Tesco's contract extension is capital news for entrepreneurs

Laurence Nair-Price and Hayley Hadfield, the Leeds-based creators of Schmoo, are already selling their drink in 60 Tesco stores in Yorkshire, Greater Manchester and Lancashire but their contract has been extended to include another 100 stores, including London and Kent.

Miss Hadfield said: "'We are absolutely delighted about the news, gaining more store allocations in Tesco London stores is a significant increase.

"London is a huge capture area as well as the north and we are hoping to have make a positive impact appealing to the mavericks looking to try something new as well as those who look for a dairy drink that tastes good with no nasties."

Schmoo is also listed with FDP fine foods, which can distribute the drink to cafs, delis and colleges in Yorkshire, Lancashire and Manchester.

The pair also supply Preston College and are in talks with online food retailer Ocado.

They recently received a 20,000 loan from the Business Enterprise Fund to help develop a new food line for the lunch market together with a branding agency, and are in talks with a North Yorkshire manufacturer.

Miss Hadfield added: "This is in its infancy but we are confident we could bring something very exciting to the market soon."

They have also developed Yalp, a drink using 100 per cent natural ingredients, including fresh yoghurt, and based on a traditional Indian recipe which helps to aid digestion.