Collaborative Business for Local
Sustainable Meats
Part 3
Slav Heller
St. Paul, AB
November 2012
Two options for ownership of the
local meat brand
1.Typical option – brand is owned by
one of the enterprises in the chain (meat
plant or urban retail)
2.New option – brand is own by a nonprofit organization formed to assist
formation and operations of the chain,
and to market the brand
NPO
New concept
A non-profit
organization (NPO)
committed to development of a
sustainable local food system
NPO will represent interests of
all parts of the local food chain
but it will have strong representation of
urban consumers
This business model has been developed
as one of four key projects by:
To learn more about ARSAN and
its projects visit www.arsan.ca
ARSAN developed the brand which
also be the name for the chain
Tasty – Healthy – Ethical
To learn more about the brand and
proposed project visit www.themeats.ca
Beyond meat stores
Urban retail centres may
serve various functions
 Local meat stores
 Expanded to local foods in the future
 Limited food service
 Places of learning, making contacts and
building relationships and forming new
communities
Primary beneficiaries
NPO will put consumers rather than
retailers on the top of the supply chain
Retailers primary goal is to make profit
Primary goal of consumers represented by
NPO is to keep the right food flowing to
them
Consumers will be primary beneficiaries
Supply chain control
NPO will be in position to control
balance of power (and profits) along
the chain
There is a chance to organize the chain so
all its parts have vested, strong and
balanced interest in success of the whole
chain (all eggs in one basket is possible)
Growth
NPO will have right to franchise
the concept
Growth potential of the concept and
the brand is great as it can be spread to
many other jurisdictions and even
countries
Business integrity
Size and volumes sold by a
single chain will be limited
Vertical growth of individual businesses
usually changes its nature and sacrifices
its initial values, tearing partnerships and
relationships apart
If concept is successful, it will grow but
horizontally not vertically
Business satisfaction
None is expected to get rich
in this business scenario but
entrepreneurs may achieve
high level of economic and
social satisfaction
The new scenario may offer stability
of profits and business longevity
Financing
Potential to be initially funded at least
to some degree by public funds
NPO royalties and/or franchise
fees in the long term will allow for
its financial independence and
sustainability
NPO and what it represents can be
attractive to donor and angel investors
Thank you for your time and attention
Please, give me your
comments and
questions
Slav Heller,
MBA, M Sc., P Eng.
St. Paul, Alberta
E-mail: slav@heller.ca Phone: 780 - 645-6740