IF WATER coolers become household style items a Cwmbran company will be laughing all the way to the bank.

Big Bottles is investing £1m to put itself in the front window of this potential marketplace.

Within three years the firm plans to have a turnover of £2m and a workforce of 19.

It has been working with top designers to turn the traditional office water bottle into a more manageable fashion statement for the home.

But hedging its bets, the start-up will also be making the standard 18.9 litre office bottles.

The UK office market is currently dominated by two producers, and Big Bottles plan to tackle them head-on.

Director Ian Hamer said: "This is a static market. We will shake it up by offering new products in new shapes, sizes and materials."

In addition to the traditional polycarbonate the firm will also make bottles from copolyester. This is a new material which is claimed to have offer numerous advantages for the consumer.

Mr Hamer and his co-director Sarah Lister-Sims are confident the market is ready for change. Mr Hamer said: "Copolyester is highly versatile and will allow us to make bottles in a variety of shapes and colours, bringing a new dimension to the market."

In addition to private investors the project has the backing of Corus subsidiary UK Steel Enterprise which has provided an equity and loan package worth £170,000.

This came through a "mezzanine fund" (a loan/equity hybrid) which UK Steel Enterprise manages on behalf of Finance Wales.

An Assembly grant of £300,000 is also in place plus funding from the Small Firms Loan Guarantee Scheme with the help of Lloyds TSB Bank.

UK Steel Enterprise executive Russell Grant said: "Big Bottles' directors have spent a lot of time researching the market and are sure they have the timing right. This is essentially a world-wide industry and it will be pleasing to see a Welsh company at the forefront of it. We are delighted to have been able to give our support."

Enterprise agency Venture Wales has been active at the heart of the start-up.

Business mentor Ralph Bettany said: "We helped the directors put together the business plan and brought the investors together around a table."

The size of the home water cooler market remains unquantifiable, but it clearly has huge potential.

"We are working with leading water cooler manufacturing companies and top designers to produce a stunning range of products," said Mr Hamer.