Furniture Village plots UK expansion
Furniture Village has unveiled plans to expand across the UK after securing a £6 million investment from the Business Growth Fund.
Established in 1989 by co-founder and chief executive Peter Harrison, Furniture Village marked its 25th anniversary of trading this month. With 40 UK stores, the business employs 760 people and generates revenues of £200 million per annum. Its core product category is sofas, alongside cabinet furniture, beds and accessories.
Furniture Village said the funding will enable it to accelerate a roll-out of new stores across the UK. It will also bolster its ongoing investment in technology as it looks to enhance the in-store experience and further develop the company's e-commerce platform.
BGF will take a minority stake in the business and its senior investment manager Jon Simon will join the Furniture Village board as BGF’s representative.
Simon said: “This represents an exciting opportunity for BGF to back a well-known British brand with a strong heritage and a track record of profitability. Over 25 years Furniture Village has developed into one of the UK’s leading furniture retailers and we look forward to supporting the management team as the company embarks on this next phase of growth.”
Harrison added: "Having achieved a significant improvement in trading performance in our last financial year ending March 2014, which has continued strongly into this current year, this is an ideal time for us to expand and further enhance our presence, both in terms of physical stores and online.
“We are appreciative of BGF's support and confidence, and beyond the many other potential benefits that will arise from our new and close association, this substantial investment will enable us to accelerate our plans and for Furniture Village to remain at the forefront of British retail in its sector."
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