JimJams range

JimJams is targeting foodservice and out-of-home channels to supercharge growth

Non-HFSS chocolate spreads challenger JimJams has secured six-figure backing to support the next stage of growth as it expands its reach into the foodservice channel.

The £300k funding round is led by TwinklHive, the investment arm of education resources supplier Twinkl, alongside Neil Butler and Colin Webb, two former directors at nut butter supplier Meridian.

The remaining funds are currently being raised on the Seedrs crowdfunding platform, with 160 investors joining the campaign, which is set to close by the end of the month.

Launched in 2015 by Kevin and Kellie Bath to reduce sugar in the chocolate spreads category, JimJams today has extensive distribution across Tesco, Sainsbury’s, Morrisons, Asda, Waitrose, Co-op, Ocado and Holland & Barrett.

The business is now targeting the foodservice and out-of-home sectors in a bid to substantially increase revenues.

It is in advanced stage conversations with McDonald’s to supply the fast food chain with nut-free, no added sugar chocolate spread for its breakfast menu. And the business recently signed a contract with Compass Group, supplying the catering giant’s customers in healthcare and education.

Money from the fundraise will be used to strengthen the team to support the new channels, as well as fuelling new product launches and increased retail distribution further.

“As any business owner knows, seeking to raise money in the current climate is tremendously difficult,” Kevin Bath said.

“It has been challenging, so we are truly grateful to have secured funds with such fantastic strategic investors. They believe in the ethos of the brand and are particularly excited about our new proposition within foodservice and out-of-home.

“We are in no doubt that their wealth of experience will help guide us through the next elevation of growth.”

JimJams, which generates annual turnover of more than £1m, claims its spreads contain up to 83% less sugar than rival brands sold in supermarkets.

The company has been backed by startup accelerator Mission Ventures since 2021.