A Bristol grocery delivery service targeting independent retailers has raised £197k from the crowd to fund its launch into London and beyond this year.
Good Sixty, co-founded by Chris Edwards and Pieminister co-founder and MD Jon Simon, has set out plans to launch in Bath in two months. This is ahead of launches in London and Cardiff later in 2018.
The firm has seen 10% month-on-month growth over the past year, and is targeting becoming the UK’s number one place to buy independent groceries by 2022.
After seeking to raise £150k, Good Sixty received £197,160 from 330 investors for a 15.2% equity stake. It has a pre-money valuation of £1.1m, according to its Crowdcube campaign.
Good Sixty takes commissions on sales as well as charging for delivery, which it says predominantly covers costs. It is aiming to approximately 28% gross margin on the retail price of the products sold.
Chris Edwards, CEO, said: “We did a small tester with a few retailers and then the ball was rolling. We had over 50 on board in just four months.”
He added: “We now want to expand and scale up the business. We want to get other communities on board so are starting in Bath straight away. Retailers we have spoken to there, love the idea and we want to be running in the next couple of months.
“Money from the campaign is also going into advertising. It is important that we market ourselves alongside this expansion.”
Good Sixty was currently in talks with a large, undisclosed London market as it sought to grow in the capital, Edwards added.
It was also in discussions with retailers who previously worked with the London delivery service Hubbub, which ceased trading in early 2017.
The company’s London launch would be within a specific borough, but Edwards said he hoped popularity would allow the business to snowball across the city.
Good Sixty uses an independent Bristol bike courier firm to deliver the stock from traders, and says it will continue to work with independent couriers across the UK to keep the business environmentally friendly. It has veered away from the self-employment model of the likes of Deliveroo, and is committed to using independent bike courier firms at each of its locations.
“For a new city we have to identify independent bike couriers, because that pedal power is part of our ethos,” said Edwards.
“We’ve identified that there are around 40,000 retailers nationwide that fit with our ethos. These are businesses that are proudly independent, sell high quality products and have a good sense of community.
“These aren’t just high street businesses as well. It can be someone self-employed making cakes from their home. There is great scope for Good Sixty to grow.”
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