John Smalley was born in Blackburn in 1728. His family moved to Preston when he was a child. He worked as a liquor merchant and publican in the town and was friends with Richard Arkwright. In 1767, Smalley funded Arkwright’s development of the water frame spinning frame. He entered into partnership with Richard Arkwright and David Thornley in May 1768 to develop the spinning technology further, forming Richard Arkwright & Co. From June 1769, Smalley was the majority partner in the company. He became the manager of the company’s Cromford Mill in Derbyshire. Following disagreement over the running of the company, Smalley attempted to force Arkwright from the business. The matter went to arbitration and Smalley left the company and his position as manager at Cromford Mill in 1775. He moved to Holywell, Wales, in 1777 and established a cotton mill there with his son Christopher Smalley, after running a paper mill and a wire mill in the area. He died in Holywell 1782.