Emma Bunton gets fresh funding for ethical baby business
Emma Bunton has raised hundreds of thousands of pounds for her ethical baby business, in a funding round which attracted offers for double the target amount.
The Spice Girls singer’s company, Kit & Kin, gained the support of new backers after launching the bid on online platform Angel Investment Network (AIN).
It became the fastest ever raise in AIN’s history, achieving an initial target of £420,000 in a single week.
Ed Stephens, global head of brokerage at AIN, said it would usually take six weeks to raise a similar amount.
“As a business it has some great fundamentals, but clearly Emma Bunton’s extra spice was a key ingredient,” he said.
Kit & Kin was launched in 2016 by Ms Bunton – otherwise known as Baby Spice – and her business partner Christopher Money, selling eco-friendly nappies, wipes and skincare products through high street retailers and online.
Thanks to strong demand from investors, the company received pledges for funds of more than £1 million through AIN.
However Ms Bunton and Mr Money decided to only accept the £420,000 at this time.
The fresh capital will be used for staff, expansion and increasing stock supply in order to keep up with large orders.
Mr Money said: “The raise via the AIN has certainly surpassed all expectations and we ended up having to cap the number of discussions.
“We’ve come away from the raise with a select few who will bring significant strategic value that will certainly strengthen our offering and help us realise our potential over the years to come.”
Kit & Kin was promoted through a new section of AIN focused on supporting female founders and investors, which was set up in response to the under-representation of women in the industry.
Earlier this year, research commissioned by the Treasury found that female-led start-ups get just 1p for every £1 of venture capital investment in the UK.
Ms Bunton is hoping to emulate the success of The Honest Company, the business founded by actress Jessica Alba, which was valued at just under 1 billion US dollars (£770 million) in 2017.