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Embarking on a Journey to Create Change: Starting Your Community Service and Non-Profit Business

Launching a community service or non-profit business is an incredibly rewarding venture, filled with opportunities to make a real difference in the world. The first step involves crystallizing your vision into a mission statement that resonates deeply with both your team and the community you aim to serve. It's about identifying a need that aligns with your passion and devising innovative solutions to address it. Building a solid foundation requires meticulous planning and gathering a dedicated team who share your commitment to change. Networking with like-minded individuals and organizations can provide invaluable support and resources. As you lay down the groundwork, remember to keep your goal of serving the community at the heart of every decision.

Facing the Initial Hurdles Head-On

When you're diving into the world of community service and non-profit organizations, the excitement is palpable. Yet, this journey comes with its unique set of challenges. Funding, for one, is a notorious hurdle. It's not just about having a noble cause; it's about convincing others why they should invest in your vision. This means your initial pitch needs to be compelling, clear, and concise, highlighting not just the heart but also the brains behind your operation.

Navigating Legal Waters

The legal landscape for non-profits can be daunting. From registering as a 501(c)(3) to understanding state-specific regulations, there's a lot to wrap your head around. The key here is not to dive in alone. Seek out legal advice or partnerships with law firms that specialize in non-profit organizations. This step will not only safeguard your mission but also streamline your operations from a compliance standpoint.

Building Your Brand from Scratch

In today's digital age, your brand is everything. How to start building that brand might seem overwhelming at first. Remember, consistency is your best friend here. From your logo to your messaging across various platforms, ensuring a cohesive brand identity is crucial. This consistency helps build trust with your audience, making them more likely to support your cause.

Fostering Community Engagement

One of the most rewarding aspects of running a community service organization is witnessing firsthand the impact of your work on the community. However, fostering that engagement requires effort. Social media platforms are invaluable tools here, providing a direct line to those you aim to help and those who wish to support you. Tailor your content to highlight success stories and ongoing projects. Engaging directly with your community not only bolsters support but also provides vital feedback for future endeavors.

Mobilizing Volunteers Effectively

Volunteers are the lifeblood of any non-profit organization. Yet, managing and mobilizing volunteers efficiently can pose significant challenges. It's essential to have clear communication channels and defined roles and responsibilities from the get-go. Offering training sessions can also enhance volunteer engagement and productivity. Always remember, recognizing their hard work and dedication plays a key role in retaining volunteers long-term.

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Securing Sustainable Funding

Finding sustainable funding sources is akin to hitting the jackpot for any non-profit leader. Yet, how to start may not be immediately clear. Diversifying funding sources is critical--relying solely on donations or grants puts you at risk should one well dry up. Exploring partnerships with businesses or other organizations can open up new funding avenues. Moreover, transparency about how funds are used fosters trust and encourages continued support from donors.

Leveraging Technology for Efficiency

In an era where technology reigns supreme, leveraging it for operational efficiency is non-negotiable for non-profits. From donor management software to social media analytics tools, technology offers solutions that can save time and increase impact. The trick lies in selecting tools that align with your specific needs and budget constraints. Additionally, investing in training for your team ensures everyone can make the most of these technological assets. Embracing technology ultimately propels your mission forward more effectively.

Digital Design Tools: A Game Changer

Lastly, let's talk about design because yes, visuals matter--a lot! In an overcrowded digital space, standing out becomes increasingly challenging but equally crucial. This is where tools like Desygner come into play; they empower non-profits to create stunning visuals without needing a professional designer on staff. Whether it's social media posts or fundraising materials, presenting your cause in visually appealing ways can significantly boost engagement levels. Essentially, such tools democratize design quality, allowing even smaller organizations to shine bright.

## The Importance of "How to Start" for Community Service and Non-Profit BusinessesStarting a community service or non-profit business is an exhilarating journey. It's a path filled with aspirations to make a difference, to contribute positively to society, and to create solutions for pressing issues. However, the way you start this journey - your planning, approach, and execution - has a profound impact on the success and sustainability of your mission. Understanding the significance of "how to start" can be the cornerstone of building an organization that's not just surviving but thriving.### Laying a Strong FoundationA well-thought-out beginning ensures that your organization is built on a solid foundation. This means having a clear mission statement, well-defined goals, and an understanding of the community you aim to serve. By meticulously planning your startup phase, you're essentially setting up a blueprint for success. This level of preparation can significantly reduce the risks associated with running a non-profit, allowing you to navigate challenges more effectively and secure funding more easily.### Building Credibility from the StartIn the world of community service and non-profits, credibility is currency. A strong start helps in establishing your organization as reliable, professional, and capable of delivering on its promises. This credibility is crucial not only for attracting donors and volunteers but also for building trust within the communities you aim to serve. When people believe in your capabilities from the outset, they're more likely to support your cause, providing a vital boost to your early efforts.### Fostering Positive RelationshipsThe way you initiate your operations plays a significant role in how you're perceived by partners, stakeholders, and the broader community. Starting off on the right foot involves transparent communication, ethical practices, and a commitment to delivering value. By doing so, you cultivate positive relationships that can offer support in various forms - whether it's through funding opportunities, partnerships or volunteer engagement. These relationships are often the lifeblood of non-profit organizations and can be pivotal in achieving long-term success.### Maximizing ImpactUltimately, starting correctly maximizes the impact of your work. With a robust strategy in place, every resource is utilized efficiently towards making tangible differences in people's lives. It allows you to scale your initiatives thoughtfully and sustainably while staying true to your mission. The initial clarity and structure help keep your team focused and motivated, driving forward with purpose and passion.In conclusion, "how to start" is not just about getting off on the right foot; it's about weaving a tapestry of intentionality throughout your organization's fabric. It's about creating an entity that's resilient in the face of challenges, magnetic in its draw of support and resources, and impactful in its contributions to society. A well-planned startup phase turns aspirations into actionable paths towards meaningful change--making it one of the most powerful steps you can take in launching a successful community service or non-profit business.

Launching Your Community Service and Non-Profit Venture: Key Takeaways

Starting a community service or non-profit business can be a deeply rewarding journey, both personally and professionally. As we've explored the foundational steps and strategies for launching such an endeavor, it's essential to recap the crucial elements that will guide you toward success. Remember, the heart of your mission lies in the impact you wish to create within your community or the broader world.

Firstly, understanding your cause deeply and aligning it with a clear mission statement is foundational. This clarity will not only inspire your team but also attract supporters who share your vision. Conducting thorough market research and defining your target demographic are critical steps to ensure your services meet a real need and have the potential for sustainable impact.

Moreover, establishing a robust legal framework and choosing the right structure for your organization are indispensable steps. These decisions will affect everything from fundraising capabilities to tax obligations. Effective marketing strategies are equally vital. In today's digital age, creating a strong online presence through social media and a professional website can significantly amplify your reach and engagement with potential donors, volunteers, and those you aim to help.

• Define a clear mission statement.
• Conduct thorough market research.
• Identify your target audience precisely.
• Choose the appropriate legal structure.
• Foster partnerships with local businesses and community leaders.
• Implement strategic marketing practices.
• Leverage social media for outreach.
• Consider using tools like Desygner for professional branding materials.

To wrap up, embarking on a non-profit venture is as challenging as it is fulfilling. The guidelines outlined here serve as a roadmap to navigate this exciting journey. With passion, perseverance, and strategic planning, you're well on your way to making a meaningful difference. Don't forget the power of branding in telling your story; sign up at Desygner to craft impactful visual content that resonates with your audience and propels your mission forward.

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How Entrepreneurs Can Use Community Service For Growth Community service can be a great way for entrepreneurs to get involved in their communities and make a difference while also growing their businesses. Here's how.

By Frederik Bussler • Aug 24, 2022

Opinions expressed by Entrepreneur contributors are their own.

Many companies start as a way to fill a need or resolve a problem and build their success around helping to make people's lives easier. This means that community service is a core value for many leaders, whether they realize it or not. It takes a special type of strength to lead, and this strength can often be found in dedication to larger goals.

The power of community service became apparent during the Covid-19 pandemic. While the pandemic forced many businesses to shut their doors, some entrepreneurs found ways to pivot and use their skills to help those in need.

For example, After-School-All-Stars, a national nonprofit that provides free after-school programs, quickly adapted its offerings to provide meals, distance learning, mental health support and more for students and families. Another example is Unilever, the consumer goods giant, who provided soap, sanitizer, bleach, ventilators, food and more to areas in need.

Related: The Power of Giving Back: How Community Involvement Can Boost Your Bottom Line

Smaller businesses, too, chipped in around the world. For instance, global manufacturing company, NJF Worldwide, became one of the leading providers of PPE to the U.S. government during the Covid-19 crisis. Founder Ryan Leonard, who began the firm shortly after being honorably discharged from the U.S. Army, brought with him the value of "selfless service."

Several other recent events have also shown how important community service can be for entrepreneurs. In the aftermath of the police killings of George Floyd and Breonna Taylor, many business leaders have been vocal about the need for systemic change. And in the wake of the war in Ukraine, the freight company, Meest-America, shifted its business to supporting Ukrainians.

What these examples have in common is that they demonstrate how community service can be used as a tool for growth. When entrepreneurs dedicate themselves to helping others, they open up new opportunities for themselves and their businesses. Acting on core values can help build a loyal community of consumers and create an engaged workforce ready to work towards common goals. It can also help you strengthen your leadership skills and discover new opportunities that can grow your business significantly.

Related: How Growing Businesses Can Prioritize Community Involvement

Building a community around your brand

When it comes to encouraging brand loyalty, creating a community around shared values is essential. In a 2017 survey by Cone Communications, 87% of consumers said they would purchase a product because the company advocated for an issue they cared about. Also, 75% said that they would refuse to purchase a product if they found out that the company advocated for issues contrary to their beliefs.

Whether it's a community in your local area or a community that comes together around a shared issue, service can help you build a brand identity around your values. In the case of NJF Worldwide, Leonard shared in a CEO Weekly article that he makes sure his community can always benefit from his business. He makes sure to share his success, donating to local charities and sponsoring local non-profits.

A commitment to service can help you become a leader, not only in your business but in your community. It can also boost visibility and brand awareness , making your company stand out from the competition through its responsibility and action. It can even help you find partnerships and business opportunities that align with your values.

Related: We Offer Time Off to Volunteer as a Unique Perk -- But It's Also Good for Business

Create a positive workplace culture

While community service is an essential part of connecting with your customers, it can also be a great way to build community inside of your company as well. The Great Resignation has revealed a desire for purpose that many employees have, one that they are willing to sacrifice their income and career opportunities for.

One of the best ways to create a workplace that is engaging and fulfilling for your employees is to focus on your core values. When employees are working for a company that shares their values, they will be more able to see the purpose in their career and work for their shared goals.

While community service may come naturally to many leaders, it's essential to do it with thought and intention. Thinking about community service as a part of your business strategy will allow you to grow your business and be ready with solutions when your community needs you most.

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Nonprofit and community organizations are way different than traditional businesses, making it crucial to have a well-thought-out plan to ensure streamlined operations.

This library of community and nonprofit business plans here can inspire and guide you as you begin to plan your organization. So, don’t worry; we got you covered on that part.

Let’s learn more about these sample nonprofit plans, starting with their benefits.

Benefits of using an industry-specific business plan example

Believe it or not, using an industry-specific business plan example is the best and probably the quickest way of writing a business plan.

Doubt it? Hold, this may change your perception; an extended list of the benefits of using an industry-specific business plan template.

• Inspiration : Reading a business-specific template can be incredibly helpful in getting content inspiration. Furthermore, it helps you gain insights into how to present your vision, mission, and service offerings.
• Risk-free method : You are taking a reference from a real-life, let’s say, charity business plan—so you know this plan has worked in the past or uses a method subscribed by experts.
• Deep market understanding : Analyzing and reading such examples can provide clarity and develop a deeper market understanding of complex industry trends and issues you may not know but relate directly to the realities of your organization landscape.
• Increased credibilit y: A business plan developed using an example follows a standard business plan format, wisely presents your business, and provides invaluable insights into your business. There’s no question it establishes you as a credible business owner, demonstrating your deep market understanding.
• Realistic financial projections : Financial forecasting being a critical aspect of your plan, this real-life example can help you better understand how they project their financials—ultimately helping you set realistic projections for your business.

These were the benefits; let’s briefly discuss choosing a business plan template for a nonprofit that best suits your business niche.

Choosing a Nonprofit or Community Business Plan

This category has multiple business plan templates for various nonprofit, charity and community centers. With many similar organization types and templates, you may not find the most suitable one through manual scrolling.

Here are the steps to consider while choosing the most suitable business plan template.

Identify your organization type

Are you going to be a community center? A shelter home helping the homeless? Or a food bank serving those in need?

Asking yourself these questions will help you identify your nonprofit type, which will help in choosing a niche-specific business plan template.

Once you identify your nonprofit business type, you can choose between templates for different business segments.

Search for the template

We have an in-built search feature, so you can easily search for a business-specific template using your business type as a key term. Once you have the search results, choose the most suitable one. Simple as that.

Review the example

Look closely at the content of the sample business plan you are considering. Analyze its sections and components to identify relevant as well as unnecessary areas.

Since all the Upmetrics templates are tailored to specific business needs, there won’t be many fundamental customizations. However, a hybrid business model targeting multiple customer segments may require adjustments.

No big deal—you can view and copy sections from other business plan examples or write using AI while customizing a template.

That’s how you find and select the most suitable business plan. Still haven’t found the perfect business plan example? Here’s the next step for you.

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How To Write a Business Plan for Community Outreach Agency in 9 Steps: Checklist

By alex ryzhkov, resources on community outreach agency.

• Financial Model
• Business Plan
• Value Proposition
• One-Page Business Plan

Are you passionate about making a positive impact in your community? Starting a community outreach agency could be the perfect way to channel your energy into meaningful work. In the United States, the demand for community outreach services continues to grow, with an estimated 1.5 million nonprofit organizations dedicated to various causes. Whether you want to provide social services or organize community events, this blog post will guide you through the important steps of writing a business plan for your community outreach agency.

• Define the mission and goals of the community outreach agency.
• Conduct market research on the target community and understand their needs.
• Analyze potential funding sources and develop a financial plan.
• Identify the organization structure and define key roles and responsibilities.
• Develop a marketing and communication strategy.
• Create a comprehensive list of the services to be offered.
• Establish partnerships with relevant community stakeholders.
• Conduct a risk assessment and identify potential challenges.
• Outline a timeline for implementation and key milestones.

By following these nine steps, you can lay a strong foundation for your community outreach agency and ensure its long-term success. Let's dive deeper into each step and explore the key considerations you need to keep in mind along the way.

Stay tuned for the upcoming blog posts, where we will provide detailed insights and examples for each step.

Define The Mission And Goals Of The Community Outreach Agency

The first step in writing a business plan for a community outreach agency is to clearly define the mission and goals of the organization. This will serve as the foundation for all decision-making and strategic planning moving forward.

In defining the mission, it is important to clearly articulate the purpose and reason for the agency's existence. What social issues or community needs will the agency address? What impact does the agency hope to have on the target community?

After establishing the mission, the next step is to set specific goals that align with the mission statement. These goals should be concrete, measurable, and achievable within a specific timeframe. They should also reflect the desired outcomes that the agency hopes to accomplish in order to fulfill its mission.

Here are a few tips to consider when defining the mission and goals of the community outreach agency:

• Be specific: Clearly articulate the agency's purpose and the specific social issues or community needs it aims to address.
• Align with stakeholders: Engage key stakeholders, such as community members, government agencies, and nonprofit organizations, to ensure the mission and goals align with community needs and expectations.
• Consider long-term sustainability: Think about how the agency's mission and goals can be sustained over time and adapted to changing community needs.
• Make it measurable: Set specific, measurable goals that can be tracked and evaluated to gauge the agency's progress.
• Seek input from staff and volunteers: Involve the agency's employees and volunteers in the process of defining the mission and goals to ensure their buy-in and commitment.

By defining a clear mission and setting achievable goals, the community outreach agency will have a solid foundation for creating a successful business plan that addresses the needs of the community while also ensuring the sustainability of the organization.

Conduct Market Research On The Target Community And Understand Their Needs

Market research is a crucial step in developing a successful business plan for a community outreach agency. By understanding the needs and preferences of the target community, you can tailor your services and initiatives to effectively address their specific challenges and desires. Here are some key considerations when conducting market research:

• Identify the target population: Start by clearly defining the specific demographic or community you aim to serve. This could be based on factors such as age, income, location, or specific needs. By narrowing down your target population, you can focus your efforts and resources more effectively.
• Engage with community members: To truly understand the needs and concerns of the target community, it is essential to engage directly with its members. This can be done through surveys, interviews, focus groups, or even attending community events. Actively listen to their perspectives and experiences, and ask open-ended questions to gather valuable insights.
• Analyze existing data: In addition to primary research, utilize existing data sources to gain further understanding of the target community. This can include census data, research reports, government statistics, and local community profiles. Analyzing this data can help you identify trends, gaps, or emerging issues that may inform your agency's approach.

Market Research Tips:

• Be thorough: Leave no stone unturned in your quest for knowledge about the target community. The more comprehensive your research, the better equipped you will be to design effective outreach strategies.
• Stay open-minded: Allow the insights from market research to challenge your assumptions and preconceptions. Approach the process with a willingness to adapt and refine your ideas based on new information.
• Collaborate with stakeholders: Engage with community leaders, local organizations, and other relevant stakeholders who have knowledge and expertise on the target community. Their perspectives can provide invaluable insights and potential partnerships.

By conducting thorough market research, you will gain valuable insights into the needs, desires, and expectations of the target community. This information will guide your agency's planning process, ensuring that your services and initiatives are tailored to effectively address the community's most pressing challenges.

Analyze Potential Funding Sources And Develop A Financial Plan

When starting a community outreach agency, it is crucial to analyze potential funding sources and develop a solid financial plan. By doing so, you can ensure that your agency has the necessary resources to fulfill its mission and provide valuable services to the community. Here are some important steps to help you in this process:

• Research different funding options: Start by identifying various sources of funding that align with your agency's mission and goals. These can include government grants, foundation grants, corporate sponsorships, and individual donations.
• Evaluate the eligibility criteria: Once you have identified potential funding sources, carefully review their eligibility criteria. Ensure that your agency meets the criteria specified by each funder before proceeding with the application process.
• Assess the funding potential: Determine the potential amount of funding available from each source. Some funding opportunities may provide substantial financial support, while others may offer smaller grants. Consider the long-term sustainability of the funding source and its potential to support ongoing operations.
• Create a realistic budget: Develop a comprehensive budget that includes both revenue and expenses. Take into account all anticipated costs, such as staff salaries, program expenses, marketing expenses, and administrative costs. Ensure that the budget is realistic and aligned with the goals of your community outreach agency.
• Consider diversifying revenue streams: Relying on a single funding source can be risky, as it may become unstable or unavailable in the future. Explore opportunities to diversify your agency's revenue streams by targeting multiple funding sources. This will help mitigate financial risks and provide a more sustainable funding base.
• Establish partnerships and collaborations: Collaborating with other organizations or businesses can provide additional funding opportunities. Explore partnerships with complementary organizations that share similar goals and values. Joint fundraising efforts or sponsorship arrangements can help boost your agency's financial stability.

Tips for analyzing potential funding sources

• Thoroughly research each funding source to understand their priorities and requirements.
• Consider networking and attending events or conferences related to your agency's field. It can help you connect with potential funders.
• Develop relationships with existing funders and maintain regular communication. This can help increase the likelihood of securing repeat funding.
• Keep abreast of current funding trends and changes in policies that may impact your agency's eligibility or funding opportunities.

By thoroughly analyzing potential funding sources and developing a comprehensive financial plan, your community outreach agency can lay a strong foundation for sustainability and success. Remember to regularly review and update your financial plan to adapt to changing circumstances and maximize your agency's impact in the community.

Identify The Organization Structure And Define Key Roles And Responsibilities

Creating a clear and well-defined organization structure is crucial for the success of your community outreach agency. It helps in ensuring effective communication, workflow, and accountability within the organization. Additionally, defining key roles and responsibilities helps in establishing clear expectations and promoting organizational efficiency.

When identifying the organization structure, consider the size of your agency and the nature of the services you will be providing. Determine how many departments or teams will be necessary and how they will be organized. It is important to ensure that each department or team has a specific purpose and focus.

Within each department or team, it is essential to define key roles and responsibilities. Identify the core positions required for the smooth functioning of the agency, such as executive director, program manager, finance manager, and communications coordinator. Clearly outline the tasks and responsibilities associated with each role.

Tips for identifying the organization structure and defining roles:

• Consider the hierarchy and reporting structure within the agency.
• Ensure that each role has clear expectations and responsibilities.
• Assign roles based on individual strengths and expertise.
• Regularly evaluate and update the organization structure as your agency grows.

By clearly defining the organization structure and roles, you create a framework for efficient operations and facilitate collaboration among team members. This clarity in roles and responsibilities helps in avoiding confusion and overlapping tasks, ultimately contributing to the overall success of your community outreach agency.

Develop A Marketing And Communication Strategy

Creating a strong marketing and communication strategy is essential for a community outreach agency to effectively reach its target audience, raise awareness of its services, and attract potential clients and partners. Here are some crucial steps to develop a comprehensive marketing and communication plan:

• Identify the target audience: Understand the demographics, needs, and preferences of the community you aim to serve. This will help you tailor your messaging and outreach efforts to effectively resonate with your target audience.
• Define key messages and brand identity: Clearly articulate the unique value proposition of your agency and craft key messages that align with your mission and goals. Develop a compelling brand identity that reflects your agency's values and resonates with your target audience.
• Choose appropriate marketing channels: Select the most suitable marketing channels to reach your target audience. This may include social media platforms, website, print materials, local media outlets, or partnerships with community organizations. Consistency across all channels is important for building trust and brand recognition.
• Develop a content strategy: Create a content calendar and plan engaging and informative content that is relevant to your target audience. This could include blog posts, videos, infographics, or success stories that highlight the impact of your agency's services.
• Utilize social media: Leverage social media platforms to amplify your reach and engage with your audience. Share informative content, create meaningful conversations, and showcase the impact of your agency's work. Consider running targeted ad campaigns to increase visibility.
• Regularly monitor and analyze the effectiveness of your marketing efforts to make data-driven decisions and optimize your strategy.
• Engage with influencers and community leaders who can help amplify your message and increase awareness of your agency's services.
• Network and attend community events to build relationships and generate word-of-mouth referrals.
• Collaborate with other organizations and stakeholders to maximize your reach and create mutually beneficial partnerships.

By developing a robust marketing and communication strategy, your community outreach agency can effectively communicate its mission, attract clients and partners, and make a significant impact in the community you aim to serve.

Create A Comprehensive List Of The Services To Be Offered

Once you have defined the mission and goals of your community outreach agency, it is essential to create a comprehensive list of the services you will offer. This list will serve as a guiding tool, helping you align your resources and efforts to meet the needs of the target community.

• Service 1: Describe the first service you will provide in detail. Clearly outline its purpose, target audience, and expected outcomes. For example, if your agency aims to provide mental health support, specify whether it will offer counseling services, group therapy sessions, or referrals to specialized professionals.
• Service 2: List the second service, making sure to provide a clear explanation of its objectives and intended impact. This service could be related to education, job training, or community development, depending on the specific needs identified through your market research.
• Service 3: Include additional services that address different aspects of the identified needs. Consider offering a range of options to cater to diverse populations within your target community. For instance, if the community needs affordable housing solutions, you might consider providing rental assistance, housing counseling, or homeownership education as part of your service offerings.
• Ensure that the services you offer align with your agency's mission and goals.
• Conduct thorough research to determine the demand for each service within the target community.
• Consider the resources and expertise required to deliver each service effectively.
• Seek feedback from potential clients or community members to validate the relevance and effectiveness of your proposed services.
• Regularly review and update your list of services to adapt to changing community needs.

By creating a comprehensive list of services, you can effectively communicate the scope and value of your agency to potential clients and funding sources. This step is crucial in ensuring that you are prepared to meet the needs of the community and make a positive impact through your outreach efforts.

Establish Partnerships With Relevant Community Stakeholders

Establishing partnerships with relevant community stakeholders is crucial for the success of a community outreach agency. These stakeholders can include government officials, nonprofit organizations, businesses, schools, healthcare providers, and other community organizations. By forging strong partnerships, the agency can leverage resources, expertise, and networks to maximize its impact and effectively address community needs.

Here are some important steps to consider when establishing partnerships with community stakeholders:

• Identify key stakeholders: Start by identifying the key stakeholders in the community who have a vested interest in the issues your agency aims to address. These stakeholders should align with your mission and have influence and resources to contribute to your efforts. Research and network to identify potential partners.
• Reach out and initiate contact: Once identified, reach out to these stakeholders and express your interest in collaborating with them. Engage in meaningful conversations to understand their goals, objectives, and existing initiatives. Highlight the potential benefits of partnership and how it can mutually support each other's missions.
• Develop a shared vision and goals: Establish a common understanding of the goals and objectives of the partnership. Work collaboratively to identify specific areas where the agency and the stakeholders can align their efforts and work towards a shared vision. This will help ensure a cohesive and impactful approach.
• Formalize partnerships: Once the stakeholders show interest in partnering with your agency, establish formal agreements or Memorandums of Understanding (MOUs) outlining the roles, responsibilities, and expectations of each party. Clarify the resources, support, and commitments that each partner will bring to the table.
• Regular communication and collaboration: Foster open and regular communication among partners to maintain strong relationships. Share progress, challenges, and opportunities to collaborate on joint initiatives. Regular collaboration will strengthen the partnership and enhance the agency's ability to make a positive impact in the community.
• Don't limit partnerships to just one or two organizations – seek collaboration with a diverse range of stakeholders to leverage different perspectives and resources.
• Look for win-win opportunities – identify ways in which the partnership can benefit all parties involved.
• Ensure transparency and trust – maintain open and honest communication with partners to build strong relationships based on trust.
• Regularly evaluate partnerships – periodically review the effectiveness of partnerships and make necessary adjustments to optimize impact.

Conduct A Risk Assessment And Identify Potential Challenges

Conducting a thorough risk assessment is an essential step in developing a business plan for a community outreach agency. By identifying potential challenges and understanding the risks involved, you can better prepare for any obstacles that may arise along the way. This assessment will help ensure the success and sustainability of your agency's initiatives. Here are some key factors to consider:

• Assess potential risks: Identify potential risks that could impact the operations and goals of your community outreach agency. This may include financial risks, regulatory compliance risks, or external risks such as changes in community needs or funding sources.
• Evaluate the impact: Determine the potential impact of each identified risk on your agency's ability to achieve its mission and goals. Assess the likelihood of each risk occurring and the potential consequences it may have.
• Develop mitigation strategies: Once you have identified the potential risks and evaluated their impact, develop strategies to mitigate or minimize these risks. This may involve implementing preventive measures, creating contingency plans, or building relationships and partnerships to mitigate external risks.
• Create a risk management plan: Formalize your risk assessment by creating a risk management plan. This document should outline the identified risks, their potential impact, and the corresponding mitigation strategies. It should also include a monitoring and evaluation system to regularly assess the effectiveness of these strategies and adjust as necessary.

Here are some tips for conducting a thorough risk assessment:

• Involve key stakeholders: Engage with board members, staff, and relevant community stakeholders to ensure a comprehensive understanding of potential risks and challenges.
• Stay informed: Stay updated on industry trends, changes in regulations, and shifts in the target community's needs to identify emerging risks and adapt your strategies accordingly.
• Utilize resources: Tap into available resources such as industry experts, mentorships, and professional networks to gain insights and guidance in conducting a comprehensive risk assessment.
• Be proactive: Regularly review and update your risk management plan to address new risks, evaluate the effectiveness of mitigation strategies, and ensure ongoing risk awareness and preparedness.

By conducting a thorough risk assessment and identifying potential challenges, you can proactively address any obstacles that may arise in the operation of your community outreach agency. This step will help safeguard the success and sustainability of your agency's initiatives, while ensuring that the needs of the community are effectively and efficiently met.

Outline A Timeline For Implementation And Key Milestones

Once you have defined your mission, conducted market research, developed a financial plan, identified key roles, created a marketing strategy, determined your service offerings, established partnerships, and assessed potential risks, it's time to outline a timeline for implementation and identify key milestones. This timeline will serve as a roadmap for your community outreach agency's operations and help you stay on track.

1. Start with the end goal in mind

Begin by identifying your desired outcomes and ultimate goal. What impact do you want to achieve through your community outreach agency? This could be a specific reduction in a social issue, increased access to resources for a particular population, or a successful community event. Having a clear end goal will help you work backwards and determine the steps needed to achieve it.

2. Break it down into phases or stages

Divide your implementation timeline into phases or stages. This will help you prioritize tasks and allocate resources effectively. Each phase should have specific objectives and deliverables that contribute to your overall mission. Consider assigning estimated timeframes for each phase, keeping in mind the resources and capacity of your agency.

3. Set realistic and achievable milestones

Within each phase, establish key milestones that mark significant progress or achievements. These milestones act as checkpoints to assess your agency's progress and keep everyone accountable. Make sure the milestones are specific, measurable, attainable, relevant, and time-bound (SMART).

• Involve key stakeholders in the timeline creation process to ensure their buy-in and support.
• Consider incorporating regular monitoring and evaluation points throughout the timeline to assess progress and make any necessary adjustments.
• Be flexible and prepared to adapt the timeline as needed based on unforeseen circumstances or new opportunities.

4. Assign responsibilities and deadlines

Assign specific responsibilities to individuals or teams within your agency for each milestone or task. Clearly define who is responsible for completing each task and set realistic deadlines. This ensures accountability, promotes teamwork, and keeps everyone motivated and focused on achieving the milestones.

5. Communicate the timeline and milestones

Ensure that everyone within your agency is aware of the timeline and key milestones. Communication is critical for keeping everyone aligned, motivated, and informed about the progress of your community outreach agency. Regularly update stakeholders and provide opportunities for feedback and input.

6. Monitor progress and make adjustments

Regularly review and monitor progress against the timeline and milestones. Track whether tasks are being completed on schedule and evaluate the quality of the outcomes achieved. If necessary, make adjustments to the timeline, resources, or strategies to address any challenges or seize new opportunities.

By outlining a timeline for implementation and defining key milestones, you can effectively manage the progress of your community outreach agency and ensure that you are making meaningful contributions to the community. Remember, flexibility and adaptability are crucial as you navigate the ever-evolving landscape of community outreach.

In conclusion, writing a business plan for a community outreach agency is a crucial step in ensuring the success of the organization. By defining the mission and goals, conducting market research, and identifying potential funding sources, the agency can effectively address the needs of the target community. Establishing partnerships, developing a comprehensive list of services, and creating a marketing strategy will further enhance the agency's outreach efforts. Additionally, conducting a risk assessment and outlining a timeline for implementation will help in navigating potential challenges and achieving key milestones. By following these nine steps, a community outreach agency can lay a solid foundation for making a positive impact in the community.

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Service Business Plan Template

Over the past 20+ years, we have helped over 10,000 entrepreneurs and business owners create business plans to start and grow their service businesses. On this page, we will first give you some background information with regards to the importance of business planning. We will then go through a service business plan template step-by-step so you can create your plan today.

Before we get into how to write a service business plan, here are links to several service business plan templates:

• Beauty Salon Business Plan
• Car Detailing Business Plan
• Car Wash Business Plan
• Catering Business Plan
• Cell Phone Repair Business Plan
• Child Care Business Plan
• Cleaning Services Business Plan
• Computer Repair Business Plan Template
• Construction Business Plan
• Consulting Business Plan
• Day Care Business Plan
• Dog Daycare Business Plan
• Dog Grooming Business Plan
• Financial Advisor Business Plan
• Hair Salon Business Plan
• Indoor Playground Business Plan
• Insurance Business Plan
• Janitorial Business Plan
• Landscaping Business Plan
• Massage Therapy Business Plan
• Nail Salon Business Plan
• Photography Business Plan
• Plumbing Business Plan
• Salon Business Plan
• Spa Business Plan
• Staffing Agency Business Plan
• Tutor Business Plan

Download our Ultimate Business Plan Template here >

What Is a Service Business Plan?

A service business plan provides a snapshot of your service company as it stands today, and lays out your growth plan for the next five years. It explains your goals and your business strategy for reaching them. It also includes market research to support your company plans.

Why You Need a Business Plan

If you’re looking to start a service business or grow your existing business you need a good business plan. A business plan helps you attract investors to satisfy your funding requirements, and plan out the growth of your entire business in order to improve your chances of success. Your service business plan is a living document that should be updated annually as your company grows and changes.

How to Secure Funding for a Services Business

With regards to funding, the main source of funding for a services business are personal savings, credit cards, bank loans, and angel investors. 

With regards to bank loans, banks will want to review your service business plan and gain confidence that you will be able to repay your loan and interest. To acquire this confidence, the loan officer will not only want to confirm that your financials are reasonable, but they will want to see a professionally written plan. Such a plan will give them the confidence that you can successfully and professionally operate a business.

Angel investors are wealthy individuals who will write you a check. They will either take equity in return for their funding or, like a bank, they will give you a loan.

Finish Your Business Plan Today!

How to write a business plan for a service business.

The traditional service business plan format includes these 10 key elements:

Executive Summary

Your executive summary provides an introduction to your business plan in 1 – 2 pages, but it is normally the last section you write because it provides a summary of each key section of your plan.

The goal of your executive summary is to quickly engage the reader. Explain to them the type of services business you are operating and the status. For example, are you a startup, do you have a services business that you would like to grow, or are you operating a chain of services businesses?

Next, provide an overview of each of the subsequent sections of your plan. For example, give a brief overview of the service industry trends. Discuss the type of service business you are operating. Detail your direct competitors and your competitive advantage. Give an overview of your ideal customers. Provide a snapshot of your marketing plan. Identify the key members of your team, and offer an overview of your financial plan.

Company Overview

In your company description, you will detail the type of service business you are operating.

In addition to explaining the type of service business you operate, the company analysis section of your service business plan needs to provide background on the business.

Include answers to questions such as:

• When and why did you start the business?
• What milestones have you achieved to date? Milestones could include sales goals you’ve reached, new store openings, etc.
• Your legal structure. Are you incorporated as an S-Corp? An LLC? A sole proprietorship? Explain your legal structure here.

Industry Analysis

In your industry analysis, you need to provide an overview of the service business.

While this may seem unnecessary, it serves multiple purposes.

First, researching your specific niche of the service market educates you. It helps you gain insights and understand the market in which you are operating. 

Secondly, market research can improve your strategy particularly if your research identifies market trends. For example, if there was a trend towards more eco-friendly services, your company might want to emphasize its environmentally friendly initiatives.

The third reason for market research is to prove to readers that you are an expert in your industry. By conducting the research and presenting it in your plan, you achieve just that.

The following questions should be answered in the industry analysis section of your service business plan:

• How big is the service business (in dollars)?
• Is the market declining or increasing?
• Who are the key competitors in the market? What is your market share?
• Who are the key suppliers in the market?
• What trends are affecting the industry?
• What is the industry’s growth forecast over the next 5 – 10 years?
• What is the relevant market size? That is, how big is the potential market for your service business. You can extrapolate such a figure by assessing the size of the market in the entire country and then applying that figure to your local population.

Customer Analysis

The customer analysis section of your service business plan must detail the target market you serve and/or expect to serve.

The following are examples of customer segments in the service industry:

• Businesses in need of a specific service, such as computer repair or consulting
• People who have a need for a service that is not currently being met
• People who are price conscious and are looking for the best deal on a service
• People who want to support businesses with social responsibility values

As you can imagine, the customer segment(s) you choose will greatly depend on the type of service business you operate. Some of your clients may want different pricing and product options and would respond to different marketing promotions compared to other target customer segments.

Try to break out your target market in terms of their demographic and psychographic profiles. With regards to demographics, including a discussion of the ages, genders, locations, and income levels of the customers you seek to serve. Because most service businesses primarily serve customers living in the same city or town, such demographic information is easy to find on government websites.

Psychographic profiles explain the wants and needs of your target customers. The more you can understand and define these needs, the better you will do in attracting and retaining your existing clients.

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Competitive Analysis

Your competitive analysis should identify the indirect and direct competitors your business faces and then focus on the latter.

Direct competitors are other businesses that provide similar services.

Indirect competitors are other options that customers have to purchase from that aren’t direct competitors. This includes businesses that provide an alternative solution to the services that you provide, but not the exact service. Think do-it-yourself and public options for similar services. You need to mention such competition to show you understand that not everyone who needs the specific services will engage your service business.

With regards to direct competition, you want to detail the other service businesses with which you compete. Most likely, your direct competitors will be service businesses located very close to your location. 

For each such competitor, provide an overview of their businesses and document their strengths and weaknesses. Unless you once worked at your competitors’ businesses, it will be impossible to know everything about them. But you should be able to find out key things about them such as:

• What types of customers do they serve?
• What products and services do they offer?
• What is their pricing (premium, low, etc.)?
• What are they good at?
• What are their weaknesses?

With regards to the last two questions, think about your answers from the customers’ perspective. And don’t be afraid to stand outside your competitors’ locations and ask customers as they leave what they like most and least about them.

The final part of your competitive analysis section is to document your competitive advantages. For example:

• Will you provide superior services?
• Will you provide services that your competitors don’t offer?
• Will you make it easier or faster for customers to book your services?
• Will you provide better customer service?
• Will you offer better pricing?

Think about ways you will outperform your competition and document them in this section of your plan.

Marketing Plan

Traditionally, a marketing plan includes the four P’s: Product, Price, Place, and Promotion. For a service business plan, your marketing plan should include the following:

Product : in the product section, you should reiterate the type of service business that you documented in your Company Analysis. Then, detail the specific services you will be offering. For example, in addition to a lawn care business, you may offer to trim trees, bushes, and hedges.

Price : Document your business’s pricing strategy including the prices you will offer and how they compare to your competitors. Essentially in the product and price sub-sections of your marketing plan, you are presenting the services you offer and their prices.

Place : Place refers to the location of your service business. Document your location and mention how the location will impact your success. Discuss how your location might provide a steady stream of customers. 

Promotions : the final part of your service business marketing strategy is the promotions section. Here you will document how you will drive new customers to your location(s). The following are some promotional methods and marketing materials you might consider:

• Advertising in local papers and magazines
• Reaching out to local bloggers and websites 
• Social media advertising
• Local radio advertising
• Pay per click advertising
• Banner ads at local venues

Client Retention

Your service business plan should discuss not just how you will find clients, but how you’ll hold on to them and discourage them from switching to one of your competitors. After all, it should be much less expensive to keep a client than to market and sell services to a new one. Some methods of retaining customers involve creating the perception of switching costs; that is, that they will lose money and time when switching to a new service company. Others involve fine-tuning your customer service skills into a system designed around retention.

Loyalty Program

Creating a loyalty program is a positive way to retain customers. This could involve a punch card system where customers receive a free service after a certain number of visits, or it could involve a points system where customers accumulate points that can be redeemed for discounts or free services. Other loyalty programs offer exclusive deals and privileges to members, such as special access to new services before they are made available to the general public.

Premium Customer Levels

Another related retention strategy is to reward the frequency and/or the amount of money that customers spend with your service business. This is often done by creating different customer levels and providing perks to customers who reach a certain level. The higher the customer level, the more exclusive the perks. Common perks include discounts on services, express service, access to unique services or products, and early notice of promotional deals.

Referral Program

A referral program is a great way to keep customers happy and encourage them to refer their friends and family members. This could involve rewarding customers with a discount or free service for every new customer they refer, or it could involve giving customers a set amount of credit for each referral. Either way, the referral program should be designed to be as simple as possible for customers to participate in.

Customer Testimonials

Finally, customer testimonials can be a powerful retention tool. As potential customers research your service business, they will likely come across your website and online profiles. Seeing positive customer testimonials on your website and across the internet will help convince them that you provide outstanding customer service. You can create a separate page on your website that is dedicated to client testimonials, or you could set up a separate social media profile that features client testimonials and allows customers to provide feedback through a special email address.

Tracking Retention

Simply tracking the numbers and percentages involved in your customer retention can yield valuable information about what you’re doing right or wrong and how successful new initiatives are over time. Statistics to track may include client complaints, the average speed of complaint resolution, the percentage of customers in a given month who were using your services last month, 3 months ago, 6 months ago, a year ago, etc, and so on. When your staff is aware of these statistics and is given targets to work towards, the message that customer service and retention is a priority is heard loud and clear.

Operations Plan

While the earlier sections of your service business plan explained your goals, your operations plan describes how you will meet them. Your plan should have two distinct sections as follows.

Everyday short-term processes include all of the tasks involved in running your service business such as serving customers, procuring supplies, etc.

Long-term goals are the milestones you hope to achieve. These could include the dates when you expect to serve your 100th client, or when you hope to reach $X in sales. It could also be when you expect to hire your Xth employee or launch in a new city.

Management Team

To demonstrate your service business’s ability to succeed as a business, a strong management team is essential. Highlight your key players’ backgrounds, emphasizing those skills and experiences that prove their ability to grow a company. 

Ideally, you and/or your team members have direct experience in the service business. If so, highlight this experience and expertise, but also highlight any experience that you think will help your business succeed.

If your team is lacking, consider assembling an advisory board. An advisory board would include 2 to 8 individuals who would act as mentors to your business. They would help answer questions and provide strategic guidance. If needed, look for advisory board members with experience in a service business and/or successfully running small businesses.

Financial Plan

Your plan should include your 5-year financial statement broken out both monthly or quarterly for the first year and then annually. Your financial statements include your income statement, balance sheet, and cash flow statements.

Income Statement : an income statement is more commonly called a Profit and Loss statement or P&L. It shows your revenues and then subtracts your costs to show whether you turned a profit or not.

In developing your income statement, you need to devise assumptions. For example, will you serve 20 customers per week or 50? And will sales grow by 2% or 10% per year? As you can imagine, your choice of assumptions will greatly impact the financial forecasts for your business. As much as possible, conduct research to try to root your assumptions in reality.

Balance Sheets : While balance sheets include much information, to simplify them to the key items you need to know about, balance sheets show your assets and liabilities. For instance, if you spend $50,000 on building out your service business, that will not give you immediate profits. Rather it is an asset that will hopefully help you generate profits for years to come. Likewise, if a bank writes you a check for $50.000, you don’t need to pay it back immediately. Rather, that is a liability you will pay back over time.

Cash Flow Statement : Your cash flow statement will help determine how much money you need to start or grow your business, and make sure you never run out of money. What most entrepreneurs and business owners don’t realize is that you can turn a profit but run out of money and go bankrupt. For example, let’s say a company approached you with a massive $100,000 damage restoration contract that would cost you $50,000 to fulfill. Well, in most cases, you would have to pay that $50,000 now for supplies, equipment rentals, employee salaries, etc. But let’s say the company didn’t pay you for 180 days. During that 180 day period, you could run out of money.

In developing your Income Statement and Balance Sheets be sure to include several of the key costs needed in starting or growing a service business:

• Cost of equipment to perform the service
• Cost of maintaining an adequate amount of supplies
• Payroll or salaries paid to staff
• Business insurance
• Taxes and permits
• Legal expenses

Attach your full financial projections in the appendix of your plan along with any supporting documents that make your plan more compelling. For example, you might include any insurance company affiliations or remediation licenses.

Service Business Plan Summary

Writing a business plan for your service business is a worthwhile endeavor. If you follow the template above, by the time you are done, you will truly be an expert. You will really understand the service business, your competition, and your potential customers. You will have developed a marketing plan and will really understand what it takes to launch and grow a successful cleaning services business.  

Service Business Plan FAQs

What is the easiest way to complete my service business plan.

Growthink's Ultimate Business Plan Template allows you to quickly and easily complete your Service Business Plan.

What is the Goal of a Business Plan's Executive Summary?

The goal of your Executive Summary is to quickly engage the reader. Explain to them the type of service you are providing and the status; for example, are you a startup, do you have a service that you would like to grow, or are you operating a chain of service locations?

Don’t you wish there was a faster, easier way to finish your Service business plan?

OR, Let Us Develop Your Plan For You

Since 1999, Growthink has developed business plans for thousands of companies who have gone on to achieve tremendous success.   Click here to see how our professional business plan consultants can create your business plan for you.

Other Helpful Business Plan Articles & Templates

• Updates The latest from across the community services sector.
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• Planning and evaluation
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Start a community service organisation

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Congratulations on wanting to make a difference! Establishing a community organisation is a challenge but very rewarding. Before you start setting up meetings and pouring all of your energy into this project here are few ideas and tips about getting started.

Your group might be just a few people who work together to help meet the needs of their community. You don’t have to be a formal organisation to be a community group but you might want to find out if it could help your group to grow even larger and work better.

Setting up as a formal organisation involves some preparation and may change the way you work as a group, so the first thing to consider is whether it might be better to become part of another organisation or continue to work as a community group.

Are there other groups doing what we do already?

In Australia there are over 600,000 community groups and organisations so there may already be someone doing the same sort of work as your group. If there is an organisation doing similar work, you could discuss with them if your group could become members and continue your work with their help. This would give you all the benefits of being part of a larger organisation that might have more experience and resources to help your community.

Before talking to other organisations, you will need to have a clear idea about the aims and objectives or purpose of your own group. Understanding why you are working together and what you want to achieve will make it easier to decide if another organisation is already meeting these needs.

You might decide not to join another organisation but some of the people that you talk to may be able to give you advice if you do decide to become a formal organisation.

To find out about other groups:

• Check what is happening in your local area with your local council, state or federal member of parliament
• check with the relevant state authority the Office of Fair Trading or the relevant government department for the area in which you wish to set up the organisation
• Speak to relevant peak bodies that cover your area of interest
• Search the internet
• Once you have decided that you really do want to establish a new community organisation to address the issue then it would be a good idea to undertake research into who is affected, what help is required and what can be done to help.
• Get others involved

By now you have communicated with a number of people about a need for a new organisation and no doubt have found others who want to get involved. The best way to keep up momentum is to start having regular meetings. At the meetings you can:

• Invite people to share their ideas and contribute to the vision
• Invite experts or professionals
• Invite the public.

Form a work group

The purpose of this group is to set up the new organisation. Ideally the group consists of about five to seven people to share the workload but at the same time keep decision-making quick and less formal. If the work group includes someone who is affected by the issue their experience and connections can be invaluable.

Define who you are and what you do

Your mission and what you want to achieve should be at the top of your mind from the start. If you have crystallised your thoughts about the group’s purpose it will make it easier to decide the structure of your group and whether or not to incorporate.

Other useful resources can be found on the Our Community website and Not-for-profit Law .

Choose a name

If you are considering becoming incorporated there are some legal requirements around names you can’t use and requirements about what needs to be included in the name so that the public is aware of what type of organisation it is dealing with.

You should also check the names registers to make sure that the name is not already taken. You can do a national names index search through ASIC or the Office of Fair Trading .

It may also be wise to check that the name you are thinking of has not already been protected for example as a trademark. You don’t want an international corporate giant suing your organisation for breach of intellectual property. For more information visit IP Australia .

Your group is up and running with a name, clear aims and enthusiastic members. The next decision is whether your group is going to operate on a formal or informal basis.

Do we need to become a formal organisation?

A community group that is not a formal organisation is also known as an unincorporated association. As an unincorporated association, you can organise your activities largely as you like and will have few legal responsibilities.

Although you might have fewer legal responsibilities as a group there are more things that individual group members might be responsible for personally. For example, if your group wants to rent an office, someone in the group will need to be personally responsible for signing the lease. If the group is unable to pay the rent for some reason, then the person whose name is on the lease may have to pay. If the group wants to open a bank account or take out insurance or buy property, it will be members of the group who may be liable for any debts or may even be sued.

A community group that is an unincorporated association may also have difficulty applying for or receiving grants from the government or other organisations. However, a group that does become a formal organisation or incorporates will have legal status that is separate to the individual members. This means that members of your group may have more legal protection if there are problems. It also means that you will have a number of legal responsibilities.

Finding out more about becoming incorporated

There are a lot of other things that your group will need to consider before becoming incorporated, including how it might change the way that your group does its work. To understand all the requirements of becoming incorporated, it will help if there are members of your group with English language proficiency and book-keeping skills.

To find out more about becoming incorporated, there is further information provided below and in the following sections. It might also be helpful to talk to other community organisations about their experiences.

Before your group makes any decisions about whether to become incorporated, you might want to ask for advice from a solicitor and/or an accountant.

Further resources

• Office of Fair Trading
• Our Community
• Caxton Legal Centre
• Australian Taxation Office
• Office of the Registrar of Indigenous Corporations (ORIC)

What does not-for-profit mean?

In a not-for-profit organisation, the profits are not paid to the individual members of the organisation while the organisation is in operation or when it ends. Instead, any profit that the organisation makes must be used to further the purposes of the organisation. That is, the profits are re-invested into the organisation, to continue to pay for its activities and functions.

In fact, it might be a good idea for a not-for-profit organisation to aim to have a small profit each year, to be able to pay for unexpected expenses or to start new programs. Not-for-profit organisations can also:

• employ people and pay them reasonable salaries;
• make money by charging members of the public for services;
• make money by selling or leasing property; and
• invest money in shares and receive dividends.

It is what the organisation does with the profit, rather than the fact it might have made a profit, which makes the organisation not-for-profit. For example, in a not-for-profit organisation, any of the profits that the organisation makes, from the sale of services or property, must be used to carry out the organisation’s purpose and must not be distributed to members or any other individuals.

What is a for-profit organisation and how is this different?

In a for-profit organisation (such as a business), the profit may be distributed to the organisation’s owners, or to individuals members or shareholders. In a for-profit organisation, people who are involved in the organisation are entitled to receive a personal benefit from the profits of the organisation (such as a dividend, or money when they sell their shares, or a payment directly from the profit). It can be a little confusing as some of these for-profit organisations operate in the community sector (for example, in childcare and aged care).

Different laws for not-for-profits

It is important to know the difference because there are different laws that apply to for-profit and not-for-profit organisations. Many of these laws treat not-for-profits favourably – on the basis that the organisation hasn’t been set up by people to make a personal profit, and that the resources of the organisation will be put back in to helping the community. For example:

• legal structure: if your organisation wants to incorporate, there are particular legal structures that are only available to not-for-profit organisations (such as an incorporated association)
• tax laws: the tax laws offer a number of tax exemptions, concessions or benefits to eligible not-for-profit organisations (although being not-for-profit is only one of a number of requirements)
• funding: some government grant programs and many private philanthropic bodies are set up only to fund not-for-profit organisations
• fundraising: some laws only allow not-for-profit organisations like charities and community groups to apply for registration to conduct certain fundraising activities (like minor gaming activities).

Queensland laws relating to incorporated associations

The Associations Incorporation Act 1981 (Qld) provides a simple legal structure for associations that are not formed for the purpose of providing financial gain to members. Financial gain is extensively defined in section 4 of the Act.

This information is based on material produced by the Not-for-Profit Law website. We acknowledge their support in allowing us to adapt their material for Queensland community organisations. This information may be used for personal use, or non-commercial use within not-for-profit organisations. However, this does not constitute legal advice. If you or your organisation has a specific legal issue, you should seek legal advice before making a decision about what to do.

Should we incorporate?

You have decided to set up a group and are now clear on what your mission, objectives, membership and activities are. The next decision to make is whether your group is going to operate on a Not-for-profit or for-profit basis. This is important because there are different legal structures for for-profit and not-for-profit organisations and different laws apply to each. Some laws refer to legal structures (such as incorporated associations) not being formed for financial gain of the members or pecuniary gain of members.

What is incorporation?

Incorporation is a voluntary means of creating a legal identity. Through incorporation the association becomes in the eyes of the law a legal body which allows the group to:

• Continue to exist regardless of the change to the membership;
• Take legal action in its own name and also allows others to sue the association rather than individual members
• Buy, sell and own property
• Borrow money
• Enter into contracts
• Apply for government grants
• Accept gifts and legacies under a Will
• Limits the liability of members

Do we have to incorporate?

Incorporation is not obligatory or compulsory. Many unincorporated groups and clubs operate in the community and function very well. But there are risks and disadvantages to remaining unincorporated.

Pros and cons of incorporation

Generally, once the group starts to accumulate money and assets and starts to become active in the community, it should seriously consider incorporating in a way that separates the individual person (member) from the entity. The benefits of incorporating your association include:

• Simplifies and clarifies the management and ownership of the money and other assets of the body. Bank accounts are held in the name of the association. Assets are purchased and owned by the association. The association can enter into contracts.
• Provides some legal and financial protection for the management committee of the association who otherwise might be liable for damages and contractual obligations arising from the activities of the association. Without incorporation, a group has no separate legal existence. Incorporation protects committee members from most personal liability but leaves them with the responsibility to act honestly and prudently.
• Clarifies and formalises the objectives of the association. To become incorporated, associations need to state clearly the purposes for which they are being formed. The purposes, frequently known as the objects of the association, are fixed in the rules of the association (also known as the constitution). The regulating body must be advised of any changes.
• Sets out regulations about how the association shall operate. These regulations are designed to ensure that the association operates fairly, responsibly and accountably to its members. They also protect against dishonesty and manage matters such as conflict of interest. Being incorporated also requires that some information is regularly made available to the regulating body and to the public about the affairs and operations of the association.
• Allows organisations to apply for a much wider range of public and private funding. Many government and philanthropic organisations make it a basic requirement that applicants for funding are incorporated.
• Allows some incorporated bodies to enjoy tax advantages. Considering the benefits incorporation provides within this Act, the cost for incorporation is a worthwhile investment.

Once incorporated, there are some regular compliance tasks required such as the keeping of records, holding of elections and submitting of returns.

Disadvantages

Incorporation whether as an incorporated association or as a company limited by guarantee requires regular and ongoing compliance with government regulation. There is a cost in fulfilling each of the requirements in both time and money. Incorporation also means being open to publicly scrutiny. Matters to consider prior to looking at incorporating are:

• Being prepared to forgo total privacy of the association’s financial matters and accept that there will be public scrutiny of the association’s activities
• Being prepared to follow the regulations as set down by government. This may not give you the total flexibility that your group has now
• Weigh up the risk associated with being incorporated against the benefits of incorporation
• Most incorporated associations will be required to have compulsory public liability insurance
• Membership records and minutes must be kept

Checklist for whether or not to incorporate

The Caxton Street Incorporated Association Manual set out the following rough checklist which you may find helpful.

If you answer ‘yes’ or ‘not applicable’ or ‘does not matter’ to the following questions an incorporated association may be appropriate. If you answer no, consideration ought to be given to whether an incorporated association is really the most appropriate structure for your organisation.

• Do your committee members require limited liability as far as the possible debts and liabilities of the association are concerned?
• Does your association need to borrow money from a financial institution?
• Does your association intend to buy or lease land?
• Does your association intend to enter into contracts to buy property (other than land) or services?
• Could your association be left a gift under a will?
• Will your association be given grants by a government department or local council?
• Can your association function along democratic lines? Will it make any difference to the public or members of the association if the word ‘inc’ or ‘incorporated’ must form part of its name?
• Can your association (if over $100,000 in revenue or assets) afford to have its accounts prepared and audited properly each year or find volunteers to do this task?
• Does your committee meet at least once in every four months in the year?
• Can your association afford the incorporation fees?
• Can your association afford the premiums for public liability insurance if the association owns or leases land?
• Will the association’s members be willing not to receive any distributions of money from the association?
• Has your association at least three committee members and at least 7 members?
• Will all the committee members be adults?
• Do the members of the association mind if their annual report and financial statements are made public?
• Will the association exist for the foreseeable future?
• Is the association prepared to keep accurate minutes of its decisions and a register of members?
• Is the income and property of the association to be used solely in promotion of its objects?
• Will your association conduct art unions, raffles or bingo?

What are the obligations of being incorporated?

While there are benefits to incorporation (for example limited liability) being an incorporated group also comes with obligations. These include:

• Have to have a name (which generally must have the words ‘incorporated’ or ‘inc’ or ‘limited’ or ‘Ltd’ after it);
• Have to have a written constitution or set of rules that the group agrees to operate by;
• Having to pay registration fees and annual fees to government
• Having to keep the public register which includes the name and address of the contact person up to date
• Have to hold meetings and keep certain records.

NB: The requirements for initial incorporation and the ongoing obligations and reporting requirements vary depending on the type of incorporated legal structure your group chooses.

Setting up an incorporated association in Queensland

In Queensland, the process of setting up an incorporated association is set out in the Associations Incorporation Act 1981 (Qld) . This Act also sets out what your organisation must do to maintain its status as an incorporated organisation.

The government body responsible for administering the Associations Incorporation Act is the Office of Fair Trading Queensland . To become an incorporated association you must apply to the Registrar of Incorporated Associations.

While setting up an incorporated association is relatively simple process, there are a few important decisions that your organisation will need to make (and may need to get advice about). In particular, the wording of your organisation’s objectives and rules needs to be chosen carefully so that your organisation can apply for tax concessions, fundraising registration and other benefits in the future. It is worth getting these documents right at the start, as it can be time-consuming and difficult to change them later on.

• Queensland Associations Incorporation Act 1981
• Queensland Associations Incorporation regulation
• Australian Securities and Investments Commission
• Queensland Co-operatives legislation
• Corporations Act 2001
• Corporations (Aboriginal and Torres Strait Islander) Act 2006 (CATSI Act)

Company limited by guarantee

Although we often think of a company as being a business, a company limited by guarantee is a special form of public company that can be used by not-for-profit groups. It is a legal structure created by Commonwealth law (the Corporations Act 2001), and is available for use by groups throughout Australia. It uses a company structure with directors, but has members instead of shareholders. Some of the provisions of the Corporations Act 2001 (e.g. directors duties and penalties) that apply to for-profit companies also apply to companies limited by guarantee.

The government body responsible for regulating companies limited by guarantee is the Australian Securities and Investments Commission (ASIC) .

This following information is intended as a guide only, and is not legal advice. We acknowledge the work and information of Not-for-profit Law that promotes law in the public interest and assist not-for-profits with information sheets on legal matters.

If you or your organisation has a specific legal issue, you should seek legal advice before making a decision about what to do.

What is a company limited by guarantee?

A company limited by guarantee is a public company which is formed for purposes beneficial to the community and which prohibits payment of dividends to its members. See information on what is a special purpose company above.

A company limited by guarantee needs to comply with the laws in the Corporations Act that apply to public companies. Companies limited by guarantee must include the words ‘Limited’ or ‘Ltd’ after their name (unless they are eligible for an exemption from this requirement).

Limited by guarantee means that the members guarantee to pay a fixed but small amount of money in the event of the liquidation of the company. The members agree in writing (known as a guarantee) to pay a nominal amount (usually $20 – $100) to the property of the company. If the company is wound up, the liability of the members is limited to the nominal amount that they have guaranteed.

Advantages of a company limited by guarantee include:

• creating a legal entity separate from its members
• all the other advantages of an incorporated association and
• the ability to carry-on business outside of Queensland as a company’s registration is recognised Australia-wide.

Disadvantages of a company limited by guarantee include:

• it’s more expensive to register than an incorporated association
• compliance with the requirements of the Corporations Act is more expensive and onerous than compliance with the Associations Act.

What are companies limited by guarantee most commonly used for?

A company limited by guarantee may be a suitable structure for not-for-profit organisations wanting to operate nationally or in more than one state or Territory and which have the resources to comply with the Act. Often larger not-for-profits, including those that only operate in one state, will use this structure. Some legislation requires this structure for certain types of organisations (e.g. registered housing and aged care providers).

A company limited by guarantee is also suitable for a wholly owned subsidiary organisation, as it can be set up with just one member.

How do we set up a company limited by guarantee?

Information about how to register a company can be found on the ASIC website . It is recommended that your organisation seek professional help from a lawyer, accountant, qualified company secretary or some other professional with experience setting up not-for-profit companies.

Initially, your organisation may also need someone with experience to advise you on the requirements for running a company limited by guarantee. This is not only because the law in this area is quite detailed, but also because the penalties that ASIC imposes for non-compliance with the law are quite significant.

It is worth getting some professional advice at the start, on issues such as:

• an objects clause, non-profit and winding up clause and relevant funding clauses that will comply with the requirements for taxation and other concessions available to not-for-profit companies
• provisions about the eligibility, election and removal or directors
• provisions about voting rights and proxies
• Information and applicability of the Corporations Act provisions known as ‘replaceable rules’ which can be used to govern a company instead of a constitution.
• whether your company is able to apply for an exemption from having to have the word ‘Limited’ in its name. (Note to apply for this exemption you must have a constitution).

What names can be chosen

You can only choose a company name that is not already registered to a company or business. Also there is a list of words that you cannot use without special approval. You can search the National Names Index on the ASIC website. This index lists all Australian company and business names. You can also use our Identical Names Checkfacility to check whether your proposed name is identical to another name already registered. A search of company and business names can also be carried out at any ASIC Service Centre.

Useful resources

Corporations Act 2001 – This is the legislation that governs the setting up and running of a company limited by guarantee (as well as other types of companies)

The Australian Securities and Investments Commission (ASIC): information about setting up can be found in the ‘For Companies section’ although much of this information has been written for different types of companies (like private, for-profit companies).

• Setting up a company limited by guarantee
• Setting up a company limited by guarantee as a special purpose company
• Register an incorporated association under the Corporations Act
• Registering a company.

Charity registration

Your organisation may wish to register as a charity with the Australian Charities and Not-for-profits Commission (ACNC). This will allow you to be listed on the ACNC register, apply for some funding and grants and receive charity tax concessions. Find out more about registering as a charity

Deductible gift recipient (DGR) status

Most organisations will need to register as a charity in order to qualify for deductible gift recipient status. Becoming a deductible gift recipient will allow your funders to claim tax concessions for their donations, and some donors will only grant money to organisations with DGR status. Find out more about applying for DGR status.

Further information

Resources, information, and templates to support you with administration in your organisation:

Community Door: Administration

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What Is A Community Business Model & How To Create One

Understanding and building a community business model

A community business model enables the magic of human connection to fuel business growth and revenue. 

In this digital age, we’re transcending the old brick-and-mortar mindset and knitting together networks of passionate people in digital spaces.

At its core, a community business model isn’t just about transactions; it’s about interactions. It’s the art of transforming conversations and shared interests into a thriving ecosystem that’s as profitable as it is personable. We’re talking about a space where members don’t just consume; they contribute, co-create, and connect.

What makes this model stand out? It taps into the very human need to belong and exchange value, not just in terms of money, but through support, insight, and shared experiences. It’s an arena where every participant is both audience and actor, shaping the community’s journey and, by extension, the success of the business itself.

This is the modern marketplace – diverse, dynamic, and driven by the desire to forge more than just profits, but partnerships and possibilities. Let’s dive in and learn more!

Features of an online community business model

The online community business model is like a garden that grows relationships and opportunities. Here’s how:

• Engagement: It’s the lifeblood of the community. Just like a group chat buzzing with daily updates, an online community thrives on the regular exchange of ideas, feedback, and content. Your communityThese aren’t just passersby; these are your regulars, the ones who pop by not just to see what’s new but to chime in, cheer on, and chip in.
• Exclusivity: This is your VIP lounge in the digital world. Membership offers a golden ticket to a curated experience that’s just for insiders. It’s about creating that special ‘members-only’ jacket feeling, offering content, discussions, and events that aren’t available to just anyone scrolling by.
• Scalability: Think of your community as a megaphone. What starts as a whisper in a small group can amplify across the globe. Online communities aren’t limited by physical seats or the size of a conference hall; they can expand endlessly, reaching people across the globe.

By blending these features, an online community business model creates a world where people feel seen, heard, and valued – and that’s a place where they want to stick around and grow.

10 reasons why more and more businesses are adopting a community business model

From giants like Airbnb to individual coaches, there’s a palpable shift toward community business models, and it’s not hard to see why. They’re not just a trend; they’re a response to a growing demand for authenticity and shared experience in the business world. 

Here’s why businesses are increasingly embracing the community way:

1. The power of belonging

• People crave connections. Community business models offer a sense of belonging that goes beyond transactional relationships.
• When customers feel like part of something, their loyalty skyrockets, and they become natural brand ambassadors.

2. Trust translates to transactions

• Communities build trust through transparency and shared values. In an era of skepticism, trust is gold.
• A recommendation from a community member carries more weight than any advertisement.

3. Engagement equals retention

• Engaged customers are happy customers. A vibrant community keeps users coming back for the conversation, not just the product.
• Retention is often more cost-effective than acquisition, making community models financially savvy.

4. Economy of scale

• Online communities allow businesses to scale rapidly. A small local business can become an international community brand without a proportional increase in costs.
• The scalability of community models allows for global reach with a local feel.

5. Crowdsourced innovation

• Communities are hotbeds for innovation, offering a diverse range of insights and ideas.
• Businesses can tap into this resource for product development, leading to offerings that are more likely to meet market needs.

6. Shared values, amplified impact

• Community business models often revolve around shared causes or beliefs. This can amplify a business’s impact on social or environmental issues.
• Consumers increasingly support businesses that stand for something beyond profits.

7. Adaptability in a dynamic market

• Community-led businesses can pivot with agility, guided by real-time feedback from their members.
• This adaptability is critical in a market where consumer preferences and technology evolve at breakneck speed.

8. Digital advantage

• As more of life and commerce move online, community models align naturally with the habits of digital natives.
• Online communities are where conversations happen and decisions are made, making them the perfect place for businesses to engage and grow.

9. The emotional connection

• Emotional connections can create powerful brand loyalty. Communities foster these connections by humanizing businesses and making each member feel seen and heard.
• In a community model, businesses aren’t just selling a product; they’re providing an experience and identity.

10. The network effect

• Communities grow in value as they expand. Each new member increases the network’s value, not just for the business but for every other member.
• This network effect can create exponential growth and brand strength.

Community business models are more than a fleeting trend; they’re a reflection of our innate desire for connection and a strategic response to the evolving landscape of consumer behavior. 

By adopting a community-centric approach, businesses can achieve deeper, more meaningful engagement with their audience, leading to a loyal customer base and sustainable growth.

Core metrics for community business success

Now, let’s get practical! In this section, we will look at the factors that make up the nerve center of your community business model. Here, we’re going to unpack the essentials that keep the engine running and the lights on. 

Think of this as your community’s health checkup—where we measure vitals like Annual Recurring Revenue (ARR), get a grip on membership fees, monitor the churn rate, and figure out just how much each member pads out your bottom line. 

Ready to roll up your sleeves and dive deep? Let’s get into the nitty-gritty of what makes a community business model not just survive, but thrive.

Annual Recurring Revenue (ARR)

ARR isn’t just a fancy acronym; it’s the bread and butter of your community business. Imagine you run a subscription-based fitness community. If each member coughs up $20 a month for access to your exclusive workout videos and forums, and you’ve got 1,000 members, that’s $20,000 per month, or $240,000 a year. Now, that’s your ARR. To boost those numbers:

• Upsell with personalization: Got a member hooked on yoga? Offer them a premium package with exclusive live sessions.
• Refine your offerings: Listen to what your community clamors for, then deliver. More demand can justify a price hike.
• Reduce friction: Make joining a no-brainer. Sleek sign-up processes and diverse payment options are key.

Membership charges

Pricing is like Goldilocks’ porridge: it’s got to be just right. Too high, and you’ll scare people off. Too low, and you’ll undervalue your service. Finding the sweet spot involves:

• Knowing your worth: Research what others are charging. If you’ve got something extra, don’t be shy to price it in.
• Test the waters: Testing is your friend – trial different price points and see what sticks.
• Bundle of joy: People love a good deal. Bundle services together for a price that feels like a steal but still keeps your ledger in the black.

Membership churn

Churn is the arch-nemesis of your ARR. It’s the rate at which folks wave goodbye to your community. The goal? Keep it low. Imagine if out of 100 new members, 10 bail each month. That’s a 10% churn rate, and that’s tough on growth. To plug the leak:

• Engage, engage, engage: The more involved members are, the likelier they are to stick around. Webinars, shoutouts, and community spotlights can keep them engaged.
• Feedback loops: Not feeling the love from some of your members anymore? Ask why. Exit surveys can offer insights you need to make stay-worthy changes.
• Value ladder: Regularly introduce new perks or content to keep the membership fresh and valuable.

Profit per customer

Finally, let’s talk about profit per customer (PPC). This is the average moolah each member brings in. To figure this out, subtract the costs of serving that member from the revenue they generate. If it costs you $5 in resources to maintain a member who pays $20 monthly, your PPC is $15. Crank it up by:

• Cross-sell: Offer related products or services. Think workout gear for our fitness buffs.
• Referral programs: Members can be your best marketers. Offer them incentives to bring in friends.
• Streamline operations: Automate what you can and keep the service costs down.

To wrap this section up, keep these figures under your hat and regularly check on them. They’re the compass that can guide your community business model to the promised land of sustainable profitability.

Blueprint for creating an online community business model

Building an online community business model isn’t just about launching a platform and waiting for people to show up. It’s about crafting a space where engagement and value meet. 

Next up, we’re going to walk you through an essential checklist on how to get your community business off the ground and thriving.

1. Niche and value proposition

• Identify your target demographic: Look into market research, survey potential users, and analyze competitors to understand who can benefit most from your community.
• Articulate a clear value proposition: Define what sets your community apart. Host brainstorming sessions, seek feedback from peers, and draft a proposition that resonates with your target audience.
• Validate your concept with potential members: Use tools like social media polls, online surveys, or conduct focus group discussions to see if your community concept piques interest.

2. Platform selection

• Research and compare platform features: Make a list of must-have features, read reviews, and try out demos to find the best fit.
• Test the user experience for ease of use: Have a group of users navigate the platform to ensure it’s intuitive and enjoyable to use.
• Ensure there’s scope for scalability: Plan for future growth by ensuring the platform can handle increased traffic and additional features or services.

Disciple helps businesses build their own beautifully branded apps to enhance their user experience and streamline their operations.

3. Membership guidelines

• Draft community guidelines and policies: Write down the do’s and don’ts, considering legal advice to cover all bases.
• Establish a process for onboarding members: Create welcome materials and a guided process to help new members find their feet quickly.
• Create a system for handling violations: Implement a fair and transparent process for managing and enforcing rules when they are broken.

4. Content strategy

• Map out content themes and types: Plan your content calendar around topics your members care about, using a mix of formats like articles, videos, and infographics.
• Schedule regular content delivery: Use scheduling tools to ensure consistent content release times, keeping your community engaged.
• Plan for member-generated content: Encourage and facilitate community members to create and share their own content to increase engagement and investment.

5. Monetization strategy

• Choose your primary revenue streams: Evaluate different models like membership fees, sponsored content, or affiliate marketing to find what aligns with your community’s values.
• Design a pricing model: Consider the perceived value of your community and member affordability when setting prices.
• Create a balance between free and paid content: Decide what will be freely available and what requires payment, ensuring a mix that satisfies both members and your bottom line.

6. Engagement and participation

• Implement daily engagement tactics: Set up daily prompts, challenges, or discussion topics to keep members coming back.
• Recognize and reward contributors: Highlight member contributions, offer rewards or badges for participation, and make members feel seen and valued.
• Organize regular virtual events or meetups: Plan and host webinars, live Q&As, or online social events to keep the community spirit alive.

7. Growth strategy

• Develop a marketing plan: Craft a strategy that includes content marketing, SEO, and social media advertising to attract new members.
• Set up a referral program: Encourage current members to invite friends by offering them incentives for each new member they bring in.
• Leverage social media for outreach: Utilize social media platforms to share valuable content, interact with potential members, and promote your community.

8. Feedback loop

• Regularly solicit member feedback: Use surveys, suggestion boxes, and direct communication to gather opinions on what’s working and what’s not.
• Monitor community engagement metrics: Keep an eye on analytics like active daily users, time spent on the platform, and discussion thread activity to measure engagement.
• Be open to making iterative improvements: Use feedback and engagement data to continuously refine and improve the community experience.

9. Measuring success and scaling

• Establish key performance indicators (KPIs): Define what success looks like with metrics like member growth rate, engagement levels, and revenue.
• Analyze data for insights into member behavior: Use tools to track your KPIs and understand member habits and preferences.
• Identify opportunities for scaling up: Look for trends in your data that suggest readiness for more advanced features, additional staff, or new market segments.

Remember, a community business model thrives on the collective contribution of its members, so every step you take should aim to bolster that collective spirit.

As we’ve explored throughout this article, the community business model represents more than a mere strategy; it embodies a shift towards inclusivity, sustainability, and mutual growth. By fostering strong relationships with customers and creating an environment where feedback is not only heard but actively sought, businesses can unlock unparalleled levels of engagement and loyalty. 

This model isn’t for every entrepreneur or enterprise, but for those who resonate with its principles, the community business model can be a powerful cornerstone for a thriving, purpose-driven business. It asks for a commitment not just to financial objectives but to the values and collective vision shared by the business and its community. 

If this resonates with you, then delving into the community business approach might just be the transformative step your business needs to foster a lasting legacy and achieve meaningful success.

As you consider adopting a community business model, it’s vital to choose the right platform to house your community. Disciple stands out as a platform that comprehensively supports the creation and growth of online communities, helping you align your business with the values of inclusivity and mutual growth.

What is a community business model?

A community business model is a strategy that businesses use to engage customers and stakeholders in an ongoing dialogue, where their feedback and participation directly influence the business’s products, services, and policies. This model emphasizes building a loyal customer base and creating value that extends beyond financial profits to include social and environmental impact.

How does a community business model differ from traditional business models?

Unlike traditional business models that focus primarily on transactions and revenue, a community business model prioritizes building relationships and fostering a sense of belonging among its customers. It relies on active engagement, collaborative innovation, and shared values to drive business growth and create a lasting impact.

What are the benefits of a community business model?

Benefits include increased customer loyalty, more meaningful brand engagement, innovative ideas from community feedback, diversified revenue streams, and the potential for social and environmental impact. Additionally, community-driven businesses often experience more resilient and sustainable growth.

Can a community business model work for any type of business?

While a community business model can be adapted to many types of businesses, its success largely depends on the business’s willingness to invest in community engagement and the relevance of this model to their customer base and industry. Businesses must evaluate their goals, resources, and customer dynamics to determine if this approach is suitable.

How do I start transitioning my business to a community business model?

Transitioning to a community business model involves several steps, including identifying your core community, developing engagement platforms or forums, establishing community guidelines, and creating feedback mechanisms. It also requires a willingness to adapt business practices based on community input and a long-term commitment to nurturing the community.

See how a Disciple community can fit your business needs

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17 Business Ideas that Help the Community

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Written by: Esther Strauss

Esther is a business strategist with over 20 years of experience as an entrepreneur, executive, educator, and management advisor.

Edited by: David Lepeska

David has been writing and learning about business, finance and globalization for a quarter-century, starting with a small New York consulting firm in the 1990s.

Published on July 29, 2022 Updated on February 19, 2024

Just about everybody wants to live in a warm, welcoming close-knit community, and you can help build one by starting a business that helps people live better, more fulfilling lives. Maybe it’s recycling or daycare, a clinic, a tree farm, or a bookstore. 

The location of your business will be crucial — somewhere it will be noticed and make a real impact on the town. Check out our list of strong community-building business ideas to jumpstart your entrepreneurial thinking.

1. Recycling Service

Are you all about going green and saving the environment? Then why not start a recycling business and turn your passion into your livelihood. You could fight climate change, help locals get rid of their waste and make good money all at the same time — now that’s a win-win! 

Getting started won’t be cheap, as you’ll need a vehicle to collect and transport the recyclables and a sizable processing facility, as well the appropriate licenses. But you should see a relatively quick return on that initial investment as the US recycling industry is worth billions and growing fast. You’ll just need to decide which types of recyclables you’ll focus on, such as collecting glass to melt down into jars. 

Before you dive in, you might want to check the recycling rates for your state, as some states are much more profitable when it comes to recycling.

Do you love spending time with young children? If so, a daycare business could be the perfect venture for you. Busy parents often need childcare services while at work, so you would be providing a crucial service while spending your day with toddlers.   

You’ll need to acquire daycare certification, which usually entails a relevant or at least two years caring for children. You’ll also need to find a good-sized space, preferably in a residential area with minimal competition. And you should outfit it with lots of toys, drawing materials, high chairs, cribs, and more, and get yourself some good insurance, because little kids tend to find trouble. 

Once all that’s done, you’ll just need an appealing website and a decent marketing campaign, and you’ll be off and running and helping to build a strong community.

3. Non-medical Home Care

As Baby Boomers age and need more daily assistance, the non-medical home care market is growing fast. It’s already worth nearly $300 billion globally and expected to see strong 8% growth in the coming years. If you like helping people, you could start your own home care business and improve people’s lives while also making a good living.

Of course, you’ll need to do a bit of work to get there. First, your state may not require licensing for non-medical home care. Check with your state for details. If you don’t need a license, it’s still a good idea to get a bit of training, even from an online platform like Care Academy.  

Next, your business will definitely need reliable insurance in the event of any incidents, so be sure to get that. Finally, just register your business and start offering your services on home care platforms and services sites like Angie’s List. With a bit of luck, determination, and strong marketing, you’ll be caring for people in no time, and building a strong community and a successful business.

4. Bookstore

Do you love reading? If so, opening your own bookshop could be a great way to encourage reading in your community while making a living doing what you love. Even in the age of Amazon and e-books, independent bookstores have been making a comeback, increasing by more than half in recent years, to 2,5000 in the US alone. People have begun to appreciate bookstores not only as a good place to buy a new book, but as a community gathering place and event space. 

You’ll need to find a great location, and build a sizable inventory of books, with your selections based on your personal tastes and preferences. You’ll also need to decide what other products you might offer — literary knickknacks, coffee and snacks, reading accessories? Beyond that, it’s relatively easy to get started. And if you do it right, the customers will surely come, and keep coming back.

5. Farmers’ Market

Every community needs a great farmers’ market to boost local diets and local producers. So why not start your own farmers’ market? It’s a great way to begin your entrepreneurial journey and promote a healthy and nutritious diet. You’ll also be helping local farmers earn bigger profits by giving them a venue to sell their produce directly to consumers and eliminating the middlemen. 

The number of farmers markets has been increasing. As of 2019, there were more than 8,000 farmers markets across the US, based on the National Farmers Market Managers survey. Some markets sell only fresh fruits and vegetables while others also carry meat, eggs, baked goods, dairy products, and flowers.

First, it’s important to link up with the local farmers. It’s easy to find them; just ask the US Department of Agriculture for a list of farmers in your area. It’s also important to find a big area. If you plan this carefully, your farmers market can be very rewarding.

Starting a clinic can be a fantastic way to help people in your community, boost your reputation and build a career. It’s a fast growing US industry, driven by an aging population. Total spending on physician and clinical services exceeded $800 billion in 2020. Even retailers are building walk-in clinics to provide convenience to customers.

The first step in starting your clinic is to choose a niche. Will you focus on urgent care, or primary and preventive care? Is it going to be a mobile clinic? Who is your target market? You will find the answers to these questions as you do your research. Make sure to comply with licensing and insurance requirements. You will also need to be innovative in marketing your services to reach more prospective patients and achieve success.

7. Handyman Business

If you’re good with your hands and enjoy fixing things, starting a handyman business could be a smart move. For one thing, you’ll be doing what you love and taking care of people’s problems. For another, the US handyman industry has been growing steadily for years, and by 2026 the broader home services market is expected to double! So there’s clearly a real opportunity out there. 

A key first step will be determining which services you will offer. In addition to repairs , you could offer maintenance, painting, cleaning, drywall, carpentry, minor renovations and more. Read about the handyman business opportunities here . Next, buy all the necessary tools and start advertising your services on online platforms like Angie’s List. 

You could also reach out to landlords, developers and residential complexes offering to provide your services at a discount. Once you’ve delivered great work in your first few jobs, you can bump up your rates. With any luck, you’ll soon be helping the whole community live more comfortably.

8. Dollar Store

Think all dollar stores are the same? You might be surprised just how many different types there are. From party supply to variety stores, there’s a dollar store out there for everyone. So, if you’re thinking about starting your own dollar store, what are you waiting for? Dollar and variety stores were on an upward trend before the pandemic, growing more than 3% per year. With consumers becoming more price conscious, dollar stores are expected to thrive again now that restrictions have been lifted. 

Starting your own dollar store business can be fun. But how to go about it? You might consider a niche to differentiate your business. You can set up a small convenience store, a do-it-yourself shop or a bookstore. You can start by buying products from other dollar stores and reselling them. An option is to start as an online retailer, and use your website and social media accounts as your storefront.

9. Crowdfunding

The US crowdfunding market is projected to be stable in the next five years, reaching nearly $580 million by 2026. So why not start your own crowdfunding business?

Get started by developing a website that will enable interaction between those looking to raise funds and those looking to donate. Through this crowdfunding platform, the crowd may make financial pledges to support a startup or help someone in need. Among the more popular crowdfunding platforms are Kickstarter, Patreon, GoFundMe and Indiegogo.

You could review them to inform your site and decide what kind of platform you’ll create. You could set up an equity-based crowdfunding platform and help raise capital for startups while providing investors a financial return. Regulated crowdfunding is also equity-based, but is regulated by the US Securities and Exchange Commission because it deals with securities.

10. Grocery Delivery

Global online grocery delivery sales have grown almost 30% since the pandemic began. This stellar performance is expected to continue through 2024 as a lot of people continue to stay or work from home even with the lifting of protective measures. With online grocery shopping, consumers no longer have to spend time queuing in supermarkets. They simply browse through a retailer’s website or app, shop and check out, pay for the items online, and have these delivered right to their doorstep. 

If you’re thinking of starting a grocery delivery business, now’s the time to do it. You have at least three options: operate your own delivery service, work with a franchise, or sign up with an established retailer. Consider carefully the pros and cons of each option before deciding on which business model to choose. Assess the competition as well and identify possible clients if you’re going to give it a go on your own. Whatever your decision is, plenty of opportunities await.

11. Tree Farm

Growing trees helps fight climate change. But did you know it’s also a great way to earn money? The $6 billion tree and shrub farming industry in the US is already bouncing back from the pandemic. An increase in housing starts and rising demand for food products will drive growth in the next three years. Trees take a long time to grow, so it’s best to start your tree farm business now. 

You can start small and establish a tree farm within your property, or you can go all in and purchase or lease acreage for a larger operation. Among the ways to earn from your tree farm business is to focus on high-value fruit trees. Another is to select trees that produce specialty wood for furniture or fiber for clothing. You can also establish a nursery and sell tree seedlings. By choosing the right trees and promoting your tree farm business, you can make a fortune in farming.

12. Car Repair Shop

At least 70 million US vehicles are more than 15 years old and in need to repairs. This means growth opportunities for car repair shops across the country. If you’re looking to start a car repair shop, now is the time to do it. The US automotive repair industry has seen steady growth and is predicted to earn nearly $60 billion by 2024. 

One of the challenges to starting a car repair shop is the high startup cost. You’ll need to invest in some tools and equipment like hydraulic lift, diagnostic machine, air compressor, jack and jack stands, and more. You’ll also need to undergo training in auto service and repair, a prerequisite for a National Institute for Automotive Service Excellence (ASE) certification. This certification will give you an advantage and make it easier for you to obtain liability insurance and find financing. With proper training and a lot of hard work, you should be able to give your community better, safer vehicles.

13. Home Building

Starting a home building business is no walk in the park. There are many hurdles to jump, and it takes a lot of time, effort, and resources to make it happen. One of the most important elements for any potential builder is finding the right land for development.

You have some options on that count. You can purchase land that has already been developed or will soon be developed. Or you could buy undeveloped land that is more affordable but may require more work on your part before it’s ready for construction.

The important thing is that, before you start building, you make sure your business has all the required licenses and permits and complies with all regulations. Then you can start giving your community gorgeous homes that boost families and property values.

14. Pharmacy

People everywhere need their meds! Of course, US drug store revenue increased during the pandemic, growing a steady 3% annually since 2017. The industry is expected to grow further and surpass $350 billion in 2022 as the aging US population boosts demand for prescription drugs and other maintenance medications. If you’re a licensed pharmacist, this could be your opportunity to set up your own business and start a pharmacy.

It’s important to find a good location and reliable suppliers of medicines before you get started. It’s also a good idea to scope out the market and see what existing pharmacies are offering so you can devise ways to make your pharmacy stand out. Some pharmacies offer blood pressure tests, vaccinations, and delivery services. Most carry both branded and generic medicines, which are priced lower, is a wise choice. It’s important to keep these and other trends in mind when you create your marketing strategy. With a lot of hard work and a bit of creativity in promoting your business, your pharmacy will soon be up and running.

15. Life Coaching

If you’re good at helping people navigate major changes in their lives, you might consider becoming a life coach. US demand for life coaching is increasing, with the total number of US life coaches set to exceed 18,000 in 2022 as the economy improves.

A life coach provides counseling services and helps clients explore possibilities in the areas of personal development, financial issues, career path, relationship issues, and more. There is no licensing requirement for life coaching, but it’s to your advantage to obtain certification that will let potential clients know you underwent training.

There are many certifications you can apply for, but the most prestigious is the certification from the International Coaching Federation (ICF). Besides undergoing training, it’s also important to have empathy for your clients. With these, your life coaching business can be truly rewarding as you coach your community toward success!

16. Professional Organizing Service

All of us could use a bit of Marie Kondo now and then, which is why the US home organization market has doubled in the past 15 years to $12 billion and is still seeing steady growth. If you have a knack for organization, you should know that right now is an excellent time to start your own organizing business. You could work from home for a minimal investment and make good money while helping people go from chaos to calm.

Some professional organizers focus on closets, others on garages and storage spaces, while still others focus on at-home workspaces. Some organizers even go corporate and help businesses organize their desk set-up, filing systems and office supplies. It’s important to establish the services you’ll offer before you begin your marketing efforts. Once you know which type of organizing you’d like to do, you could start offering your services on a platform like Angie’s List and start helping people simplify their lives. Ahhh, I feel less stressed already.

17. Botanical Garden

Starting a botanical garden as a business idea presents not only an opportunity for entrepreneurial success but also offers immense benefits to the community. A well-maintained botanical garden can serve as an educational hub, introducing community members to diverse plant species, their uses, and importance in the ecosystem.

Schools and institutions can collaborate for educational tours, workshops, and hands-on experiences, promoting environmental education among students and adults alike. The garden can also offer training sessions on sustainable gardening practices, plant identification, and the importance of biodiversity, thus fostering a community that is more environmentally conscious.

Moreover, botanical gardens offer a serene escape from urban hustle, providing a space for relaxation, meditation, and connection with nature. Such green spaces are known to improve mental health, reduce stress, and promote physical activity.

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• Recycling Service
• Non-medical Home Care
• Farmers' Market
• Handyman Business
• Dollar Store
• Crowdfunding
• Grocery Delivery
• Car Repair Shop
• Home Building
• Life Coaching
• Professional Organizing Service
• Botanical Garden

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Child Day Care Services Business Plan

Start your own child day care services business plan

Kid's Community College

Executive summary executive summary is a brief introduction to your business plan. it describes your business, the problem that it solves, your target market, and financial highlights.">.

Kid’s Community College® aims to prepare its students to excel as young leaders of tomorrow by combining an exclusive collegiate-based curriculum tailored specifically for children with enhanced, first class child care services. Unlike our competitors, we offer advanced technology programs, after-school tutoring, and activities such as arts and crafts, dance, theatre and gymnastics, all in one location.

Kid’s Community College is a privately held corporation run by its owner, Timothy Bernard Kilpatrick, Sr. Mr. Kilpatrick has 17 years of Executive Management (VP) and Budgeting experience, and extensive experience with budgeting methodologies and strategic planning, including the Balanced Scorecard approach. His advanced degree (and interest) in computer science is the driving force behind our technology component. He will be supported in daily operations by an industry consultant, a campus director, and a VP of educational operations, all with extensive experience in child care fields.

With inflation continuing to rise each year, the typical American family now requires dual or supplemental incomes. This trend has created a need for quality child care services. The population growth rate in the Riverview area of Hillsborough County is now over 14.6%, leading us to anticipate expanding market potential for this industry in our local area. Price, service, certification and reputation are critical success factors in the child care services industry. Kid’s Community College® will compete well in our market by offering competitive prices, high-quality child care services, and leading-edge educational programs with certified, college-educated instructors, and by maintaining an excellent reputation with parents and the community we serve.

This is a daycare business plan for Kid’s Community College®, which will focus on two subdivisions: ‘Lake St. Charles’ and ‘The Villages of Lake St. Charles,’ which are new upscale community developments within a 2 square mile radius, boasting over 900 new homes. Our target customers are dual-income, middle-class families who value the quality of education and child care we provide for their children, ages 4 months to 12 years.

We will open for business starting with an initial enrollment of 13 students. We project healthy revenues by the end of the first year, and expect to nearly triple that by the end of Year 3. Our biggest operating expenses will be compensation at industry standard rates for our highly-qualified personnel, and rent on our facilities, improved for our purposes during the start-up period. We would like to grow into four campuses, eventually, but growth is planned conservatively, to be financed from existing cash flow as we go. We anticipate a net profit beginning in our second year.

To these ends, we are putting significant investment in the business, and are seeking a matching amount in the form of an SBA loan.

“Some of the best years in life are the time spent as a child and later our collegiate years…” As working adults in a fast paced society, we sometimes forget just how precious and  fleeting those years are.

With that in mind, imagine an alternative to traditional infant, day and after school care that not only met your child care needs, but also provided an activity based learning environment that mirrors those used at colleges, universities and vocational centers around the nation.  A college community of professional care givers with the credentials to not only enhance your child’s early social and motor skills, but to also teach them advanced studies in the arts and sciences found at institutions of higher learning.  A collegiate-based curriculum tailored specifically for children, taught in a fun, nurturing care giving environment.

Now imagine this at a cost less than that of the combination of conventional day care and specific interest based children programs.

Kid’s Community College® is a start-up comprehensive community college exclusively for kids ages 4 months to 5 years and 1st through 5th grades.  The College dedicates its efforts and resources toward ensuring top-rated care giving services coupled with a high-quality activity based learning environment tailored for children in these age groups.  The College will respond to the needs of its parents and students with excellent care-giving and instruction, an advanced curriculum, flexible programs, local community involvement and business partnerships.

The College has a strong commitment to accessibility and diversity.  Its open door policy embraces all who desire to provide a better quality of care, preparedness and education for their children.  The College works to provide affordable, first-class care giving and education by providing a broad range of integrated programs and services and innovative learning approaches.

The College is committed to taking a leadership role in child care services, higher learning, community services and promoting cultural diversity.  Kid’s Community College® directs its activities towards student success.

• Sales increasing to almost double first year sales by the end of Year 2.
• Maintain a high raw gross margin by the end of Year 1.
• Open second campus by the end of Year 1.
• Begin franchise effort by end of Year 3.

Keys to Success

The keys to success for KCC are:

• Marketing: differentiating KCC’s care giving and educational services from traditional daycare offerings and interest activity programs.
• Service quality: care giving and educational programs provided by degreed and certified educators, child care workers, tutors and subject matter industry professionals in a technologically advanced first-class collegiate environment.
• Reputation: maintaining a highly regarded reputation for excellence in care giving, education and community involvement and being the employer of choice in our market for child care and educational talent.
• Profitability: controlling costs and managing budgets in accordance with company goals, adhering to strategic business plans for growth and expansion and reinvesting in the business and its employees.

See why 1.2 million entrepreneurs have written their business plans with LivePlan

Company summary company overview ) is an overview of the most important points about your company—your history, management team, location, mission statement and legal structure.">.

Kid’s Community College® – Lake St. Charles Campus will be located in Riverview, FL.  The College will employ six fundamentals that will serve as the driving force for the services offered:

• Premier Care Giving Services
• An Activity Based, Children Structured Collegiate Curriculum
• Advanced Technology and Developmental Programs
• Trademarked General and “Continuing” Education Mentoring and Tutoring 
• Learning Services
• Community Advancement and Involvement

The Lake St. Charles campus is a newly constructed, 3,600 square foot facility in the Lake St. Charles Medical Plaza and will be developed meeting strict KCC design standards, under close supervision of Hillsborough County child care Licensing.

Start-up Summary

The college founder and president, Mr. Kilpatrick, will oversee fiscal responsibility, employing an independent CPA for financial oversight.  A Campus Director will be hired to handle day-to-day operations of the facility and will work collaboratively with the silent partners and other campus personnel to ensure a successful business venture.

As reflected in the table below, the estimated start-up costs for KCC will be $39,450.  These costs will be financed solely by the owners’ personal cash funds and optional credit lines.  An anticipated $60,000 SBA guaranteed 5-year loan will be used as working capital.  Future expansion, growth and franchising strategy will be self-financed.

Company Locations and Facilities

Kid’s Community College® will begin with one location – a newly constructed 3,600 square foot campus in Riverview, FL located near the entrance of the upscale Lake St. Charles subdivision.  The campus is in the Lake St. Charles Medical Professional center and will boast separate halls for arts and crafts, theatre and dance, information technology, library and quiet study, tutoring, infant care and a cafeteria.  The play area will be adjacent to the campus and will be securely fenced and furnished with appropriate playground equipment and facilities. 

Three additional campuses are planned in the rural Tampa marketplace over the next four years.  Franchise start-ups will be offered in the Orlando, Miami and Jacksonville marketplace after 2 years of successful operation.

Company Ownership

Kid’s Community College® is a privately-held proprietorship owned in majority by its founder and president, Timothy Bernard Kilpatrick, Sr.  There are also two silent partners, neither of whom owns more than 10%, but will be active participants in daily operations, management decisions and consulting, though they do not own a financial stake in the company.

Once the operation reaches its anticipated growth and profitability goals, the college plans to franchise and will re-register as a limited liability company or as a corporation, whichever will better suit the future business needs. 

Kid’s Community College® offers upscale child care services and an advanced collegiate based curriculum designed for kids ages 4 months to 5 years and 1st through 5th grades.  Normal operating hours will be 6:45am to 6:30pm, Monday through Friday – with observance of all major legal holidays.  Early drop-off service will be offered as needed. 

KCC exists to provide Premier child care services that are aimed at enhancing traditional day care methodologies and integrating extracurricular interests (such as arts and crafts, dance, theatre and gymnastics) into one comprehensive program.  Our activity based collegiate curriculum is specifically tailored for children and mirrors the arts and sciences taught at colleges, universities and vocational schools around the nation.  We offer state-of-the-art technology programs in leading-edge facilities which help prepare students for the technology age in which they live.  Our general and “continuing” education programs help mentor and tutor students through “main school” homework assignments and provide a base of understanding and interaction to ensure success in future educational endeavors.  Finally, our developmental programs reinforce basic social, listening, independence and motor skills and prepare students for future related interaction.

All of our learning and child care services employ technology, partnerships, professional services and other activities that support and promote higher learning.

In addition to the extensive services and curriculum offered, each campus will also offer weekend specialty classes for children and adults and planned family activities in the community it serves.  KCC will also offer children birthday party hosting services, providing great activities for kids and an easy experience for parents.  Activity instructors will be assigned for these events and will lead the activities, ensuring a memorable celebration. 

Service Description

Upon its opening, Kid’s Community College® will offer four basic services in the Lake St. Charles community:

• Full-time Child Day Care
• Part-time/After School Care (including drop-off and pick-up)
• After School Tutoring
• Drop-In Care

Prior to opening, the college will have a two-month enrollment drive.  Based on the market reaction to the drive, these services may be altered to meet the needs of the community.  The college will always remain nimble enough to respond to the needs of the community in which it serves.

Competitive Comparison

The child care industry as a whole is saturated.  However, based on US Census 2000 data, Hillsborough County Child Care Services provider listings and Hillsborough County building permit records, the city of Riverview, Florida itself is growing and has few licensed child care facilities.  Kid’s Community College® intends to fill this local market need.

The Lake St. Charles and ‘The Villages of Lake St. Charles’ subdivisions have 800 and 100 single family homes respectively. There are only two other child care facilities in the neighborhood. One is in the immediate area, a church based facility and the other is 2 miles away, a facility hosted by a local martial arts academy.  There are also three family child caregivers listed in the area, but none in the immediate community.  Kid’s Community College® will differentiate itself from its local competitors by offering an alternative to these traditional day care approaches. 

The Kid’s Community College® market strategy is based on providing an activity based learning environment that is used in many major colleges, universities and vocational centers around the nation. We will offer a community of professional caregivers with the credentials to not only enhance a child’s early social and motor skills, but to also teach them advanced studies in the arts and sciences found at institutions of higher learning.

Kid’s Community College® will be located in a new medical arts plaza, which has already shown a need and interest for child care services. The center currently has a pediatrics office and fitness center with clientele that has inquired about child care services. By forming collaborative partnerships with these businesses and becoming an active voice in the Lake St. Charles community, the college will position itself as the market share leader in child care services, development and educational offerings.

Sales Literature

A copy of the Kid’s Community College® informational brochure is attached in an appendix at the end of this document.

Fulfillment

The key fulfillment and delivery of services will be provided by the campus director, licensed campus instructors and staff workers. The real core value is the professional strength and industry expertise of the founder and silent partners, staff experience and certifications, education and hard work (in that order).

We will turn to qualified professionals for freelance back-up in tutoring and educational support, which will enhance the core values provided to the clients.

Since the company founder has an extensive Information Technology background, it’s only natural that Kid’s Community College® will employ and maintain the latest technology to enhance its curriculum, office management systems, payment processing and record keeping.

Future Services

Three additional campuses are planned in the rural Tampa marketplace over the next four years. Franchise start-ups will be offered in the Orlando, Miami and Jacksonville marketplace after 2 years of successful operation.

Market Analysis Summary how to do a market analysis for your business plan.">

Kid’s Community College® offers services which are vitally important in today’s fast paced, dual-income world. As an increasing number of families have become dependent on two incomes, the need for quality child care has skyrocketed. According to Florida Business Statistics, 84.6% of licensed child care facilities succeed and make a profit in their 1st year of operation.  Nationally, this number is 66.7%. 

There is no doubt, in the Riverview, FL area, that there is room and a need for Kid’s Community College®.  Market demographics to support this statement can be found below.

Market Segmentation

Kid’s Community College® has a focus on meeting the local community need for child care services within the 10-mile radius of Riverview.  Students will be taken in flexibly on either a full-time or part-time basis.

Full-Time Working Couples

The college will establish a significantly large, full-time, regular client base in order to establish the healthy, consistent revenue base which will ensure stability of the business.  Customer and community relations are extremely important, as it is imperative to keep the parents pleased in order to keep their children in the college.

After School Care

Another large segment of the college’s business will be in the after school care market.  This client base will provide a higher profit for the college since instructor-to-student ratios are higher, and the students require more educational services, which are the primary focus of the college.  By offering tutoring, and advanced studies in technology, theatre, arts and sciences, the college will attract these profitable business clients, producing significant supplemental revenues.

Part-Time Workers/Drop-Ins

Part-time workers and Drop-Ins from the fitness center and locals businesses will comprise less than 1% of the revenues.  While this market is not a primary focus, sufficient flexibility to handle this market is important to the local ‘word-of-mouth’  marketing strategy.

Target Market Segment Strategy

The target market for Kid’s Community College® is full-time working couples. Referral marketing, direct-mail campaigns and community activity days will be the primary types of marketing strategies utilized. Maintaining and enhancing its reputation with families and in the community will be crucial in obtaining the planned market share growth of this target market.

Market Growth

According to US Census 2000 data, the population growth rate for Hillsborough county is approximately 2%, which is reflected in the market analysis summary. However, the Riverview area of Hillsborough County is experiencing a residential construction boom, yielding well over a 14.6% growth. This is supported by data obtained from the Hillsborough County Building Permits office and is included in the appendix of this plan. This suggests that more families continue to move into the Riverview area, thus becoming potential customers.

In our market analysis, we suggest a modest 6% yearly growth in the number of potential customers.

Market Needs

With inflation continuing to rise each year, the typical American family now requires dual or supplemental incomes. This trend has created a need for quality child care services. We do not see this model changing in the foreseeable future. In fact, based on the growth in the Riverview area, specifically the new Lake St. Charles and Village of Lake St. Charles communities, we expect the need to increase.

Market Trends

Currently there are more family caregivers than licensed child care facilities nationwide. However, this business model can’t keep up with the needs of the growing child care industry. In the family care giver paradigm, space is limited and quality of care is questionable – in many cases viewed as only slightly higher quality than babysitter services.

Service Business Analysis

Kid’s Community College® is in the child care services industry, which includes several models:

• Licensed Child Care Facilities: Business facilities that offer child daycare services.
• Family Child Care Homes: Individuals that offer child daycare services in their homes.
• Specific Interest Based Programs: Businesses that offer specialized instruction such as gymnastics, martial arts and athletics.
• Church Child Care Facilities: Religious organizations that offer child daycare services in their communities.

Competition and Buying Patterns

Price, service, certification and reputation are critical success factors in the child care services industry. Kid’s Community College® will compete well in our market by offering competitive prices, high-quality child care services, and leading-edge educational programs with certified, college-educated instructors, and by maintaining an excellent reputation with parents and the community in which we serve.

Main Competitors

• Weaknesses: May not appeal to customers of different religious beliefs. Unlicensed facility.  Non-accredited. 
• Weaknesses: Location – outside of middle-income market. Non-educational offering.  Building condition – prone to constant flooding. 
• Family Child Care Homes:
• Weaknesses: Capacity – only allowed a certain number of children. Non-professional stigma. 

Business Participants

• Specific Interest Based Programs: Martial Arts America
• Church Child Care Facilities: Christian Day Academy (not licensed).

Strategy and Implementation Summary

Kid’s Community College® will focus on two subdivisions: ‘Lake St. Charles’ and ‘The Villages of Lake St. Charles,’ which are new upscale community developments within a 2 square mile radius and boast over 900 new homes. 

The target customers are dual income, middle-class families who value the quality of education and child care provided for their children ages 4 months to 12 years.

Value Proposition

Kid’s Community College’s® value proposition is quite clear and quite easily distinguished from others in the market. We offer uniquely premium child care services, as measured by the curriculum and activities offered, experience and educational level of the instructors, community involvement and community college theme. 

Competitive Edge

We start with a critical competitive edge: there is no competitor in our market that is offering our concept, quality of educational program and child care services. Our educational approach is unique and we have a resource with over 25 years of child care expertise and over 17 years of technology savvy. Our positioning on these points is very hard to match, but only if we maintain the focus in our strategy, marketing, business development, and fulfillment. We should be aware that the tendency to dilute this expertise with bargain shopping could weaken the importance of our competitive edge, but we must continue to bolster our value proposition.

Marketing Strategy

Marketing in the child care industry depends largely on reputation and referral. At Kid’s Community College® that reputation will start within our community bolstered by our involved commitment to those we serve. 

Promotion Strategy

We will depend on client referrals, community exposure and direct mail campaigns as our main way to reach new clients.  As we change strategies, however, we need to change the way we promote ourselves:

1.  Advertising –We’ll be developing our core positioning message: “A community college for kids!” to differentiate our service from the competition.  We will be using direct mail campaigns, pre-enrollment drives, and local community newspaper advertising to launch the initial campaign. 

2.  Sales Brochure –Our theme and curriculum will help sell the college to prospective clients. 

3.  Direct Mail –We will send quarterly direct mail campaigns to the housing developments in a 10-mile radius of the campus.  We will also offer monthly calendars for parents and the Lake St. Charles community, noting weekend family days and other open house approaches. 

4.  Community Involvement –We will be active in the Lake St. Charles community, sponsoring events at the community center for families and residents.

Marketing Programs

Catered open houses, parent survival days/nights, clubhouse pool parties and weekend movie matinees are but a few approaches we will utilize to reach out to our community.  We will also develop and maintain partnerships with local businesses that cater to the needs of children. 

Our pre-opening effort will include an application fee waiver, free children ID cards, T-shirts and a community block party sponsored and hosted by Kid’s Community College®.

Positioning Statement

For families who value the importance of higher education and quality child care services, Kid’s Community College® offers a great alternative to traditional child care services and specific interest based programs. Unlike those programs, KCC combines child care services with a modified collegiate level curriculum, just for kids!

Pricing Strategy

Kid’s Community College® must charge appropriately for the high-end, high-quality educational and care giving services we offer. Our revenue structure has to support our cost structure, so the salaries we pay to assure quality services must be balanced by the revenue we charge. 

We will be price competitive in the market we serve; however, we will not subscribe to the “low price leader” concept. The quality of our service will support the prices we charge.

Sales Strategy

Kid’s Community College® will sell its community college theme, services and offerings, separating itself from traditional daycare-only offerings.

We will be a one-stop shop for child care services, advanced learning and specialized program offerings.  We will also be active in the community, building a solid reputation with parents and the community.  By succeeding in these areas, we expect to begin seeing an operational net profit in month nine of the 1st year, while increasing enrollment by 32% monthly for the first 8 months and gradually thereafter, until our maximum allowed capacity is reached.

Sales Forecast

The following table and chart give a run-down on forecasted sales.  A detailed spreadsheet is also included in the appendix of this business plan. 

For the first eight months of operation, Kid’s Community College® has assumed a conservative enrollment due to the fact that school, aftercare and child care placement has already taken place for the school year and most parents will be comfortable with their current arrangements.  Consequently, we expect initial enrollment to be far less than anticipated future year levels. 

A sales increase of approximately 32% each month is expected until the start of the next school term, in August.  While this forecasted  increase seems large by industry standards, it is a good estimate based on initial enrollment.  Going into years 2 and 3, we expect that our presence will be known, convenience factor considered and we will then be a considered as a choice in August 2003.  In fiscal years 2004 and 2005, 80% and 90% of full enrollment is assumed respectively.

We expect to be open for business on January 1, 2003, starting with an initial enrollment of 13 students:

7 Full-time students at $115 each per week.  6 After-school students at $60 each per week and Drop-in revenue of approximately $100 per month. 

Sales Programs

Sales programs will include incentives for obtaining quarterly financial and enrollment goals, probationary period completion, passing county inspections and maintaining perfect attendance. 

Customer service awards will be provided for those employees who best exemplify the mission of Kid’s Community College® and exceed customers’ expectations. 

The accompanying table highlights important start-up milestones, with dates, completion status, responsible parties and budgets for each.  The milestone schedule indicates our emphasis on planning for implementation. 

What the table doesn’t show is the commitment behind it.  Our business plan includes complete provisions for plan-vs.-actual analysis, and we will hold monthly follow-up meetings to discuss the variance and course corrections. 

Strategic Alliances

As mentioned previously, Kid’s Community College® will form professional alliances with Impact Fitness to offer Drop-In child care services while parents work out.  We will also partner with Family Pediatrics to provide referrals of their existing customers.  A discounted rate will be offered in both cases.

Web Plan Summary

The Kid’s Community College® website will be the virtual business card and portfolio for the college, as well as its online “home.”

It will showcase the campus, curriculum and activity calendar for the school.  It will also provide for an Internet background of the instructors, online projects posted by the students, the campus newsletter and online enrollment. 

The Kid’s Community College® website will be simple, yet classy and well designed, but at the same time, in keeping with the latest trends in user interface design.  A site that is too flashy, or tries to use too much of the latest technology can be over-done, and may not be supported by all browsers. 

The key to the website strategy will be presenting a very well designed and informative Web presence that will market the Kid’s Community College® image, service offerings and community commitment.

Website Marketing Strategy

The Kid’s Community College® website will embody the mission of the college.  It will not only offer visitors the opportunity to “look around” the campus, but it will give them a good idea of the level of quality and service they can come to expect from the college.

Mostly informative in nature, the website will be a digital representation of our physical self. 

Development Requirements

The Kid’s Community College® website will be developed by the college founder, Timothy B. Kilpatrick, Sr., who has over 17 years of Information Technology experience.  Formation Technologies will host the site.

The site will be developed using Macromedia Dreamweaver 4, which will allow for support outside of Mr. Kilpatrick’s involvement.  The initial maintenance of the site will be done by Mr. Kilpatrick. 

Management Summary management summary will include information about who's on your team and why they're the right people for the job, as well as your future hiring plans.">

The opening management team of Kid’s Community College® will consist of the founder, a silent partner, a campus director and administrative assistant.

As the college grows, gradual investments in the instructional staff will be made over the next 3 years – beginning in June 2003 or as otherwise dictated by enrollment.

Organizational Structure

Kid’s Community College® depends on the founder, silent partner, Campus Director and VP of Education Operations for management in the following roles:

Management Team

Owner/President – Timothy B.  Kilpatrick, Sr.  The Owner/President will have overall fiscal responsibility, ensuring that the business is financially sound and attains its planned goals. 

• 17 years Executive Management (VP) and Budgeting experience
• Advanced degree in Computer Science
• Proven leadership and employee development ability
• Extensive experience with budgeting methodologies and strategic planning, including the Balanced Scorecard approach.

Industry Consultant – Carolyn Steverson.  The Industry Consultant will be relied upon for her industry expertise, providing valuable insight to rules, regulations and governmental programs that may benefit the college.

• 25 Year owner of Fat Albert Day Care Center
• Licensed child care facility owner
• Vast knowledge of Hillsborough County Child Care Licensing requirements and government supplemental programs

Campus Director – Candice Harris.  The Campus Director will be responsible for daily operations, curriculum oversight and management of all instructors, caregivers and tutors.

• B.S.  Degree in Education
• 2 years facilities administration/support experience with the University of South Florida
• 2+ years Regional Operations Manager
• 5+ years managerial/supervisory experience
• 3+ years grant writing, technical writing, workflow and process documentation experience

VP of Education Operations – Nitika Steverson-Kilpatrick

• Collegiate-level Public Relations education
• 5+ years customer service experience
• 8+ years child care industry experience (her mother owns Fat Albert Daycare)
• Extensive theatre and dance background

Management Team Gaps

The present team requires Child Care Development Associate credentials to support our value proposition and preparation for 2004 Florida child care requirements.  Currently, the Campus Director and Industry Consultant are the only members of the management team who have these credentials.

The Owner/President and VP of Education Operations will be enrolling in January 2003 to complete the six-month course required to obtain these credentials.  Education for these two can’t begin in this area until that time since it is a requirement that the college be open for business before the course work can begin.  Long-term, all full-time instructors will be required by the college (not the State) to obtain this credential.

Regarding financial administration, we will retain a strong CPA to help the owner guard cash flow.  While the owner is well versed in the worries of cash flow, he also has the sense to listen to reason and deal with constraints, as guided by the CPA.

Personnel Plan

The following table summarizes our personnel expenditures for the first three years, with compensation increasing from approximately $57K the first year to about $113K in the third.  We believe this plan is a fair compromise between fairness and expedience, and meets the commitment of our mission statement. 

The yearly figures in the second and third year are assumptions for the Lake St. Charles campus only.  The numbers reflect 100% enrollment, a full staff of instructors and a 5% payroll increase each year – which will include tuition reimbursement, pay increases, vacation pay, bonuses and state required certifications.

Financial Plan investor-ready personnel plan .">

• Adequate start-up capital is assumed, along with an SBA 5-year guaranteed loan.

Important Assumptions

The Kid’s Community College® financial plan depends on important assumptions, most of which are shown in the following table as annual assumptions.  The monthly assumptions are included in the appendices.  From the beginning, it is recognized that total enrollment is critical, which is a factor that must be influenced immediately.  Interest rates, tax rates, and personnel burden are based on conservative assumptions. 

The most important underlying assumption is that there is a strong need for the business in the Lake St. Charles community. 

Key Financial Indicators

The following benchmark chart indicates the key financial indicators for the first three years.  We foresee a gradual growth in sales (enrollment) and operating expenses into the second and third year.

It is projected that the raw gross margin will remain stable for the first three years since expenses are relatively indirect in the service based course work industry.  Operating expenses increase gradually as enrollment increases.

Enrollment is very important.  We must maintain an average weekly enrollment of 34 students for fixed cost coverage. 

Break-even Analysis

For the break-even analysis, start-up monthly running costs assumptions are shown in the the table below, including a three person payroll, rent, utilities and an estimation of other running costs.  Payroll, at median market averages, was presented previously in the Personnel table. 

Based on these assumptions, the chart below shows the enrollment of students per month needed to break-even.  This represents about 46% of our allowable monthly enrollment based on state and county course work guidelines.

Projected Profit and Loss

Our projected profit and loss is shown on the following table, with sales increasing from the first year to the third. 

In years two and three, we are projecting full enrollment regarding cost of sales and gross margin.  The investment return in these years supports the goal of opening another campus at the end of the second year and begin the franchise offering by the end of the third year.  Profit from the additional campuses and income from franchising are not included in this business plan. 

The detailed monthly projections are included in the appendices. 

Projected Cash Flow

The following cash flow projections show the annual amounts only, significant for the first year mainly in the amounts projected in cash sales and payables. 

Cash flow projections are critical to the success of Kid’s Community College®.  The monthly cash flow is shown in the illustration, with one bar representing the cash flow per month and the other the monthly cash balance.  The annual cash flow figures are included here and the more important detailed monthly numbers are included in the appendices. 

Projected Balance Sheet

The balance sheet in the following table shows managed but sufficient growth of net worth, and a gradually sufficient healthy financial position.  The monthly estimates are included in the appendices.

Business Ratios

The following table shows the projected businesses ratios for our industry: Child Day Care services, SIC code 8351. Kid’s Community College® expects to maintain healthy ratios for profitability, risk, and return.

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Moscow major projects

Since launching modern Russia’s largest construction program in 2011, Moscow has more than doubled its territory. To catalyze the full potential of this rapidly-growing metropolitan area of 19.5 million people, the City of Moscow’s government pays significant attention to infrastructure as one of the key pillars of urban development—with a current focus on projects that create livable and comfortable urban spaces for both citizens and tourists.

Following its first five years of projects, Moscow was given special recognition for “demonstrating outstanding strategic commitment and ambition” by the International Association of Public Transport (UITP). That period saw 50 million square meters of real estate developed, 370 social infrastructure objects built, and the metro expanded by 30 percent—including 101 kilometers of metro lines and 55 new stations. Innovative finance solutions, necessitated by the city government’s debt-free approach to development, enabled all this whilst maintaining a budget surplus and remaining a net donor region within Russia.

On 30-31 May 2018, the City of Moscow and Mosinzhproekt—a large Russian engineering, construction and project management company—hosted an Innovation Site Visit to showcase Moscow’s major projects to the Global Infrastructure Initiative (GII) community. Through roundtable discussions and site visits with project executives, participants explored where innovation and technology have enabled the step-changes that have allowed Moscow to deliver major projects on a short timeline—and how to apply these lessons to other cities and major projects.

The following insights emerged during GII’s Innovation Site Visit in Moscow:

• Establish a structure for citizen involvement. Major urban infrastructure projects are an extremely visible expenditure of taxpayer funds while also often being large disruptors of daily life. A foundation of citizen support is essential for success and requires a thoughtful engagement program. In Moscow, citizens are encouraged to participate in the planning process by steering major initiatives through the “Active Citizen” application—a portal for online referendums on topics appropriate for democratic decision-making. To date, almost 2 million citizens have cast more than 90 million votes on over 3,000 issues through the platform. The purpose of this structure is to increase the opportunity for citizen engagement and involvement with their city’s major investments.
• Manage the disruption ‘cost’. Major urban projects cannot be delivered without disrupting daily life. While citizens can be enrolled to accept the disruption as a necessary investment for a better outcome, equal attention needs to be given to managing the disruption ‘cost’ as to managing real expenditures. For example, MyStreets, a project to upgrade and enhance Moscow’s urban environment through reconstruction of streets and building façades, was disruptive to many citizens and commuters. However, through staging and swift execution, the disruption was minimized and the intended lifestyle improvements were quickly delivered to Muscovites and tourists who traverse newly styled pedestrian streets every day.
• Invest in technology to optimize sequencing. Moscow’s cohesive vision for urban transformation has allowed early investments in technology to assist future delivery. One of the first projects completed was the centrally-controlled traffic management system which can monitor traffic conditions and urban movement through more than 2,000 traffic cameras and 160,000 CCTV cameras installed across the city. Data collected on current conditions, and knowledge of planned activities, allows real-time rerouting of traffic through the city’s dynamic signage. It also allowed identification and analysis of permanent traffic flow changes that could further ease disruptions like those created by the major construction projects.

Moscow traffic speed increased over 13% in 201.

• Maximize utility of brownfield sites. A key reason the Moscow Central Circle (MCC), a new light-rail system integrated into the Moscow Metro, was completed in a record four-year period was the repurposing of existing brownfield networks which allowed the installation of modern technology on existing rail transport routes. The MCC’s 31 new stations will revitalize formerly abandoned industrial areas when its next stage of development builds an expected 300,000+ square meters of hotels, 250,000+ square meters of retail, and 200,000+ square meters of offices. This will give districts with historically poor infrastructure access a chance to develop at the same pace as the rest of the city.
• Leverage PPPs to enhance basic services. To manage public cost and investment while delivering world-class infrastructure, municipalities need access to additional financing tools. Based on a structure that took an act of federal legislation, the MCC is an example of enhancing publicly developed foundations with private services. The tracks and land are owned by the Moscow Metro, with the rolling stock subcontracted to Russian Railways under a life cycle contract with a guaranteed buyback. The innovation is that Moscow Metro is licensing the development rights of its individual stations to private investors. Though all stations will exist under the same covenants, individual investors will assume their station’s construction cost and operational risk and rewards.
• Create citizen-centric spaces. In addition to serving as open spaces, today’s city residents expect their parks to provide for entertainment and consumer services too. Many modern parks offer architectural features, charismatic vistas, and social, educational, and artistic spaces for all ages. When Zaryadye Park, an area of prime real estate next to the Kremlin was converted to parkland, an international contest resulted in 10 hectares being densely designed for this multi-function purpose. The outcome was two concert venues, restaurants, a parking garage, an entertainment complex, and a biological education center, all neatly camouflaged into a natural landscape that represents Russia’s ecological diversity.
• Innovate where needed but not excessively. Moscow’s planners and builders did not shy away from technological innovation. The MCC used weldless joint rails to create a smoother and quieter system that is easier on riders and less disruptive to residents living near the railway tracks. The retrofit designs for Luzhniki Stadium were fully modeled in building information management (BIM)—a step which identified more than 100,000 conflict points before they could escalate into project delays. However, the project teams were also careful not to force innovation where it could create unnecessary risk and complications. Instead, they delivered the massive project portfolio by tactically melding innovations with highly-proficient execution of well-known and proven methods.

Related Articles

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Small Business Trends

Several local communities launch new small business grants this spring.

From reducing income disparities to improving busy commercial districts, small business grants can benefit communities in numerous ways. That’s why several cities, counties, and local organizations have recently launched their own funding programs . Read about several current opportunities and initiatives related to small business grants below.

East Buffalo Small Business Working Capital Grant Program

Empire State Development recently launched the third funding round of its East Buffalo Small Business Working Capital Grant Program. The program awards grants of between $5,000 and $50,000 to businesses in designated parts of East Buffalo, largely helping minority-owned establishments. Initially launched in response to the mass shooting at a Tops Friendly Market on Jefferson Avenue in 2022, the program includes a total of $3 million in funds and has already helped nearly 70 businesses, providing more than $800,000 over the previous two funding rounds. The program is currently accepting applications and will continue to do so through May 10.

Tacoma Small Business Renewal Grant

Tacoma, Washington’s Community and Economic Development Department is now accepting applications for the city’s Small Business Renewal grant. The program aims to help small businesses cover damage repair and upgrades to their physical locations. There are two awards businesses can apply for: the Tacoma Community College Damage Repair, which covers up to $5,000 to cover storefront damage occurring since January 1, 2022, and the Impact Upgrade award, which covers up to $10,000 for eligible improvements like safety upgrades or ADA access. To qualify, projects must be able to be completed by July 30, 2024. April 2 is the deadline to apply.

New Castle County True Access Capital Grants

In New Castle County, Delaware, community development financial institution True Access Capital is offering grants of between $5,000 and $10,000 to small businesses in three commercial corridors. The grants, which are either $5,000 with no required match, or up to $10,000 for businesses with matching funds, can cover various interior and exterior improvements like facades or signage. Businesses must be located on or near North Market Street in Wilmington, along two sections of Philadelphia Pike, or along Route 9/Route 13. Grants will be awarded on a first-come, first-served basis until the $440,000 in ARPA funds is exhausted.

Diverse Erie Mini Grant Series

Diverse Erie is currently offering small grants funded by the American Rescue Plan Act to small businesses in Erie County, Pennsylvania. The Mini Grant series is available to for-profit, BIPOC-owned businesses that also serve BIPOC communities throughout Erie County. The application period is currently open and will close on April 19.

Boulder County Small Business Grants

Boulder County, Colorado, is partnering with Colorado Enterprise Fund on a new grant program aiming to help businesses in Unincorporated Boulder County. Eligible businesses can apply for one-time grants of up to $5,000. There’s currently a total of $225,000 set aside for the program. Applications are being accepted now through April 19. The county plans to announce and award funds this June.

Louisiana Regions Foundation Grants

Regions Foundation, the nonprofit arm of Regions Bank, recently awarded two major grants to support small businesses in New Orleans and Baton Rouge. First, the foundation provided $100,000 to support a collaboration between the Propeller, Thrive NOLA, and Fund 17 Together. These organizations will use funds to support entrepreneurs in New Orleans and address social and environmental disparities. Additionally, Regions Foundation is providing $65,000 to the Small Business Mastermind program, which supports entrepreneurs in Baton Rouge by providing a collaborative space for local business owners.

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MacKenzie Scott donates $640 million, more than doubling her planned gifts to nonprofit applicants

FILE - Billionaire philanthropist MacKenzie Scott arrives at the Vanity Fair Oscar Party, March 4, 2018, in Beverly Hills, Calif. Scott announced Tuesday, March 19, 2024 she would give $640 million to more than 360 organizations in response to an application process she launched last year. The award is more than double the amount that she initially promised in an “open call” for applications. (Photo by Evan Agostini/Invision/AP, File)

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Billionaire philanthropist and author MacKenzie Scott announced Tuesday she is giving $640 million to 361 small nonprofits that responded to an open call for applications.

Yield Giving’s first round of donations is more than double what Scott had initially pledged to give away through the application process. Since she began giving away billions in 2019 , Scott and her team have researched and selected organizations without an application process and provided them with large, unrestricted gifts.

In a brief note on her website, Scott wrote she was grateful to Lever for Change, the organization that managed the open call, and the evaluators for “their roles in creating this pathway to support for people working to improve access to foundational resources in their communities. They are vital agents of change.”

The increase in both the award amount and the number of organizations who were selected is “a pleasant surprise,” said Elisha Smith Arrillaga, vice president at The Center for Effective Philanthropy. She is interested to learn more about the applicants’ experience of the process and whether Scott continues to use this process going forward.

Some 6,353 nonprofits applied to the $1 million grants when applications opened.

“The donor team decided to expand the awardee pool and the award amount,” said Lever for Change, which specializes in running philanthropic prize awards.

The 279 nonprofits that received top scores from an external review panel were awarded $2 million, while 82 organizations in a second tier received $1 million each.

Competitions like Scott’s open call can help organizations who do not have connections with a specific funder get considered, said Renee Karibi-Whyte, senior vice president, Rockefeller Philanthropy Advisors.

“One of the best things about prize philanthropy is that it surfaces people and organizations and institutions that otherwise wouldn’t have access to the people in the power centers and the funding,” she said. Her organization also advises funders who run competitive grants or philanthropic prize competitions to phase the application to diminish the burden of applying on any organization that is eliminated early.

Megan Peterson, executive director of the Minnesota-based nonprofit, Gender Justice, said the application was a rare opportunity to get noticed by Scott.

“Having seen the types of work that she has supported in the past, we did feel like, ‘Oh, if only she knew that we were out here racking up wins,’” said Peterson.

Her organization has won lawsuits recently around access to emergency contraception and the rights of trans youth to play sports. They plan to use the funds to expand their work into North Dakota. Peterson said the funds must be used for tax exempt purposes but otherwise come with no restrictions or reporting requirements — just like Scott’s previous grants.

“I think she’s really helping to set a new path for philanthropy broadly, which is with that philosophy of: Find people doing good work and give them resources and then get out of the way,” Peterson said of Scott. “I am grateful for not just the support individually, but the way in which I think she is having an impact on philanthropy broadly.”

The open call asked for applications from nonprofits who are community-led with missions “to advance the voices and opportunities of individuals and families of meager or modest means,” Yield Giving said on its website. Only nonprofits with annual budgets between $1 and $5 million were eligible to apply.

The awardees were selected through a multilayer process, where applicants scored fellow applicants and then the top organizations were reviewed by a panel of outside experts.

Scott has given away $16.5 billion from the fortune she came into after divorcing Amazon founder Jeff Bezos. Initially, she publicized the gifts in online blog posts, sometimes naming the organizations and sometimes not. She launched a database of her giving in December 2022, under the name Yield Giving.

In an essay reflecting on the website , she wrote, “Information from other people – other givers, my team, the nonprofit teams I’ve been giving to – has been enormously helpful to me. If more information about these gifts can be helpful to anyone, I want to share it.”

Smith Arrillaga, of CEP, said it was important that Scott is, “continuing to honor her commitment in terms of giving away her wealth, even though she’s thinking, changing and tweaking the ‘how’ of how it’s done and she’s still trying to go with the spirit of what she committed to.”

Associated Press coverage of philanthropy and nonprofits receives support through the AP’s collaboration with The Conversation US, with funding from Lilly Endowment Inc. The AP is solely responsible for this content. For all of AP’s philanthropy coverage, visit https://apnews.com/hub/philanthropy .

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