The FINANCIAL — London-based online print and design business MOO has secured a £3 million revolving credit facility from Barclays to support an increase in their marketing and R&D spends. The money has been lent through Barclays newly launched Fast Growth Tech Fund which was set up to help fast growing technology businesses, such as MOO, accelerate to the next level.
MOO has experienced a sharp rise in turnover from sales of their bespoke online stationery and promotional material in recent years. The business was launched in 2006 with the intention of combining professional design and the accessibility of the internet to disrupt the $640 billion global print industry. From humble beginnings, it now supplies hundreds of thousands of customers in over 200 countries with its products, according to Barclays.
The cornerstone of MOO’s product portfolio are the Mini, Square, and Luxe business cards, but a crucial factor in MOO’s success has been the bespoke ‘Printfinity’ service, which allows customers to have a different image or design on every card or sheet in a pack, providing a unique self-promotion asset. Customers can make use of hundreds of designs created by MOO’s in-house team, or upload and use their own material.
With a healthy turnover, MOO required additional funds for marketing and R&D to facilitate their global expansion strategy. MOO decided to move its banking to Barclays, in order to take advantage of its Technology, Media and Telecoms team’s insights into the needs of fast growing companies offering digital services.
Benjamin Smith, Financial Director, MOO, commented: “The products MOO offer have proven very popular with small businesses and for individuals whose brand, unlike those of large recognisable corporations, need a creative means to stand out from the crowd.
“MOO’s success lies in individualising otherwise ubiquitous products, so it’s vital that MOO continues to develop and innovate at all times. Reaching a wider audience requires a ramp up in promotional activity, and investing in product development to ensure we continue to deliver innovative products that people love.”
Hemal Rawal, Relationship Director, Barclays’ Technology, Media and Telecoms team, said: “MOO is an exciting business, which is seizing the opportunity to claim an even bigger stake in a very lucrative market. It is one of the first to benefit from our new Fast Growth Technology Fund, which was set up to plug a significant gap in the traditional way technology businesses, which have passed the start-up phase, are funded.
“Until now, this type of lending has not been widely available to UK businesses at this critical stage in their development, whereas their US counterparts have been able to grow rapidly through access to debt finance at this post start-up phase. As the first bank to introduce a dedicated Technology, Media and Telecoms team we understand the complexity and competitiveness of this rapidly evolving sector and believe this fund is a great example of how we are continually innovating to support companies such as MOO”.