A FANCY dress firm has been given a massive cash injection to fund expansion plans.

Smiffy's, the Gainsborough-based fancy dress company, has been running for more than 100 years – and is said to be the largest business of its type in the UK.

Now bosses have secured £8 million in funding – giving a boost to the business as the county tries to fight its way out of the economic crisis.

The company was founded more than a century ago as a traditional wigmaker.

It now manufactures and designs fancy dress costumes for almost any occasion – including gorilla, pirate and leprechaun outfits.

The cash boost comes from Lloyds TSB's regional corporate markets team – and will help staff at Smiffy's as it aims to grow both in the UK and abroad.

Simon Smithers, commercial director at Smiffy's, said he was delighted the funding had been secured.

"This deal with Lloyds TSB marks the start of an exciting new phase for Smiffy's," he said.

Smiffy's, based in Caldicott Drive in Gainsborough, has an annual turnover of £35 million and employs more than 160 people.

Most of the company's staff are based in the UK.

The firm focuses on designing, manufacturing and distributing more than 6,000 fancy dress and party products through its two brands, Smiffy's and Fever.

The company has grown into an organisation with interests across the globe.

It now operates in Europe, Australia, America and China.

Senior staff at Smiffy's say a lot of hard work went into agreeing the funding package – with bosses from both the bank and the wigmaker working together to forge the deal.

Terry Richardson, regional trade director for Lloyds TSB corporate markets, said Smiffy's was a well-known and successful firm in the sector.

"Smiffy's is a unique company with a quality management team, strong business model and an innovative product range, renowned for its quality and value for money," he said.

"Having built up a strong relationship with the firm over the years, we recognise the team's clear ambitions for the future of the business and we were pleased to help and East Midlands business continue its growth."

Michael Self, regional director of the Federation of Small Businesses, hailed the announcement.

"It's definitely good news, particularly in Gainsborough," he said.

"It really gives us all optimism to see somebody funding on that scale.

"It shows that confidence is holding up reasonably well – although it very much depends on the industry and the individual company."

The deal comes as Smiffy's agrees a deal to support the national charity Make-A-Wish Foundation UK, as well becoming the official fancy dress sponsor for two major festivals, Bestival and Camp Besitval.