SME Capital has agreed a bespoke funding package to support the management restructure of Bio8 Ltd, a provider of home and gardening products sold online under the ‘Envii’ brand.
Founded by Andrew Hiron, the Chesterfield-based business originally started with their pond product range which remains their largest seller, before expanding into gardening products and eventually home cleaning products as well.
The business has been operating under its current form since 2014, with the business selling the majority of products through Amazon and eBay. More recently the business has been pushing to sell more through its own website.
With 8 years’ experience in ecommerce SMEs and 6 years’ experience at Bio8, Oliver Peabody is responsible for the sales/marketing strategy which has grown the business from a turnover of £600k to £3.6m in 2022.
SME Capital have agreed to provide a bespoke 5-year term funding solution to support the MBO and the business’s next phase of growth.
Commenting on the deal, Oliver Peabody, Managing Director, Bio8, said: “We are delighted to have completed on the deal and excited to start growing the business once more. We look forward to doubling down on our values and providing high quality, thoughtful solutions to the home and garden industry.
“SME Capital have been great to work with throughout the process of the deal and very supportive along the way. We look forward to working with them over the coming years.”
Stuart Watson, regional director, SME Capital, added: “Bio8 is an excellent business, whose ‘Envii’ brand has strong market recognition and has become synonymous with quality and environmentally friendly products and excellent customer service. The MBO has been well planned to continue the further growth of the business.
“We have been pleased to support Oliver and his team with a 5-year loan including both a capital repayment holiday and bullet repayment structure to help with the hand over and maximise cash headroom given the current macro-economic uncertainty.
“This is an excellent introduction from Jessica Bradbury at CF advisors, Camlee Group. Thanks to all involved particularly Matt Ingram and team at Squire Patton Boggs.”
Jessica Bradbury, of Camlee Group, said: “Andrew and Michelle have built a highly successful business, central to which is its ability to operate in a customer-orientated, flexible and innovative way. It was evident from the start that they greatly value the staff that have helped them to build the business to its present point, particularly Oliver who has played a pivotal role in its development.
“An MBO was a clear solution to achieve both parties’ objectives, while preserving the core values that have made the Envii brand so strong in the market. Once the deal was agreed in principle, we approached SME who worked very quickly and collaboratively on a funding offer. We’re delighted to have assisted in delivering the transaction and look forward to seeing the business go from strength to strength in the coming years.”
