The Nonprofit Newswire offered this recent view on an article in the Wall Street Journal, which highlights an idea that should be given more consideration: win-win business partnerships between nonprofits and for profits.
Recent Newswires in North CarolinaAugust 3, 2010; Source: Wall Street Journal For those of you that do not already know, the Wall Street Journal now prints a “Donor of the Day” column that has become a must read for many. Yesterday Suzanne Sunshine was profiled. This author knew Ms Sunshine at LISC where she was the unsung hero in LISC’s program for helping CDCs develop supermarkets in low-income neighborhoods.
Last year, she started a private, for-profit real estate brokerage and consulting firm specializing in nonprofit office space. In an era of much-hyped, short-on-evidence innovations, S. Sunshine & Associates LLC operates on an innovative model. On every deal, she arranges for 10 to 50 percent of her real estate commission to be returned to the client or an associated charity. In her first year of operations, she has made a profit and returned over $100,000 to New York charities. Read more here.
Wednesday, August 18, 2010
Saturday, June 26, 2010
Panera's new model of nonprofit restaurants
Syracuse.com offered the following national story:
As the first crowd of customers filed into Panera Co.'s nonprofit restaurant here, only the honor system kept them from taking all the food they wanted for free.
Ronald Shaich, Panera's chairman, admitted as he watched them line up that he had no idea if his experiment would work. The idea for Panera's first nonprofit restaurant was to open an eatery where people paid what they could. The richer could pay full price-or extra. The poorer could get a cheap or even free meal.
A month later, the verdict is in: It turns out people are basically good.
Panera, which operates 1,400 franchised and corporate-owned bakery-cafes across the country, plans to expand the nonprofit model around the nation, opening two more locations within months.
"I guess I would say it's performing better than we even might have hoped in our cynical moments, and it's living up to our best sense of humanity," Shaich said in an interview.
Its cashiers tell customers their orders' "suggested" price based on the menu. About 60 to 70 percent pay in full, Shaich said. About 15 percent leave a little more and another 15 percent pay less, or nothing at all. A handful have left big donations, like $20 for a cup of coffee.
The restaurant took in $100,000 in revenue its first month. He declined to say what kind of margin this left between total costs and revenue, but he predicted the restaurant will be able to cover its costs within months and eventually generate extra cash for charitable programs.
Panera's nonprofit plan is the largest example yet of a concept called community kitchens, where businesses operate partly as charities. Customers who need a discount, or even free food, can get it with no questions asked.
Shaich borrowed the idea from a restaurant in Denver and then connected with Denise Cerreta, who runs The One World Salt Lake City restaurant with a sliding scale menu. Cerreta's community kitchen and others he looked into were impressive, Shaich said, but operated on a smaller scale than Panera could afford to run.
The Clayton store is run under the company's St. Louis Bread Co. banner by a nonprofit organization called Panera Cares that publicly traded Panera Co. supports. But Panera won't bear the nonprofit's losses if the experiment fails. For the expansion, Panera spokeswoman Kate Antonacci said, the nonprofit is considering locations that, like Clayton, are upscale but accessible to lower-income customers. In Clayton's case, St. Louis County's offices and court house are nearby. Read more here.
As the first crowd of customers filed into Panera Co.'s nonprofit restaurant here, only the honor system kept them from taking all the food they wanted for free.
Ronald Shaich, Panera's chairman, admitted as he watched them line up that he had no idea if his experiment would work. The idea for Panera's first nonprofit restaurant was to open an eatery where people paid what they could. The richer could pay full price-or extra. The poorer could get a cheap or even free meal.
A month later, the verdict is in: It turns out people are basically good.
Panera, which operates 1,400 franchised and corporate-owned bakery-cafes across the country, plans to expand the nonprofit model around the nation, opening two more locations within months.
"I guess I would say it's performing better than we even might have hoped in our cynical moments, and it's living up to our best sense of humanity," Shaich said in an interview.
Its cashiers tell customers their orders' "suggested" price based on the menu. About 60 to 70 percent pay in full, Shaich said. About 15 percent leave a little more and another 15 percent pay less, or nothing at all. A handful have left big donations, like $20 for a cup of coffee.
The restaurant took in $100,000 in revenue its first month. He declined to say what kind of margin this left between total costs and revenue, but he predicted the restaurant will be able to cover its costs within months and eventually generate extra cash for charitable programs.
Panera's nonprofit plan is the largest example yet of a concept called community kitchens, where businesses operate partly as charities. Customers who need a discount, or even free food, can get it with no questions asked.
Shaich borrowed the idea from a restaurant in Denver and then connected with Denise Cerreta, who runs The One World Salt Lake City restaurant with a sliding scale menu. Cerreta's community kitchen and others he looked into were impressive, Shaich said, but operated on a smaller scale than Panera could afford to run.
The Clayton store is run under the company's St. Louis Bread Co. banner by a nonprofit organization called Panera Cares that publicly traded Panera Co. supports. But Panera won't bear the nonprofit's losses if the experiment fails. For the expansion, Panera spokeswoman Kate Antonacci said, the nonprofit is considering locations that, like Clayton, are upscale but accessible to lower-income customers. In Clayton's case, St. Louis County's offices and court house are nearby. Read more here.
Monday, June 21, 2010
Looking to jump-start your business? You might try entering a contest.
The Wall Street Journal reported that a growing number of corporations, nonprofits and universities are giving small companies a chance at a big break—by holding contests.
Covering a broad range of categories, from the most promising women entrepreneurs to the strongest tech ideas, these competitions offer a number of powerful lures. Some offer cash prizes that can range into the six figures. Then there are longer-term rewards, such as increased exposure and grist for future marketing campaigns. Even if they don't win, entrepreneurs often come away with valuable critiques from expert panels of judges.
But there's an art to deciding which contests to enter and making the best case for your company. Here are some keys to finding, entering and winning these competitions.
The best place to start looking for contests is www.AwardSync.com, a site that helps groups publicize their awards. Once you've focused in on some competitions, the groups' own sites can be valuable. For instance, you could scour their sites for more information about what they do—which might give you ideas about what to highlight in your presentation.
At the outset, start small with awards from, say, local chapters of national organizations. This has a number of benefits. You can refine your case and practice your presentation without as much at stake. You also stand a better chance of winning a smaller contest—and judges of larger events like to see that you have some victories under your belt.
Once you've homed in on some contests, network like crazy. Call previous winners to see what worked for them; more than anyone else, they'll understand why you're in the hunt—and typically they have nothing to lose because they're ineligible to win again. If you can get into the audience for an award's oral presentations, go do it one year, see what makes the finalists stand out, and then apply the next year. Read more here.
Covering a broad range of categories, from the most promising women entrepreneurs to the strongest tech ideas, these competitions offer a number of powerful lures. Some offer cash prizes that can range into the six figures. Then there are longer-term rewards, such as increased exposure and grist for future marketing campaigns. Even if they don't win, entrepreneurs often come away with valuable critiques from expert panels of judges.
But there's an art to deciding which contests to enter and making the best case for your company. Here are some keys to finding, entering and winning these competitions.
The best place to start looking for contests is www.AwardSync.com, a site that helps groups publicize their awards. Once you've focused in on some competitions, the groups' own sites can be valuable. For instance, you could scour their sites for more information about what they do—which might give you ideas about what to highlight in your presentation.
At the outset, start small with awards from, say, local chapters of national organizations. This has a number of benefits. You can refine your case and practice your presentation without as much at stake. You also stand a better chance of winning a smaller contest—and judges of larger events like to see that you have some victories under your belt.
Once you've homed in on some contests, network like crazy. Call previous winners to see what worked for them; more than anyone else, they'll understand why you're in the hunt—and typically they have nothing to lose because they're ineligible to win again. If you can get into the audience for an award's oral presentations, go do it one year, see what makes the finalists stand out, and then apply the next year. Read more here.
Monday, May 24, 2010
Foundations Offer Loans to Nonprofits: Possible Idea of Seed Funds
The Buffalo News reported that a $650,000 check in 2008 from the Community Health Foundation of Western and Central New York for a new program to assist the frail elderly in Cattaraugus County came with a caveat: Trustees of the foundation wanted the money back, with interest.
A single grant of that size was beyond the capacity of the foundation, so trustees decided instead to make it a loan.
The money allowed Community Care of Western New York to launch a program that will keep more than 200 rural elderly people safely in their homes. Without it, the project probably would have stalled.
"It would not have opened without us, and what is a really promising model for elder care in a rural community would have been lost," said Ann Monroe, foundation president.
Increasingly, foundations in Western New York and across the country are turning to loans, loan guarantees and other measures as a way to aid needy nonprofit organizations without giving away the store.
The John R. Oishei Foundation, the area's largest private foundation, currently has more than $12 million — nearly 4 percent of its $280 million asset base — being used in this fashion. And at least two other local foundations, the Margaret L. Wendt Foundation and the Joy Family Foundation, have experimented with alternative financing.
Known as "program-related investments," or more popularly "PRIs," the loans and loan guarantees are serving a dual purpose for foundations hammered by stock market losses in 2008.
PRIs, like grants, put money toward projects that might not otherwise get off the ground. Read more here.
A single grant of that size was beyond the capacity of the foundation, so trustees decided instead to make it a loan.
The money allowed Community Care of Western New York to launch a program that will keep more than 200 rural elderly people safely in their homes. Without it, the project probably would have stalled.
"It would not have opened without us, and what is a really promising model for elder care in a rural community would have been lost," said Ann Monroe, foundation president.
Increasingly, foundations in Western New York and across the country are turning to loans, loan guarantees and other measures as a way to aid needy nonprofit organizations without giving away the store.
The John R. Oishei Foundation, the area's largest private foundation, currently has more than $12 million — nearly 4 percent of its $280 million asset base — being used in this fashion. And at least two other local foundations, the Margaret L. Wendt Foundation and the Joy Family Foundation, have experimented with alternative financing.
Known as "program-related investments," or more popularly "PRIs," the loans and loan guarantees are serving a dual purpose for foundations hammered by stock market losses in 2008.
PRIs, like grants, put money toward projects that might not otherwise get off the ground. Read more here.
Monday, April 26, 2010
6 qualities of successful social entrepreneurs
As related in The Nonprofit Times e-mail newsletter:
So, what makes a successful social entrepreneur? In his book “How to Change the World,” David Bornstein disputes the common assumption that highly successful entrepreneurs are more confident and persistent than most others.
Instead, he found that what distinguishes successful social entrepreneurs is the quality of their motivation; they were the ones who were most determined to achieve a long-term goal that was deeply meaningful to them.
With this, he sets out six qualities of highly successful social entrepreneurs.:
Willingness to self-correct. Inclination to self-correct stems from the attachment to a goal rather than to a particular approach or plan.
Willingness to share credit. A willingness to share credit lies along the “critical path” to success, because the more credit entrepreneurs share the more people will want to help them.
Willingness to break free of established structures. By doing this, entrepreneurs can gain the freedom to act and the distance to see beyond orthodoxy in their fields.
Willingness to cross disciplinary boundaries. Independence from established structures not only helps social entrepreneurs break free of prevailing assumptions but also gives them latitude to combine resources in new ways.
Willingness to work quietly. Many social entrepreneurs spend decades steadily advancing their ideas.
Strong ethical impetus. At some moment in their lives, social entrepreneurs get it into their heads that it is up to them to solve a particular problem.
So, what makes a successful social entrepreneur? In his book “How to Change the World,” David Bornstein disputes the common assumption that highly successful entrepreneurs are more confident and persistent than most others.
Instead, he found that what distinguishes successful social entrepreneurs is the quality of their motivation; they were the ones who were most determined to achieve a long-term goal that was deeply meaningful to them.
With this, he sets out six qualities of highly successful social entrepreneurs.:
Willingness to self-correct. Inclination to self-correct stems from the attachment to a goal rather than to a particular approach or plan.
Willingness to share credit. A willingness to share credit lies along the “critical path” to success, because the more credit entrepreneurs share the more people will want to help them.
Willingness to break free of established structures. By doing this, entrepreneurs can gain the freedom to act and the distance to see beyond orthodoxy in their fields.
Willingness to cross disciplinary boundaries. Independence from established structures not only helps social entrepreneurs break free of prevailing assumptions but also gives them latitude to combine resources in new ways.
Willingness to work quietly. Many social entrepreneurs spend decades steadily advancing their ideas.
Strong ethical impetus. At some moment in their lives, social entrepreneurs get it into their heads that it is up to them to solve a particular problem.
Sunday, April 4, 2010
Entrepreneur to hear business pitches on Quadby Kevin Tampone
John Liddy, entrepreneur in residence at the Tech Garden in downtown Syracuse, will spend a few hours Tuesday afternoon handing out cash on the Syracuse University Quad.
Students will have to earn the money though.
Liddy will listen to business ideas from any student and hand out vouchers for $5 in cash. Students must show up to an event for young entrepreneurs scheduled for April 28 at the Tech Garden to claim the money.
And the idea must be real, says Paul Brooks, vice president for entrepreneurship programs at the Tech Garden. Liddy will vet the concepts and only distribute the cash vouchers to students with top ideas.
The April 28 event will bring together student entrepreneurs from various SU schools, investors, and potential mentors for a program on entrepreneurship and emerging companies, Brooks says.
Liddy will be on the Quad from noon to 2:30 p.m.
Students will have to earn the money though.
Liddy will listen to business ideas from any student and hand out vouchers for $5 in cash. Students must show up to an event for young entrepreneurs scheduled for April 28 at the Tech Garden to claim the money.
And the idea must be real, says Paul Brooks, vice president for entrepreneurship programs at the Tech Garden. Liddy will vet the concepts and only distribute the cash vouchers to students with top ideas.
The April 28 event will bring together student entrepreneurs from various SU schools, investors, and potential mentors for a program on entrepreneurship and emerging companies, Brooks says.
Liddy will be on the Quad from noon to 2:30 p.m.
Tuesday, March 16, 2010
New York Entrepreneur Week April 12-16
New York Entrepreneur Week (NYEW) is a non-profit movement formed around a single belief: entrepreneurs change the world. And now is the time for entrepreneurs who have the will and drive to prove they can achieve anything, to stand up and come together in New York State for another groundbreaking NYEW event.
With over 100 speakers from 40 cities, 15 states and 3 continents, NYEW unites the state’s diverse entrepreneurial community; giving you the opportunity to connect with and learn from New York’s best and brightest entrepreneurs who are relentless, driven and dedicated to improving your business and the economy. View the full agenda here.
New York Entrepreneur Week encompasses five days of innovative and hyper-targeted events, including:
* Inspiring keynote speeches from recognized business leaders
* Riveting panels delivering relevant mission-critical advice
* The flagship RELENTLESS business plan competition
With over 100 speakers from 40 cities, 15 states and 3 continents, NYEW unites the state’s diverse entrepreneurial community; giving you the opportunity to connect with and learn from New York’s best and brightest entrepreneurs who are relentless, driven and dedicated to improving your business and the economy. View the full agenda here.
New York Entrepreneur Week encompasses five days of innovative and hyper-targeted events, including:
* Inspiring keynote speeches from recognized business leaders
* Riveting panels delivering relevant mission-critical advice
* The flagship RELENTLESS business plan competition
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