At this stage because we have had to use GoFundMe (See Our Page) as our provider, your initial offer of support is technically treated as a donation. For the avoidance of doubt if we fail to raise the target amount then all of your money will be refunded.
Bennetts has a longstanding heritage and was established in 1734 making it one of the oldest department stores in the world. The business has a high awareness and brand loyalty in the Derbyshire area with 2 stores in Derby and Ashbourne. Bennetts has been recognised for its traditional values, for being a family owned business and for its wide choice of gifts, homeware, fashion and beauty products.
Many customers still have nostalgic memories of the Derby store being a renowned destination for Christmas and enjoying the traditional tearooms.
Sadly, although the company still engenders a strong feeling of goodwill and loyalty in the local area, customers are increasingly disappointed and have recognised that the business is in decline. The company has lacked investment in recent years, and this is now reflected in the customer offer.
After many years of decline the business now requires a process of reorganisation and reinvestment into a more relevant and up to date customer offer. Young Ideas has been operating very successfully from 1,000 sq. ft. of retail space within the Bennetts Derby store since March 2011. From this experience Young Ideas management have a unique insight into trading in the Cathedral Quarter area of Derby and an insight into the day to day operations, people and management of the existing Bennetts business.
OPPORTUNITY
We believe that, with a carefully managed programme of investment and the application of good retail management controls such as, operations and supply chain, range offer, visual merchandising, customer service, store infrastructure, selected parts of the Bennetts operation can be turned around to achieve good levels of sales and profitability. Through implementation of a well-crafted business plan which combines Young Ideas and Bennetts , we believe the company can be relevant again and deliver a return on investment. The injection of a new passion, good leadership and a flair for retailing could be transformational.
Young Ideas have been recognised in its industry sector with several prestigious awards. The inherent brand values of both Young Ideas and Bennetts and the local goodwill they engender provide a strong platform on which to rebuild the business.
TURNAROUND PLAN
The turnaround plan would involve exiting the less fashionable and very traditional departments that are unprofitable:
• Ironmongery
• Hardware
• Home furnishings
• Bathroom accessories
• Garden
Investment would be made in the following areas:
• Fashion
• Accessories
• Health and Beauty
• Gifting and Stationery
• Food and drink
• Menswear
• Premium ladieswear
• Cookshop
• Outdoor lifestyle
This involves refurbishment of fixtures and fittings, investment in new brands, additional stock, improved systems and an online retail presence. We have obtained estimated costs associated with this redevelopment and also gained an insight into the potential for improving the profitability these are included in the projections below.
The ultimate vision will be to return Bennetts , Irongate, Derby into a leisure destination offering great customer service and a high-quality relevant retail offer.
TOTAL INVESTMENT REQUIRED
Scenario A - £450,000
To retain the brand on the Derby High Street and restore the ground floor and acquire the necessary stock.
Scenario B - £650,000
To rescue the entire Bennetts Derby business and reinvest in the key departments and additional stock.
Scenario C - £850,000
To rescue both the Derby and Ashbourne operations and invest in the key departments and additional stock.
The forecasted financial performance over the next 5 years after investment for each option would be the following:
These figures are only forecasts based on some indicative information from Bennetts and Young Ideas retail experience. They do not represent a guaranteed trading performance or a return on investment.
HOW WOULD YOUR INVESTMENT WORK?
Once you have shown an expression of interest, via email (bennetts@youngideasfashion.com) and it looks as if we will raise sufficient funds we will then formally contact you and send you a copy of the investment prospectus.
As you can appreciate it is difficult to be totally clear about the terms of any deal with the administrator until we have finalised negotiations so once we get more clarity the prospectus will cover this in more detail. This document will then enable you to review what we are trying to deliver with the Bennetts proposition and provide you with the necessary investment steps so that we meet all of the fund raising financial regulations. It will also provide you with the detailed terms of the investment which we have already broadly indicated below.
The money would be treated as an interest-bearing preference share in the new Bennetts phoenix company giving a 3% above base annual interest rate (which is higher than any UK savings rate).
In return you would also receive various reward incentives and discounts as detailed below.
To ensure that everyone’s investment is handled in a professional manner with suitable legal documentation a Derby based professional law firm will be engaged to support this process.
Warning: This is an unregulated investment and it should be noted that no guaranteed return can be given, and you would be at risk of losing the total amount invested should the turnaround plan prove unsuccessful.
We would also be prepared to work with other interested parties in some form of joint venture to turnaround this important historical Derby business.
It is also hoped that any funding pots around the Derbyshire area can be made available as part of this plan, however if a rescue bid for Bennetts is unsuccessful then all funds pledged will be refunded.
BENNETTS LOYAL SUPPORTERS INCENTIVES
In addition to the interest-bearing preference share, all supporters above £100 will receive the following Loyal Supporter Incentive:
View All Packages
BASE MEMBER Investment Tier >£100-£1,000
INSIDER Investment Tier >£1,000
INFLUENCER Investment Tier >£10,000
AMBASSADOR Investment Tier>£50,000
MANAGEMENT TEAM
Colin Wright, Chairman
• Currently Non-Executive Chairman of several UK based ventures
• Vion, Divisional Managing Director.
• TRANFIELD, CEO and Chairman
• Vodafone, Divisional Managing Director.
• Caudwell Group, Managing Director of Singlepoint
• Greencore, Divisional Managing Director.
• Hazlewood Foods, Divisional Managing Director.
• Rolls Royce, Trainee engine modification.
Anne Wright, CEO Young Ideas
• Non Executive Director, Roberts Bakery
• Adelie Foods, Chief Operating Officer
• Greencore, Chief Executive Convenience Foods
• Hazlewood Foods, Divisional Managing Director
Tom Phillips – Non Executive Director – Finance
• A Chartered Accountant with over 25 years post qualification experience.
• Chairman of a commercial law firm
• Non-executive director in a financial services business and an IT services business.
• 10-year career with KPMG - corporate finance, corporate turnaround and corporate recovery
• Director roles within mobile phone businesses to include Director of Telecommunication Systems - Vodafone.
• Specialised in assisting SMEs though start up, fast growth, fund raising, turnaround and business restructuring projects.
Rob Merrett – Head of Marketing
• Experienced multi-channel marketing professional.
• Operated at board level for the past 20 years.
• Head of Online for the Young Ideas Group
• Non-Executive Director Brand Cloud Holdings
• Director at Merrett Commercial Ltd.
• Qualifications - BA Hons, Graphic Communications Management, Real Estate & Property Management PG Dip, Google Squared Certificate in Digital Marketing and Chartered Marketer status (FCIM).
Paula Preston – Sales and Operations Manager
• Senior Retail Manager with progressive experience in Sales, Customer Service and Staff Management coupled with a practical understanding and extensive experience in the retail industry.
• 23 years’ service with Next Retail Limited – Undertook the roles of Senior Store Manager, Project Manager and Area Manager.
• Extensive experience in the areas of Operations Management, Business Development and HR.
• Sales and Operations Manager at Young Ideas since 2012.
Iain Needham – Head of Finance
• Experienced accountant with over 15 years post qualification experience within the education, retail and logistic sectors.
• Management Accountant (UK and Middle East) – Nord Anglia Education (education provider)
• Financial Controller at my-wardobe.com (Online Fashion retailer)
• Commercial Accountant at Idea Shopping Direct (Online and TV retailer)
• Commercial Finance Manager at Palletforce (Logistics)
• Qualifications - BA Hons in Accounting and Finance and ACCA qualified
For further information or to discuss an investment please contact bennetts@youngideasfashion.com
