Sisters Turn £15,000 into £8 Million Bakery Business

Sisters Annabel Lui, 40, and Emily Lui, 47, faced a critical juncture in 2014 when their nascent bakery business, Cutter & Squidge, was on the brink of collapse with only £15,000 remaining in savings. Founded in 2012, the company initially gained traction with its signature "Biskies" and secured partnerships with prominent London department stores, Harrods and Selfridges. However, just as the sisters invested in hiring staff, securing production space, and acquiring a delivery van, both retailers withdrew their support. Harrods shifted its focus to cupcakes, while Selfridges canceled Cutter & Squidge's pop-up stall, leading to a near-total loss of income. This financial blow prompted a lengthy discussion about their remaining capital, with Annabel, who had already left a finance career in 2013, and Emily, still working as a lawyer, contemplating whether to abandon the venture or risk their remaining funds. Their decision was to "give it one shot" by launching their own pop-up in London's Soho. Despite initial disapproval from their father, he assisted with the setup, requiring them to cover material costs. They utilized a borrowed coffee machine, with Annabel handling the physical space preparation and Emily continuing her legal work. This pop-up ultimately served as the cornerstone for the business that has since achieved nearly £8 million in annual revenue as of the previous year. Cutter & Squidge now employs approximately 50 full-time staff, with an additional dozen temporary workers during peak seasons, and has served over 1 million customers. The company, which has been entirely self-funded, projects a 12% revenue increase for the current year and aims to surpass £10 million in revenue by the end of 2027. Annabel, serving as CEO, and Emily, as COO, are now focused on scaling the business, which was influenced by their Chinese immigrant parents, while preserving its core identity and values. The business model relies on direct-to-consumer sales through its own retail locations and online platform, alongside wholesale partnerships. The company's product line extends beyond Biskies to include cakes, brownies, and other baked goods, all emphasizing unique flavor combinations and artisanal presentation. The initial setback with major retailers highlighted the sisters' resilience and adaptability, forcing them to develop a more direct relationship with their customer base and build a brand independent of large-scale retail gatekeepers. Their journey underscores the challenges and rewards of bootstrapping a business in a competitive market, particularly for entrepreneurs navigating the complexities of scaling while maintaining a strong brand ethos.