Newport-based second hand fashion platform Loopster has launched a £500,000 fundraising round to support its growth and job creation plans.
Launched in 2017 by selling used designer children’s clothes, it added womenswear last year. Long term it plans to sell men’s clothes.
Over the last ten months its revenues have grown 400%. To date some 12,000 items have been sold through its platform, and over the next few years Loopster is projecting becoming a multi-million pound turnover venture.
Loopster buys products from sellers, providing they meet the quality threshold, with the company then seeking to sell them on at a quarter or less of new high street prices. Clothes which do not pass the hand check are returned to the seller, or if they agree, donated to the charity.
It secured a six-figure seed investment in 2020 from the Development Bank of Wales and independent investors which has allowed the firm to improve its technology platform, increase process efficiencies and improve the customer experience.
Since moving its headquarters and fulfilment activities to the Newport Business Centre in 2020 the business has created 6 jobs with further recruitment planned.
Loopster is now aiming to raise to £500,000 in Enterprise Investment Scheme eligible equity, which will support the development of partner services for major retailer and an environmental impact calculator.
Founder and chief executive Jane Fellner said “Fashion is one of the most polluting industries on the planet. 300 tonnes of our clothes in the 海角视频 end up in landfill or incinerated every year. At Loopster, our aim is to extend the life of fashion, by making shopping second-hand or past season, easy and accessible to all.
Most Read
“Retailers are being held increasingly accountable by both consumers and investors, to deliver on their sustainability promises. We know that 62% of consumers would buy more from fashion brands that partner with second-hand platforms.
"We aim to be that sustainable partner of choice for major brands. We have developed a brand credit system which allows brands to offer their customers the option to sell their unwanted clothes to Loopster in return for brand credit.”
A recent survey by the Royal Society for the encouragement of Arts, Manufactures and Commerce found during the coronavirus crisis 50% of consumers believed the fashion industry should do whatever it takes to become more environmentally sustainable.
Extending the life of one garment through second-hand use by just nine months reduces its carbon and water footprint by 20 to 30% which is where Loopster comes in.
Sign up to the BusinessLive Wales newsletter and follow us on LinkedIn
As well as an in-depth early morning newsletter, we will be sending out regular breaking news email alerts. To sign up to this service
And, follow us on to catch the latest stories and to network with the Welsh business community.
Loopster non-executive director and entrepreneur, Kate Methuen-Ley, said: “We know that we need long-term solutions to meet climate targets and environmental challenges, and post-pandemic the need for sustainable solutions has never been greater.
"Here in Wales, we are leading the charge via our Future Generations Act, so it’s fantastic to see the growth Loopster has achieved in such a short period.
"This next investment will result in even more gains for the local economy as well as Jane’s mission to reduce the environmental impact of the fashion industry.”