InvestorsFast growth

It was back in 2008 that Jon Woodall launched his eCommerce agency Space 48 from his kitchen table.

Fast forward 14 years and the Manchester-based business employs 120 people, has an impressive list of clients and is on track to do £9m turnover this year.

Founder and managing director Jon Woodall isn’t a ‘grow-at-any-cost’ type of guy but says if you’re not growing you’re standing still.

“If it doesn’t feel like you’re going too fast you’re probably not going fast enough,” he told TechBlast’s latest Going 4 Growth roundtable. “If you’re growing, it’s got to feel like that.”

Space 48 provides a full range of eCommerce consulting services to the clients including Richer Sounds and Bettys & Taylors of Harrogate.

He said to achieve sustainable growth you have to take the entire workforce on the journey.

“What can you do in your business to make things more visual, so that anyone in the company, be that someone who’s joined a week ago or someone who’s been in the business for eight to 10 years, can contribute to growth?” he asked.

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“You need to tap into the pockets of energy that exist all across the business, to make it grow fast enough and for that to be sustainable.

“If you try and think that you can take it all on yourself, the likelihood of it is you’re going to burn out. You need a hell of a lot of energy to be the person who’s prepared to put yourself out there to do that.

“My other tip for growth is you have to obsess over it.”

Space 48 has undergone two significant events in the last 18 months in pursuit of growth.

The first was taking undisclosed investment from private equity investor Foresight and the second was the landmark acquisition of York-based Brave the Skies, a provider of eCommerce development and consultancy services.

Woodall had bootstrapped the business until Foresight came on board in February 2021.

Family man

A family man, with two young children, Woodall admitted protecting their future was very much in his thoughts but he was wasn’t ready to walk away completely.

He recalled: “We engaged with advisors at Mazars and they introduced different people to the process. It was from having those conversations that led me to think ‘well, as nice as it would be to exit the business, is that that really what I want?’

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“I see so much more potential in the future growth of Space 48 that I got the opportunity to do release some equity, which was sort of something that I felt I needed to do for the family, but also, it gave the opportunity of bringing in our management and people that had been a big part of the growth of Space 48 into equity as well.

“It was just as much about creating the right environment and the right set of circumstances for them so that we can look at growth and exciting growth over the next few years.”

Following Foresight’s investment, the business has grown revenues by more than 40 per cent. The growth has come from new customers, with an improved outbound sales process, more efficient working practices and closer working relationship with platforms such as BigCommerce.

Acquisition

Space 48’s first acquisition after Foresight’s investment was Brave the Skies, which was owned by Ryan Atkins, with day-to-day operations overseen by managing director, Lucy Roberts-Mitchell.

“We did do a small acquisition back in 2017 so we’re not complete novices,” explained Woodall. “Like everything in life, I’m a solid six out of 10 person on most things, but I do a good job of surrounding myself with people who are nines and 10’s.

“Brave the Skies is a great business with a really good group of people. They’re not huge at the moment, about 16 people, but they’re a strong team with a lot of potential.

“With a few tweaks here and there, they’re going to do really well.

“That acquisition was based on technology. Their specialism is Shopify Plus, which is well known in the eCommerce space.

“Having an agency brand that just focuses solely on that is a really sort of strong position for us to take in the market.

“We believe that with Brave the Skies we’ve found an agency that is arguably subscale at the moment, only being 16 people, but I remember when Space 48 was 16 people and now we’re in excess of 100.

“A lot of what we’re doing at the moment is turning the mirror on  themselves so that they can see what they’re really strong at and also know areas for improvement. And just being there to facilitate that change, support them, and show therm the way to grow.

Life cycle

Woodall said he’s obsessed about the life cycle of the business.

“I’ve obviously seen it from the start having been the person who sat down with the laptop on his old kitchen table all those years ago,” he recalled.

“I look at a business growth as a life cycle and everything in the universe follows a life cycle so I’m constantly thinking where the business is on its life cycle.

“A ‘top down, bottom up’ approach to business growth is essential so that you see it from all angles.

“You also have to obsess about the customer. If you really want your business to grow you have to obsess about it all. There’s not a stone that you can leave unturned, you have to have a real attention to detail, in my opinion.”