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1 Oneplus.org.uk Promoting charitable giving amongst small businesses in the UK March 2017

Oneplus.org Overview Presentation 2017

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Page 1: Oneplus.org Overview Presentation 2017

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Oneplus.org.ukPromoting charitable giving amongst small businesses in the UK

March 2017

Page 2: Oneplus.org Overview Presentation 2017

Oneplus.org.uk Ɩ Intro Ɩ 2017

Micro Businesses(with 1 to 9 employees)

MediumBusinesses(with 50 to 249 employees)

SmallBusinesses(with 10 to 49 employees)

LargeBusinesses(with 250+ employees)

Micro and Small Enterprises in the UK:Definition and some stats...

5,010,000 enterprises

8,276,000 employees

£655b turnover195,000 enterprises

3,807,000 employees

£515b turnover31,000 enterprises

3,075,000 employees

£477b turnover7,000 enterprises

10,070,000 employees

£1,874b turnover

In 2014, micro and small businesses in the UK employed over 12 million people

and had a combined turnover of £1,170,000,000,000

Figures taken from House of Commons standard note SN/EP/6078, 9th December 2014, M.Ward & C. Rhodes, “Small businesses and the economy”

Page 3: Oneplus.org Overview Presentation 2017

Oneplus.org.uk Ɩ Intro Ɩ 2017

Meanwhile, Corporate Social Responsibility climbs up the agenda of consumers - and therefore large businesses

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In the new millennium, Corporate Social Responsibility (CSR) has emerged as a key driver of consumer behaviour and brand growth.

Brands that behave ethically, that show a commitment to the environment and behave a in a “good way” towards non-commercial causes, benefit in many (tangible) ways (Daye, 2013*)

Increased sales and market share

Strengthened brand positioning

Enhanced corporate image and clout

Increased ability to attract, motivate, and retain employees

Decreased operating costs

Increased appeal to investors and financial analysts

The brand is what you buy. The corporate reputation is what you believe in and trust. It’s not an

either/or. You need both.

http://www.brandingstrategyinsider.com/2013/03/corporate-social-responsibility-and-growth.html#.VXXtv40cGUk

Businesses must make a strong positive contribution to addressing the challenges the

world is facing.

Paul Polman,CEO, UnileverDr. Joseph Plummer,

Advertising Research Foundation

Page 4: Oneplus.org Overview Presentation 2017

Oneplus.org.uk Ɩ Intro Ɩ 2017

Small businesses lack the internal resources of larger companies to develop and implement CSR programs. However – they can still show CSR through charitable donation

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Charitable donation is a simple commitment to CSR

Donation of a portion of profit to charitable causes is a viable way for small businesses to show commitment to CSR

It is straightforward, and requires very little resource within the business to implement

It can be focused towards causes that align with company brand values

It can also be focused at a community level for businesses that operate within specific regions

BUT THREE BARRIERS TO CHARITABLE DONATION AMONGST SMALL BUSINESSES:Small businesses may not know what is a reasonable proportion of profit to donate

Charitable donation at a level affordable to most small businesses is unlikely to garner direct publicity, therefore it may go unnoticed by customers (and so the business sees few of the external benefits)

Customers have to take businesses at their word that they have made contributions to charity

• For smaller businesses without mass awareness and reputation, there may be little to reassure consumers

Oneplus.org.uk wants to remove these barriers to charitable giving

Page 5: Oneplus.org Overview Presentation 2017

Oneplus.org.uk Ɩ Intro Ɩ 2017 5

Oneplus.org.uk:Our mission is...

To instil a cultural norm amongst small businesses in the UK to donate 1% OR MORE of their pre-tax profits to charitable causes

Page 6: Oneplus.org Overview Presentation 2017

Oneplus.org.uk Ɩ Intro Ɩ 2017

Oneplus.org.uk:The size of the prize...

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Take a 7% average profit margin amongst smaller businesses. Based on turnover of £1.17 trillion, this gives about £82,000,000,000 (£82 billion) profit.

We have a 5 year goal to sign up 1 in 50 businesses in the UK – which would give an estimated profit pool of £1.64 billion.

1% of this equates to

£16.4 million in donations per year from 2022

Page 7: Oneplus.org Overview Presentation 2017

Oneplus.org.uk Ɩ Intro Ɩ 2017

A simple visual device for helping us to achieve our mission

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Most people in the UK are familiar with the concept of a hallmark. All precious metal jewellery has one, and the famous BSI kitemark has been recognised as a symbol of quality since 1903.

We propose the administration of a Oneplus.org.uk hallmark as a system of certification of charitable donation

This would remove the three barriers to charitable donating amongst smaller businesses

The expected standard for behaviour is made explicit – at least 1% of pre-tax profit should be given to charity

The hallmark can be used on many forms of company communication – and so is noticed by customers – and yet avoids having to make overt reference to specific charitable donations (which can result in scepticism and even negative consumer reaction)

Independent administration of the hallmark gives consumers who have not heard of the business reassurance that the charitable donations are legitimate

• The Oneplus.org.uk website and endorsement from professional bodies will provide further credibility

The Oneplus.org.uk hallmark

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Page 8: Oneplus.org Overview Presentation 2017

Oneplus.org.uk Ɩ Intro Ɩ 2017

The Oneplus.org.uk hallmark:

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Thanks to logodesign.co.uk for designing the Oneplus.org.uk hallmark for free!

2016

Oneplus.org.uk verifiedAudited accounts confirm this company

has contributed 1% or more of its pre-tax profits in 2016 to charitable causes

Page 9: Oneplus.org Overview Presentation 2017

Oneplus.org.uk Ɩ Intro Ɩ 2017

Verification process for Hallmark approval

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Oneplus.org.uk retains a qualified independent accountant to verify charitable donations equal 1% of pre-tax profits

i. Small business submits a copy of audited accounts with financial year ending on a date in 2016

ii. Small business also submits copy of audited accounts for previous financial year ending on a date in 2015

iii. “Donations” line in 2016 accounts must equal or exceed 1% of the “Operating profit” line of the 2015 accounts

iv. Any other commercially sensitive information may be redacted by the submitting business

Process for a 2016 hallmark

Page 10: Oneplus.org Overview Presentation 2017

Oneplus.org.uk Ɩ Intro Ɩ 2017

Oneplus.org.ukBusiness model

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The service will be free, and all costs will be met by the privately owned company Bonamy Finch Marketing Services Limited (BFMS)

BFMS has been the first company to submit its annual accounts to Oneplus.org.uk for charitable donation verification, and received the hallmark for 2015

There is no model!

Page 11: Oneplus.org Overview Presentation 2017

Oneplus.org.uk Ɩ Intro Ɩ 2017

Oneplus.org.ukNext steps

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1 Hallmark to be designed

2 Independent accountant appointed

3 Oneplus.org.uk formed as not for profit business

4 Develop marketing plan, including seeking potential collaborations with •Federation of Small Business•Institute of Directors•Businesses for Social Responsibility

5 Design and launch of website

Page 12: Oneplus.org Overview Presentation 2017

Oneplus.org.uk Ɩ Intro Ɩ 2017

Dr. Leigh MorrisCPsychol CSci CMRS AFBPsSManaging DirectorBonamy Finch Ltd

Office  +44 (0)1932 918988Mobile +44 (0)7908 619876

bonamyfinch.com  

Coveham House, Downside Bridge Road, Cobham, Surrey, KT11 3EP, United Kingdom

Oneplus.org.ukContact

Page 13: Oneplus.org Overview Presentation 2017

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Oneplus.org.ukPromoting charitable giving amongst small businesses in the UK

March 2017