Mission Throttle Teams with Yad Ezra to Combat Hunger in the Jewish Community

Yad Ezra has selected Mission Throttle to develop an enhanced business strategy that supports its long-term ability to provide kosher food to families in need in Southeast Michigan.

 While federal programs help provide safety nets and other critical assistance to those at risk of hunger, these programs do not reach everyone in need, and food banks remain a critical component of the fight against hunger.  Yad Ezra opened its doors in 1990 to provide food-insecure Jewish families with kosher food that was unavailable through other programs. By distributing groceries to families in need, Yad Ezra works to alleviate some of its clients’ financial burdens. In 1990, Yad Ezra served an average of 250 families monthly; current statistics indicate that it now provides approximately 1,300 impoverished families (almost 3,000 individuals) with food, health care items, and household goods on a monthly basis.

While the problem of hunger in the Jewish community and beyond still remains, Yad Ezra will continue to play a critical role in supporting struggling families. The organization is uniquely positioned to respond to this persistent problem and expand its services to those in need by building on its already successful programs.

Mission Throttle and Yad Ezra will work in partnership to

  • Identify key organizational assets
  • Establish clear goals based on organizational strengths and aspirations
  • Consider market gaps to pursue
  • Determine market demand for its primary service offering and potential additional offerings
  • Identify national best practices for comparable models with potentially marketable revenue streams

 

About Mission Throttle

Mission Throttle is a social impact strategy firm dedicated to accelerating philanthropic innovation in communities. We advise, invest in, and support mission-driven organizations that seek to use market-based strategies to address social and environmental challenges.  We are deeply passionate about our work and believe that merging business solutions and philanthropic values is critical to sustain and scale social impact for those in need.

 About Yad Ezra

Yad Ezra opened its doors in 1990 with the purpose of providing kosher food to needy Jewish families in Southeastern Michigan. The founders of Yad Ezra learned that there were impoverished Jews living in the community who relied heavily on government assistance programs, including food stamps.

Mission Throttle and Detroit Future City Collaborate to Transform Vacant Land in Detroit

Detroit Future City (DFC) has selected Mission Throttle to help assess opportunities to accelerate its Green Stormwater Infrastructure initiative through social enterprise.

There are more than 120,000 vacant lots — comprising 24 square miles— across Detroit.  While vacant land can be found in every neighborhood and has an impact on every resident, 72% of the city’s vacant lots are located in areas of concentrated poverty.  Detroit also has an aging water system that is often overwhelmed by frequent and intense weather events, leading to severe flooding and further damaging quality of life for residents in vulnerable areas. In urban areas, green stormwater infrastructures can reduce flooding and sewer overflows by absorbing large amounts of stormwater, replenishing the groundwater supply, and reducing the use of sewers.

By effectively utilizing open spaces and greenways throughout the city, DFC’s Green Stormwater Infrastructure (GSI) is uniquely positioned to transform vacant land, and improve quality of life for Detroiters.  While this social enterprise is expected to create an earned revenue strategy for DFC, it will also create a path for Detroit’s environmental sustainability and ultimately, support economic growth. “Detroiters are critical partners in guiding vacant land transformation and assuring that land is an asset that promotes economic, environmental and social quality of life for residents in all neighborhoods” says Anika Goss-Foster, Executive Director, DFC.

Mission Throttle and DFC will work in partnership to determine market demand and capacity for GSI; identify national best practices for community education and GSI implementation that can be deployed in Detroit; and develop a sustainable funding model including earned revenue opportunities that will accelerate GSI adoption throughout the city. “We applaud DFC’s commitment to seeking both financial sustainability for itself and environmental sustainability for our community, and we are eager to collaborate to identify new market-based opportunities for growth” says Susan Gordon, Managing Director of Advisory Services for Mission Throttle.

About Mission Throttle
Mission Throttle is a social impact strategy firm dedicated to accelerating philanthropic innovation in communities. We advise, invest in, and support mission-driven organizations that seek to use market-based strategies to address social and environmental challenges.  We are deeply passionate about our work and believe that merging business solutions and philanthropic values is critical to sustain and scale social impact for those in need.

About Detroit Future City
DFC is a nonprofit charged with catalyzing implementation of the DFC Strategic Framework, a 50-year vision for the City of Detroit developed with input from more than 100,000 Detroiters. Its role is to steward equitable implementation of the recommendations made in the Strategic Framework.  DFC will accomplish this in partnership with residents and public and private stakeholders, and through data-driven strategies that promote the advancement of land use and sustainability, and community and economic development.

 

Women’s business competition EmpowerHER names its winners

Three businesses owned by women have won cash in a “Shark Tank”-style competition dubbed EmpowerHER run by the Michigan Women’s Foundation and underwritten by the Ford Motor Co. Fund. The Ford fund put up the prize money and an additional $90,000 for entrepreneur workshops and training. Motor City STEAM and Women Who Weld of Detroit each won $7,500 in services from Mission Throttle.

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Women social entrepreneurs compete for cash in ‘Shark Tank’-style competition

A dozen women-owned companies seeking investment for their business ideas and startups are vying for a slice of the $50,000 prize money in a pitch competition Wednesday night at Ford’s headquarters in Dearborn.

The “Shark Tank”-style competition — dubbed EmpowerHER — is a project run by the Michigan Women’s Foundation and underwritten by the Ford Motor Co. Fund, which put up the prize money and an additional $90,000 for entrepreneur workshops and training. The finalists —  all from metro Detroit, except one from East Lansing — will pitch their ideas  in front of a panel of judges, that include Susan Gordon, managing director at Mission Throttle and Pamela Alexander, the director of community development for the Ford Motor Co. Fund.

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Funders: are your donations creating sustainable impact?

Giving USA’s most recent report reflected a 2.7% year-over-year increase in US charitable giving. This growth was met with applause by mission-driven organizations that require donations to survive. However, the cost to address chronic social problems in the U.S., from poverty, to environmental sustainability, to public health, far exceeds available philanthropic funding by approximately $3 trillion. As a capitalist (and philanthropist), I believe in the adage “the way you finance your organization is the way you operate it.” If true, reliance on donations may perpetuate unsustainable habits and behaviors that ultimately prohibit nonprofit mission-driven organizations from effectively addressing pervasive social issues, and making a dent in “this philanthropic gap.”

Although donations are a critically important source of revenue, they are also episodic, unreliable and ultimately, not sustainable. For example, starting next year, millions of individual donations to nonprofits could be sharply reduced due to the new tax bill. Some estimates project that as few as 10 percent of taxpayers will continue to itemize charitable deductions on their returns, down from the current one-third.  Additionally, financing nonprofit organizations solely with donations often creates unintended consequences that can prevent scaling services for those in need, including:

  1. Extreme vulnerability during economic downturns: During recessions, the demand for high-quality services increases, while donations decrease.
  2. Stretched capacity: Organizations often stretch their capacity to apply for grants that do not naturally align with their programming, in order to qualify for this free capital.
  3. Diluted entrepreneurial spirit: Management often focuses on what it will take to raise additional grant capital rather than develop creative earned revenue opportunities.
  4. Subordination to expectations of donors: Donor intent often drives strategic development, rather than an organization insisting on its own expertise to effectively drive social impact.
  5. Lack of commitment to impact measurement: Nonprofits are not normally held accountable for specific, measurable impact metrics created through donations, and therefore lack insight into the true effectiveness of their programs.
  6. Uncollaborative culture: In an attempt to preserve and protect donor relationships, many organizations do not share strategies, programs and visions with others, even though it may result in greater impact on the community.

Now more than ever, nonprofits will need more sophisticated operations and programs in order to compete for the investments of selective donors. If the legal frame is lifted from a nonprofit organization, it is essentially a business – and like any business, it requires financial stability, unique programs, and a market-based approach to scaling. So how do we help nonprofit organizations achieve these best practices?

Many funders are increasingly providing capacity expansion grants. These grants are critical for nonprofits to improve their infrastructure, and explore diversified revenue streams including earned income, to improve funding predictability, autonomy, and resiliency. Forward-thinking funders know that sustainable revenue improves an organization’s financial self-sufficiency, which in turn, accelerates mission focus, innovation, growth, and ultimately greater ability to solve our nation’s social needs.

Before making a traditional program donation, funders should pause to think — is the capital you are providing capable of driving true social change?

As leadership shifts, Focus: Hope looks to get leaner

Anthony, a Focus: Hope board member for the past nine years and the former president and CEO of the Greater Detroit Area Health Council, was named interim CEO Friday.. “We believe … the mission of social and racial justice … is just as important today as it ever was.”In order to be true to that mission, “we know first and foremost (we) have to be financially stable,” Anthony said.

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McGregor Fund gives COTS $1.5 million for building renovation, homeless programs

The McGregor Fund in Detroit has granted the Coalition on Temporary Shelter $1.5 million to support its services for the homeless and renovation of its shelter.

COTS will use $900,000 of the grant for its Emergency Shelter and Passport to Self Sufficiency programs, while the rest will help cover the bills to repurpose the vacant Peggy’s Place building in Detroit’s Fitzgerald neighborhood, a news release said.

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A Holiday Message from our Founder

As the holidays approach, many of us look forward to spending time with loved ones, and to sharing stories and remembrances of the past. Many of us also look to what “can be” going forward and make personal pledges to assist those in need, change our behavior, or enhance our own value to our community. At this time of year, I often ask myself: “Is there a better, more sustainable way to fund social change beyond making  donations?” I encourage you to do the same, and consider increasing your philanthropic engagement by investing in or supporting social enterprises. Why not create a true double bottom-line impact that moves the needle on both community and financial returns? If you are not sure how to do that, there are a myriad of resources available to help, including these guides from our friends at Mission Investors Exchange and The Case Foundation.

I also urge you to consider how recent federal tax reform will affect social impact organizations, and if you are fortunate enough to realize savings from the recently passed tax bill, to invest a portion of those savings in your community.

We hope you will join us in finding new ways to create fulfillment and success for others in the coming year, and we look forward to sharing our learnings and accomplishments  from the past year with you in early 2018.

On behalf of the entire Mission Throttle team, happy holidays and a joyful New Year!

 

 

Phillip Wm. Fisher