Post on 05-Dec-2014
description
transcript
Workshop 3, Business Planning
Gareth NashCo-operative and Mutual Solutions Limited
2
Community shares: key elements
Business model
Community building
Offer document
Governing
document
CommunityShares
3
Key elements:◦ Necessary skills and experience◦ Time and resources◦ Track record in sector/business◦ Strong links to the target community◦ Patience and staying power
Development team
4
Key elements:◦ A development team◦ A committed community◦ A viable business model◦ An appropriate governing document◦ A financing plan◦ An offer document
A viable proposal?
5
Key elements:◦ Does the idea address an acknowledged
community need, ambition, aspiration?◦ Has there been positive media coverage?◦ Can you define and measure the target
community?◦ What mechanisms/plans exist for contacting and
communicating with the target community?
A committed community
6
Key elements:◦ Analysis of any historical and potential future
performance◦ Changes/enhancements/capital investment to
existing business◦ Analysis of competition/other similar businesses◦ Market research analysis to justify this investment◦ Will the proposed trading activity generate
sufficient profits to reinvest and pay return to investors
Viable business model
7
Key elements:◦ Scale of the community investment sought and
the size of the target community◦ Proposed return for the community investors◦ Sources of capital: grant, shares and loans◦ Purchase of fixed assets vs working capital◦ Cash flow including allowances for the future
withdrawal/redemption of capital
Financing plan
8
Crisis? Ethical thinking Greening the local economy Utilise local resources to benefit the community
1. Can community needs, interest, ambitions/aspirations be met through a social business model
2. If the business model is appropriate and the venture needs capital, community investment might be an ideal way of building community involvement
Starting points
9
First approaches/responses Assessment/feasibility and barriers Developing commitment/momentum and
support Technical and environmental assessment Business development and planning Going through the planning process Raising finance (and funding) Legal and governance Systems and pre-trading activities Recruitment of board and staff
Stages in the development process
10
What is the size and nature of the community – population and physically?
What income can realistically be generated? Long lead times – how can the feasibility
and development work be financed? Going through the planning process Site and land acquisition
Assessment, feasibility and barriers
11
Getting a team together Gaining community support – probably a public
meeting/series of public meetings/focus groups Communication with and/or visits to existing
successful community renewable projects Ongoing community communication – the reality
and/or illusion of progress PR campaign
Developing commitment/momentum and support
12
Is there a viable business? What needs to be done technically and
economically to make a viable business? Can other activities be brought in to support
the business? Are there any troops? How strong is
community support? How will the business be managed?
Business development and planning
13
Need to decide if the proposal is an exempt offer or requires authorisation
Even if exempt, necessary to prepare business plan and offer
Define community and start building a “register of interest” as soon as possible
Establish a web presence and e-mail communications with interested parties
Arrange public meeting(s)
Marketing and Promotion
14
Developing a membership base Ensuring it is maintained (churn) and
enhanced in future years Developing new board members Developing existing board member’s skills
Succession