In a bold and inspiring move, Sara Davies, the Dragons’ Den star and entrepreneur from County Durham, has stepped in to rescue the business she launched as a university student, Crafter’s Companion. The company, which has become a leading name in the crafting industry, was on the brink of collapse after its directors placed it into administration. But Sara Davies, with her immense business acumen and passion for crafting, is now leading the charge to revive the brand and secure its future.
In this blog post, we will dive into how Sara Davies turned the tide for Crafter’s Companion, the challenges the company faced, and how she is now steering it back to success. This is a fascinating story of entrepreneurship, resilience, and the unwavering determination to protect a business she built from the ground up.
The Origins of Crafter’s Companion: From University Project to Crafting Powerhouse
Crafter’s Companion began as a student project at York University when Sara Davies was still studying. She had an idea for an envelope-making product, and what started as a small innovation soon blossomed into a full-fledged business. Over the years, Crafter’s Companion grew into one of the biggest names in the crafting industry, offering a wide range of crafting tools and supplies across the UK, Europe, and the United States.
The business expanded rapidly, selling through retail stores and its robust online presence. Sara’s passion for crafting and her ability to connect with customers made her a household name, particularly among the crafting community. Through regular appearances on crafting shows, including on TV channels and BBC’s Morning Live, she became a trusted figure in the industry.
However, as with any business, Crafter’s Companion faced its fair share of challenges.
Crafter’s Companion Faces Hard Times: What Went Wrong?
Despite its early success, Crafter’s Companion encountered significant struggles in recent times. Following the pandemic, the business, like many others, found itself facing severe economic pressure. At a time of global uncertainty, Crafter’s Companion made the decision to pursue an aggressive expansion strategy—but the timing couldn’t have been worse.
The company had been placed in a precarious position, and in 2023, an investment firm, Growth Partners, stepped in to support the business. Growth Partners injected several million pounds into the company and brought in a new management team to drive the business forward. Unfortunately, this new team did not want Sara Davies or her husband Simon, who co-founded the company, to lead the business. While Sara remained a minority shareholder and continued to represent the brand, she lost control over the company’s day-to-day operations.
The Shock Decision: Administration and Sara Davies’ Bold Rescue Plan
The situation reached a tipping point when the new management team placed Crafter’s Companion into administration. The company simply did not have enough working capital to continue operating. This was a heart-wrenching moment for Sara, who had poured her heart and soul into building the business.
However, Sara’s entrepreneurial spirit shone through. Determined not to let her creation crumble, Sara Davies stepped in with a rescue package that would not only save the company but also ensure that the majority of the over 100 employees would keep their jobs. In a move that can only be described as a true act of business leadership, Sara arranged for a financial restructuring, which allowed her to purchase the business from the administrator and return as CEO.
How Sara Davies Rescued Crafter’s Companion: A Strategic Financial Restructuring
Thanks to the financial restructuring, Crafter’s Companion is now back on track. Here’s how Sara turned the situation around:
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Acquiring the business from the administrator: After the company was placed into administration, Sara moved quickly to negotiate a deal to take control of the company again, saving it from collapse.
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Securing working capital: By restructuring the company’s finances, Sara was able to inject much-needed capital into the business, allowing it to continue trading as a going concern.
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Protecting jobs: One of the most important aspects of the deal was ensuring that the majority of employees—especially those based in North East England—would retain their jobs and stay with the company.
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Returning as CEO: With the rescue plan in place, Sara returned to her position as CEO, where she would lead the company through the next chapter of growth and innovation.
This pre-pack deal ensured that Crafter’s Companion could continue to operate as normal, providing stability for its staff, customers, and suppliers.
A Bright Future for Crafter’s Companion: Sara Davies’ Vision Moving Forward
Sara’s commitment to Crafter’s Companion is unwavering. In an emotional statement, she described the company as her “third child,” reflecting just how deeply personal the business is to her. Returning to the helm of the company gives Sara the opportunity to guide Crafter’s Companion into the future, armed with a new financial structure and a renewed sense of purpose.
Looking ahead, Sara is excited about the growth potential of the business. She noted that consumer interest in crafting is at an all-time high, with people of all ages discovering the mental health benefits of creating beautiful things. Crafting has become more than just a hobby—it has become a form of therapy for many, and Sara plans to capitalise on this trend by expanding Crafter’s Companion’s offerings and strengthening its market presence.
With a strong team, a passionate customer base, and a solid financial foundation, Crafter’s Companion is well-positioned to thrive under Sara’s leadership.
What This Means for Crafter’s Companion’s Customers
For the loyal customers of Crafter’s Companion, this is fantastic news. Sara’s return means that they can continue to rely on the company for high-quality crafting products, excellent customer service, and a brand they trust. The online store, which serves the UK, Europe, and US, will continue to operate smoothly, providing customers with access to the tools and materials they need to unleash their creativity.
Sara’s hands-on approach will ensure that Crafter’s Companion remains customer-centric, offering the products and support that its community has come to expect.
Conclusion: A New Chapter for Crafter’s Companion
Sara Davies’ decision to step in and rescue Crafter’s Companion marks a major turning point for the business. Through financial restructuring, strategic planning, and sheer determination, Sara has not only saved the company but has set it on a path to continued growth and success. As the company moves forward, it will undoubtedly build upon its already strong brand reputation and continue to serve the crafting community with passion and innovation.
Photo credit: Birmingham Live
