Gift retailers eyeing expansion after securing HSBC funding

Gadget retailer Gift Universe Group is set to expand after securing an eight-figure investment package from HSBC UK.

The company, which employs 30 staff at its Hull distribution centre and has a nationwide workforce of 1,200 staff, plans to meet demand from its growing customer base by scaling up the import of stock from across the world by 20 per cent over the next 12 months.

Gift Universe Group’s products are sold through high-street brands RED5 and Menkind, which together have 80 outlets across the UK. The business also plans to grow its presence on existing e-commerce platforms such as Amazon.

Paul Kraftman, the organisation’s chairman and chief executive, said of the deal: “The retail sector has undergone profound change since we launched the business 16 years ago. To react, we’ve strived to increase not only the range of our customers but also how we reach them.

“We started our relationship with HSBC after we acquired RED5 in 2015, and with the bank’s financial backing we’re now ideally positioned to consolidate our position in the market.”

HSBC UK’s relationship director for North Yorkshire and Humber, Simon Cook, added: “It is exciting to see a retailer innovating to meet changing consumer behaviour. The products that the Group sell are carefully sourced from suppliers around the world and this expertise is reflected in the high demand from suppliers and shoppers alike.

“It is a pleasure to support the business as it undergoes further expansion and we look forward to seeing Paul’s team continue to grow.”

As well as selling directly, Gift Universe Group provides stock for national retail chains such as John Lewis, Boots, Argos, Debenhams and Waterstones, and in 2017 enjoyed sales worth £66m.