1970s label founded by A&R man/producer Sonny Lester after leaving United Artists Records (after he had created the Solid State Records (2) jazz label for UA in 1966; it was eventually folded into Blue Note by 1970) that was known mostly for releasing mostly funky jazz recordings. Originally pressed and distributed by the notorious budget label Pickwick between 1971 and 1976, its catalog is a sampling goldmine.

It was succeeded by the T.K. Records-distributed LRC (Lester Radio Corporation), which was active for two years. Lester created the CBS Records-distributed 51 West label in 1979 to reissue Groove Merchant material.

Lester was largely inactive until the CD age when, after several poor-quality CD reissues via Denon and LaserLight, he reactivated the label as LRC Ltd. - Groove Merchant reissuing material from the combined Groove Merchant/LRC catalog and new recordings.