Coco Chanel founded the fashion house that later became known as Chanel.
Chanel began her millinery business in Paris in 1910 and expanded into clothing during the following years. Her designs became associated with practical silhouettes, jersey garments, relaxed sportswear, costume jewelry, and an approach that challenged the restrictive fashions common in the early twentieth century.
The company is now officially known as Chanel, but the founder is generally identified as Gabrielle “Coco” Chanel. Karl Lagerfeld later became the house’s most influential creative director after Chanel’s death, but he did not establish the company.
This question concerns the founder of the fashion house, not the designer who later revived its global image or the executives who developed its corporate structure.