The funding will be used to support business liquidity, enabling it to lay down additional stock to meet future demand, improve production efficiencies, and bolster its status as an English whisky producer.
Santander UK is supporting the business with its export growth strategy – building on existing sales in the US, France, Germany, China and Australia – as it works toward doubling its overseas sales over the next few years.
Cotswolds Distillery is targeting annual sales growth of 15%, with plans to achieve £25m turnover by 2030 as it grows its business, particularly in export markets. It currently employs 65 people and plans to hire new staff over the next few years in line with growth.
Daniel Szor, founder and executive chairman at Cotswolds Distillery said: “I am delighted that we have had the support of Santander UK in enabling us to maximise our sales potential, allowing us to meet growing demand from the single malt consumer in this luxury category that is forecasting strong growth globally.”
Established in 2014 by Szor, Cotswolds Distillery released its inaugural Signature Malt in 2017 and has since developed a range of ‘super premium’ gins and liqueurs to supplement its product range. In the UK, its range is sold in supermarkets, bars, luxury hotels, restaurants and direct to consumers through its visitor centre, three stores and online business.
The company is on track to increase its annual alcohol production from 125,000 litres currently, to reach a capacity of 500,000 litres, having built a new distillery at its Cotswolds site which will be commissioned in autumn.
Santander relationship director Chris Evans added: “Cotswolds Distillery has established itself as a leading brand in the English whisky and gin market and we are thrilled to support it with this funding package.
“Santander UK has a dedicated specialised whisky sector team as well as expertise and resources to help UK businesses in the sector expand internationally.”
Meanwhile, baked goods manufacturer Baker & Baker has opened an office in Warsaw, Poland as it eyes international growth.