All Solutions

The Crunch - Social Traders' social enterprise development support and investment initiative

The Problem

Connecting finance to emerging social enterprises is a significant problem in the social enterprise sector. Social enterprises often fail to present as a viable investment to banks, investors or grant makers because they are perceived as risky and do not have a standard approach to putting forward their case for investment. As a result, many social enterprises fail to reach their potential.

The Crunch helps to solve this problem by creating a pathway to investment. Social enterprises who participate in The Crunch emerge with a rigorous business plan that gives potential investors confidence that the enterprise has been well planned, will be financially viable, and is being managed by capable and skilled people. The Crunch also builds the capacity of the enterprise managers to implement the social enterprise plan they have developed. In short, The Crunch closes they gap between emerging social enterprises, potential social investors and sustainable social impact.

The Solution

‘The Crunch’ is Social Traders' social enterprise development support and investment initiative. It provides the opportunity to turn an idea for a new social enterprise into reality.

Crunch participants are emerging social enterprises with a good idea and clear commitment to see their enterprise start-up and become sustainable. Participants are guided through a rigorous business planning process developed specially for social enterprise. ‘The Crunch’ is also an opportunity to pitch for investment, once the business plan is complete.

After a successful launch in 2010, The Crunch 2011 is taking six enterprises through a challenging business planning process. Each selected enterprise has been paired with business mentors from leading Australian corporations and a student from MBS. All participants are working on their social enterprise idea by participating in a total of five workshops that cover a number of topics including industry and market research, business forecasting, feasibility assessment, business planning, writing and pitching.

At the end of this business planning process, enterprises will pitch to Social Traders for investment. Importantly, these enterprises will now be equipped with the skills, confidence and documented business plan to talk to a broad range of potential investors and supporters for their new enterprise.

More information: www.thecrunch.socialtraders.com.au/