Stepping Stones Fund information session

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Howard Parker
7 years ago
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1 Stepping Stones Fund information session

2 What is the Stepping Stones Fund? A fund launched by the City Bridge Trust in 2014 to provide targeted support in the form of grants and risk finance to enterprising organizations in London that wish to prepare themselves for social investment. In the first two funding rounds we have disbursed 1.6 million in grant funding to 32 charities and social enterprises This is the third funding round of this investment readiness fund

3 What is social investment? Social investment is the provision and use of finance to generate social and financial returns. Repayable finance: debt equity guarantee bonds combination Viable revenue generating model: trading contracts for public services etc.

4 What is investment readiness? Business model Gover nance Social impact Team Organisational capacity Partners Ask the investor!

5 Desired Programme Outcomes More organisations with improved understanding of social finance as a financing strategy: its benefits and drawbacks with improved skills in financial management as required to take on repayable finance a greater understanding of the risk component of an organisation s business and how these could be mitigated; with improved capabilities in strategic, business, marketing and partnership building skills; to test out alternative revenue generating models with a thorough understanding of the cost basis to these; for whom it is appropriate, securing a social investment package able to offer to deliver valued social outcomes consistently with a clear understanding of the factors affecting these.

6 What is on offer? Funding will be available under 3 strands: For capacity building support that will help organisationsaccess social investment in the future 18 months For piloting new ideas or business models aiming for better social outcomes 18 months For risk finance that can catalysea social investment package max 5 years, draw down in 12 months Funding expected to average 50,000/organisation; Or maximum 150,000 under risk finance strand

7 Eligibility criteria Committed to solving social problems Serves beneficiaries of Greater London Has an eligible organizational structure Operational for at least 1 year; able to produce at least one year s audited or independently examined annual accounts Has funding in place for 1 year of operation Has at least 1 full time or 2 part time staff members Is seeking to develop a revenue generating activity with view of taking on social investment in the future

8 3 stage selection process June- 15 Aug 2016 August- 23 Sept October 2016 Nov 2016 Phone consultation by CBT Surgery sessions by UBS Stage 1: Application Online eligibility test Application form online Accounts Stage 2: Detailed proposal Detailed proposal Business plan Strategic plan Stage 3: In person interview Present to Selection Panel Winners Shortlist + Business plan or strategic plan

9 Key dates June 2, 2016 June 8 August 15, 2016 June 17 th, July 6 th and 26 th August 15, 2016 Call for proposals announced Inquiry and phone line open Information sessions Application deadline August 31, 2016 All candidates informed about Stage 2 selection (shortlist) September 1-9, 2016 September 23, 2016 October 8-22, 2016 End of November, 2016 December, 2016 Phone consultation with CBT and surgery sessions offered by UBS volunteers Additional stage 3 documents deadline for shortlisted candidates Personal interviews Final grantees selected Grant offer letter sent

10 Examples of successful candidates in past funding rounds:

11 Forest Farm Peace Garden: transition to a sustainable business model Strand 1, capacity building Work with our support provider and attend trainings to: Establish appropriate governance structure and policies Approach specialist social investment lenders Staff time to: Conduct extensive market research Produce full business plan Develop recruitment pathways and partnerships Prepare site to begin commercial growing

12 Action Tutoring: Improve& monitor outcomes Strand 1, capacity building 1. Capacity To Improve Outcomes Deeper school partnerships Improve tutor recruitment, training & management 2. Capacity To Monitor Outcomes Short, medium & long term outcomes framework Structured tutoring curriculum and resources

13 Tower Hamlets Community Transport Strand 2, piloting outcomes 49, 206 Stepping Stones Contribution The Stepping Stones contribution is requested to pilot a new business model and to bring the concept to stage of minimum viable product - ready for 1. Feasibility: market demand; web development 2. Test Platform; test participation 3. Go Live; marketing; investment prospectus Roll out: Secure investment ( 0-200k.) Partners and delivery team; NewCo? Recruitment; promotion; expansion Five years: Turnover 1million; profit 500k.

14 Enabling Enterprise Before: ist=plz6bwduvysnhsybw8w3q98khfr3n3f9my During: ist=plz6bwduvysnhsybw8w3q98khfr3n3f9my After:...

15 Pitfalls Link to social investment not demonstrated Social investment is not in organisational strategy Business model lacks revenue generating potential Organisation lacks capacity to start proposed project Unrealistic timeline Unrealistic revenue projections Lack of quantitative information (about demand, potential purchasers, etc) Missing financial projections Not enough emphasis on business model Too much emphasis on achievements so far instead of forward looking strategies

16 Enquiries Phone number:

Business Support Factsheet - Redbridge

Business Support Business Support Factsheet - Redbridge Work Redbridge for Business Work Redbridge is a service run by the local council in partnership with DWP which offers a free recruitment service,