A premium drinks producer based in Cheltenham has secured £4.5
million in financing to support their global export of bespoke
drinks packages, including to Asia.
Provided by HSBC, the package combines a receivables finance
facility of £3 million and a trade finance facility of £1.5
million, the latter guaranteed by UKEF, the government export
credit agency.
Founded by two friends, Gravity Drinks already exports to markets
including the USA, Canada, Scandinavia, Taiwan, Japan, and New
Zealand, selling its premium spirit and liqueur brands to large
overseas retailers.
Seasonal demand for its drinks means that the business requires
additional working capital to ramp up production in the run-up to
Christmas, New Year and other seasonal celebrations.
UK Export Finance helped to secure HSBC financing with a
guarantee offered through its General Export Facility
(GEF) product – this helped UK exporters to access over £576
million in working capital loans in the last financial year.
Gravity has already been able to use the financing to make
Christmas shipments, producing 35,000 units of Costco's annual
“Whisky Tour of the World” advent calendar, which has been a
sell-out in 2024.
The business has also used the finance to launch a number of
other new products and white labelling for international
customers in Asia.
This has supported Gravity in continuing its year-on-year revenue
growth since it was founded in 2018, with a total order value of
just under £8 million booked in 2024.
New financing also supports the business's efforts to invest in
new equipment and create new roles at its offices in Cheltenham.
Hitesh Patel, Export Finance Manager for London at UK
Export Finance, said:
It has been a pleasure working with Jim Denoon's team to
understand the financial and insurance needs of the business.
Immersed in local markets, Gravity Drinks has taken the time to
really understand local seasonal celebrations globally and
tailored drinks solutions to capture their audience.
The overwhelming majority of UKEF's deals support smaller
businesses like Gravity, ensuring that entrepreneurs from all
over the country can benefit from international trade.
Jim Denoon, Director at Gravity Drinks said:
With continued demand from our customers in the UK and overseas
having the right partners in place to help finance our growth is
crucial to our business. UK Export Finance have been supportive
of us from the early days of Gravity.
Campbell Chisholm, HSBC UK Relationship Manager,
added:
As a global bank, HSBC UK can offer comprehensive support to
businesses that trade internationally, so we're excited to see
Gravity Drinks taking its fantastic products to new
markets.
It is a privilege to also support the production of new products
for UK customers and I am delighted that the company's growth is
supporting the local economy through the creation of new jobs.
The announcement was made alongside International Trade
Week, an annual event run by the Department for Business and
Trade which includes a series of virtual and in-person events to
advise UK businesses on different ways to reach new international
markets.
