Angel steps in to help eco-friendly firm after investors bail out

THE Yorkshire Association of Business Angels (YABA) has stumped up a £30,000 cash shortfall needed by a Sheffield business after a private investment company renaged on a finance agreement.

Bag It Don’t Bin It needed the money to meet growing demand for its biodegradeable cotton bags.

The firm, which was set up by Julia Gash in 2007, supplies eco-friendly printed cotton and jute bags to a range fo customers from large retail chains through to schools and universities.

With a minimum order of just 100 bags, the fairly traded, sustainable cloth bags are a cost-effective, contemporary, promotional tool. And while the bags are ethically sourced from India, they are printed using environmentally friendly inks in Sheffield.

Jennifer Ryan, who is the leading angel investment in the company, said that the firm was a successful business, which just needed some financial assistance to help it reach its potential.

“The bags are an attractive product and Julia is an experienced businesswoman, well equipped to drive the business forward.

Ms Gash said that the business married her passion for the environment and her knowledge of textiles and printing.

“We’ve set up an eco-print factory in Sheffield and created three jobs so far,” she said.

“But we needed investment to meet increasing sales. When my backer pulled out of our agreement late last year a colleague told me about YABA. I got in touch and from there quickly made contact with angels who were interested in investing.”

YABA said that with businesses finding it increasingly difficult to raise finance through traditional routes, entrepreneurs were looking to business agnel finance to fill the void.

Ms Gash said that as well as securing the cash there have also been other benefits.

“Jennifer has excellent financial expertise and she’s now a non-executive director of the business, so as well as the investment we’re also adding a valuable and experienced business person to the team.”