Stepping Stones Fund
information session
What is the Stepping Stones Fund?
• A fund launched by the City Bridge Trust to provide targeted
support in the form of grants and risk finance to enterprising
organizations in London that wish to prepare themselves for
social investment.
What is social investment?
Social investment is the provision and use of finance to
generate social and financial returns.
Repayable finance:
• debt
• equity
• guarantee
• bonds
• combination
Viable revenue generating
model:
• trading
• contracts for public
services
• etc.
Desired Programme Outcomes
More organisations
• with improved understanding of social finance as a financing
strategy: its benefits and drawbacks
• with improved skills in financial management as required to take
on repayable finance
• a greater understanding of the risk component of an
organisation’s business and how these could be mitigated;
• with improved capabilities in strategic, business, marketing and
partnership building skills;
• to test out alternative revenue generating models with a thorough
understanding of the cost basis to these;
• for whom it is appropriate, securing a social investment package
• able to offer to deliver valued social outcomes consistently with
a clear understanding of the factors affecting these.
What will be on offer?
Funding will be available under 3 strands:
• For capacity building support that will help organisations access
social investment in the future (£350K) – 18 months
• For piloting new ideas or business models aiming for better social
outcomes (£350K) – 18 months
• For risk finance that can catalyse a social investment package
(£300K) – max 5 years, draw down in 12 months
Funding expected to average £50,000/organisation;
or £150,000 under risk finance strand
Eligibility criteria
•
•
•
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Committed to solving social problems
Serves beneficiaries of Greater London
Has an eligible organizational structure
Operational for at least 1 year; able to produce at least
one year’s audited or independently examined annual
accounts
• Has funding in place for 1 year of operation
• Has at least 1 full time or 2 part time staff members
• Is seeking to develop a revenue generating activity with
view of taking on social investment in the future
3 stage selection process
Sept- 16 Nov 2015
Nov 30- Dec 20 2015
Jan 24-Feb 7 2016
March 2016
Phone consultation by CBT
Surgery sessions by UBS
Stage 1: Application
• Online eligibility test
• Application form online
• Accounts
Stage 2: Detailed
proposal
• Detailed proposal
• Business plan
• Strategic plan
Shortlist
+ Business plan or strategic plan
Stage 3: In
person
interview
• Present to
Selection Panel
Winners
Key dates
September 23, 2015
Call for proposals announced
September 23 –November 15, 2015
Inquiry e-mail and phone line open
October 5th, 15th and 29th
Information sessions
November 16, 2015
Application deadline
November 30, 2015
All candidates informed about Stage 2
selection
December 1-15, 2015
Phone consultation with CBT and
surgery sessions offered by UBS
volunteers
December 20, 2015
Additional stage 3 documents deadline
for shortlisted candidates
January 24-February 7, 2016
Personal interviews
March, 2016
Final grantees selected
End of March, 2016
Grant offer letter sent
Examples of successful candidates
in round one:
Forest Farm Peace Garden: transition to
a sustainable business model
Strand 1, capacity building
Work with our support provider and attend trainings to:
 Establish appropriate governance structure and policies
 Approach specialist social investment lenders
Staff time to:
 Conduct extensive market research
 Produce full business plan
 Develop recruitment pathways and partnerships
 Prepare site to begin commercial growing
Action Tutoring: Improve& monitor outcomes
Strand 1, capacity building
1. Capacity To Improve Outcomes
• Deeper school partnerships
• Improve tutor recruitment, training & management
2. Capacity To Monitor Outcomes
• Short, medium & long term outcomes framework
• Structured tutoring curriculum and resources
Tower Hamlets Community Transport
Strand 2, piloting outcomes
£49, 206 Stepping Stones Contribution
The Stepping
Stones
contribution is
requested to pilot
a new business
model and to
bring the concept
to stage of
‘minimum viable
product’ - ready
for social
investment and
scale up.
1. Feasibility: market demand;
web development
2. Test Platform; test participation
3. Go Live; marketing; investment
prospectus
Roll out:
• Secure investment (£0 - £200k.)
• Partners and delivery team;
NewCo?
• Recruitment; promotion;
expansion
Five years:
• Turnover £1million; profit
£500k.
Pitfalls
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Link to social investment not demonstrated
Social investment is not in organisational strategy
Business model lacks revenue generating potential
Organisation lacks capacity to start proposed project
Unrealistic timeline
Unrealistic revenue projections
Lack of quantitative information (about demand,
potential purchasers, etc)
• Missing financial projections
• Not enough emphasis on business model
• Too much emphasis on achievements so far instead of
forward looking strategies
Enquiries
E-mail: steppingstones@cityoflondon.gov.uk
Phone number: 020 7332 3710