Section 9 Example of a Community Business Plan
Example Business Plan - Furniture Store & Workshop Project Index
1. 2. 3. 4. 5. 6. 7. 8. 9. 10. 11. 12. 13. Summary Background Aims and Odjectives Project Description Evidence of Need Opportunities Market Income Generation Forward Strategy Project Costs Projected Outputs Monitoring Appendices
36
Section 9 Example of a Community Business Plan
Furniture Store & Workshop Project 1. Summary
This Project will aim to improve our existing facilities and premises and to develop and manage a warehouse for recycled furniture. The relocating to larger premises will provide the organisation with additional storage and a workshop, offices, conference and training facilities, warehouse, workshop, garage and loading bay all with disabled access. It is proposed to increase the capacity of the project so that more of the demand can be met and to introduce other furniture recycling opportunities that will be beneficial to both the environment and the community. Our existing furniture project has been in operation on a limited basis for the past three years and during this time we have been unable to meet the ever increasing demand. Our storage facilities and transport are very restricted, not cost effective and very time consuming; this means we are unable to cope with the constant requests for our service. The Furniture Project will not only supply items to those in greatest need but will also provide personal development opportunities and employment training/skills in joinery, restoration and making alternative uses of damaged and unusable items e.g. making garden furniture and other wooden items.
2. Background
The Volunteer Bureau has been established in Skegness since May 1994. The Bureau is managed by a committee of Trustees, has a constitution and is registered as a charity - charity no. ?????? For the past 3 years the group has managed its furniture store on a very limited basis. We have a container store approximately 20’ x 8’ and a small trailer that we use for collection and delivery. This means our collection delivery and storage are very limited and time consuming not to mention costly. Referrals for the service come from other voluntary organisations and statutory bodies as well as the general public. We often have to refuse support to needy clients because we do not have the furniture being requested. Donations of furniture also have to be refused sometimes as we have nowhere to store it or the furniture has to be collected quickly and we do not have the capacity to respond. We are therefore at present only able to meet a small percentage of the actual need.
3. Aims and Objectives
Aims
To alleviate poverty and reduce pressure on Landfill Sites.
By: • Collecting and distributing unwanted furniture to those in greatest need. • Developing skills, volunteering opportunities and pathways to employment for disadvantaged members of the community. • Creating and making alternative products from broken items. • Minimising waste input into Landfill Sites.
37
Section 9 Example of a Community Business Plan
4. Project description
Three main elements are comprised within this initiative – Furniture Recycling, Alleviating Poverty and Creating Pathways to Employment. The project is to expand and develop the current skeletal service, to offer skills related training and develop employment prospects to disadvantaged members of the community. Community participation will also be encouraged through more volunteering opportunities. Increased storage, distribution and workshop capacity will allow for a faster turnover of products to meet the demand for recycled furniture thus diverting a greater quantity of waste from landfill sites. Amongst the beneficiaries will be the recipients of the recycled furniture i.e. the socially excluded, those on low incomes e.g. single parents, single homeless, young people, physically and mentally disabled, people with relationship difficulties. Other beneficiaries would include those gaining new skills and entering the labour market. The intention is that the items will be free although there will be a donation for delivery which will offset some of the costs. It is envisaged that the project will have a big impact on the amount of furniture dumped in the area and at the same time offer skills and training to local people working in partnership with other environmental groups and training agencies e.g. Seagull Scrap store and Millennium College.
5. Evidence of Need
Furniture Store Within the district of East Lindsey there is approximately 7000 items dumped annually at a cost to the taxpayer of £60 per ton (ELDC Environment Department Statistics) not to mention items dumped illegally. This has huge implications for Landfill Sites and detrimental effects on the environment and communities living near those sites. Our existing furniture project receives referrals from a number of statutory and voluntary organisations, Social Services, Probation Service, Health Visitors, Salvation Army, National Association of Care and Resettlement of Offenders, Soldier Sailors Airmen and Families Association and the Community Mental Health Team to name but a few.
120
No. of requests for the service
2000 - 2001
referral statistics
100 80 60 40 20 0
Requests responded to in full Requests responded to in part Unable to respond to rquest Level of service provided Outstanding requests Total requests
2000 2001
The DETR Indices of Deprivation 2000 tell us that within the catchment area of our project are some of the most deprived wards in the country. For instance, out of a total of 173 wards – 11 are in the first 30 – 14 are in the first 63 and 15 in the first 75 wards of highest deprivation on this index of multiple deprivation.
38
Section 9 Example of a Community Business Plan
6. Opportunities
Considerable benefits could be achieved by locating the group and Furniture Store under one roof. Both services complement each other and would result in an economy of scale. Substantial savings would be gained from the reduced overheads and cheaper accommodation. Existing staff would more effectively manage the two services from the same base. The larger facilities would allow us to display recycled furniture to be used by needy clients. Unwanted items of furniture would be broken down and used to make bird boxes, garden furniture and craft materials, these would also be displayed and generate extra income for the project. Another advantage of this initiative is the heightened awareness of volunteering opportunities for young trainees seeking employment. The single site resulting in increased referrals would facilitate close working with statutory and voluntary agencies. The planned relocation would also allow for the expansion of both parts of the organisation in a manner, which would accommodate disabled people. The existing premises do not have facilities for the disabled. The current office has poor ventilation and inadequate central heating making the building costly to run and a substantial amount of money is needed to improve it.
7. Market
The permanent population of Skegness and District is approximately 40,000, rising to around 200,000 during the holiday periods. The main industries being agriculture and tourism which are of a seasonal nature and low paid, this brings its own problems and difficulties such as homelessness, poor health, inadequate housing and unemployment. The nearest project similar to this one is based in Boston approximately 23 miles away. This service is run by a group of churches that specifically target the homeless and it is confined to Boston Town. There is also a project operating in Spalding 60 miles away called SOFA – a charity that covers the District of South Holland. Both projects only cater for local people in their respective areas. The catchment area that we cater for is a 15 mile radius of Skegness – map marked red. It has no other services of this kind. Demand for our skeleton service far outweighs the projects capacity to deliver.
8. Income Generation
Income for the Recycled Furniture Store/Workshop Project will be generated from the sales of the reconstituted furniture and other products made from the recycled furniture. Additional income will be raised by donations for the delivery of furniture, projected to be around £16,000 over the first three years. Funding will also be sought from training/employment grants e.g. New Deal placements and Local Authority and environmental grants e.g. environmental Tax Credits. We will continue to source other funding opportunities as the project develops.
39
Section 9 Example of a Community Business Plan
9. Forward Strategy
The project will need initial investment for the first three years to enable it to maximise its income potential. A large part of the initial investment will be capital expenditure within the first year. The income from the project’s activities once established will potentially be 40% of the annual project costs. It is hoped the shortfall will be met from various sources including specific environmentally targeted funds, local business, Trusts and Charities as well as Local Grant Aid, East Lindsey District Council and Lincoln County Council. With the range of partner organisations focusing on an environmental remit providing financial support, expertise and training for the project.
10. Project Costs
The project will require capital and revenue funding to provide • The Premises that will need to include a warehouse and small workshop, reception and advice centre. • A Vehicle will also be needed for collection and distribution that could also be utilised by other organisations, when not being used by the project, to generate income. • Equipment to be used in training of volunteers and trainees. The estimated cost of the development of the project is £271,100.00 over the first three years. The initial investment being Capital spend within the first year. The current amount available towards the project from the Volunteer Bureau will be around £60,000 to be generated from the sale of the current premises.
40
Section 9 Example of a Community Business Plan
Expenditure
Capital Premises Refurbishments Vehicle Office Equipment/Tools Sub Total £ Year 1 140000 8500 15000 3000 166500 £ Year 2 £ Year 3
Revenue
Management Costs & Salaries Volunteer Expenses Phone/Postage Stationery & Printing Protective Equipment Training/Promotional Educational Materials Road Tax & Insurance Servicing &Tyres Diesel Property & Liability Insurance Rates Electricity/Heating Alarm & General Maintenance of Property Professional Fees Contingency Fund Sub Total Total including Capital Expenditure 3 year Total 34100 200600 271100 15940 1200 960 600 1200 3500 500 1500 500 2500 1200 1000 1000 500 2000 1050 34250 1100 36250 17450 1300 1050 500 100 3500 500 1600 550 2650 1350 1000 1050 600 18450 1400 1200 500 100 3500 500 1700 600 2800 1500 1100 1100 700
Income
Capital Sale of existing property Total £ Year 1 60000 60000 £ Year 2 £ Year 3
Revenue
Delivery charges Sale of goods Total 3 Year Total 2200 0 62200 195000 2800 2500 5300 3600 5000 8600
41
Section 9 Example of a Community Business Plan
11. Projected Outputs
• Relieve the burden on East Lindsey District Council Environmental Bulk Waste Collection Service • Reduce the amount of bulky items currently dumped in Landfill Sites across the County • Raise awareness about alternative methods of disposal of furniture • Alleviating poverty • Support the most needy groups within Society to establish a comfortable living environment. • Raise the self esteem and aspirations of socially excluded groups and individuals • Increase a needed service which is not currently met by any other statutory or voluntary agencies • Provide additional volunteering opportunities • Creating pathways to employment • Creating skills for disadvantaged members of the community • Providing limited employment opportunities
12. Monitoring
Monitoring Systems will be put in place to record all aspects of the project, items of furniture, collections, deliveries, numbers of volunteers etc. Monitoring Systems will be evaluated and updated as the Project develops.
42