© The Sustainable Funding Project the sustainable funding project ‘funding in the round’ Welcome! Sustaining yourselves to sustain others!
© The Sustainable Funding Project An Introduction to Sustainable Funding The Sustainable Funding Project, NCVO
© The Sustainable Funding Project The ‘3 Ss’ of sustainable funding Stable – a diverse mix of funding sources Suitable – appropriate for the organisation Sufficient – costs are understood and covered Planning underpins and strengthens an organisation’s sustainability
© The Sustainable Funding Project Why sustainable funding? Context Decreasing local authority funding: advocacy role = difficult to fund Lack of clarity about who & when to support The limitations of short-term project funding Funds increasingly directed to frontline One-to-one support expensive to deliver
© The Sustainable Funding Project Why sustainable funding? Opportunity Opportunity to develop user-focused services Hunting for hidden assets Increased contract delivery opportunities Loans available for asset development
© The Sustainable Funding Project Funding streams and relationships Gift Economy Grant Funding Structured Market Open Market Donor Funder Purchaser Consumer ASKINGEARNING
© The Sustainable Funding Project Money is just one piece of the puzzle…
© The Sustainable Funding Project An Introduction to Trading The Sustainable Funding Project, NCVO
© The Sustainable Funding Project The More than Profit Sector! Total income for 2004/05 was £27.7 billion* Earned income (trading and contracting) was £13.3 billion Increasing as a proportion: 33% in 1994/95 42% in 2001/02 48% in 2004/05 * Source: UK Voluntary Sector Almanac 2007
© The Sustainable Funding Project Why trade? Traded income is unrestricted Independence = self-esteem Trading builds new skills Charging promotes appreciation of quality Trading can reconnect us with our users
© The Sustainable Funding Project Merging mission & money Requires subsidy Makes money On mission Off mission Proceed with caution! Majority activityPrime target Stay out!!
© The Sustainable Funding Project How? Product - producing goods and services where they didn’t exist before (childcare, recycling); Process - ways of working which prioritise a social element (worker co-operatives, social firms, fair trade) Profit - trading in order to cross-subsidise social or environmental goods or services
© The Sustainable Funding Project existing product new product existing market new market What? - product options
© The Sustainable Funding Project How to sell - approaches to trading Four Ways to Earn – there’s more to trading than profit! Mission Related Trading Contracting Social Firms Unrelated Trading
© The Sustainable Funding Project Products and Competencies* McDonalds FedEx Revlon hope food cosmetics consistency parcels logistics * Source: Jerr Boschee
© The Sustainable Funding Project Product and Market Mission and Money Hunting for Hidden Assets ? Why do we want to trade ? What have we got ? Who might buy it Think about…
© The Sustainable Funding Project Needs analysis: Sustainable Sun Tool The Sustainable Funding Project, NCVO
© The Sustainable Funding Project Where are you now?
© The Sustainable Funding Project the sustainable funding project ‘funding in the round’