ECONOMIC CELL GROUPS
BUSINESS AS MISSION
IN ACTION
World In Need
• World In Need a registered UK charity
(1041711)
• Aim to change attitudes through aid and
education
World In Need Objectives
• To work in partnership with local community
groups to allow them to fulfil their potential.
• To work together to build sustainable
projects involving education, health care and
business development.
• To move away from aid dependency
The model
• Micro credit programmes
• Revolving loan programs are established for
viable business ideas. sometimes
administered and evaluated overseas.
• An economic cell group is a form of micro
credit programme
What Is An Economic Cell Group?
• An ECG Comprises A Group Of Individuals
Who Wish To Share Resources Such As Time ,
Expertise, And Finance To Build Small
Businesses From Dependency To Self
Sufficiency Through An Ethical Investment .
How does an ECG work?
• Taking their lead from win the members of
the ECG invest in an agreed business.
• A business plan is drawn up covering amount
loaned, repayment period, interest to be paid
back, review timetables and signed with the
mission partner overseas to who will oversee
the project
• The ECG, although associated with WIN are
an independent body who manage and
regulate the business.
• Members of the ECG are encouraged to make
their own viability of the project , including
tax issues
Objectives of an ECG
• To create an ethically based commercial and
social enterprise that will benefit the target
group through the creation of sustainable
employment leading to investment in the
local community through wages, education,
health care, or further employment.
How WIN can help
• Provision of examples of enterprises needing
investment
• Advise on cultural and historical issues that
may affect an ECG
• Overseas partners who are involved in small
business needing further support.
Steps to begin with
• 1. Evaluate the business opportunity
• Is it needed?
• Is it viable?
• Who are the target market?
• What is its USP?
• Evaluate the missions opportunity
• Who and where will benefit most from an ecg?
• What can you offer that no other organization can?
• Do you have the required resources?
• Visit the project beforehand
Non Financial Returns
• What are the social/cultural benefits in terms
of quality of life
• Is there an environmental aspect impact to
the sustainable product
• Can this enhance the Spiritual aspect of the
community?
Who
• Have the right people in place
• Your board team must consist of experienced as
well as the committed !
• Have members on board who can bring in a variety
of experience
• Members should not be involved for a quick return.
One step at a time
• Have a solid advisory support team
• Take advise and use contacts with previous
experience, are contracts legal?, What are
the tax implications ? What are my liabilities?
• Present your business plan to an outsider
THE BUSINESS PLAN
• Aims and objectives
Those involved-profiles
Swot analysis
Investment needed
Plan b
Risk and reward
Personal issues to address
• Why am I involved?
• Be assured of your own commitment
• Are you aware of the issues?
• What support do you have?
Is it biblical or ethical ?
• Should We Charge Interest On A Loan?
• EXODUS 22:25
• DEUT 23:19-20
• LUKE 19:1-27 Christ did not condemn Zacchaeus and did not
condemn the making of the interest.
• 1 Timothy 6:10 It is the love of money, not money in itself
which is the problem. Christ commands us to pay our taxes.
Questions regarding interest
• It is not compulsory
• It can be reinvested in the project
• It can be transferred to another project
• Its a form of education
WHAT DO I DO NOW?
• Pray
• If you would like further information please
talk to me
• Or contact the world in need office
• 01892 669834
• We will be pleased to meet with you
Accelerated Schools Plan
• A good example of an ECG in action
• £5000 is advanced by an ECG to build a
school for at least 20 children.
• The children are funded through the Child
Sponsorship programme.
• The sponsors are identified by the members
of the ECG or they can be sponsors
themselves.
Where does the money go?
• The £400 per calendar month that is raised
(for 20 children) is split into three
One amount to pay for the cost of the school
Some to give to the Childs family
Some is set aside as the capital and interest
repayment to the ECG
What comes next?
• When the loan is repaid the ECG can either :
• Disband
• Introduce new members
• Or Establish a new project using the same
model.
ECG in action
• Malawi a group of women have been loaned
£50 each to start business fees to sell
produce and clothing.
• These women are now supporting
themselves and 2 orphans through World In
Need
Women in Malawi empowered by a micro loan of £50
Used Mercedes Trucks in Malawi
Case 1. The average cost of a
used truck in UK is £4000. It
takes £4000 to ship to Malawi
via Dar Es Salaam.
The sales price is from £15,000
to £18,000.
This leaves funds to create an
independent self sustaining
operation on the field.
Toyota Mini Buses
Case 2.
Toyota mini buses from
Japan can be bought in
Dubai and shipped to Dar Es
Salaam.
Cost is £3,500, shipping
£3000. Sales price is £10,000