Bosanquet explained that the nature of her business and the state of the economy meant that large retail clients demanded longer credit terms, but that it still faced obligations to pay upfront for packaging orders made overseas.

To address the situation, Bosanquet has divided Wrapology into three separate companies– Gift Packaging Direct, a stock-based packaging supplier; Wrapology & The Art of Giving, a business-to-consumer gift packaging business; and Wrapology International, which supplies custom-made packaging. 

The latter is a seasonal business, with the majority of orders coming in the Christmas period, whereas the other two businesses are non-seasonal. In order to make up for the funding shortfall, Wrapology International is receiving financial backing from the other two firms.

Bosanquet said that the refusal to support SMEs reflected a general malaise across the banking sector. "If you're going to keep going, you’ve got to have credit," she said.

This summer, Wrapology applied to two banks for letters of credit but was turned down. However, Bosanquet added that Barclays has since decided to review the situation.

"Barclays has been increasingly supportive because they recognise the difference between a shop and a manufacturing business and we're moving into the manufacturing [classification, because of our trade cycle]," she said.

Bosanquet pointed out that her business's financial performance was proving strong. Turnover in 2008 was £1.4m and should rise to £2.2m this year across the three businesses. Operating profit is up 7%.

Wrapology employs 26 staff. Its clients span a range of high street retailers and it has gift packaging concessions at stores including Harrods and Selfridges.