MAGAZINEby Colorado Institute for Social Impact

SOCIAL IMPACT

A COLORADO COLLECTIVE PUBLICATION

SOCIAL IMPACT MAGAZINE • VOLUME TWO COLORADO INSTITUTE FOR SOCIAL IMPACT • CI4SI2 3

Purpose driven companies are on the rise here in Colorado as well as throughout the Nation. This new sector of the economy is embracing businesses that merge income and impact as well as purpose and profit. This evolution of business seeks to create social and environmental impact through the powerful economic engine of capitalism. This sector is reshaping the economy, capitalism, businesses and nonprofits.

2019 will be a pivotal year for Social Impact Businesses across the United States. We are seeing books, articles, conferences and other thought leaders promote the key tenants of this quickly developing sector. However, this sector is not only seeing growth in acceptance from a theoretical standpoint, research is showing us that when these key principles are applied—purpose can lead to greater profits. According to research performed by Conscious Company Media in 2018, they found that in the past 3 years, 42% of non-purpose-led companies showed a drop in revenue, while 85% of purpose-led companies showed positive growth. In addition, they showed that customers are asking for more businesses to invest in society’s best interest.

In January of 2019, Blackrock Inc ($6 Trillion investment firm) CEO Larry Fink once again focused his annual letter to CEOs on the fact that companies must have a long-term approach to the “increasingly fragile” global landscape and market uncertainty. Fink states that:

“Profits are essential if a company is to effectively serve all of its stakeholders over time – not only shareholders, but also employees, customers, and communities. Similarly, when

a company truly understands and expresses its purpose, it functions with the focus and strategic discipline that drive long-term profitability.”

The world is changing at a rapid pace due to innovation, technology and a new generation of consumers. In addition to price and quality, many consumers want to know where their products are sourced, how their purchase will impact their local economy, and how to best to support businesses that are doing more to support their community.

The Colorado Institute for Social Impact (CI4SI.org) is dedicated to bringing more attention to this sector, certifying future social entrepreneurs in Social Impact strategies to build and promote this new ecosystem. We are helping this new sector measure their Social Impact through Social Return on Investment (SROI) in addition to a traditional ROI. For the third year we are highlighting the top Social Impact organizations and social entrepreneurs with our annual PRISM Awards, this year to include the entire State of Colorado.

At the Colorado Institute for Social Impact, we will continue our efforts in 2019 to expand the business definition of success. We will continue to help businesses focus on stakeholders in addition to shareholders. We will help communities collaborate with businesses for the betterment of our communities. We will help funders measure their impact investments through mission-driven businesses more precisely. Finally, we will focus on the and, because moving forward it will no longer be purpose versus profit but rather purpose and profit.

RISE OF THE 4TH SECTORA LETTER FROM THE CEO, JONATHAN LIEBERT

JONATHAN LIEBERTCHIEF EXECUTIVE OFFICER

STACEY BURNSVP OF BUSINESS INNOVATION

MICKI COCKRILLEDIGITAL MARKETING AND

EVENTS SPECIALIST

PAUL MYERS-BENNETTVP OF MARKETING AND EVENTS

JESSICA RIZZOCERTIFICATION AND

INSTRUCTION SPECIALIST

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COLORADO INSTITUTE FOR SOCIAL IMPACT • CI4SI 5

Q: Tell us a little bit about who you are?

The ReStore is a part of Pikes Peak Habitat for Humanity and helps to fund their mission. Net proceeds for the store go directly to homebuilding costs of Habitat for Humanity who builds permanent affordable housing for residents of El Paso county. People who have some sort of need for housing qualify with situations such as other living conditions that aren’t good for their family or they can’t afford rent elsewhere. Affordable housing is few and far between and we are trying to fill that gap by being innovative with our partnerships and programs to fund more houses.

Q: Why do you/your organization do what you do?

The ReStore is a social enterprise established to support Habitat for Humanity. Staff and customers are driven to our store to find a great deal, keep items out of landfills, and knowing that what they are purchasing helps to fund a greater cause. Other stores that sell similar products are driven by profitability first—we are driven by helping our community. We receive donations and then resell appliances, fixtures, doors, and more! We recycle cardboard to keep it out of the landfill. We help people get a product at a price they wouldn’t usually be able to get, and potentially not even be able to afford otherwise. We are the first ReStore to be a paint recycling partnering

with Paint Care. Every time you buy a gallon of paint you will see a Paint Care tax. We can resell this paint that is donated to us, making money for our mission, and then we get reimbursed by Paint Care for every gallon we sell which also adds to the bottom line. We are also doing good for the environment with our paint program. Paint vendors have to take recycled paint as part of their agreement to sell it, but they can’t accept a lot. We take ten gallons at a time where others take five. We are now the biggest Paint Care program in the city.

Q. What are your goals for your organization in the next year?

We are looking to open a second location. Having another store with more materials funds us building more homes. We are always trying to seek out different ways to acquire materials and broadening the scope of our products. We are storing items from 320 rooms from a local resort on our land for free and in return we get the products out of those storage containers to resell. We have partnered with the city on a deconstruction project for homes that are not safe due to foundations slipping. We get to resell the products from those homes and then for every volunteer hour we put into it, the homeowner gets money back from the city. We are always seeking partnerships that continue to improve our community and move both organizations forward with revenue and community impact.

SOCIAL IMPACT BUSINESS OF THE YEAR 2018AN INTERVIEW WITH JEFF WHITE, CHIEF OPERATIONS OFFICER OF HABITAT FOR HUMANITY RESTORE

WINNER

COLORADO INSTITUTE FOR SOCIAL IMPACT • CI4SI 7

Q. Tell us a little bit about who you are?

Mom. Air Force wife. Entrepreneur. Adventure lover. I think that ties into a lot of business owners and entrepreneur—that craving for adventure is part of the entrepreneurial spirit. It feeds into our willingness to take risks and personally I don’t feel like I am living unless I am adventuring. I have lived in six different states, moved four times with the military, bought 3 houses—but when I found entrepreneurship, I found my way. Real estate and entrepreneurship saved me.

Q. What is your favorite thing about being a Social Impact business/Social Entrepreneur?

Knowing I can come up with an idea today and bring it to life tomorrow and knowing that the revenue streams I earn come together to support our mission and constantly improve on that mission. The big thing with social entrepreneurs is discovering that there is a social problem we want to solve. Mine came with my own personal battle and trying to find employment every time I moved. I wanted to help other spouses and I just wanted to do the right thing. I didn’t know what it was called until I met CI4SI. Currently I help other military spouses understand that there are employment opportunities out there. We do that through our real estate team and MilHousing network. But these are my tools. And if at some point I need to abandon something and move onto the next opportunity,

I will do that, as all of these are just tools to help up reach our mission.

Q. What is the most challenging thing about being a Social Entrepreneur?

The uncertainty of the roller coaster. The hardest part is you’ve got to have a stomach and an appetite for massive reward and massive risk. You could lose this all in a heartbeat. I had to get comfortable with that. One day you have this amazing success and then the next day you look at the bank account and you’re like “whoa”. Entrepreneurship is kind of like running a marathon—push through the pain and get past wanting to stop because this is hard—yeah, it’s hard or everyone would do it. If you can push through the hard times, you see the reward. There will be times you will ask yourself if you can make it. but then you’re glad you did.

Q. Has winning this award changed anything for you or your organization?

It has given us credibility in the space and credibility locally as a social impact business. Personally it has validated this work and pushed my personal boundaries to get more invested and integrated in the community I am in, even if it’s temporary. I didn’t think I would ever win since I am not local. But I pushed out of my comfort zone and applied anyway. It connected me to my community and led me to make a stronger local impact.

SOCIAL ENTREPRENEUR OF THE YEAR 2018AN INTERVIEW WITH LINDSEY LITTON, OWNER/ CO-FOUNDER OF MILHOUSING NETWORK AND LITTON REAL ESTATE

WINNER

COLORADO INSTITUTE FOR SOCIAL IMPACT • CI4SI 9

Q. Tell us a little bit about who you are.

Kids on Bikes is a nonprofit throughout the Pikes Peak Region dedicated to breaking down barriers to bicycling for kids and their families. Kids on Bikes was founded in 2005 and in May 2016 we opened the Pedal Station in order to greatly expand our program impact, enhance opportunities for volunteers, and to create a much-needed revenue stream for the nonprofit. The Pedal Station exceeded expectations with an overwhelming response from community members, an onslaught of bicycle donations, and a meaningful partnership with another local Social Impact business called Mountain Equipment Recyclers. The Pedal Station is a critical piece to the programmatic operations of Kids on Bikes to fulfill our mission.

Q. Why does your organization do what you do?

Back in 2014 Kids on Bikes realized that there was so much opportunity to be gained from opening the Pedal Station for the city and organization at large—generating revenue, building program capacity, and opening up new opportunities to further expand our ability to equip, empower, and encourage bicycling. We could have kept doing the same thing but instead we took initiative and made our larger organizational goals a reality.

Q. What are your goals for your organization in the next year?

We want to steadily increase our earned revenue and

take care of our staff. We need to create more revenue so that the Pedal Station continues to become more self-sustainable. We currently rent but we would love to have a building we own while still being in heart of Colorado Springs as much as possible. We will further enhance the culture of the Pedal Station and deepen its roots for the benefit of volunteers, for the benefit of staff, and for the benefit of kids and families in our community.

Q. What is the most challenging thing about being a Social Impact business?

It’s an ongoing struggle to balance mission fulfillment and the bottom line. But a tight budget and a passion for your work helps you focus. You make tough decisions which ultimately makes you stronger.

Just like riding a single speed ;)

Q. Where do you see the Social Impact Movement going?

Social impact is creating more gray area which is not necessarily a bad thing. It’s helping us change the way we think about who we are, what we value, what our life purpose is, and our ability to have an impact on where we live—knowing the impact that we all have with our choices, the impact of every dollar spent and how it impacts people that we don’t even see or know. This movement is prompting both business owners and nonprofits to question what matters most. Knowing your purpose, you can’t go to school for that. That comes through life experiences and that’s the piece that drives you.

SOCIAL IMPACT STARTUP OF THE YEAR 2018AN INTERVIEW WITH DANIEL BYRD, EXECUTIVE DIRECTOR OF PEDAL STATION, A SOCIAL IMPACT PROGRAM OF KIDS ON BIKES

WINNER

SOCIAL IMPACT MAGAZINE • VOLUME TWO COLORADO INSTITUTE FOR SOCIAL IMPACT • CI4SI10 11

SOCIAL IMPACT

CO

LORADO INSTITUTE FO

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2019

The first of its kind within the 4th Sector, the Professional Certification in Social Impact Strategies helps strengthen and develop your for-profit or nonprofit business. You can develop the ability to strategize from a Social Impact perspective as well as prepare for the future of the Impact-based economy.

• Site visits to Social Impact Businesses• Courses taught by Social Impact Experts• Activities to make your Social Impact idea come to life

Learn more at CI4SI.org!

PROFESSIONAL CERTIFICATIONIN SOCIAL IMPACT STRATEGIES

CI4SI is a social enterprise created to enhance and organize businesses that merge mission and margin, purpose and profit (known as the 4th Sector), by providing training, consultation, and awareness to social entrepreneurs reshaping capitalism.

WHAT IS COLORADO INSTITUTE FOR SOCIAL IMPACT (CI4SI)?

WHO DO WE SERVE?

For Profits

Nonprofits

Funders

Communities

WHAT SERVICES DO WE OFFER?

Education and Training

Social Return on Investment (SROI)*

Events and Networking

Speaking and Keynotes

Consultation Services

Professional Certification

GET INVOLVED

CI4SI.org Email: info@CI4SI.org

Facebook | Twitter | Instagram @CI4SILinkedIn.com/company/CI4SI

This is called Social Return on Investment. SROI measures the social value that a Social Impact Business creates by turning their impact into numbers that everyone can understand. This helps them tell a stronger story as well as expand their ideas about their own impact.

This is a very individualized process that is based on information being gathered by the organization, research and data to support the value of that impact, and then a full report on how that impact is measured and applied.

*What if you could tell people about your Social Impact in dollars and cents?

SOCIAL IMPACT

CO

LORADO INSTITUTE FO

R

2019

The first of its kind within the 4th Sector, the Professional Certification in Social Impact Strategies helps strengthen and develop your for-profit or nonprofit business. You can develop the ability to strategize from a Social Impact perspective as well as prepare for the future of the Impact-based economy.

• Site visits to Social Impact Businesses• Courses taught by Social Impact Experts• Activities to make your Social Impact idea come to life

Learn more at CI4SI.org!

PROFESSIONAL CERTIFICATIONIN SOCIAL IMPACT STRATEGIES