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Company history
Paramount 21 is a labour of love for its chairman, Alison Hannaford. Not only does her passion for food underpin her considerable enthusiasm for the business, but there is also an deep-seated emotional involvement.

From an early age, Hannaford worked in the family seafood business owned by her father, which specialised in supplying frozen prawns. This business was sold in March 1988 as a going concern, but the new owner closed the operation in September 1988 following a reorganisation of the production activities. Sadly, 50 people – including Hannaford – were made redundant. Unperturbed, she took her £3,500 redundancy money and, with some help from the bank and the local council, approached a number of her father’s former customers and set up Paramount 21, a thriving Southwest-based company supplying frozen seafood and vegetarian dishes to the catering trade.

Now, 17 years later, Paramount 21 has turnover of £4 million, employs 50 staff, and supplies its products to some of the largest retail organisations in the UK. Currently operating from leased premises in Brixham and Totnes in Devon, the company has reached a pivotal point in its development. The first stage of growth is imminent – relocation to a single-site freehold factory that has a special history for Hannaford. It’s the original property her father built for his business, so this is a symbolic and significant step in Paramount 21’s expansion.

The company’s production is split 70:30 between seafood and vegetarian dishes and supplies independent and national wholesalers, as well as many national restaurant and pub chains. It is passionate about developing innovative products, such as the seafood sausage, and has a commitment to additive- and preservative-free food. Quality of life is important to Hannaford, who believes the business should not just be about money. As such, she promotes work/life balance and rewards her employees well.

Current challenges
Paramount has grown steadily over the past few years, with strong cash and profit generation. Hannaford wishes to expand both the product and client bases, so is now investing an estimated £150,000 a year in developing new product lines. This strategy has identified potential new business opportunities, such as supplying national supermarkets with branded product ranges, and turnover is estimated to increase to as much as £8 million over the next few years as a result. This rapid growth will challenge the company’s small-business culture and strategic approach.

The business is in a niche market with only a few direct competitors – a unique selling point upon which the company’s growth strategy is based. Hannaford says she wants the company to be ‘first in mind for seafood and vegetarian dishes’. However, marketing and profile awareness has been fairly weak in the past and the company has relied heavily upon Hannaford for generating new business contacts. A fresh marketing plan is now being compiled, with input from an experienced consultant.

Paramount has in place a well-defined and competent management team, including two recently appointed directors, which will enable Hannaford to take time off with her husband, Reggie. This will mean that she will need to relinquish some of the control she has exercised over the day-to-day running of the company. Yet, little consideration has been given so far to succession issues or exit strategy.