22/06/06
The Ethical Amazon.com is Born?
PointOV Ltd – an ethical products and e-commerce company - has been awarded a £200,000 investment by NorthStar Equity Investors, to undertake an extensive expansion program that includes the growth of its e-commerce business services and the further development of its online marketplace for fair trade and ethical products.
Based in Newcastle, PointOV also provides e-commerce and new media solutions to firms selling fair trade and ethical products and has partnerships with some of the leading organisations in the U.K.
Set up by fair trade veterans Andy Redfern and Vic Morgan in 2004, PointOV has grown to 7 employees. It currently has 2,500 customers and stocks over 700 products in connection with its e-commerce sales activities.
The cash injection, from the NorthEast Co-Investment Fund, will be utilised in the further expansion of the firm. It will be of particular benefit in the development of an Amazon.com-type marketplace connecting ethical producers and consumers, which will be an extension of the firm’s existing ZeroPointZero webshop.
The funding will also be used to develop fair trade products where there are current gaps in the market. The firm has already started this process by launching its Fair Trade Media product range and entering into a joint venture with a major sports personality to develop Fair Trade products.
The North East Co-Investment Fund (NECOIF) seeks to facilitate the rapid development of innovative businesses through capital growth, in partnership with other investors. PointOV has also received additional private investments totalling £86,000, plus £100,000 of trade finance from the Newcastle-based fair trade lender Shared Interest Society.
Gerry White, director of NorthStar Equity Investors and manager of its North East Co-Investment Fund, said: "As venture capitalists specialising in investment in technology-based businesses, we’re committed to supporting ambitious entrepreneurs and PointOV has identified some real opportunities to scale-up its business over the next couple years.
"PointOV is a successful company with an entrepreneurial management team with strong plans for the profitable development of the business, and we are delighted to be able to provide the financial means for them to take this promising future to the next level."
Andy Redfern, director at PointOV added: "Our mission is to empower an ethical world of e-commerce, linking the best ethical products with consumers. Fair trade and partnerships are at the heart of our business operations and the venture funding will help us to develop revolutionary new e-based solutions and products for ethical companies and consumers."
Press clipping from The Journal, Wednesday June 28th 2006 »
Notes for editors
NorthStar Equity Investors is an independent technology finance company, which invests in high growth and technology-based companies in the NE region. It is a wholly owned subsidiary of NStar.
NorthStar Equity Investors manages two venture finance funds for the North East region, totalling £33m.
- the £10m Proof of Concept Fund, funded by One North East and the European Regional Development Fund (ERDF), which can provide up to £90,000 investment.
- the £23m Co-Investment Fund, funded by the ERDF, which can provide between £100,000 and £1million investment.
NorthStar Equity Investors is authorised and regulated by the Financial Services Authority.
PointOV is a member of the Social Enterprise Coalition, the UKs national body for social enterprise, and BAFTS, the British Association of Fair Trade Shops.
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