Client Highlight: Hot Knots

Hot Knots has been a staple on the Arcata Plaza since 1984. Founded by sisters Gayle and Andrea Shackleton, the business has become a cornerstone of the local shopping scene—carrying beloved brands like Free People and Levi’s alongside a carefully curated selection of local apparel and knitwear. In addition to retail operations, Hot Knots has developed a wholesale knitwear business built around handmade products produced by a Fair Trade women’s cooperative in Nepal. This long-standing partnership, now spanning over 35 years, supports hundreds of artisans through sustainable and ethical production practices.

Recently, Hot Knots found itself facing an unexpected challenge when their mortgage lender, Columbia Bank, chose not to renew their commercial loan. “That left us in a tough situation,” they shared. Looking for advice, Gayle turned to familiar names: Pam Long and AJ Gonzales both suggested North Edge, and Ross—whom Gayle had crossed paths with years ago—was quick to offer guidance.

“I called Ross for advice and that was so helpful. That began our wonderful new partnership with North Edge.”

The financing from North Edge helped the Shackleton sisters refinance their building and consolidate high-interest credit card debt, ensuring that Hot Knots had the stability it needed.

“We refinanced our mortgage on our retail store building on the plaza in Arcata with the funds from North Edge. This now creates financial stability and a safe home for our store for the coming 7 years.”

Along the way, the process also opened up new opportunities for growth and learning. “Their partnership with SBA and SBDC gave us some great insights and financial counseling. We will continue to use these services as long as we can and learn more about running our business successfully.”

What started as a stressful experience turned into something much more hopeful. “Working with North Edge was the silver lining in a dark time of our business,” they said.

“We are so grateful to Ross and Hannah and everyone there. They worked diligently to help us regain control and stability.”

To view all of the amazing products they carry or to shop their online store, head over to hotknotsarcata.com.