As of 2019, there were 940 hate groups known to be active in the United States. Previous examinations of hate groups have assumed formation. This paper uses simulation modeling to test Weber’s 1947 socio-political theory of charismatic leadership. Simulation modeling creates a computer simulation that simplifies people and their interactions to mimic a real-world event or phenomena. Three models of hate group formation were created to test this theory. These experiments test the importance of personal and societal levels of hate in group formation and the influence of charismatic leadership. These experiments also tested hypotheses regarding the number of groups that form, the speed of formation, and group size. Data were collected from 13,000 model iterations to test these hypotheses. All models successfully generated hate groups. Hate groups formed at all levels of societal hate. An in-depth understanding of how hate groups form may assist in slowing the proliferation of these groups and decreasing their appeal.