Gordons advises detergent distributor in securing £400,000 funding
Friday 6th June 2014
Gordons’ corporate lawyer Duncan Firman has advised a Leeds-based detergent and fabric softener distributor on securing a £400,000 equity-linked investment from Finance Yorkshire.
SNG Commercial, which began trading last year, will use the backing to enhance customer awareness of, and confidence in, its Muvo brand and product range. This includes a biological and non-biological liquid detergent, fabric softener and dishwasher gel.
The business was established in 2010 by Simon Gunter, who identified a gap in the mid-tier laundry market. Following a period of research, development and testing, SNG has now joined forces with a national transport partner to deliver stock nationwide to partners including Home Bargains and Fultons Foods.
Finance Yorkshire provides seed corn, loan and equity linked investments from £15,000 to £2m, to help small and medium-sized businesses meet their funding requirements for growth and development. It is capitalised by the UK Government, European Regional Development Fund and European Investment Bank.
Simon Gunter said: “This investment comes at an absolutely vital time for us, now that we’re in a position to scale up and realise opportunities in the market. While it’s early days for the business, I’m confident that the high quality, low-cost nature of our products will be highly attractive for retailers.”
Mr Gunter added that the laundry detergent sector in Europe was worth £28bn a year, so the potential there was obvious. The company was confident it would be exploring opportunities on the continent by 2015.
Duncan Firman said: “It was exciting to help SNG Commercial secure this vital funding, which will help take the company to the next level.
“The company’s products plug clear market gaps and this, alongside the new investment and Simon’s experienced management team, make me highly optimistic that the business has a very bright future indeed.”