1. Welcome Big Potential at Lincoln – 11 March 2016

2. Agenda 10:00 Welcome and introduction Wendy Moore - Lincolnshire Council (LC) Outline of the day + Social Investment Peter Hughes- Charity Bank (CB) Big Potential – Hannah Williams Social Investment Business (SIB) Q& A + Questions to the panel (LC, CB and SIB)

3. Agenda 11:00 Round 1 Workshops 11:40 Refreshment break 12:00 Round 2 Workshops 12:40 Lunch & Networking 13:20 Round 3 Workshops

4. Agenda 14:00 A Big Potential Grantee’s Perspective John Mather - Lincolnshire Community Land Trust 14:45 Round up - What to do next with Big Potential 15:00 Close

5. Key Outcomes Learn about social investment, what it means; what options are available Understand more about BIG Potential Be able to access the BIG Potential process

6. About social investment What does it mean and how does it work?

7. Social investment explained

8. Social investment: what is it? the provision and use of finance to generate social and financial returns somewhere between philanthropy and commercial investment

9. Social investment: what is it? investment that achieves a blended return money invested to create social impact, expecting some or all or more of that money to return

10. Social investment: why? to buy buildings + other assets for working capital (financing the organisation’s everyday operations)

11. Social investment: why? to grow and expand (through new services, products, locations) to raise money for a new start-up project to attract new money to the social sector

12. Grants v Social investment Grants don’t have to be paid back and can be useful if: 1.You need £ to test an idea 2.You need £ to continue an activity which can’t be fully self- sustaining

13. Grants v Social investment 3.You need £ to do market research to find out who might pay 4.You need £ to help you reach the point where you can take on investment

14. Social investment benefits? SUPPORTIVE BUSINESS DISCIPLINE FLEXIBILITY FEWER GRANTS

15. 1.Working Capital 2.Equity 3.Debt 4.Quasi-equity 5.Bridging Loan 6.Grant 7.Social Impact Bond 8.Secured loan 9.Unsecured loan 10.Patient capital 11.(Charitable) Bond A.Investment through purchase of share capital B.Financing public sector outcomes (with non-public sector money) C.Long-term debt issued to finance growth D.Finance which combines debt + equity benefits E.Debt finance borrowed against an asset F.Finance for everyday to help with cashflow ‘dips’ G.Gift with no expectation of financial return H.Debt finance not borrowed against an asset I.Finance for big short-term cashflow shortfalls J.Investment – borrowed + paid back over time K.Long-term loans at low / no interest Investment types (match them up)

16. Questions?

17. Social investment market How does the UK market work?

18. Social investment market: structure Supply INVESTORS Government Philanthropists / HNWI Trusts / Foundations Charities High street banks CSR Demand SOCIAL VENTURES Social Enterprises Charities Voluntary groups Community enterprise Social Businesses Intermediary PRODUCTS Loans Investment readiness grants Social Bonds Social Impact Bonds Community shares Advisors SERVICES Investment readiness Social impact plan Deal structuring Marketing strategy Investor relationships

19. Social investment market: players INVESTMENT READINESS SOCIAL FUNDS SOCIAL LENDERS SOCIAL IMPACT BONDS ADVISORS

20. Navigating the market Advice services and financial products for each stage of investment journey Start upEarly growthScaling upExpansion Incubators Big Potential Big Potential Advanced Loans Social Bonds Equity Loans Social Bonds Equity

21. What does ‘investment ready’ mean? This tends to focus on key areas: people (skills + experience) what you do + who your customers are (market) how you do things + how well (impact / track record) finances (state / management)

22. Questions?

23. About Big Potential How to apply for grants and support to become investment ready

24. What is Big Potential? Funded by BIG Lottery Fund; delivered by the Social Investment Business (SIB) in partnership with Locality, Charity Bank and Social Enterprise UK. Evaluation by Northampton University.

25. What is Big Potential? £10m grant fund Helping organisations consider repayable investment for the first time For VCSEs in England aspiring to raise up to £500,000 new repayable investment

26. What is unique about Big Potential? Not just skilling up – opportunity to raise new investment Access to high quality specialist support – from approved providers with a track record of helping similar organisations successfully raise new investment

27. What does Big Potential offer? A self-assessment diagnostic tool 1:1 support advisor sessions Grants (£20,000 - £75,000) for specialist business support to raise investment Website with resources and information about social investment

28. Big Potential and Social Impact Your grant application should describe your: Mission - what are you trying to change?Mission Beneficiaries - how have their lives changed?Beneficiaries Evidence - how do you know and keep track? Wider benefit – what else you deliver to the wider community? And, Describe how your grant will help to increase your impact

29. Information about Social Impact Big Society Capital’s Outcomes Matrix - free downloadable tool, explains Outcomes and how to measure social impact. Many different ways to measure Social Impact – choose the one that is right for you. Global Value ExchangeGlobal Value Exchange / New Philanthropy Capital / Social Value UK / Outcomes Star / Inspiring ImpactNew Philanthropy CapitalSocial Value UKOutcomes Star Inspiring Impact

30. How to apply

31. 1. Check your eligibility Operating and working in England. A Voluntary Community or Social Enterprise (VCSE) organisation Track record of products/services that bring health, environmental or education benefits. Ambition and potential to raise up to £500,000 (repayable) investment. >

32. 1. Check your eligibility Potential to develop activities to generate financial and social returns for investors. Financially healthy + able to meet core costs during lifetime of grant. Not for religious or political purposes. May contribute to costs of their project ACTION :Visit bigpotential.org.uk to start

33. 2. Complete the diagnostic On-line self-assessment tool starts the thinking – how investment ready are you? Questions on 5 key areas - Finances, HR, governance, customers, impact and quality ACTION : Visit bigpotential.org.uk/diagnostic-tool

34. 3. Attend your 1:1 session Meet a support advisor to go deeper into your diagnostic tool assessment. Session can be face-to-face / by Skype Really understand what it means to be investment ready and what you need to do to achieve it.

35. 3. Attend your 1:1 session Get a detailed investment readiness report - describing specific business development support needed and full guidance on choosing a provider. ACTION : Book and attend an intensive two-hour session with support advisor.

36. 4. Apply for a grant Choose an approved provider to undertake your investment readiness project Choose (a) preliminary grant or (b) investment plan grant. Make a grant application to the fund.

37. 4. Apply for a grant The investment readiness project can start with a smaller development project, followed by a more in-depth Investment Plan project. ACTION : Choose your approved provider to prepare the application together

38. 5. Start project The Big Potential Panel makes decisions on grant applications received Start work on investment readiness project with your provider with the view to raise a new investment. ACTION : Accept the grant offer and return required documents to complete grant contract.

39. 5. What next? Provide on-going monitoring information. Participate in evaluation of Big Potential and contribute to case studies. ACTION: Tell us if you are successful in raising investment.

40. Start your Big Potential journey Online: bigpotential.org.uk Phone: 0203 096 7900 Email: bigpotential@sibgroup.org.uk Twitter: @ready4socinv Get your copy of the Big Potential programme guidance now!

41. More on social investment beinvestmentready.org.uk socialinvestmentforum.org.uk socialenterprise.org.uk/advice-support/ knowhownonprofit.org/funding/social- investment-1

42. More on social investment gov.uk/government/collections/social- investment biglotteryfund.org.uk charitybank.org bigsocietycapital.com ACTION Visit bigpotential.org.uk/accessing- support for more information

43. Big Potential Advanced The existing programme is known as Big Potential Breakthrough – providing investment readiness grants, for VCSEs seeking future social investment of up to £500K Big Potential Advanced is an extension of Big Potential Breakthrough.

44. Big Potential Advanced Provides investment readiness grants for VCSEs seeking future social investment of £500K and above and/or contracts worth £1million and above. Now open for applications from providers and VCSEs.

45. Thank you! bigpotential.org.uk