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The educational foundations of South University were laid in 1899 in Savannah, Georgia. Founded as Draughon's Practical Business College by Dr. John H. Draughon, the school was created to educate young men and women on the practical aspects of business. Over the next 75 years, the school's reputation continued to grow and develop as hundreds of promising students graduated and became respected business professionals. In 1974, the college began an evolution that would eventually result in the creation of South University. Draughon's Practical Business College was acquired by the family of John T. South, III and shortly thereafter became known as Draughon's Junior College. By the beginning of 1975, a location was opened in West Palm Beach, Florida, and the school's multi-campus network was officially established. In 1986, the name of the institution was changed from Draughon's Junior College to South College. The change was made to honor the leadership of the South family and reflect the institution's progression from a small, regional business school to an accredited college offering a wide range of educational opportunities. South College officially became a four-year institution in 1996, when the Bachelor of Business Administration degree program was added to the curricula. In 1997, the college expanded into Montgomery, Alabama, with the acquisition of Massey-Draughon Business College, a 110-year-old institution. The same year, a bachelor's degree in Physician Assistant Studies at the Savannah Campus and an associate's degree in Physical Therapist Assisting was introduced at the Savannah, West Palm Beach, and Montgomery Campuses.

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