SEP leads funding round for crafts group

A company that creates online crafts communities has today revealed its completion of a multi-million-pound funding round led by Scottish Equity Partners (SEP), in what is said to be the largest investment in a venture-funded business in the UK this year.

Lovecrafts, which says it has millions of users across 140 countries, said the £26 million raised will be used to further scale its operations and step up the technology allowing users to connect through its platform. This will include launching further crafting sites and accelerating global growth as it looks to be the digital leader in the global $100 billion crafts market.

Lovecrafts was founded in 2012 by Cherry Freeman, Nigel Whiteoak and Edward Griffith, and the London-based firm says it continues to see a year-on-year doubling in revenue, with a 150-strong team.

Current investors Balderton and Highland Europe also took part in the funding round. Griffith said the investment will help it progress its aims “in more markets, with greater scale and better tools. We are delighted that SEP, together with our current backers, share our vision for the business, and confidence in its future.”

Stuart Paterson, partner at SEP who joins the board of Lovecrafts, said the business “has built an impressive, scalable, digital community-based platform”.

He added that the funding round “will enable further expansion across Europe and Australasia, reinforcing the company’s position as the endto-end destination for crafting enthusiasts across the globe”. 0 Edward Griffith, one of Lovecrafts’ three founders