Business Plan

Business Plan

Business Plan

Executive Summary

While most operating lower elementary schools depend upon large endowments, the concept driving this Lower Elementary School relies instead upon a "living endowment." This term, wide-spread in Lower elementary school circles, refers to the sisters, brothers and priests that educated several generations of immigrant families while themselves living a vow of poverty. Historically, our Lower elementary school have had no financial endowment; rather they flourished at very low cost to families because of extremely low overhead--thanks to their living endowment.

To operate SCHOOL via a living endowment does not mean that the educators working through SCHOOL must be vowed religious. Nor does it mean that SCHOOL employees live a life of poverty. In fact, compensation can be every bit as good as for-profit firms. To understand how this is possible one must first understand the for-profit consulting fee/cost structure.

The industry-standard fees charged by for-profit firms for campaign work average $15,000 per month per client. Of this amount, about one-third goes to the consultant doing the work, another third is overhead (primarily training costs and the cost of making presentations across the country for new work), and one-third is profit to the owner of the firm. This standard income/expense structure creates a problem for the "for-profit" and an opportunity for the "not-for-profit."

The problem for conventional firms lies in young educators who see the monthly fees charged, compare it to their paycheck, and conclude "I can do this on my own." Consequently, the established national firms face constant turnover, recruitment and training costs while suffering a chronic lack of experience in the educators who actually do the work. At the same time, they have created a barrage of new regional competition. Over the last ten years there has been an explosion of education consulting firms, most with no one in the firm except the owner. The business card may read "John Doe & Associates" but there are rarely any associates.

The opportunity for the not-for-profit lies in the one-third of fees that normally would be profit. What if, instead of buying a house on the beach for a firm owner, those profits were set aside each month in a cash reserve to serve Lower elementary schools that cannot afford education counsel? While Jesuit High School may easily afford high monthly fees, St. Ann's Indian School cannot. By setting aside the "profits" from one client, SCHOOL could afford to send a consultant to St Ann's. In doing so, SCHOOL educators will be the new living endowment serving those schools least able to afford education counsel.

Mission

Lower Elementary School exists to provide education for low income families .

* Focused on this single objective, we are specialists, not generalists. * Relieved of profit pressures, we take the long-term view of building lasting relationships between the school and its supporters.

* We will always act in the long-term interest of our clients. If you are not ready for a campaign, we will say so. Then we'll do everything we can to get ...