Premium doughnut maker Project D has raised close to £500k from the crowd to aid a retail store rollout.
The brand secured £475k from 848 investors on the Crowdcube platform, beating a £400k target and valuing the business at almost £10m.
With the backing from the crowd, Project D is aiming to boost turnover from current levels of £2.6m to £12m within the next three years.
Three stores are scheduled to be opened over the next six months, including a flagship outlet at Meadowhall shopping centre in Sheffield. There are also plans to work with wholesalers and retailers.
Funds will also be used for product innovation, digital marketing and expanding the team.
“Every penny raised above our original funding target will be channelled into turbocharging our expansion, paving the way for a rapid rollout of new store openings,” said Max Poynton, co-founder and marketing director.
“We have clear and ambitious expansion plans for the firm and have set a target of quadrupling our turnover to around £12m within the next three years.
“UK consumer demand for doughnuts remains at an all-time high, and we see few signs of that tailing off any time soon.”
Poynton launched the brand in 2018 with schoolfriends Matt Bond and Jacob Watts.
Originally operating from a 1,000 sq ft bakery, the trio sold their doughnuts at shopping centre kiosks in the Midlands and outdoor pop-up sites, pivoting to home delivery during the pandemic.
Today, the business has capacity to make 17 million doughnuts a year from a 11,000 sq ft facility and has collaborated with the likes of Sainsbury’s, Amazon, Coca-Cola, BrewDog and British Airways.
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