Vimeo logo Twitter logo LinkedIn logo

Case Studies

Header icon
Back to Case Studies
Image of online-poundshop

Online Poundshop

Partner:Midven

Region:Black Country

Location:Wednesbury

Image of online-poundshop
  • The significant investment will enable Online Poundshop Ltd to upgrade the warehouse systems, and will create a range of new positions across the business including marketing and distribution roles.

Specialist eCommerce platform Online Poundshop Ltd (www.poundshop.com) has secured considerable investment from venture capital firm Midven, allowing the company to upgrade current warehouse systems, and create a range of new positions across the business – including marketing and distribution roles. The investment has come from the £35m West Midlands equity portion of the Midlands Engine Investment Fund (MEIF).

Based in Wednesbury and founded in 2014, Online Poundshop offers a wide variety of top brands and essential products at a discounted price direct to customers across the UK. The company has seen rapid growth since its inception largely due to a previous investment from Foresight VCT plc and strong entrepreneurial expertise within the management team. Online Poundshop Ltd was founded by Steven Smith, the pioneer of Poundland, and is led by Chris Maddox, former CEO of The Works.

The rise of eCommerce is prevalent across all spheres of business and Online Poundshop Ltd is at the forefront of the eCommerce revolution within the general discount sector. The investment in systems is key to scaling the business in line with rapidly increasing demand whilst delivering significant operational efficiencies for the business.

Chris Maddox, CEO of Online Poundshop Ltd said:

“We are delighted as a team to have received the additional backing from Midven, Their substantial investment will support the continued development of our systems including new warehouse and operational systems as well as the creation of a brand-new marketing function, underpining the increasing  demands we are already experiencing  but more importantly, providing for a solid operational platform to support our significant future growth plans . Whilst enabling us to stay one step ahead of our competitors this investment means that we remain being the UK’s fastest growing and largest online pound shop”.

Roger Wood, Director at Midven, said:

“Online Poundshop Ltd has grown rapidly over the last three years, demonstrating 50% year on year growth. The company is run by an extremely talented management team, all with exceptional track records within the sector. These two things combined made for a compelling case for MEIF to provide funding, to support investment into key systems that will enable the business to scale its eCommerce platform to the next level”.

Grant Peggie, Director at the British Business Bank said:

“This deal between the MEIF West Midlands Equity Fund and Online Poundshop is a great example of how the Fund is supporting companies to drive forward growth, development and create new job opportunities across the Midlands. I would encourage other growing companies to consider MEIF as a potential funding source.” 

Ninder Johal, Board Member Black Country LEP said: 

“This investment is great news for Black Country business and its fantastic to see companies such as Online Poundshop Ltd continue its growth trajectory with Midlands Engine investment. Investment such as this ensures and increases confidence in continued economic growth and productivity across the Black Country.”

The MEIF project is supported financially by the European Union using funding from the European Regional Development Fund (ERDF) as part of the European Structural and Investment Funds Growth Programme 2014-2020 and the European Investment Bank.

Follow @midsenginv

Birmingham-based 9 Wholesale secured a £150k funding boost from #MEIF and @B_C_R_S to support its cashflow and create three new jobs.

Read the full story in @insiderwestmids: https://t.co/WRvFk7S8nn https://t.co/Ogxorvz7tn
MidsEngInv photo

Are you a #Midlands business owner looking to secure finance?

The @BritishBBank’s Business Finance Guide is a key tool, with information on speaking with investors and what finance type is suited to your business needs.

Download it here: https://t.co/2ePyWkBSKk https://t.co/6b5Lw7yn4v
MidsEngInv photo

#MEIF Equity Finance is well-suited to established businesses or large start ups with ambitious growth plans.

Find out more about the finance type here: https://t.co/vQd1Jk7PHJ https://t.co/6cl9DWZVj3
MidsEngInv photo

The #MEIF Early Assessment Report revealed that 84% of investee businesses now have greater confidence in raising private sector finance.

Read more about the fund's impact here: https://t.co/NnfU2oqVQm https://t.co/KStNhpIott
MidsEngInv photo

Northampton-based @HumleyAI is set to expand following a £700k investment from #MEIF and @Mercia_PLC.

The #AI company develops conversational assistants capable of manning helpdesks and answering technical enquiries.

Read more about the deal: https://t.co/lCzVTOyNBq https://t.co/ghWvUhwYNE
MidsEngInv photo
Find Out More

If you would like to meet with one of MEIF's appointed Fund Managers to talk in more detail please go to Funds Available to find the Fund Managers operating in your area

small business loans

Small Business Loans

£25k – £150k

Small Business Loans page
Learn More
debt finance

Debt Finance

£100k – £1.5m

Debt Finance page
Learn More
equity finance

Equity Finance

£50k – £2m

Equity Finance page
Learn More
proof of concept

Proof of Concept

Up to £750,000

Proof of Concept page
Learn More