Latest Newsletter
October 2006
In this edition of the 3Cs Community Newsletter we provide an update from our September meeting and profile the winning business pitch, as well as an update from some of the companies that have previously presented to us, and finally provide preliminary details of the agenda for our next meeting.
Prize for the Best Business Pitch
At our September meeting and also at our November meeting next month, we award a prize of 1,500 for the best business pitch. We are using an assessment methodology that is part of the 3Cs Process that has been led by 3Cs member Martin Tate. The pitchers are assessed for suitability for investment, based upon the content of their presentation and not their presentation style. We have been using the assessment methodology since the beginning of this year and refining it after each meeting until we were comfortable that it could be used to determine a prize winner.
There are over 40 criteria that cover the major areas of the pitch:
Foundation
People
Offering
Brand
Financials
and each criteria has a weighting factor as to its importance.
The criteria are assessed by a number of the 3Cs founders in attendance at the meeting and the weighting applied and the pitch with the highest score is deemed the winner. Our legal and financial experts verify the results and make available the prize funds.
The prize amount is split into 5 components.
- 20% awarded to the winner upon verification
- 60% is to be split across threeadvisors from the 3Cs Community nominated by the winner that provide resource or services to them
- 20% awarded to the winner when they provide an update presentation at a subsequent meeting
As we are able to obtain sponsors for the 3Cs Community then the prize funds will grow.
Recognition for Community Members
Earlier this year, the 3Cs founders took a long look at the current situation and developed ideas for further growth. The new prize meeting format is one of the first outcomes from this effort to be introduced.
Recognition is given to the following Community members for their sustained and committed contributions over several months on the 3Cs Renewal Project, for their willing sharing of knowledge, and contributions of their respective talents.
Kenneth Campbell
Andrew Hardie
Margaret Joyce
Barnaby Wynter
September Meeting
The September meeting was kindly hosted by Intellect -
the trade association for the UK hi-tech industry.
Our guest presenter was James Barnham of Nova-Flo who recounted his experience appearing on Dragons Den earlier this year.
Having applied and talked to the BBC researchers, James didn't hear anything until one Monday he was called and asked to come in for filming that Friday! James had a frantic few days of practicing the pitch, researching potential questions that might be asked and researching the background of the people he was going to be pitching to.
The day of the pitch meant a lot of waiting around. Having arrived at the studios at 8.00am, filming of James did not start until early evening! By avoiding drinking any coffee beforehand, not letting the other pitchers get him panicking and by breathing properly he was prepared for the climb of the stairs and straight into his pitch. Only allowed a few minutes to present, the next 70 minutes was taken up with questions and the offer of investment from 3 of the Dragons. James's approach was that he was an expert on his proposition and that he was actually offering them a great deal. James described how he had very carefully prepared a realistic valuation of his company that he thought was the best part of the questioning but this was not included in the televised screening. As a result of understanding his valuation and having a ceiling of how much of the company he was prepared to offer for the investment, James turned down their offers.
Subsequent to the screening, James has had several offers of investment from people who had seen the program. Another major benefit was that prospective customers have been coming to him, including some he had previously targeted, but he could just not get through the door!.
James recounted how the feedback from his 3Cs presentation and subsequent discussions with other members had helped him subsequently be able to drive his business forward. If you get the chance to appear in the Dragons Den - James says "make sure that you enjoy the experience, and be prepared to say no, you often then get lots of people interested in investing!".
Best Business Pitch
Ian Sillett of Solion was the best business pitch at our meeting and wins the 1,500 prize
Why did Solion win?
They had also fully mapped out their product roadmap and were not just a one-product-wonder. Although Ian concentrated on presenting details on one of their products, he did briefly cover some of the others, both existing and planned.
They had learned important lessons from their first sales and implemented improvements as a result.
Ethnic Style launches this week
Durham University undergraduate Joshua March pitched at our inaugural meeting in Durham earlier this year and also at our London meeting in June.
The formal launch of Ethnic Style takes place on Thursday 19th October at the Bang & Olufsen store in Newcastle upon Tyne.
Consumers in the North East will be the first to gain access to the Ethnic Style web site and mail order catalogue, branded "Kanzi" - a direct translation from the Swahili word for treasure. Distribution channels will also include a number of established interiors boutiques in the region.
Recognising a gap at the top of the UK market for unique, stylish, high quality furniture with an ethical heritage, and already aware of a growing consumer trend towards responsible shopping, market research carried out confirmed the opportunity to bring the concept to market, and financial backing was secured with HSBC for the first phase of growth.
"3Cs has been an integral part of my success so far. Being able to spend time with and ask questions of people who had already gone through the start-up process many times before allowed me to develop and refine my idea to the stage where the bank were willing to fund me, and now that we're up and running the forum is a constant source of useful advice."
Joshua, who is launching the business while continuing to study for his Law degree, first envisaged the concept for Ethnic Style on a holiday in Kenya in 2005, where he was introduced to a series of social entrepreneurs operating in the local community.
"The inspiration for the Ethnic Style offering originally came from watching traditional workshops running in communities across Kenya, where social entrepreneurs are working with local tradesmen to harness their skills to create high quality, contemporary, artisanal products. I was struck by the level of training and quality control procedures behind these initiatives, which result in consistently high standards of production. Fair Trade can sometimes be associated with low quality and products sold on their ethical rather than intrinsic value. Ethnic Style's products, however, will be marketed on their contemporary and high quality design, with their Fair Trade credentials being an additional factor for consumers."
Ranging from dining, bedroom and bathroom furnitures to ceramics, glassware, textiles and crockery, the full product range from Ethnic Style is available at www.ethnicstyle.com.
3Cs Forum
Can you help with some of the recent topics posted to the 3Cs Members Forum?
- Finding business development and project management people.
We need to recruit a head of business development and a good project manager both with new media and / or mobile experience. Most probably people out of digital agencies.
What recommendations do people have regarding the best recruitment sites or networks to list with? Prices seem to vary a lot so I'm looking for the best exposure for my buck.
- Some multi-channel order processing advice.
I'm setting up a company with retail channels through an ecommerce website and a catalogue. We are set up so that we can take payment through the site, and through an online terminal for catalogue and phone payments.
When someone orders over the internet, an email is automatically generated and sent to the warehouse with picking and delivery instructions, our databases are updated and an invoice is generated. At the moment, however, no such system is running for manual orders we process.
- Seeking corporate finance freelancers
We are a boutique corporate advisory firm focused on dynamic early stage companies that have a positive environmental or social impact.
We are seeking corporate finance freelancers or management consultants who can work on individual deals.
3Cs Community membership
The 3Cs Community is a trusted membership community to which any existing member can invite their own trusted colleagues and contacts. Existing members may invite others through the Invite buttom within the Soflow forum.
If you are not a member you can apply here.