Fast Growth 50

Sponsored by: Community Investment Fund New Sandfields Aberavon

The Communities Investment Fund (CIF) is sponsoring a brand new fast growth award to raise awareness of the importance of the community sector in Wales.  The Communities Investment Fund provides innovative funding packages to the third sector – charities, community groups, voluntary organisations and social enterprises.  The Fund offers loans up to £250,000 and development grants up to £20,000.

The main aim is to encourage an enterprise culture within the third sector, investing into organisation seeking to develop sustainable trading activities and reduce their reliance on grants.  Loan investments are made on flexible terms – for instance, extended interest and capital repayment free periods – allowing time to develop trading.

The fund is a Communities First Support Network project managed by the Development Trusts Association Wales, Wales Cooperative Centre and Wales Council for Voluntary Action which is the operational partner.

Currently, investment is restricted to community enterprises active in Communities First and objective 1 areas, the most economically and socially deprived areas in Wales, but there are plans to extend the project. Geographically during 2009 and beyond.

   
The Fund recently committed the last of its round of £3.4m of funding, bringing to a successful conclusion this initial phase of CIF.  Investments into community-based enterprises have ranged from £30,000 for working capital to a community record label promoting young talent in West Wales to £250,000 for a marine-based charity to purchase a 72-foot, state-of-the-art yacht that will be used to train and engage disadvantaged and long-term unemployed young people.  Other investments have centred on the purchase and development of community-based buildings for a variety of social enterprise purposes.  CIF has committed loan and grant facilities totalling £3.3m to 45 community-based enterprises in the most deprived areas of Wales, including 12 investments exceeding £100,000.  All have required significant innovation and vision.

THIRTY ONE
Winners: Fastest Growing Firm, Community and Social Sector

New Sandfields
Aberavon

Aberavon
www.nsasr.co.uk
Community-led regeneration
Company
Growth (2005-2007) – 121.7%

Description
New Sandfields Aberavon is a member-led, community-based organisation engaged in community development and regeneration through partnership working with residents, community groups and with organisations delivering services to residents.  Its activities include cultivating community enterprise; acquiring local assets to meet local needs; keeping money within the community through sourcing local suppliers and customers; and building a sustainable organisation and community.  It embraces social enterprise and re-invests all surplus monies back into the community.  It trades for social purpose and public benefit and involves people at a social disadvantage.

Origins
The business was started in response to the needs of 12,000 residents on the Sandfields Estate concerned about air quality, lack of work opportunities for young people and increased crime.  Challenges faced during the first three years included becoming a company limited by guarantee (achieved in 1998) and a registered charity (achieved in 2001).  It also had to overcome resistance and lack of trust from the local authority and low expectations for change from local people and stakeholders.

Success Factors
The employment of an experienced chief executive officer helped to recruit and develop staff, create partnerships and secure participation of groups and active individuals.  He also embedded good practice, setting rules and principles of action and operation, and establishing clear lines of communication, management structure and spending levels.

The future?

  The main aim is to sustain 2007 levels of operation by raising income levels to sustain core staff, and to expand the STRIDES programme of training for the economically inactive.  Also, to procure land and capital to build a community enterprise centre on Aberavon seafront in partnership with the local authority and other stakeholders.  It is hoped to create at least 40 jobs in the next five years and double the asset base and surplus generated through social enterprise.