Britain's Fastest-Growing Private Companies Revealed

Britain’s one hundred privately-owned companies with the fastest-growing sales were revealed yesterday in the 16th annual Sunday Times Virgin Fast Track 100.

The 100 companies increased sales by an average of 89% a year over the last three years to a total of £2.7bn. They more than quadrupled their workforce to 14,000 over the same period. The league table features a host of well-known brands including Ella’s Kitchen, GO Outdoors, Hunter Boot, Jamie’s Italian and Wiggle, as well as many emerging companies in a range of industries.

Home shopping jewellery retailer The Genuine Gemstone Company takes the top spot on the league table. Based in Redditch, Worcestershire, it was set up in 2008 by serial entrepreneur Steve Bennett. Bennett’s first high-profile venture, Software Warehouse, was on the Fast Track 100 for three consecutive years between 1997 and 1999, before he sold it for £37m in 2000. Partly as a result of acquisition, Genuine Gemstone’s sales soared 245% a year, from £1.3m in 2009 to £54.5m in 2012.

The Fast Track 100 is sponsored by Virgin, Barclays, and RSM Tenon. It is compiled by Fast Track, the Oxford-based networking events and research company.

RSM Tenon Chief Executive Chris Merry said: “Despite tough economic conditions in the last few years, the Fast Track 100 companies have performed especially well, growing and creating jobs. This is a positive sign of market activity as the UK continues on its journey of economic recovery.”

Hamish Stevenson, founder of Fast Track, said: “This year’s Sunday Times Fast Track 100 shows that Britain’s entrepreneurs can find exceptional rates of growth even during tough times and it is great to see RSM Tenon supporting them.”

‡ (financial year end) of latest available accounts † Draft, audit exempt or not filed at Companies House * Annualised figure

Previous Fast Track 100 success stories include chip designer ARM, which featured on the first league table 16 years ago with sales of £16m, floated in 1998 and is now valued at £10bn. Carphone Warehouse also featured in 1997 with sales of £65m. It floated in 2000 and is now worth £900m. Last year’s No 1 company, the pharmaceutical services firm Clinigen floated in September 2012 on AIM and is now worth £165m.

KEY FINDINGS

Serial entrepreneurs: There are a dozen serial entrepreneurs that either run or back some of the companies featured on this year’s league table. In addition to Steve Bennett of The Genuine Gemstone Company, other examples include the majority shareholder of Côte Restaurants, Richard Caring, who also owns The Ivy, Le Caprice and Soho House, and is reportedly considering the sale of Côte. Footwear designer Fitflop’s founder Marcia Kilgore previously launched Bliss Spa in the US in 1996 and sold a majority stake to the luxury goods group LVMH for £19m three years later, before starting Soap & Glory, another beauty business, in the UK in 2006.

Profitability: Despite the tough economic conditions, combined operating profits of the 100 companies were £206m in 2011/12, with a healthy average profit margin of 8.6%. More than half of the companies (59) have improved operating profit margins over the last three years, and 51 made profits of more than £1m.

International operations: Half of the companies either operate internationally, or are planning to expand overseas in the near future. Examples include the world’s largest online bike retailer Chain Reaction Cycles, which delivers to 100 countries worldwide and generates more than 60% of sales overseas. Another example is mixer drinks manufacturer Fever-Tree, which ships worldwide and has recently launched in Colombia, Japan and Germany.

Industries: Notable industry groups include consumer goods, which represent more than a fifth (21) of the league table and feature companies such as sofa.com and online sports retailer Wiggle. This sector has combined sales of £960m and employs 3,800 people. The food and drink industry also features strongly with 15 companies on the league table, such as Vietnamese restaurant chain Pho and brewery BrewDog. This sector has combined sales of £290m and employs 3,600 people.

Manufacturing: Twenty companies are engaged in manufacturing, including those that outsource manufacturing to third parties. They represent combined sales of £540m and employ 2,300 people. At least 13 companies manufacture some of their products in the UK, such as household goods maker Joseph Joseph and children's travel products designer Trunki.

Regions: The majority of companies on the league table are headquartered in London (30) and the southeast (24). Of the remainder, 14 are based in the Midlands, ten in the northwest, six in the southwest, six in Scotland, five in the northeast and Yorkshire, two in the Channel Islands, two in Wales and one in Northern Ireland.

The full league table was published in a six-page broadsheet supplement within the business section of
The Sunday Times on 2 December, both in print and on the iPad/tablet edition, and on www.fasttrack.co.uk. 

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WHEN USING THIS INFORMATION PLEASE CREDIT: THE SUNDAY TIMES VIRGIN FAST TRACK 100