WIREDGOV

Gravity Drinks has geared up for a season of high overseas demand with support from HSBC and UK Export Finance.

• Gravity Drinks is a UK-based drinks company which has secured a £4.5 million financing package to help them grow their exports, including to the USA, Japan, China and Australia.

• This has been provided by HSBC, with support from UK Export Finance (UKEF).

• The financing helps Gravity to meet seasonal spikes in international demand for occasions such as Christmas and New Year and supports plans to gain new customers in Asia.

A premium drinks producer based in Cheltenham has secured £4.5 million in financing to support their global export of bespoke drinks packages, including to Asia.

Provided by HSBC, the package combines a receivables finance facility of £3 million and a trade finance facility of £1.5 million, the latter guaranteed by UKEF, the government export credit agency.

Founded by two friends, Gravity Drinks already exports to markets including the USA, Canada, Scandinavia, Taiwan, Japan, and New Zealand, selling its premium spirit and liqueur brands to large overseas retailers.

Seasonal demand for its drinks means that the business requires additional working capital to ramp up production in the run-up to Christmas, New Year and other seasonal celebrations.  

UK Export Finance helped to secure HSBC financing with a guarantee offered through its General Export Facility (GEF) product – this helped UK exporters to access over £576 million in working capital loans in the last financial year.

Gravity has already been able to use the financing to make Christmas shipments, producing 35,000 units of Costco’s annual “Whisky Tour of the World” advent calendar, which has been a sell-out in 2024.

The business has also used the finance to launch a number of other new products and white labelling for international customers in Asia.

This has supported Gravity in continuing its year-on-year revenue growth since it was founded in 2018, with a total order value of just under £8 million booked in 2024.

New financing also supports the business’s efforts to invest in new equipment and create new roles at its offices in Cheltenham.

Hitesh Patel, Export Finance Manager for London at UK Export Finance, said:

It has been a pleasure working with Jim Denoon’s team to understand the financial and insurance needs of the business. Immersed in local markets, Gravity Drinks has taken the time to really understand local seasonal celebrations globally and tailored drinks solutions to capture their audience.

The overwhelming majority of UKEF’s deals support smaller businesses like Gravity, ensuring that entrepreneurs from all over the country can benefit from international trade.

Jim Denoon, Director at Gravity Drinks said:

With continued demand from our customers in the UK and overseas having the right partners in place to help finance our growth is crucial to our business. UK Export Finance have been supportive of us from the early days of Gravity.

Campbell Chisholm, HSBC UK Relationship Manager, added:

As a global bank, HSBC UK can offer comprehensive support to businesses that trade internationally, so we’re excited to see Gravity Drinks taking its fantastic products to new markets. 

It is a privilege to also support the production of new products for UK customers and I am delighted that the company’s growth is supporting the local economy through the creation of new jobs.

The announcement was made alongside International Trade Week, an annual event run by the Department for Business and Trade which includes a series of virtual and in-person events to advise UK businesses on different ways to reach new international markets.