Send the link below via email or IMCopy
Present to your audienceStart remote presentation
- Invited audience members will follow you as you navigate and present
- People invited to a presentation do not need a Prezi account
- This link expires 10 minutes after you close the presentation
- A maximum of 30 users can follow your presentation
- Learn more about this feature in our knowledge base article
Do you really want to delete this prezi?
Neither you, nor the coeditors you shared it with will be able to recover it again.
Make your likes visible on Facebook?
You can change this under Settings & Account at any time.
Transcript of Co-op Fund-raising
Starting from scratch
Building membership is essential
Raise enough cash for lender
Whatever it takes Timeline
Specific projects Member Loans
Can account for as much as member investments Preferred shares
Similar to member loans
More equity-like Donations
Equipment, etc. July 2010 August 2010 September 2010 October 2010 November 2010 December 2010 January 2011 February 2011 March 2011 April 2011 Initiate Membership Drive
Prioritize Implement plan
Educate advocates Membership Campaign Member Loan Campaign May 2011 June 2011 July 2011 Financing Membership Goal
100 members Membership Goal
Initiate member loan campaign
Commit to a scenario/overall goal
August 2011 Scenario #1 – 3000 Sq Ft Own
a. Construction Loan @ $554,000 (combines acquisition and renovation costs); 20% down payment @ $110,880.
b. Permanent Loan @ $443,520 (pays off construction loan at lower rate/longer amortization); 10% down payment @ $44,352.
c. Equipment Loan @ $180,000; 20% down payment @ $36,000
d. Inventory @ $44,523
e. Operating Cash @ $10,000
Total Cost (Loans + Cash): $788,523
Finance (acquisition, renovation, equipment): $734,000
Cash (operating, down payments, inventory): $ 245,755
Equity needed for loan (50-75%): $ 389,261.50 - $ 583,892.25
Fundraising Goal: $389,261.50 - $ 583,892.25
Member investments: 800 members = $160,000
Member loans: 50 loans @ $2,000 avg. = $100,000
Preferred shareholders: 20 shares @ $3,000 = $60,000
Fundraising activities: $30,000
Market Place sales: $10,000
Corporate sponsorship/loans: $100,000
Fundraising TOTAL: $460,000
Scenario #2 – 1750 Sq Ft Own
a. Construction Loan @ $332,750 (combines acquisition and renovation costs); 20% down payment @ $66,550.
b. Permanent Loan @ $279,355 (pays off construction loan at lower rate/longer amortization); 10% down payment @ $27,935.
c. Equipment Loan @ $74,375; 20% down payment @ $14,875
d. Inventory @ $25,981
e. Operating Cash @ $7,500
Total Cost (Loans + Cash): $440,606
Finance (acquisition, renovation, equipment): $407,125
Cash (operating, down payments, inventory): $142,841
Equity needed for loan (50-75%): $203,562.50 - $305,343.75
Fundraising Goal: $203,562.50 - $305,343.75
Member investments: 500 members = $100,000
Member loans: 25 loans @ $2,000 avg. = $50,000
Preferred shareholders: 10 shares @ $3,000 = $30,000
Fundraising activities: $20,000
Market Place sales: $7,000
Fundraising TOTAL: $277,000
$460,000 or $277,000
More is ok too