La Arenera's Social Business Plan 2012-2017 (English)

social business model and business plannovember 2011

Social Innovation Community

About La Arenera

Social Innovation Solutions

Social Innovation Hub

Executive Summary

La Arenera’s Business Plan 2012-2017

2

La Arenera’s Business Plan 2012-2017Executive Summary

La Arenera > Executive Summary > Business Plan 2012-2017

La Arenera is a non-profit corporation that develops, hosts, and mobilizes a vibrant community of social entrepreneurs and innovators in Colombia. The organization was founded in June 2009 and was registered as a non-profit corporation in April 2011 by its Steering Team (ST), currently comprised of eight volunteer members.

La Arenera’s social enterprise model has three programs: Social Innovation Community, Solutions, and Hub. The following document, presents the organization’s Business Plan for term 2012-2017, requiring an investment of USD 304,497 and expected to yield a Net Present Value of USD 454,191 within the next six years at a discount rate of 8%.

The first program aims to develop a community of learning and practice that inspires and materializes social entrepreneurship and innovation in Colombia. By November 2011, La Arenera has grown to 1,070 members in more than 20 cities of Colombia and 40 cities of other 25 countries. About 1/4 of members are full time social entrepreneurs executing projects in areas such as personal, social, environmental, political, and microenterprise development. Their projects reach more than 1,000,000 beneficiaries.

The plan targets 4,000 members by 2017 and a substantial improvement in nurturing, connecting, training, and promoting cooperation among the community. This program requires an investment of USD 44 thousand and

is expected to generate annual operating revenue between USD 180 and 270 thousand from membership and learning events, and a net margin between 5% and 13%.

The second program, Social Innovation Solutions program implements participatory leadership processes in communities and organizations to help them solve their own challenges. In period 2013-2017, this component is expected to generate operating revenue between USD 119 and 247 thousand per year from facilitation and consulting enga-gements. Its projected net margin is between 14% and 20%.

Finally, the Social Innovation Hub, is inspired in The Hub Network and the Centre for Social Innovation in Canada. Through it, La Arenera will create the first co-working space for social entrepreneurs and innovators in Colombia. A Hub is a key to strengthen La Arenera’s community even further. It will open opportunities for powerful social interaction and promote members’ mutual support, advise, and training. Likewise, it will facilitate the emergence of connections with potential partners, clients, suppliers, and funders.

The Hub program requires an investment of USD 241 (79% of total). It is expected to generate annual operating revenue between USD 285 and 575 thousand after 2013 from membership, events and rooms’ rental, and support services. Its projected net margin is between 19% and 49% in 2012-17.

“Life is about the people you meet, and the things you create with them. So go out and start creating.”

– The Holstee Manifesto (2009)

2012 2013 2014 2015 2016 2017

HUB COMMUNITY SOLUTIONS

La Arenera will have 3 key sources of revenue and expenditure – These are expected to grow 20% and 12% respectively until 2017

383

585

739

8861,001

1,098Operating Revenue (thousand USD) Operating Expenditure (thousand USD)

53%

25%

23%

25%

36%

39%

2012 2013 2014 2015 2016 2017

HUB COMMUNITY SOLUTIONSSHARED UNFORESEEN

350436

503550 589 619

29%

32%

27%

4%

33%

36%

8%19%

8%4%

20%*

12%*

Source: La Arenera’s business and financial plan 2012-2017

* CAGR: Compounded Average Growth Rate

La Arenera > Executive Summary > Sources and destination of resources

2012 2013 2014 2015 2016 2017-200

0

200

400

600

800

1,000

1,200

-10%

0%

10%

20%

30%

40%

331505

637763

863946

-20

69 134213 274 327

-6%

14%

21%28%

32%35%

Operating Revenue, Net Income and Net Margin (thousand USD and %)

Operating Income Net Income Net Margin (%)

Given its diverse revenue base, La Arenera is expected to break even by the end of 2013 and reach net margins between 11% and 30%

ANÁLISIS DE RESULTADOSParameter

Period 0 2012 2013 2014 2015 2016 2017

(a) OPERATING REVENUES (without Sales Tax) 330,603 504,648 637,342 763,402 863,201 946,201 GROSS OPERATING REVENUES (with Sales Tax) 383,499 585,391 739,317 885,546 1,001,313 1,097,593 A. SOCIAL INNOVATION HUB 150,508 286,931 363,674 455,692 529,283 579,981 B. SOCIAL INNOVATION COMMUNITY 137,250 179,381 228,194 249,685 259,724 270,551 C. SOCIAL INNOVATION SOLUTIONS 95,741 119,079 147,449 180,170 212,306 247,061(b) OPERATING EXPENSES (c+d) 349,214 434,756 501,297 548,357 587,256 616,584(e) OPERATING PROFIT (a-b) -18,612 69,892 136,046 215,045 275,945 329,617(f) NON-OPERATING REVENUES 0 0 0 0 0 0(g) NON-OPERATING EXPENSES 1,015 1,367 1,590 1,860 2,073 2,230(h) INCOME BEFORE TAXES (d+e-f) -19,626 68,525 134,456 213,185 273,872 327,387(i) INCOME TAX (Aplicable only to the HUB portion) 0 0 0 0 0 0(j) NET INCOME (g-h) -19,626 68,525 134,456 213,185 273,872 327,387(k) DEPRECIATION 11,370 11,086 11,114 11,270 11,254 11,254

(l) INITIAL INVESTMENT

-304,49

7

(m) NET CASH FLOW

-304,49

7 -8,256 79,611 145,570 224,455 285,127 338,641NET PRESENT VALUE (NPV) 454,191


La Arenera > Executive Summary > Projected results 2012-2017 (USD)

The initial investment of plan 2012-2017 is estimated in USD 304,497 - 79% for the Hub, 17% for the Community and 4% for Solutions

241350.118884615; 79%

51137.919740422; 17%

12008.7228834166; 4%

A. SOCIAL INNOVATION HUBB. SOCIAL INNOVATION COMMUNITYC. SOCIAL INNOVATION SOLUTIONS

TOTAL INITIAL INVESTMENT304,49

7

A. SOCIAL INNOVATION HUB241,35

0

Capital Expenditure (CAPEX) 77,970

Rent, Administration and Public Utilities 81,912

Personnel 43,476

90% of Shared Expenses 2012 24,132

90% of Unforeseen Expenses 2012 13,861

B. SOCIAL INNOVATION COMMUNITY 51,138

Personnel 22,265

One Art of Hosting Workshop 13,994

One Social Innovation Week 14,880

C. SOCIAL INNOVATION SOLUTIONS 12,009

Personnel: Consulting Coordinator 10,256

Personnel: Intern 1,753


La Arenera > Executive Summary > Required Initial Investment (USD)

The project is robust given variations in discount rates and has mid-level sensitivity to variations in operating revenue and expenses

70% 80% 90% 100% 110% 120%

-455-148

148450

7491049

Sensitivity of NPV given changes in operating revenue

70% 80% 90% 100% 110% 120%

1149894

670450

220

-9

Sensitivity of NPV given changesin operating expenses

12% 10% 8% 6% 5% 4%

340 384 444 517 552 590

Sensitivity of NPV given changes in discount rate/cost of capital


La Arenera > Executive Summary > Partial sensitivity analysis Net Present Value (USD)

Work Schedule for 2012

Road MapActivities2011 Year 2012

Responsible Dec Jan Feb Mar Apr Ma

y Jun Jul Aug Sep Oct Nov Dec

SOCIAL INNOVATION COMMUINITY

1.1. Art of Hosting

1.2. Social Innovation Week

1.3. Solidarity Economy “EcoSol” Online 1.3. Re-vamp online portal LaArenera.org

1.5. Learning and hosting events

SOCIAL INNOVATION SOLUTIONS

2.1. Certification of Hosts

2.2. Continuous Business Development

2.3. Systematization of experiences

SOCIAL INNOVATION HUB

3.1. Site selection

3.2. Partnership agreements signed

3.3. Team selection

3.1. Collaborative design of the space

3.2. Collective transformation of space

6.3. Sales of membership plans

7.1. Start of operations

7.2. Pre-launch in Social Innovation Week

7.4. Official launch and party

Milestones

March 01, 2011 – site still under construction

March 13, 2011

March 31, 2011

March 14,15 and 16, 2011

The pioneers are signed in

Promotion begins Hosting continues

After each Art of Hosting


About La Arenera



Executive Summary


9

0 5 10 15 20 25 30 35 40 45 50 55 60 65 70 75 80

Poverty incidence by income: population with less than U$2 per day 2009 (%)

GIN

I C

oe

fficie

nt*

(2

00

0-2

01

0)

Despite recent progress, Colombia still has one of the highest poverty rates and one of the highest social inequalities in the World

Poverty incidence and inequality in Colombia and selected developing countries

(Country: millions of poor)

China: 498

Source: UN Human Development Report, World Bank – World Development Indicators, CIA – World Fact Book, Colombia’s National Monitoring and Evaluation System – SINERGIA

0,20

0,30

0,40

0,50

0,60

0,70

0,58

Chile: 2

Brazil: 25

Ukraine: 1

Indonesia: 144

Poland: 1Vietnam: 43

* GINI Coefficient: a measure of income distribution ranging between zero and one. 1,00 corresponds to perfect inequality and zero to perfect equality.

Peru: 5

Latin America Asia Pacific Eastern Europe Africa

Mexico: 9

54,2

TaiwanChina

MalaysiaMoroccoVietnam

ChileArgentina

CoreaIndonesia

RusiaPoland

South AfricaTurkeyEgypt

VenezuelaIndiaBrazil

MexicoPeru

UkraineColombia

1.1

2.5

3.8

7.5

12.1

11.5

13.2

13.7

14.2

13.1

17.1

18.7

18.9

20.3

25.1

24.6

24.9

33.7

34.8

35.0

45.5

1.0

3.7

7.2

14.0

28.9

19.2

57.5

15.2

18.2

19.7

16.6

31.1

27.2

17.9

48.6

28.2

37.8

39.4

54.7

19.2

Egypt: 15

2002 2009 (Estimate)

South Africa: 21

India: 926

Russia: 3Malasyia: 3

Colombia: 13

Millionsof poor

Población bajo línea nacional de pobreza (%)

Venezuela: 3

Argentina: 3

Turkey: 6Morocco

27,9

In this context, La Arenera seeks to develop, host, and mobilize a vibrant community of learners and practitioners of social innovation

La Arenera contributes to the generation of a transformational force that creates and promotes sustainable social and economic systems,

based on dignity of the human being and affirmation of life

Develop a community of learning and practice

that inspires and materializes

social innovation

Lead the community towards specific projects

that use participatory leadership for social

innovation

1.LaArenera.org2.Art of Hosting (AoH)3.Solidarity Economy

“EcoSol”4.Social Innovation Week

“SIW”5.Happy hour “Pola Social”

1.Design and facilitation of participatory leadership processes

2.Innovation labs

Mis

sio

nG

oals

Pro

gra

ms

an

d p

roje

cts

1.# members in LaArenera.org

2.# organized learning events

3.# participants learning events

4.# participants in social events

5.# deals executed in “EcoSol”

6.% active members7.Members satisfaction

1.# certified AoH* Hosts 2.# days / projects

delivered 3.# participants projects

delivered 4.Client satisfaction (1-10) In

dic

ato

rs


La Arenera in brief

Create a co-working space that promotes alternative

ways of work, mutual support, and social

organization

1.Co-working space2.Open space3.Meeting and events

rooms4.Shared services5.Entrepreneur support

services1.# Hub members 2.% use of co-working

space 3.# hours sold of rooms4.# active support services 5.# of joint projects

generated 6.Hub members

satisfaction7.% growth in members’

BR*

Social Innovation HubSocial Innovation Solutions

*BR: Beneficiaries and revenues

Valu

es

Co-creation Integrity FlexibilitySustainabilityUnconditional acceptance of the other

Social Innovatio

n Solutions

Social Innovation

Hub

Social Innovatio

n Communit

y

A creative and vibrant learning community of social entrepreneurs and innovators. It discusses, tests and implements social innovations. The community

is co-developed and owned by its members within a flexible structure.

Social innovation solutions aims at promoting citizens participation, building social capital and generating sustainable initiatives. It is a client-centered business where social innovations are produced within organizations and communities are transformed into products and services.

The organization has three core programs, including: Social Innovation Community, Social Innovation Solutions, and Social Innovation Hub

La Arenera’s core programs

The Hub is the house of social entrepreneurs and innovators. It is a hybrid model of private co-working space and open space.

The private co-working space hosts social entrepreneurs in a convenient location of Bogotá, with adequate infrastructure and affordable plans. The open space invites everybody to connect, interact and host meaningful conversations around issues that matter. The Hub is the infrastructure that supports innovation

emergence and development. 12

La Arenera’sKey Performance Indicators (KPIs)

Baseline Goals 2012-2017

Social Innovation Community 2009 2010 2011 2012 2013 2014 2015 2016 2017

# users registered in LaArenera.org 124 421 1070 1300 1700 2200 2800 3500 4000

# learning events (e.g. AoH*, SIW**, dialogues) 4 15 12 15 20 25 30 35 35

# participants in learning events 550 690 605 1000 1500 2000 2500 3000 3500

# participants in social and cultural events 150 200 400 600 800 1000 1200 1400 1600

# deals executed in Solidarity Economy “EcoSol” - - 5 80 100 150 200 250 300

% active members (participate ≥ 2 activities) 30% 35% 35% 40% 40% 40% 40% 40% 40%

% members say La Arenera adds value to them 70% 70% 70% 70% 70% 70%

Social Innovation Solutions 2009 2010 2011 2012 2013 2014 2015 2016 2017

# certified AoH* Hosts - - 10 25 40 60 80 100 120

# days / projects delivered - - 50/1 180/6 220/10 260/12 300/14 340/16 380/16

# participants in projects delivered - - 1300 3000 4000 6000 8000 10000 12000

Client satisfaction (1-10) - - 9 8 8 8 8 8 8

Social Innovation Hub 2009 2010 2011 2012 2013 2014 2015 2016 2017

# Hub members - - - 136 166 196 226 256 271

% used capacity of co-working space - - - 45% 55% 65% 75% 85% 90%

# hours sold of meeting and event rooms service - - - 964 1157 1350 1542 1735 1928

# active support services - - 5 12 15 15 15 15 15

% members using support services - - - 20% 30% 30% 30% 30% 30%

# of joint projects generated 6 12 18 24 30 30 30

% growth in members’ beneficiaries and revenues - 10% 10% 10% 10% 10% 10%

% members say the Hub adds value to them - - - 80% 80% 80% 80% 80% 80%

La Arenera’s Scorecard is comprised of 19 Key Performance Indicators

* AoH: Art of Hosting, ** SIW: Social Innovation Week

And its organizational structure is based on the three core programs – the Social Innovation Hub is co-led with partners like Somos Más La Arenera’s organizational structure

La Arenera’s Steering Team


National Community Development & Events Manager

Manager Community

Development Cali

Participatory Leadership

Manager


ManagerSocial Innovation

Solutions

Consultants & AoH Facilitators


Hub Manager & Entrepreneurs’

Support Services

Entrepreneurs’ Hosts

Marketing and Sales

Coordinator

Administrative Assistant & Intern

Somos Más & Key Partners

Paula, Hub Manager & Entrepreneurs’ Support Services• Education: Bachelor of Business Administration

from Universidad de los Andes• Relevant experience: Host at the Hub Sao Paulo,

Consultant at Sustainable Business Consulting BSD Consulting, and National Corporate Social Responsibility Coordinator at AIESEC in Colombia

“I believe in the power of individuals and communities that dare to discover who they are and what they really care about by looking inside, by listening to one another, by taking the first step and by earning from every experience, every time. I'm inspired by our capacity to co-create, to understand we interARE, to see diversity and complexity as a fertile ground for real solutions. How to nurture environments where our collective wisdom and deep connections can really blossom into the collaborative actions that need to emerge now? This question moves me everyday to open up, to learn, to show up.”

Germán Forero, Hub Steering Team Member

• Education: Bachelor of Business Administration and Economics, Universidad Nacional de Colombia

• Relevant experience: University lecturer, co-founder of several companies, currently President of Corpración La Visión and Sociedad Ecoparques La Visión SAS

“I believe each one of us is an aspect of Love that Creates, and that is why we are, inspirers, creators, inventors, producers and makers. If I find that I am happy and that my life seems enlightened, I feel I inspire those who enter my life. Let’s trust that all our inspirations, hopes, dreams and creativity come to our community, manifesting new material realities as miracles around us.”

Team profiles

Juan, Hub Host and Hub Marketing & Sales Coordinator• Education: Bachelor of Information Systems

Engineering from Universidad Nacional and MBA candidate from Universidad de los Andes

• Relevant experience: Project Manager at Somos Más Corporation, Materials’ Planning Specialist at Bavaria, and Project Analyst at Banco de Bogotá

“I'm an enthusiast of technology as a tool to generate social value. Today, I'm inspired by life, respect and dignification of all beings. I dream of a world in which we recognize and honor the worth of each and every living being. I'm energized by happiness and the freedom of riding bicycle.”

Carolina, Hub Host andand National Community Development & Events Manager

• Education: MSc in Human Ecology from Centre of Human Ecology-Edinburgh and University of Strathclyde. Bachelor of Marketing from Politécnico Grancolombiano.

• Relevant experience: Consultant to the Ministry of Education of Colombia in the multi-sector national strategy to promote healthy lifestyles; Coordinator of private sector partnerships, UN World Food Programme – Colombia; Experience in community projects related to urban agriculture and fair trade; Experience in film production and multimedia design.

“I dream of a society in which we gradually unite strengths to live in community, and we recognize ourselves as a form of life, like so many others on the planet, that live intimately connected and interdependent. I want us to be willing to learn from others, acknowledging the difference and diversity of knowledge.”

The Team

15

Carlos Barrero, Hub Steering Team Member• Education: Master in Visual Arts from La

Universidad Distrital Francisco José de Caldas – ASAB. Studies in Creation, Culture and Design from La Pontificia Universidad Javeriana.

• Relevant ExperienceConsultant and facilitator from ASIFA Colombia (Asociación de film animados) and AsoMúsica Bogotá. Founder of Fabricca – creative and cultural industry. Co-wrote the “Manual of Cultural Entrepreneurship” for the Ministry of Culture. Participant at the Mesa de Agremiaciones del Sector Audiovisual en Colombia.

I am inspired by entrepreneurship and am challenged by the possibility of creating spaces and processes of citizen participation with direct impact in public affairs. Hi level of leadership, team work, capacity to effectively and efficently solve problems, hi level of handling interpersonal relations. Consultant in cultural development processes In any sort of social group or local, regional or national community and public or private entities

Team profiles

Nicolás Martín, Hub Steering Team Member• Education: Bachelor of IS Engineering from

Universidad de los Andes• Relevant experience: Executive Director at

Corporación Somos Más, and Social Trainee at Universidad de los Andes

The Team

16

Jennifer, Manager Community Development Cali• Education: Bachelor in Mechatronics

Engineering• Relevant experience: Trainee Ozka Lastik ve

Kaucuk, Facilitator at Elos Institutes and Director of Information Systems at AIESEC in Colombia

“When we achieve a communion between vision and commitment, just there in the middle lies action. And that is what we need now, in a world in which each individual with his/her initiative or idea, is like a neuron connecting with other neurons to make an organism which decides what to be, how to be and where to go. That is my purpose by being part of this community of learning and practice which connects to innovate and pursue, and which takes advantage of its individual and collective potential to build the best world in which we wish to live today!”

Pablo, Participatory Leadership Manager and Consultant

• Education: Master in Philosphy and Bachelor in Pure Mathematics and Digital Media Design

• Relevant experience: Art of Hosting facilitation, Art Director at Levkane Advertising.

“How do we create a participatory space, with a common purpose and dependent of no single individual? How do I address the difference between the Other and myself when such difference refers to profound beliefs? These questions abound in me every time I find myself in a La Arenera meeting, every time I attend or facilitate a conversation, every time y reflect upon world violence and the possibility of peace.”

Vladimir, General Steering Team Member• Education: MPA candidate Columbia University,

Master of Business Economics from Sao Paulo School of Economics FGV, and Bachelor of Economics and International Business Icesi

• Relevant experience: consulting project manager at Kaiser Associates, consultant at Invest Hong Kong, president at Columbia Impact Investing and President at AIESEC in Colombia

“I believe in the possibility of inspiring and supporting entrepreneurship, social innovation and freedom-oriented development in pursuit of bettering the quality of life of millions of Colombians. I believe in the potential of clusters, the development of trust and cooperation amongst entrepreneurs and social innovators in order to generate high-impact changes.”

• Who is the community?• What has been achieved so far?• What are the goals for the future?• Financials

GoalDevelop a community

of learning and practice that inspires and

materializessocial innovation


About La Arenera



Executive Summary


17

La Arenera is comprised of learners and practitioners of social entrepreneurship – about 1/4 are full-time social entrepreneurs

16%

28%

56%

Developmentstage(2-3 years)

Expansion stage(more than 3 years)

Start-upstage(1st year of operation)

Development stage of La Arenera’s social entrepreneurs

* A high proportion of members did not answer the question because it was only introduced in La Arenera’s online registration on March 2011 - the number and proportion of members engaged in social entrepreneurship is greater with high probability. Source: Comunidad de La Arenera en Internet http://www.laarenera.org/. Update: November 24, 2011

¿Is social entrepreneurship your main

economic activity?

500*

(47%)

Did not answer the question*

244(23%

)

Practitioners – Social entrepreneurship IS their main economic activity

La Arenera > Social Innovation Community > Who is the community?

326(30%

)

Learners – interested in the topic but social entrepreneurship IS NOT their main economic activity

http://www.laarenera.org/

Members are interested in learning and solving a wide range of social, political, environmental and economic issues

Category Issues of interestFrequency %

1. Personal, and leadership development

Personal, spiritual and leadership development 350 50%Arts and culture 404 58%Creativity and innovation 31 4%

2. Social, political and community development

Social and community development 370 53%Application of IT to social and environmental challenges 184 26%Citizenship participation and political development 35 5%

Collaboration, participatory technologies, and networking 21 3%

Education and empowerment 19 3%

Conflict solution and peace building 6 1%

3. Environmental and sustainable development

Environmental and sustainable development 398 57%Design, architecture, housing, construction, and urban development 54 8%

Enhancement of outdoor activities: walking, hiking, riding bycile, etc. 26 4%

Healthy and sustainable life stile 21 3%

4. Economic development and social enteprise

Private sector development and entrepreneurship 342 49%Marketing, communication and advertisement 177 25%Corporate Social Responsibility (CSR) 53 8%

Social enterprise, inclusive businesses, and fair trade 22 3%

Rural development 6 1%

Impact investing and microfinance 5 1%

Other interests 123 18%

Total number of members that answered the question on July 2011 (81%) 696

La Arenera > Social Innovation Community > Who is the community?

Source: La Arenera online http://www.laarenera.org/. Update: July 19, 2011


And most of them join the community to network in social projects and acquire knowledge and skills in social entrepreneurship

• “Get to know similar or complementary initiatives to ours. Strengthen our work through the creation of networks of trust and support” Manager of Concious Market: Agricultural Producers

• “Network with social organizations with similar objectives” Representative, “Ser Vivienda”: Social Housing for Vulnerable Populations

• “Meet more people involved in social entrepreneurship, learn about them and exchange experiences with them” Income Generation Coordinator, “Somos Capaces”

• “Network, provide support and receive support for projects aiming at transforming the social environment of people that work hard every day” Writer and Filmaker, Ormiga Roja Films

Relate and work with other in social projects

• “Have access to information, training events and social events”Training and Volunteerism Coordinator, Catalina Muñoz Foundation

• “Aquire knowledge and experience in methodologies to work with communities” Psychologist with training and experience in community work

• “Learn about new initiatives for a development without frontiers” Director, Pisco Without Frontears

Acquire knowledge and skills in social entrepreneurship and innovation

• “Identify and disseminate social enterprises that contribute to sustainable development in Latin American”Funder and Manager for Latin America, BID Network

Get to know and disseminate the community

• “Access to diversity and creativity” Member of La AreneraOther reasons

Source: La Arenera online http://www.laarenera.org/. Update: July 19, 2011

La Arenera > Social Innovation Community > Who is the community?Reasons to

joinQuotes

84%

16%

16%

6%

%


La Arenera’s community grew substantially during the past 3 years and now has more than 1,000 members in Colombia and abroad

La Arenera > Social Innovation Community > What has been achieved so far?

At current growth rates, La Arenera can reach 2,500 members by the end

of year 2012, covering 26 municipalities of Colombia y 54 cities in 26 countries

20

09

-Q1

20

09

-Q2

20

09

-Q3

20

09

-Q4

20

10

-Q1

20

10

-Q2

20

10

-Q3

20

10

-Q4

20

11

-Q1

20

11

-Q2

20

11

-Q3

20

11

-D

ec*

65 97 153268 309 324

415

614720

847

38

5657 60

79

106

115

135

6

27

48

56

87124

204

349399421

543

818

961

CAGR**09-Q3 a 11-Q3

International

Bogotá

Cali

Medellín

Barranquilla

Other localcities

75%

5%

10%

VAR ANUAL10-Q3 a 11-Q3

VAR TRIM.11-Q2 a 11-Q3

29% 102% 8%

47% 182 9%

n.a. 175% 0%

n.a. 90% 19%

n.a. 2.300% 78%

55% 133% 17%

60%

Locationof members

11 19

1100

Source: La Arenera online http://www.laarenera.org/. * La Arenera’s Forecast.

** CAGR: Compounded Average Growth Rate

60% 134% 17%Total


In the last three years La Arenera hosted 25 events engaging 1845 participants in dialogues about solutions to development issues

Source: La Arenera’s Steering Team estimates.

Year Events organized Participants Partner

2009

Innovation and entrepreneurship congress 350Business Administration School

EANTurning SENA an environmentally sustainable institution 200 National Learning Service SENA

Green markets potential 50 Sustainable Action Fund

Sub-total 550

2010

Vision for the Caribean Region (11 workshops) 280Universidad Tecnológica Bolivar

UTP

Social innovation lecture 300 Universidad Central

Living a green life workshop 80 International Environmental Fair

The Hub’s contribution to social entrepreneurship 30 The Hub Sao Paulo

Sub-total 690

2011

What can the world learn from Bogota? 80

University generating changes the country needs 60 Universidad de los Andes

How to generate community in big cities? 150 TED and Universida de los Andes

Workshop of dreams and gifts 50 Alianza Social Uniandina

How to cooperate in overcoming extreme poverty 80 Presidential Agency Accion Social

Developing inclusive businesses 35 Universidad Icesi

Towards an open door organization 20 Somos MásContribution of volunteerism to solve extreme poverty 100

World Summit of Youth Volunteering

First meeting of the The Art of Hosting in Colombia 30 The Art of Hosting

Sub-total 605Total number of participants 1845



“LaArenera.org” was created to keep members connected, while “The Infiltrates” and “Solidarity Economy” promote cooperation

LaArenera.org• 1077 members* • Advanced members’ search tool• 101 forums and 55 groups by areas of

interest• Monthly bulletin and events calendar keep

members informed• Resource section shares knowledge and

useful links on social entrepreneurship and innovation

The Infiltrates “Los Infiltrados”• Offer opportunities for members

to experience and provide feedback to each others’ projects and organizations

Solidarity Economy “Ecosol”• Online platform promoting

exchange of goods and services among members (in testing stage)

* Update: November 24th, 2011


Likewise, 30 leaders were trained in the Art of Hosting* over 3 months of 2011 and a community of participatory leadership was created

* Training in The Art of Hosting deepens competency and confidence in hosting group and participatory processes such as Circle, World Café and Open Space, among others. See more details at: http://www.artofhosting.org/theart/

• 30 entrepreneurs were trained in the Art of Hosting* (AoH) group processes, through a 3-day training workshop and two months of practical training activities• Techniques covered included the Circle, World Café, and Open Space• Participants formed the first community of hosts in participatory leadership. It will support each others development of AoH skills and their application to different organizacions and communities

http://www.artofhosting.org/theart/

La Arenera > Social Innovation Community > What are the goals for the future?

Goals for 2012 and 2017

La Arenera’s key goals for 2012 in this program are:• Increase membership from 1070 to1300• Key events: increase Art of Hosting Meetings from 1 to 4 with and participants from 30 to 120.

Likewise, deliver one Social Innovation Week with 400 participants• Launch the platform for Solidarity Economy “EcoSol”• Ensure that at least 40% of members are active (that is, participate in two or more physical learning

or cultural events) and 70% of members say that the community adds value to them.

La Arenera’s goals for year 2017 in this program are:• Grow the community from 1070 to 4000 members from Civil, Private, Academic and Public

sectors, committed to implementing and supporting social entrepreneurship and innovation. • Facilitate the development of new relationships, dialogue and cooperation among members by

increasing learning events, social events, and dialogues from 12 to 35 and participants from 1000 to 5100.

• Increase the number of members offering and receiving support through 300 cooperation deals in EcoSol”

• Ensure that at least 40% of members are active (that is, participate in two or more physical learning or cultural events) and 70% of members say that the community adds value to them.



SOCIAL INNOVATION COMMUNITY 2009 2010 2011 2012 2013 2014 2015 2016 2017

# members registered in LaArenera.org 124 421 1070 1300 1700 2200 2800 3500 4000

# learning events (e.g. AoH*, SIW**, dialogues) 4 15 12 15 20 25 30 35 35

# participants in learning events 550 690 605 1000 1500 2000 2500 3000 3500

# participants in social and cultural events 150 200 400 600 800 1000 1200 1400 1600

# deals executed in Solidarity Economy “EcoSol” - - 5 80 100 150 200 250 300

% active members (participate ≥ 2 activities) 30% 35% 35% 40% 40% 40% 40% 40% 40%

% members say La Arenera adds value to them 70% 70% 70% 70% 70% 70%

La Arenera > Social Innovation Community > Financials(values in USD)

The Social Innovation Community is financially self sustainable mostly through event fees and sponsorships

* Events revenues include participants’ fees and sponsorships. Source: La Arenera’s Financial Plan 2012-2017

OPERATING REVENUE 137,250 179,381 228,194 249,685 259,724 270,551 Art of Hosting and Seminar Series* 98,933 136,941 180,342 195,664 203,439 211,822

Social Innovation Week* 24,467 25,548 27,221 29,067 30,222 31,467

Hub School* 13,244 16,173 19,770 23,927 24,877 25,902

LaArenera.org, Advertising 606 720 862 1,027 1,186 1,359

OPERATING EXPENDITURE 114,495 144,347 173,490 184,192 191,511 199,403 Personnel 22,265 29,777 34,843 36,899 38,365 39,946 Art of Hosting and Seminar Series, Sales Commissions 9,893 13,694 18,034 19,566 20,344 21,182

Art of Hosting and Seminar Series 61,572 79,745 98,473 104,282 108,425 112,894

Social Innovation Week 14,880 15,142 15,865 16,801 17,468 18,188

Hub School 5,081 5,170 5,417 5,737 5,965 6,210

Software License Fee, LaArenera.org 804 818 857 908 944 983

SOCIAL INNOVATION COMMUNITY 2012 2013 2014 2015 2016 2017 Gross Operating Income (with Sales Tax) 137,250 179,381 228,194 249,685 259,724 270,551

Net Operating Revenue (without Sales Tax) 118,319 154,639 196,719 215,245 223,900 233,234

Operating Expenditure 114,495 144,347 173,490 184,192 191,511 199,403

5% of Shared Expenditures 1,341 1,653 1,876 2,106 2,284 2,441

5% of Unforeseen Expenditures 770 960 1,108 1,210 1,294 1,357

Operating Surplus 1,714 7,679 20,245 27,737 28,811 30,033

Operating Margin (%) 1% 5% 10% 13% 13% 13%

• What is the program about?• What has been achieved so far?• What are the goals for the future?• Financials

GoalLead the community

towards specific projects that use participatory leadership for social

innovation


About La Arenera



Executive Summary


27

Social Innovation Solutions uses La Arenera’s strength in participatory and co-creation processes to serve organizations and communitiesLa Arenera > Social Innovation Solutions > What is the program about?

• Social Innovation Solutions is the consulting arm of La Arenera• Projects are structured and customized for clients that want to adopt a participatory approach or involve key stakeholders in:

• Identifying problems and opportunities• Designing and planning solutions• Implementing solutions• Monitoring and evaluating solutions• Exploring and learning together

• Clients are private companies, public institutions and communities• Projects are delivered by La Arenera’s community of participatory leadership hosts, and make use of different social technologies, such as:

• Open Space & Circle• Appreciative Inquiry• World Café & Pro-action Café• U Process

28

La Arenera > Social Innovation Solutions > What has been achieved so far?

3 projects were delivered for private, public and civil clients with 1480 beneficiaries in 2011 and one is confirmed for Government in 2012*

Client: National Consulting Center and Ministry of Labor• 31 Open Spaces and World

Cafés in 2011 with 1300 participants in 13 Colombian municipalities to identify opportunities for employment and income generation

Client: Presidential Agency for Social Action• World Café with 80

participants of the National Fair “Respon-sible Colombia” in 2011 to explore the question: How to mobilize for overcoming extreme poverty in Colombia?

Client: 2nd Annual World Summit for Youth Volunteerism, 2011• World Café with 100

participants exploring contributions of voluntarism to end extreme poverty and connections with Governmental Initiative “Colombia en Acción”

Projects delivered in 2011

Client: Administrative Department for Social Prosperity• During the Social Innovation

Week in March 2012, La Arenera will host on behalf of National Government four workshops with development experts and practitioners interested in topics relevant to the contribution of social innovation to overcome extreme poverty

• Facilitation of two Pro-Action Cafés in which experts and other actors of interest provide feedback to 21 social innovation initiatives and will build networks

Projects confirmed for 2012

* Update: November 2011

La Arenera > Social Innovation Solutions > What are the goals for the future?


La Arenera’s key goals for 2012 in this program are:• Certify 25 hosts in participatory leadership to increase capacity of serving a higher number of projects• Deliver at least six projects and 180 days of participatory and co-creation facilitation• Increase the number of project participants and beneficiaries from 1300 to 3000• Ensure a high level of client satisfaction (grade equal or greater than 8 out of 10)

La Arenera’s goals for year 2017 in this program are:• 120 certified hosts in participatory leadership• Deliver at least 16 projects and 380 days of participatory and co-creation processes• Involve at least 8000 project participants and beneficiaries• Ensure a high level of client satisfaction (grade equal or greater than 8 out of 10)



SOCIAL INNOVATION SOLUTIONS 2009 2010 2011 2012 2013 2014 2015 2016 2017

# certified AoH* Hosts - - 10 25 40 60 80 100 120

# days / projects delivered - - 50/1 180/6 220/10 260/12 300/14 340/16 380/16

# participants in projects delivered - - 1300 3000 4000 5000 6000 7000 8000

Client satisfaction (1-10) - - 9 8 8 8 8 8 8

La Arenera > Social Innovation Solutions > Financials(values in USD)

The program is expected to generate revenues of USD 82K in 2012, 213K in 2017, and operating margins between 15% and 20%


OPERATING REVENUE 95,741 119,079 147,449 180,170 212,306 247,061 Design and Facilitation of Participatory leadership 95,741 119,079 147,449 180,170 212,306 247,061

OPERATING EXPENDITURE 68,133 85,666 104,877 125,146 144,760 165,971 Personnel 12,009 15,861 18,441 19,529 20,305 21,142

Fees hosts and consultants 47,871 59,540 73,725 90,085 106,153 123,531

Sales Comission of consulting projects 8,254 10,265 12,711 15,532 18,302 21,298

SOCIAL INNOVATION SOLUTIONS 2012 2013 2014 2015 2016 2017 Gross Operating Income (with Sales Tax) 95,741 119,079 147,449 180,170 212,306 247,061




5% of Unforeseen Expenditures 770 960 1,108 1,210 1,294 1,357

Operating Surplus 12,292 14,375 19,250 26,857 34,684 43,215

Operating Margin (%) 15% 14% 15% 17% 19% 20%

• What is it?• What has been achieved so far?• What are the goals for the future?• Financials

GoalCreate a co-working

space that promotes alternative

ways of work, mutual support, and social

organization


About La Arenera



Executive Summary


32

La Arenera > Social Innovation Hub > What is it?

The Hub is a co-working and meeting space for social entrepreneurs, innovators and service providers, inspired in the Hub Network* & CSI**

Hub Miland, Italy

Hub Amsterdam, The Netherlands

Hub Atlanta, The United States* The Hub Network: http://the-hub.net/, **CSI: Centre for Social Innovation (http://socialinnovation.ca/)

http://the-hub.net/

http://socialinnovation.ca/

The first Hub of La Arenera will offer social entrepreneurs a convenient location, adequate infrastructure and affordable membership plans

Safe, convenient location, easily

reached by public transportation

in Bogota

Flexible and affordable plans providing office space, meeting

rooms and event rooms

Hub membership plans

Hub Conection

Hub25

Hub50

Hub100

HubUnlimited

HubTeams

• 5 hours of co-working space• Internet and public utilities• Discounts on events and meeting rooms• Access to 30 Hubs operating worldwide

• 25 hours of co-working space• Hub Conextion benefits, plus:• Access to entrepreneurs’ support

services

• 50 hours of co-working space• Hub 25 benefits, plus:• Keycar for 24/7 access• Locker space for personal storage • Post service for personal mail

• 100 hours of co-working space• Hub 50 benefits, plus:• 2 hours of free meeting room• 1 free day pass for a colleague or

partner • Unlimited hours of co-working space• Hub 100 benefits, plus:• 3 hours of free meeting room• 2 free day pass for a colleague or

partner • Dedicated office space for your team

of 2 to 5 people• Hub Unlimited benefits for each

member of the team

Well equiped: broad-band Internet,

phone, meeting rooms , events and rest

rooms drinks and coffee

shops

Ample space(~700 m2) designed

to promote co-working and cooperation

La Arenera > Social Innovation Hub > What is it?Hub characteristics

As well as 5 types of support services and resources: training, advise, connection with investors, shared services, and socio-cultural events

Support Area

Description

The Hub will develop partnerships to offer a relevant training in topics of interest to social entrepreneurs

Hub services & initiatives

•Conferences•Workshops•Seminars•Boot Camps

Training

Through a network of advisors the Hub will offer social entrepreneurs with mentorship and specialized advise services

•Mentorship and coaching•Specialized technical advise•Advise on generation of business models and plans•Management consulting

Advise

The Hub will organize and facilitate the social entrepreneurs’ connection with potential sponsors and investors

•Fundraising information•Fundraising trainings•Pitch series•Business plan contests

Connection with

Investors

SharedServices

The Hub will officer shared services that will facilitate entrepreneurs to focus in the core business

•LaArenera.org•Printing and fax•Accounting•Messaging

Fuente: HUB San Francisco

La Arenera > Social Innovation Hub > What is it?

Socio-cultural events

A series of cultural and social events will be hosted in the Hub to promote networking, fun, and new friendships

•Open spaces, world cafés•Art gallery•Cinema and music shows•Cocktails

La Arenera > Social Innovation Hub > What has been achieved so far?

With help of CI3* benchmarking, competition, market, and financial analyses were conducted, indicating feasibility of a Hub in Bogota

* CI3 is Columbia University’s Impact Investing Initiative. Learn more at http://www.ci3.us/

Pricing, budget, and financial analysis study

Pricing was set based on the previous three steps. Subsequently, a detailed budget and financial analysis of the project was conducted, indicating project feasibility.

Market perception analysis

One focus group and a survey with 81 social entrepreneurs were conducted to obtain feedback and their requirements for a local Hub in Bogotá. Likewise, a focus group with social development leaders was

executed.

Domestic competition analysis

Five domestic co-working and shared office models were studied in depth, including Regus, Smart Business Solutions (SBS), Prime Holding, HubBog, and ParqueSoft

International benchmarking analysis

Primary and secondary research of Hubs in Amsterdam, Milan, Sao Paulo, Oaxaca, Madrid, and Bay Area USA

http://www.ci3.us/

The market perception research indicates that +80% of entrepreneurs are willing to use the Hub under certain conditions or when it is running

50%

38%

12%

Would make use of one of the Hub plans, under certain conditions

I like the Hub's value proposition and will make use of one of its plan as soon as it open doors

I would not make use of any of the Hub plans

*Hub Project’s Market Perception Survey, August 2011. Question answered by 61 and omitted 21.

La Arenera > Social Innovation Hub > What has been achieved so far?

• The Hub’s market is comprised of five segments:

1. Current social entrepreneurs2. Non-profit organizations3. For-profit social enterprises4. Social free-lancers and services providers to

social entrepreneurs and organizations5. Prospective social entrepreneurs

• According to expert Rodrigo Villamirzar there are more than 136,000 non-profit organizations in Colombia. A study from Corporación Somos Más Indicates that approximately 12,000 of them are located in Bogotá• La Arenera estimates that about 50% of non-profit

and social enterprises are still informal, increasing potential market by 12,000. The organization also registers a growing interest for social enterprises in Colombia, reflected in the recent “Growing SMEs Colombia” congress organized by the BiD Network in 2011• The Hub aims at hosting 136 social entrepreneurs

in 2012 and 276 in 2017, representing a 1.1% and 2.3% share of the formal market

The Hub’s market Social entrepreneurs’ willingness to join the Hub*

La Arenera > Social Innovation Hub > What are the goals for the future?


La Arenera’s key goals for 2012 in this program are:• Reach 136 paying members and 45% used capacity of co-working space by year-end 2012• Used capacity of meeting rooms at 25% and of events rooms at 11%• Increase number of support services from 5 to 12, namely: accounting, mentorship, training

events, printing, messaging, land lockers. Likewise, have at least 20% of the members making active use of these services.

• Hosted members grow at least 10% in number of beneficiaries and 10% in revenues• Members generate at least 12 project in cooperation with each other• At least 80% of members say the Hub adds value to them and/or their organizations

La Arenera’s goals for year 2017 in this program are:• The Hub has 271 members, used capacity of working space 90%, meeting rooms 50% & events

rooms 30%• Active support services are increased to 15 and at least 30% of members use them• Members grow in number of beneficiaries and revenues at 10% per year, and generate 30

joint projects• At least 80% of members say the Hub adds value to them and/or their organizations



SOCIAL INNOVATION HUB 2009 2010 2011 2012 2013 2014 2015 2016 2017

# Hub members - - - 136 166 196 226 256 271

% used capacity of co-working space - - - 45% 55% 65% 75% 85% 90%

% used capacity of meeting rooms/event rooms - - - 25/11% 30/16% 35/20% 40/24% 45/28% 50/30%# active support services - - 5 12 15 15 15 15 15

% members using support services - - - 20% 30% 30% 30% 30% 30%

% growth in members’ beneficiaries and revenues - 10% 10% 10% 10% 10% 10%

# of joint projects generated 6 12 18 24 30 30 30

% members say the Hub adds value to them - - - 80% 80% 80% 80% 80% 80%

La Arenera > Social Innovation Hub > Financials(values in USD)

The program is expected to generate revenues of USD 150 M in 2012, 579 M in 2017, and operating margin between 19% and 50%


SOCIAL INNOVATION SOLUTIONS 2012 2013 2014 2015 2016 2017 Gross Operating Income (with Sales Tax) 150,508 286,931 363,674 455,692 529,283 579,981




90% of Unforeseen Expenditures 13,861 17,274 19,944 21,775 23,300 24,429

Operating Surplus -33,632 46,470 94,960 158,591 210,377 254,139

Operating Margin (%) -26% 19% 30% 40% 46% 51%

OPERATING REVENUE 150,508 286,931 363,674 455,692 529,283 579,981 Hub Membership 96,315 190,217 235,535 287,803 339,137 373,884

Meeting Rooms 15,990 26,034 30,687 36,108 37,543 39,090

Event Rooms 30,907 44,730 58,583 74,446 90,305 100,743

Support Services 7,296 25,949 38,868 57,335 62,299 66,264

OPERATING EXPENDITURE 125,388 153,847 164,838 174,561 181,497 177,485 Personnel 43,476 70,492 77,503 82,074 85,335 77,361

Rent and administration 70,210 71,447 74,859 79,275 82,425 85,821

Public utilities (including Internet) 11,702 11,908 12,476 13,212 13,737 14,304

Hub Royalties (2,5% of operating revenue) 0 0 0 0 0 0

La Arenera’s Contact Information

Contacts

La Arenera’s Steering Team Members• Pablo Espinosa e-mail: [email protected]• Paula Gutiérrez e-mail: [email protected]• Juan Mahecha e-mail: [email protected]• Carolina Salazar e-mail: [email protected]• Jennifer Truijillo e-mail: [email protected]• Germán Forero e-mail: [email protected]• Vladimir Olarte e-mail: [email protected]

HUB Executive Director• Paula Gutiérrez e-mail: [email protected]

Hub Partners• Nicolás Martín e-mail: [email protected]• Carlos Barrero e-mail: [email protected]

mailto:[email protected]










La Arenera's Social Business Plan 2012-2017 (English)

Business

social innovation solutions95

social business model

areneras business plan

areneras community

socialfor social entrepreneurs

time social entrepreneurs

projected net margin

net margins