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.
- 1 Revolutionary lost Caravaggio painting 'Mary Magdalen in Ecstasy' identified
- 2 McKamey Manor: This 'extreme' haunted house is the stuff of nightmares
- 3 Russell Brand says he will 'probably' give up acting to focus on his revolution
- 4 Watch what happened when food critics were unknowingly served McDonald's
- 5 David Beckham's Haig Club whisky is exactly what’s wrong with the Highlands
Renee Zellweger on plastic surgery rumours: 'I'm living a more fulfilling life and I'm thrilled that perhaps it shows'
Eleven members of same family hospitalised after eating deadly pufferfish
FCKH8: YouTube reinstates provocative anti-sexism video showing young girls swearing
Phone-hacking: The Piers Morgan connection - Mirror admits some stories during Morgan's tenure may have been obtained by illegal means
Russell Brand says he will 'probably' give up acting to focus on his revolution
Of course, teenage girls need role models – but not like beauty vlogger Zoella
Cameron is warned 'no possibility' of UK reducing immigration and that bid to bring in quota on migrant workers would be illegal
Support for EU membership 'at highest level since 1991' with most Brits wanting to stay 'in'
Thousands with degenerative conditions classified as 'fit to work in future' – despite no possibility of improvement
Attacks on 'Ukip Calypso' show how skewed people’s priorities are
Poppy Appeal 2014: This is why I won't be wearing a red poppy this year
iJobs Money & Business
£60000 per annum: Ashdown Group: Compensation and Benefits Manager - Compensat...
£30000 - £35000 Per Annum plus excellent benefits: Clearwater People Solutions...
£24000 - £28000 per annum + bonus & benefits: Ashdown Group: IT Business Syste...
£50000 - £90000 per annum + benefits: Ampersand Consulting LLP: Markit EDM (CA...