1. Cate Hart BA(Hons) Ty Du - SBM Consultancy (hart.31@btinternet.com)
Sweating your assets
Cate Hart BA(Hons)
Ty Du - SBM Consultancy

2. Generating income from your buildings – fixed overheads

3. Short case study 2009 – income from lettings - £25k
2009 – cost of keeping school open 7 days for staff and lettings - £30k
Something is terribly wrong

4. What’s the matter?
Original site staff were “in charge” of lettings and didn’t want to do them.
Site open 7 days per week, but for the odd teacher in evenings and occasional letting
Cash in hand taken from some lessees for ad hoc lettings

5. Take action
Opportunity to re-arrange site staff shifts (include non sociable pay in calculations)
Appoint lettings manager
Market the building; local clubs, filming sets, churches, weekend schools, drama clubs, sports etc.
Write a policy; who, when, how much, where, monitoring, insurance.
Consult staff – their classrooms will be used, offer redecoration out of profits!
Previous school hosted Love Actually, Prime Suspect.

6. Benefits to school
Film makers generally like to involve students as extras, or help with filming. (Love Actually, Prime Suspect were filmed at a school I worked in)
Make over or decorating for areas they use
Drama schools may offer free places to school’s students
Offers of GCSEs in other languages such as Persian
Income from fixed assets which are fixed overheads

7. Open 7 days per week Use a booking system
Enter schools events first, they should take priority
Arrange new site staff shifts

8. Policy
Aims and objectives – to enhance the community use and promote the school while generating income.
Subject to Section 27 of the Education Act 2002, prohibited uses
Application form for potential lessees
It should be stated that governors have the right to refuse an application
Write (or find using Google) contract which includes; length of contract, cost, rooms and areas, equipment to be provided, alcohol licensing, who is in charge, H&S, (IT, copiers, sports equipment) monitoring for damage, cleaning, insurance, review period, ending contract notice etc. etc..
Conditions of use
Governors should agree who can use the school, no political use, other than as polling station, radical action groups should be avoided.

9. Finance
Write budget including salaries, energy, cleaning, insurance, incidentals.
Table of charges for rooms, halls, sports halls, commercial and charity – publish on web site
Ensure invoices are raised for ALL lettings and receipts issued
Insist on standing orders for long term lets
Plan your profit spend – incentives for staff who are not sure about use of room, decorating, resources.
VAT – check which lettings attract VAT

10. Insurance
Check the lessees insurance policy for Public Liability – keep copy on file
If no insurance, add 10% to fee and take out a lettings insurance policy
Give copy of your policy to lessees.

11. Health and Safety Copy of school’s policy to lessee
Fire evacuation process for school – lessee to carry out fire drill and paper audit trail kept.
Security processes – Can cause tension if more than one organisation is on site at same time.

12. Equipment use
Extra cost? Using network, charging for copiers, where can they store equipment,

13. Computers, copiers, phones etc
Your IT manager should be involved
Equipment brought into school should be PAT tested
Set codes for copier charges
Can phone lines be split with separate billing?
Extra cost for use of sports equipment
Write inventory and do checks on regular basis

14. Other income
Solar panels – your own or letting the roof, benefits vary according to contract
Mobile masts – can be controversial
Helicopter landing area for VIPs
Microsoft qualifications – buy in a number of certificated places, use some for own staff and sell rest to the community
Saturday markets
Car parking at weekends

15. Staff
Overstaffed in some areas? Can you sell supply staff to neighbouring school?
Use of admin staff across schools
Cleaners in more than one school
Coordinating lettings for other schools

16. Main points to consider
All lettings must have positive impact on the school
No disruption to school life
Improvement of environment – not damage to it
Extra curricular benefits where ever possible
Keep reviewing and report to governors

17. Any Questions?