, who was only 21 years old, developed a project for a small volume engine 7.07 cubic inches. The next two years Harley and his childhood friend Arthur Davidson labored on their bike with an engine using a garage in the house of their friend, Henry Melk. The work was completed in 1903 with the help of his brother Arthur, Walter Davidson. Upon completion of the young men understand that their creation is not able to conquer even the modest Milwaukee hills without pedal assistance. For this reason, Harley Davidson, and decided to leave their bike with an engine as the first, not a very good experience. Following this, immediately began work on a new, more modern motorcycle. This first "real" Harley-Davidson motorcycle had a bigger engine has 24.74 cubic inches (405 cc) with 9-3 / 4 inch flywheels weighing 28 pounds crankshaft. New advanced frame was similar to the frame of the bike 1903 Milwaukee Merkel (constructed by Joseph Merkel, the creator of Flying Merke). The new tubular frame and engine larger volume made a new model Harley-Davidson is not a bike with added motor and motorcycles in the sense that we understand it now. In developing the new engine guys helped engineer Ole Evinrude, one of the pioneers of American Motors. A prototype of the new bike was created in a shed measuring 3 to 5 meters, which stood in the courtyard of the family Davidsons. However, most of the major sites have been made in other places, mostly in the workshop of West Milwaukee railroad depot, where the eldest of the brothers, William A. Davidson, served toolmaker. The prototype was completed September 8, 1904 and the same day took part in motorcycle racing at State Fair Park. Racer was Edward Hildebrand, he finished the race in fourth place. This race was the first documented the emergence of Harley Davidson motorcycle. In January 1905 in the Journal of Automobile & Cycle Trade Journal had the first small advertisement that tells about what drives the company Harley-Davidson appeared in the free market. In April motorcycles already sold whole, but in very limited quantities. In that year, the first dealer Harley-Davidson, Carl Land of Chicago, sold three bikes from the dozen or so gathered in the barn. Later this legendary barn was placed in the center of the factory already present on Juneau Avenue, where it stood for many decades as a memory of the humble origins of the cult of the motorcycle. Later, unfortunately, shed was accidentally destroyed by contractors in the early 1970s employed for cleaning the factory yard. In 1906, Harley and Davidson built their first factory on Chestnut Street (later the street was renamed Juneau Avenue). Today, at this location is the headquarters of the company. The first factory on Juneau Avenue was a wooden building measuring 40 by 60 feet. On this "factory" in the first year were collected for 50 motorcycles.