A Newcastle firm which aims to reinvent the fashion retail sector has successfully secured a round of funding from existing shareholders.
Isabella West – winner of the Young Business Executive of the Year award for the North East last November – launched Hirestreet almost two years ago to revolutionise the fashion market by encouraging shoppers to rent clothes rather than buy them.
The firm emerged from Ms West’s mission to stop unwanted clothing from ending up at landfill – and last year alone the Newcastle city centre based business saw revenue growth of more than 1,000%, as well as saving customers more than £500,000 by renting instead of buying.
Now commercial law firm Square One Law has advised Hirestreet on securing a round of funding from its shareholders, which will fund further development of its rental technology, and additional partnerships with leading retailers.
Square One Law has supported Hirestreet on an ongoing basis since its seed investment round in April 2019.
The business, which allows its customers to hire outfits for events such as weddings, balls and holidays, for a fraction of the retail price has accumulated more than half a million site users in the last 12 months.
Ms West, founder and CEO, said: “We believe once customers are allowed to attend events again, they will be looking for a financially friendly, sustainable alternative to buying a dress and wearing it once.
“Many of our customers have had months’ worth of events re-arranged to the end of the year, and we are already starting to see an increase in bookings from July.
“I am grateful to John and the team at Square One Law for their ongoing positivity, responsiveness and pragmatic advice in getting this funding over the line.”
Square One Law corporate partner John Hammill said: “It comes as no surprise that long-standing client Hirestreet has secured this additional funding.
“Even in these unprecedented times the business clearly has what it takes to be successful.”
