UK-based franchisee Moonglow Trading has secured seven-figure funding from HSBC to expand the footprint of Black Sheep Coffee in the UK.

The franchisee will initially open four new coffee stores in Cardiff and Oxford, creating 30 new employment opportunities.

HSBC UK relationship director Anthony Couzens stated: “It’s been great to support the team at Moonglow over the years with a range of successful businesses, and I have no doubt this partnership with Black Sheep Coffee will follow the same pattern.”

Based in Cheltenham, Moonglow Trading has established itself as a holding company for franchise lifestyle brands.

Moonglow trading director Jonathan Edwards stated: “Becoming a franchisee for Black Sheep Coffee has allowed Moonglow to use its experience in the retail and catering space to work with a unique coffee business with an upward growth trajectory.

“The move also fits with our aim to work alongside businesses that are shaking up traditions, using innovative tech for growth, as well as allowing us to explore opportunities outside London.”

The Black Sheep Coffee chain, which was established in 2013, has a current store network of 73 units in the UK and a single site in Paris, France, according to World Coffee Portal.  

It has 27 further stores in the pipeline in the UK and entered the US market in 2023 with two store openings in Texas.

The chain is also set to enter the Middle East market by opening four stores in the United Arab Emirates.

Black Sheep Coffee plans to open 250 stores across the Middle East up to 2037 through a franchise deal with Al Farran Investment.