Leeds sisters’ storytelling business receives Richard Branson’s full backing

A new children’s activity centre in Leeds, set to open later this month, has received the full backing by Britain’s best-known billionaire, Richard Branson.

The Rainbow Factory, a storytelling wonderland located in Farsley, is among just six new businesses throughout the country chosen to be Virgin StartUp Ambassadors.

The business was founded by Hazel Merlino, of Guiseley, and her sister Sarah Underwood, who lives in Pudsey.

The only one of its kind in the north, the duo’s venture aims to inspire a new generation with a love of reading by bringing classic children’s stories to life through activities and handmade models of much-loved characters and scenes.

The sisters initially thought of the business after spotting a gap in the market when they were constantly underwhelmed by the options available for days out with Sarah’s young children.

They then secured £20k as a Government loan through Virgin StartUp and a further £25k from shareholders in order to launch the project.

The business has already created around 20 part-time jobs for local residents, as well as an apprenticeship role and several permanent posts. Now, the sisters are preparing to open a 5,000 sq ft space in a refurbished mill in the next several weeks.

Hazel, a former marketing manager, said: “There is a distinct lack of activity centres in the area that are affordable yet enjoyable, that allow parents to play with their children. There are a huge number of soft play centres and several expensive attractions, but very little in between.

“This gave us a business case for the Rainbow Factory but what really inspired us to get this far is the simple fact that Sarah and I grew up with a love of books.

“Reading is so powerful, it not only sparks imagination but opens the doors to new lands and, ultimately, transforms lives.”

After working on the business for the past 18 months, the sisters said they were “incredibly proud” when their efforts were recognised by Virgin Group founder Sir Richard Branson.

In her new ambassador role, Rainbow Factory managing director Hazel, will attend regular events to speak about Virgin StartUp, blog about her business and advise other potential start-ups.

She added: “It was great to hear him say ‘what a great idea, fabulous’. To get his stamp of approval meant a lot to me. We haven’t even opened our first Rainbow Factory yet and he asked why we hadn’t already started planning our second!”

“To gain £20,000 investment, it took eight months of preparing a watertight business plan – which a Virgin adviser said was the best he’d ever seen!”

Looking to promote your product/service to SME businesses in your region? Find out how Bdaily can help →