NO sooner had virtual shoe shop tycoon Stuart Paver of York announced a blockbuster contract to sell Timberland footwear exclusively in Europe, than two other major deals were being hammered out for his website store, www.shoe-shop.com.

Mr Paver revealed today that successful negotiations with the two new major retailers could mean intensifying his distribution network in Europe from a separate base in either Holland or Germany and setting up an entirely new operation in the US.

The revelations came after Mr Paver had been forced through success to sell up the website's 3,500 sq ft Clifton Moor warehouse and invest nearly £1 million in a new head office and distribution centre at Northminster Business Park, York, into which his 25 staff will move in August.

With the Timberland deal and the prospect of even greater expansion into Europe and the US, he believes he will have to revise upwardly his original estimate of staff numbers at 55 within two years.

He said: "Talks with two huge retailers are going well.

''We hope to make an announcement within the next two months.

''If the talks succeed then it means that we will set up a service in Europe which deals in Euros and will be able to offer free delivery on the continent, rather than deal in sterling and charge a premium as we do now.

"And it will mean setting up a US operation, dealing in dollars, from scratch. The prospect is very exciting."

Sales at www.shoe-shop.com zoomed by 8,000 per cent in its first full year. By July, after just 18 months, the venture will have broken even.

He said: "That is way ahead of our expectations. The logistical back-up and customer services aspects of the business are very expensive. We reckoned we might break even in two or three years. But every week brings new record sales."

Already, after just a few days online, there had been a huge response to the 15 different styles from the Timberland range and staff have been working hard to ensure delivery to UK customers within 48 hours.

Timberland chose Mr Paver's venture, which already stocks more than 60 brands, because of its growing reputation as a reliable deliverer through its own distribution network.

The success of the virtual shoe shop has not detracted from the growth of Mr Paver's 22 real family-owned Paver shoe shops.

A new branch opened in Ambleside in the Lake District two weeks ago and more sites are being targeted in Brighton and Manchester over the next six months.