Homeaid is something of a Robin Hood business, it takes unwanted household goods from those who have, and redistributes to those in need. Everyone, including the environment, gains in the process.
Some people only know Homeaid in terms of its highly popular charity shop in Thurso, but this is only one part of the enterprise. Homeaid actually started life as a way of helping those in need get hold of essential household items; often elderly people for whom a broken washing machine or cooker could spell financial disaster. Homeaid's founder, Avril Kelbie, put a notice in the local paper inviting donations of unwanted goods, borrowed a garage for storage and approached agencies working in the community to help match items to those in need.
The idea proved a great success and Homeaid has grown out of all recognition over the last decade or so: it raised funds to buy its own warehouse to store and repair donated furniture and white goods, as well as a three storey charity shop in Thurso. The shop attracts regular browsers and passing customers alike: it's stocked to bursting point with everything from furniture and furnishings, to exercise equipment and books.
Homeaid is an enterprise where nothing is wasted. General Manager, Michele Whibley says, "We don't like anything going to landfill, so if we have a surplus and can't sell something in the shop we would rather give it away. We try to find an exit for everything". This includes getting broken crockery taken away, to eventually be turned into aggregate for use in roads or buildings, or sending unwanted books down to Borders based social enterprise Bookdonors, where they will be sold online all over the world. Closer to home, old blankets find their way to a local dog home; playgroups are supplied, free of charge, with boxes of toys; community groups organising coffee mornings are given crockery and everything else that can be scrapped, including metal and glass, is recycled.
This thrift is all of part of the Homeaid philosophy, but it is also about how it generates its income. To be able to deliver a free service to those in need, Homeaid makes its money through sales from its charity shop and by diverting material from landfill: this is in the form of cash from the government's Strategic Waste Fund which pays an agreed amount for every ton of material that would otherwise end up in the dump.
Income from the Strategic Waste Fund has helped Homeaid grow, but a few years ago the payment per ton from this scheme was suddenly cut in half. Michele says, "This was a huge threat. We were told the payment was likely to go down even further in future. It will eventually be phased out altogether so we knew we had to find other ways of generating income". Homeaid has always been a resourceful organisation, but now it needed to sharpen up its business practice to meet this new challenge, and with HIE's help, this is exactly what they have done.
Charles Finlay is the HIE Account Manager responsible for Homeaid. He says, "We all sat down together: ourselves, the board and the management and analysed the business and teased out the areas we could work on to grow their business and generally become more professional".
In early 2009 a development plan was agreed by all the parties and from then an enormous amount has been achieved. HIE has contributed various experts to help Homeaid lay the foundations for the future: a new accounting system to keep a more
effective track of finances; a marketing plan to help it get its message out and a
training plan to develop its staff.
All this effort is paying off: at the end of 2009 Homeaid successfully applied for funding to help towards the cost of a new shop in Wick, and to double the size of its warehouse in Thurso. With extra storage space, and an expanded collection area, Homeaid will easily have enough goods to stock a second shop and generate some of the extra income it needs. Also, instead of renting the Wick shop, Homeaid have negotiated a mortgage: with repayments only about one-third of what rent would be this is a much smarter way to go. To make all these developments possible though, Homeaid had to weigh up the risks, and have a credible business plan; all of which HIE was able to help with.
Charles says, "The social aims of Homeaid have remained the same but they are facing new challenges. It's been very satisfying that we have been able to look at all this together".
Michele is very appreciative: "It's fantastic to have that professional support. I know I can ring Charles at any time and ask 'what do you think'. It's nice to know they value us enough to support us in this way".
