Once in New York, Scharff and his brother partnered with Austrian retailer Sepp Lanz, an émigré, in his Austrian-style clothes and sleepwear retail store. Scharff soon discovered there was a demand for the clothing line in California.[8] In 1938, the Scharffs and Lanz relocated to Los Angeles to open a store location on Wilshire Boulevard, specializing in Austrian-inspired ski clothing and sleepwear. When American film actress Hedy Lamarr wore their clothes in the film Ziegfeld Girl, the company received film credits, which gave the Lanz line national attention.
In 1946, the Scharff brothers bought the business from Lanz and focused on manufacturing. The same year, Scharff encouraged nearby clothing retailers to sell the line in their stores. At the same time, the company established a wholesale business with department stores worldwide.[9]
In 1953, Scharff designed and unveiled a nightgown line, "the granny gown," which was made of inexpensive cotton flannel and became Lanz Inc.’s signature product. It was based on a dress that Scharff's landlady had worn. By the late 1950s, the gown was a popular cover-up for women.[10] As a result, the company expanded to 30 retail stores and established a manufacturing division. Playwright Wendy Wasserstein was known to have worn a Lanz nightgown while writing.[11][12]
In the 1950s, Scharff began buying and refurbishing properties in Venice, Los Angeles. During a lengthy downturn with businesses on the oceanfront, he helped design a master plan for the community that included storefronts. He became one of the largest property owners in Venice.[13]
Scharff commissioned artwork and murals in Venice Beach as well, many by artist Rip Cronk, who credits his career to Scharff.[4] Cronk's murals commissioned by Scharff include a self portrait, depicting the artist as a superhero;[14] a tribute to van Gogh's "Starry Night" at Wave Crest and Ocean Front Walk; and a portrait of Venice founder Abbot Kinney that highlights a five-story brick apartment building Scharff once owned on Venice Boulevard.[7]
In 2006, Scharff was awarded The Spirit of Venice Award by the Los Angeles City Council.
In 2017, muralist Jonas Never depicted Scharff driving through Venice in his convertible, in a mural across from James Beach.[15]