Tim Waterstone drops backers
Sunday 11 August 1996
The team financing his latest venture - a children's emporium to be called Daisy & Tom - will not include the venture capital company 3i or National Westminster Bank, which gave him the initial seed capital for Waterstone's Booksellers.
Instead he is relying on venture capital firm Quester and Dundee comics publisher DC Thomson, whose titles include Beano and Dandy, to help him come up with the pounds 5m he needs for his first two children's stores.
Mr Waterstone and Thomson will each hold 37 per cent of the company, and Quester the remaining 26 per cent. The two companies joined Waterstone's after 3i took its stake and Nat-West put up a government- backed loan in 1982. Neither of the snubbed backers was prepared to comment at the weekend.
Mr Waterstone said the decision was based on the close relationship he has with the man- agements of Thomson and Quester. The new stores are said to be named after his young- est daughter and the son of one of his new partners.
The original bookshop, founded for about pounds 100,000, grew into a chain that was worth pounds 40m by the time it was sold in 1993 to WH Smith, which had fired Mr Waterstone the year before he went into business.
Mr Waterstone says the first two Daisy and Tom shops will open in London and either Edinburgh or Glasgow next year, with two more following each year after that. Retail analysts described the concept as interesting but said Daisy & Tom would have a tough time in a crowded market. "Selling children's goods requires an understanding of the psychology and fashions of both mothers and children," said one.
Mr Waterstone said he was confident of success. With eight children from three marriages, he claims to be an expert on shopping for children.
The shops will aim to include everything from children's shoes and clothes through toys and videos to school supplies and, of course, books for children up to nine years old. Entertainment, such as puppet shows, and services such as hairdressing are also under consideration.
The formula for Daisy & Tom, like the one for Waterstone's, is borrowed from the US, although Mr Waterstone says that in America it is limited to the lower end of the market.
His stores, modelled on fairs and circuses, will be more "glamorous" and "theatrically designed," he said. It will be "a small child's idea of heaven: formal waiters, milk shakes in tumbling colours, jars of cookies, everything luxurious, with a slightly old-fashion, retro feel. And no pop music." Each outlet will be three times the size of the largest of his old bookshops.
New UK station Russia Today gives a very bizarre view of Britain
Top Gear presenter is no stranger to foot-in-mouth controversy
New essay by JK Rowling went live on Pottermore site this morning
Charlie Sheen could be set to revive his role as a hedonistic womaniser
Review: Mike Leigh's biopic is a rambling, rich character study
- 1 'Nasa Confirms Six Days of Darkness in December': No, they don't - it's a hoax
- 2 Canadian actor punched in face after 'Islamophobia' experiment goes wrong in wake of Ottawa shooting
- 3 Topshop at centre of row over body image as 'shocking' skinny mannequin photo goes viral
- 4 If you think Russell Brand’s new book is confused, you should read what his critics have to say about it
- 5 Kentucky gang rape: 15-year-old boy left in critical condition after sexual attack by group at party
'Nasa Confirms Six Days of Darkness in December': No, they don't - it's a hoax
Canadian actor punched in face after 'Islamophobia' experiment goes wrong in wake of Ottawa shooting
Halloween 2014: From the Screaming Man of Pluckley to the 'White Lady' of the Tower of London - Britain's 20 most haunted places
Russian politician says Apple CEO Tim Cook should be 'banned' from country after coming out as gay
Kentucky gang rape: 15-year-old boy left in critical condition after sexual attack by group at party
Pope Francis declares evolution and Big Bang theory are real and God is not 'a magician with a magic wand'
Huge surge in Ukip support after EU funding row, according to new poll
Ukip ‘exploiting grooming scandal’ to secure party’s first police chief
Nigel Farage: 'There’s nothing wrong with white people blacking up'
Maureen Lipman says 'she can't vote Labour while Ed Miliband is leader'
Muslims, immigration and teenage pregnancy: British people are ignorant about almost everything
iJobs Money & Business
£18000 - £23000 per annum + Comission: SThree: SThree, International Recruitme...
£20000 - £25000 per annum + OTE £35K: SThree: We consistently strive to be the...
£20000 - £23250 Per Annum pro rata: Clearwater People Solutions Ltd: Pro rata ...
£40 - 48k + Benefits: Guru Careers: We are seeking a Marketing Manager to join...