social enterprise in sbhg -...
TRANSCRIPT
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Social enterprise in SBHG
• We have Staying First, an independent charity and SE as a
subsidiary in the Group
• Started as a separate charity with just two contracts and 300k
turnover
• Joined the Group in 2000
• Now has 60 staff and 20+ volunteers per day and £4.0m turnover
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• Consists of Furnish, a reuse and recycling SE with £2.5m
turnover expected. 700 volunteers pa. 34,000 sq ft depot and
10,000 sq ft shop. Now providing Social Fund contracts to 5 LA’s
• Painting and Decorating, offering internal and external painting
services. 6 staff.
• Adaptations and Home Improvement Agency. 6 contracts
• Housing Advice in RBKC and debt and welfare advice for 6 RPs.
8 staff
• Small repairs in RBKC. 1400 clients last year.
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• Over 50 different sources of funding , including SBHA contracts, LA
contracts, contracts with other RPs, charity funding, commercial
contracts
• Free IT, Finance, HR and office space and volunteer support
• Buy in adaptations, welfare benefit/debt advice, discounted furniture,
painting services without VAT
• Each ‘project’ has a costed plan with varying contributions to Staying
First
• Overall SF has built up 800k of reserves and SBHA has donated 800k
to fund three years of bought services
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Within SBHA
InComE project.
Supports overcrowded young social housing tenants into work or
education and their own home for up to 3 years with support from
SBHA. 15 participating RPs providing homes for 7 Boroughs. 200k
turnover.
Bidding to double in size
Umbrella Team
£250k invested in a project to offer at home services for
older/vulnerable people as a one stop service.
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And in partnership…
Academy4Housing
A new charity and SE set up by a cash injection from 4 RPs, (SBHG,
TVHA, Gateway and Sentinel)
Offers resident and staff training, apprenticeships and CIH/NVQ
training and accreditation
How…Thames Valleys own Training Centre put into the pot as the
initial catalyst.
Other partners share the ethos and mindset.
Over 750k turnover this year.
www.academy4housing.com
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And in partnership
• Business Launch Pad
• Supporting BLP to provide enterprise mentoring and support to young
tenants. Providing grant and free accommodation.
• www.businesslaunchpad.org.uk
• Student@home
• Working with Student@home to provide computers and training to off-
line tenants in arrears.
• www.studentathome.co.uk
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How do we do it?
Right mindset. Services as well as homes
Entrepreneurial staff in Staying First and SBHA
Willing to put money ‘at risk’
Buy services from the SE and use your purchasing power
See and take opportunities
Be prepared for failure with bids or to lose contracts over time…and
move on.
Governance. Staying First has its own Board that is focussed on its
success
Back room costs will kill bright ideas. Take them on yourselves.
Get senior staff to sell services wherever they go.
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Working with others
• Finding the right Social Enterprises.
• Work out what will add value.
• 90+ on SocEnt website in London, 66 with Soc Ent Mark
• Being prepared to take a risk.
• See yourself as part of a supportive network.
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Any questions?
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Developments in the
VCSE Sector John Gillespie, ACEVO
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VCSE Sector Context
• Consequences of Cuts
• Shift from Grant to Contract Funding
• Larger Contracts (including Payment by
Results)
• More competition from private
sector/mutuals
• Localism/ Social Value agenda
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Some Responses
• Greater focus on Commercial side “we
are all social enterprises now”
• New forms of partnership within the
Voluntary sector
• Social Investment
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•Consortium Development
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New SPV type consortia
•Incorporation to form new legal entity
•Providers become members of this
company
•Hub and spokes operating model
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Hub and Spokes Operating Model
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Social ownership
• Owned and controlled by the members
• 2 tier governance:
Council of Members
Board
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E.g. Knowsley Third Sector
Consortium
• 6 months process/ Working group
• Different from previous ‘contract
specific’ consortia
• Incorporated a new corporate entity
• Run as business
• Support from the LA and Knowsley
Housing Trust
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Social Investment
• Reflects shift from grants to contracts
• Lack of development capital
• ... to engage with Payment by Results
opportunities
• ... to win larger contracts
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Barriers
• Barriers, due to lack of investment
readiness
• Culture of risk aversity
• Social sector legal forms have led to
development of tailored forms of
investment.
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E.g. Social Investment
Strategy for Hammersmith &
Fulham
• Creation of local loan fund? - Council
investment/business + high net worth
individuals.
• Matched by Central Government money
• Part repayable (i.e. investors will get
their money back)