Crowdfunding success stories: Taylor St Barista
The niche café chain which was able to brew up investor interest with a £1.86m Crowdcube mini-bond
With the UK coffee shop market worth over £6bn and reports indicating that the sector is “one of the most successful in the UK economy over the last 15 years”, it’s clear that there has never been a better time to run a café business.
Enter Taylor St Barista – a niche coffee shop chain which recently confirmed the lucrative nature of the industry when it secured £1.86m from over 500 investors via Crowdcube’s mini-bond scheme.
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The mini-bond, which closed in February 2015, offered investors the option to either receive 8% fixed rate interest for the four year term of the bond or have their dividend paid in coffee with store credit at a rate of 12% each year.
Founded in 2006, Taylor St has nine cafes in locations across the UK including Canary Wharf and Brighton and is also the brand behind Tesco coffee chain Harris + Hoole.
The coffee specialists had big plans for the funding with an increase in shops, expansion of its barista training programme and increased sales of its branded coffee and merchandise all in the pipeline.
Speaking at the time, Taylor St CEO Richard Shaer said that crowdfunding had enabled the company to “reduce its administrative burden and reach a wider base of investors”.