Sweet deal for confectionery company means it can expand production
A West Yorkshire-based confectionery business has secured £70,000 from NPIF II – BEF Smaller Loans, which is managed by Business Enterprise Fund (BEF) as part of the Northern Powerhouse Investment Fund II (NPIF II).
The funding for The Marshmallowist also came from BEF’s Community Investment Enterprise Fund 2 (CIEF2) backed by Lloyds Bank and Better Society Capital.
This funding will play a crucial role in expanding the company’s operations and enhancing its commitment to crafting innovative, gourmet marshmallows.
The investment will establish a new bakery facility, significantly boosting production capacity to meet the demands of the new contract.
It will create five new jobs and secure seven existing positions at the business’s Leeds site.
The Marshmallowist was founded from a stall at Portobello Road Market in 2011 by chocolatier Oonagh Simms.
Oonagh Simms
In 2014, Simms’s sister Jenny joined as a director, bringing expertise in brand development and strategy. Together, the pair secured listings for their products in luxury retailers such as Selfridges and Harvey Nichols.
After winning a contract with a growing chocolate brand, the sisters set their sights on upgrading their production facility at Springfield Mills in Farsley, Leeds.
They were introduced to BEF by David Baggaley, a business advisor at Leeds City Council, who played a key role in securing the funding and grants for their expansion.
Oonagh Simms said: “This investment marks a significant milestone for us. With the new bakery facility, we can expand our production to meet the growing demand and continue pushing the boundaries of what a gourmet marshmallow can be.
“We’re thrilled to take this next step in our journey and bring more of our innovative flavours to our customers.
“It’s not just about growth; it’s about keeping our passion for quality and creativity at the heart of everything we do.”
Doug Heseltine, senior investment manager at BEF, said: “The Marshmallowist is a fantastic example of a business that combines creativity with a clear growth strategy.
“We’re proud to support Oonagh and Jenny as they expand their operations and take on exciting new opportunities.
“This investment not only helps scale their production but also contributes to job creation and economic growth in the region, which aligns perfectly with our mission and the goals of the Northern Powerhouse Investment Fund II.”
Lizzy Upton, senior manager at British Business Bank, added: “Small businesses are critical in promoting and driving growth into local regions, especially ones like The Marshmallowist which is providing a fantastic offering to its customers while also creating and securing jobs.
“These kinds of businesses can benefit greatly from access to finance, and this loan will certainly accelerate the team forward in achieving their growth ambitions.”
