Menswear retailer sharpens up with £6m funding package
Leeds-based menswear retailer, Skopes, is set to significantly expand its national high street presence, supported by a £6m funding package from HSBC UK.
The menswear brand, which celebrated its 70th anniversary last year, plans to open 15 new stores across the UK over the next two to three years. These will complement the retailer’s extensive online offering, its multiple department store concessions and existing stores within Westfield in London, Junction 32 and Meadowhall in Sheffield.
This expansion will support the creation of 200 new jobs, across retail, warehouse and office roles – the biggest growth phase the company has seen since its inception in 1948. Following the expansion, the total workforce of the business will exceed 500.
The funding from HSBC UK will enable the family-run business to strengthen its import channels from Bangladesh, China, and Europe. Overall, expansion plans are expected to increase turnover from £30m to around £60m to £70m over the next three to five years.
Skopes will ringfence a proportion of the funding for targeted online marketing activity, such as digital and mobile advertising. Whilst new stores are expected to generate growth, online sales still account for around 20% of overall sales for Skopes.
Simon Cope, owner and managing director of Skopes, said: “2018 was a big year for us. Seventy years after the business was founded by my grandfather, Sydney Cope, we completely re-branded and the energy this brought propelled our growth forward.
“While cultivating a strong digital following is key for us, we believe bricks and mortar stores still have a hugely relevant role in the retail landscape.
“We want to capitalise on this by rolling out 15 new stores nationwide. The HSBC UK funding will enable us to create stores that respond to consumer demand and trends which is imperative if we are to remain relevant and attractive to our ever-changing market.”
James Sawley, HSBC UK’s head of retail, explained: “Skopes has proven itself as an agile, ambitious and extremely relevant brand in a consumer market that can often be challenging and unpredictable.
“Its approach to having a prominent online and high street presence is commendable and reassuring for other retailers. We’re confident Skopes can deliver a unique shopping experience for thousands of people across the UK.”
Helen Phillips, relationship director for HSBC UK, North & West Yorkshire, said: “We’re delighted to be supporting a fantastic Yorkshire business in such a large stage of development.
“The opening of more UK stores shows the ambition of Skopes to further establish itself as a recognised household name. It’s an exciting chapter for the business and we’re fully equipped to support Skopes in realising its growth potential.”
This deal has been funded as part of HSBC UK’s £14bn SME fund, with £1.05bn dedicated to helping Yorkshire businesses realise their ambitions for growth.
