National Foundation for Teaching Entrepreneurship

OverviewOctober 2008

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NFTE’s Purpose

We teach young people from low-income communities to think like entrepreneurs because that will give them the power to own their own future.

Core ValuesIndividualityInitiativeCommunity

VisionEvery young person will find a pathway to prosperity.

MissionNFTE provides entrepreneurship education programs to young people from low-income communities.

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Organizational Strengths High quality programs: high touch, experiential, fun, relevant

Each NFTE student creates his/her own individual business plan

Growing base of active alumni

World-class program model & methodology: Award-winning curriculum Teacher training: Certified Entrepreneurship Teachers Leveraged model: integration into existing educational and youth development

structures

Outcomes-based: proven to increase education and career aspirations, increase business formation rates, improve business knowledge and workplace-readiness, and strengthen important life skills essential in today’s work environment

Global reputation, reach & growing network

Sound financial footing; strong base of highly regarded corporate, foundation and individual donors Recognized by Better Business Bureau and Charity Navigator

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Organizational Snapshot

Students Target Population: young people from low-income communities, ages 11 – 18 230,000 youth served since 1987 FY 2008 Actual: 44,679 students (25% increase over FY07) FY 2009 Goal: 48,524 students (9% increase over FY08)

Teachers FY 2008 Actual: 806 trained; 1,313 active FY 2009 Goal: Train 384 new teachers; retain active corps of 1,531 teachers

Curriculum Pearson Prentice Hall Partnership: 3 books to be published in 2009 and 2010

Operations & Financial Information 11 domestic program offices Active programs in 21 states and 11 countries FY 2009 budget is $18.5M; FY 2008 actual was $19.1M

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Environment Dropout rate (USA) = 32%

African American = 50% African American dropouts 60% become incarcerated

Hispanic = 52% Gates funded study revealed 81% of dropouts wanted

more real world learning opportunities school must be relevant to interests, making money, marketable skills!

In the U.S., students from low-income families are 6 times more likely not to finish high school than those from high-income families, limiting their employment prospects to low-wage positions with less job security.

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Student Growth

Cumulative Students Served

0

50000

100000

150000

200000

250000

1994

and

prio

r

1996

1998

2000

2002

2004

2006

2008

* 2009 Goal: 48,524 students

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Domestic Market: Where We Are, Where We’re Going

Existing Offices Baltimore Bay Area Chicago Dallas Fairchester Greater Los Angeles Greater Pittsburgh Greater Washington, DC New England New York Metro South Florida

Potential Future Expansion Atlanta Detroit El Paso, TX Houston McAllen, TX Philadelphia Phoenix Portland, OR Riverside, CA San Antonio San Diego San Juan, PR

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International Market: Grow Where We Are

Belgium, Netherlands, Ireland, UK, Germany

India

South Africa

Bermuda

Israel

New Zealand

China

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Program Partners Outside NFTE Offices

National Partners E CITY (Cleveland) E Florida! (FL Dept .of Ed.) GEAR UP Kentucky NAACP NFTE Philadelphia Prudential Young Entrepreneur

Program United World Colleges YES Carolina Youth Entrepreneurs of Atlanta Youth Entrepreneurs of

Kansas

International Partners Ashalim / JDC Israel Bright China Foundation Entrepreneurship New Zealand

Trust I Create, Inc: India The Maths Centre for Professional

Teaching (South Africa) NFTE Belgium NFTE Netherlands NFTE Germany NFTE Ireland NFTE United Kingdom Youth Entrepreneur Initiative of

Bermuda

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NFTE’s Growing Network

World Economic Forum Council on Foreign Relations Aspen Institute New York Economics Club Templeton Global Leadership Summit Philanthropy Roundtable McKinsey & Co. Harvard University and 15+ other top

universities using the NFTE case

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Theory of Change

Economically Responsible Member of Society

I have one or more: Good Job Own Business College degree

I am a High School graduate.

I am better at: Math Reading Writing

Academic Attitudes• Math is important• Reading is important• I can use computers to succeed.

Life Skills• I can present• I can negotiate• I can network• I can communicate

ABCs of Entrepreneurship• Business Plan• Basic Finance Skills• Marketing Skills

NFTE Change

NFTE Program

On-mission Students

Trained Teachers Effective Curriculum

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Program Areas

In-School, Out-of-School Student Programs NFTE University Teacher Education Curriculum Development & Program

Innovation Program Partnerships Alumni Services Research & Evaluation Public Policy

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NFTE’s Strategic Plan1) Deliver an entrepreneurship education pathway.

2) Provide comprehensive CET support & professional development programs.

3) Establish a volunteer culture at NFTE.

4) Raise the public profile of NFTE and the impact of our programs.

5) Provide high quality support services to program offices

6) Build a sustainable and diverse funding plan.

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Entrepreneurship Pathway

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NFTE Student Experience NFTE impacts students’ basic academic and life skills through a

hands-on entrepreneurship curriculum that reinforces math, reading and writing, and develops skills in critical thinking, teamwork, communication and decision-making

NFTE-trained teacher NFTE textbook, workbook & supplementary materials 80 classroom hours Business plan development Business plan competitions: class, regionals, nationals Wholesale trip & selling event Field trips to local businesses Class speakers (entrepreneurs, business executives) Mentoring

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Academic Standards NFTE’s programs correlate to a variety of federal, state

and local academic standards helping teachers and superintendents meet critical education requirements, including school-to-career objectives.

NFTE’s curriculum meets national social studies and

mathematics learning standards, as well as language arts, math, science, technology, and social studies in several states throughout the country. Standards are defined by: The National Council for the Teaching of Mathematics

(NCTM) The National Council for Social Studies (NCSS) The U.S. DOL’s Secretary’s Commission on Achieving

Necessary Skills (SCANS).

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Alumni Services Alumni services seeks to create a solid infrastructure that

supports the needs of NFTE program graduates via advanced programs, mentoring, and community building, in-person and online.

Alumni opportunities include:

Access to the online NFTE Alumni Network Use of NFTE BizCenters Business plan mentoring from local entrepreneurs and business executives Regional and/or national business plan competitions Entrepreneurship Clubs (E-Clubs) Advanced BizCamps™ Entrepreneurship workshops and career forums Award opportunities, including the Young Entrepreneur of the Year Awards,

Advanced Entrepreneurship Seminar, and various college scholarships.

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Teacher Training & Development

Identify schools and educators

Train educators at 4 day intensive “NFTE University”

Mentoring

Professional development E-Learning Workshop Teacher Meetings

Award opportunities Advanced Teacher Forum Regional retreats

Regular site visits from NFTE staff

Assist in volunteer recruitment, field trip planning and business plan development

Online course management system (TEAMS)

Train Implement Support

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University Partnerships

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Harvard Graduate School of Education (Research Focus: Academics/School) Interest in attending college increased 32% Occupational aspirations increased 44% Independent reading increased 4% Locus of control (belief that attaining one’s goals is within one’s own control) increased 3.1% Entrepreneurial leadership increased 13.2%

 

Brandeis University (Research Focus: Business Knowledge/Formation) Participation in a NFTE program increases:

Business knowledge by 20 times Business formation rates by 30 times

In a follow-up survey NFTE alums reported: 70% were in post-secondary education 43% had part-time jobs; 20% had full-time jobs 33% were still running a business (no min. income level assumed)

 

Koch Foundation (Research Focus: Formation/Attitudes towards Business) Nine in ten alumni said that NFTE increased their confidence to run a business Minority business ownership experience was four times higher than comparison group 99% of alumni would recommend a NFTE program

Research & Evaluation: Results

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NFTE Success Stories

At eleven years old, Jasmine Lawrence had desperate thoughts of creating her own natural hair-care products. After using a relaxer, the chemicals caused 90% of her hair to fall out. It was at that moment that Jasmine vowed never to use chemical products again. She had researched natural hair-care products online, but realized that these products were not ‘natural’ at all. “That’s when I decided to create my own,” adding, “I wanted to do this for a living and want to share it with the world.” With the help of NFTE, Jasmine started her own business, EDEN Body Works after attending an entrepreneurship program at New York University. With NFTE’s support, Jasmine created an all natural line of hair-care products including shampoo, conditioner, hair oil, temple balm, hair milk and hair wipes. Today, Jasmine’s products bring in over $100,000 per year. Now, at age 15, Jasmine is CEO and founder of Eden Body Works, named for the Garden of Eden where everything was pure and natural. Soon, Jasmine could be running her own empire. Big retail chains are now interested in picking up her line. "When meet with Wal-Mart later this month," she says. "We're going to propose to them our home collection."

Jasmine Lawrence, Williamstown, New Jersey Williamstown High School, Sophomore

Pictured on the Oprah Show

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NFTE Success Stories

When he was 17, Malik’s high school guidance counselor suggested that he take the first NFTE entrepreneurship course that was being offered at the University of Pennsylvania’s Wharton School. Malik began bringing a book bag filled with soda and snacks to school and selling them during lunch breaks. By the end of the week, he’d made enough to buy a pair of sneakers or go out on a date. Malik went on to attend Morehouse College in Atlanta, where he studied finance and sold hand-painted T-shirts and jeans to help pay for his education. After graduating, he landed a great job on Wall Street with Morgan Stanley.

But Malik dreamed of being his own boss. He saved his money for a few years until he had enough to open up a small soul food take-out restaurant on Myrtle Avenue in Brooklyn. In the beginning, the young entrepreneur did everything, including the cooking. “In those days, Myrtle Avenue was often called ‘murder avenue,’” Malik says. But that didn’t stop him from buying the property he was renting for the restaurant, as well as two other properties on the block. Today, Malik’s Five Spot restaurant is a 2,500 square foot supper club that serves up great soul food and music six nights a week. The restaurant, which Malik runs with his wife and partner Kim, employees over two dozen people from the community who are trained to learn the business from the ground up.

Malik ArmsteadFive Spot Restaurant, Brooklyn, New York

Malik Armstead pictured with Alan Appelbaum & Joan Rosen at 7th Annual BAF mentor meeting at Malik’s Five Spot Restaurant

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Public Policy: Youth Entrepreneurship Strategy GroupIn partnership with the Aspen Institute & E*TRADE Financial, NFTE seeks to promote entrepreneurship education in low-income communities nationwide through thought leadership, media and public events. The next YESG convening will be in May 2009.

Stephanie Bell-Rose, (YESG Chairperson), The Goldman Sachs Foundation

Thomas Payzant, (YESG Vice-Chairperson), Harvard School of Education

Cathy Ashmore, Consortium for Entrepreneurship Education

Tim Brady, QuestBridge

Maynard Brown, Crenshaw High School, LA

Gaston Caperton, College Board

Daniel Cardinali, Communities in Schools

Gene Carter, Association for Supervision and Curriculum Development

Rudy Crew, Miami-Dade County Public Schools

Ed Davis, DECA, Inc.

Bruce C. Dunbar, OppenheimerFunds, Inc.

Michael Feinberg, Knowledge Is Power Program

Dan Fuller, Association for Supervision and Curriculum Development

Andrew B. Hahn, Brandeis University

Michael W. Hennessy, The Coleman Foundation

Deborah Hoover, The Burton D. Morgan FoundationIrv Katz, The National Human Services AssemblyCharles Hiteshew, America's Promise

Kelvin James, E*TRADE Bank

Valorie Johnson, The W.K. Kellogg Foundation

Jack Kosakowski, JA Worldwide

Dane Linn, National Governors Association

Steve Mariotti, NFTE

Celie Niehaus, E*TRADE Bank

Kim Pate, CFED

Karen Pittman, Forum for Youth Investment

Joanna Rees, VSP Capital

Manny Rivera, NY Deputy Secretary of Education

Andrew J. Rotherham, Education Sector and Eduwonk.com

Shelia Simmons, National Education Association

Stephen Spinelli, Jr., Philadelphia University

Diana Davis Spencer, Kathryn W. Davis Foundation

Marc Spencer, Juma Ventures, Inc.

H. Leigh Toney, Miami Dade College

John Zitzner, E-City

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ALBERT ABNEYTime II, Inc.

PATTY ALPERAlper Portfolio Group

BILL DAUGHERTYInteractive Search Holdings

PHILIP FALCONEHarbinger Capital Partners

MICHAEL FETTERS, Ph.D.Babson College

LAWRENCE N. FIELDNSB Associates

TOM HARTOCOLLIS Microsoft Corporation

LANDON HILLIARD (Board Chair)Brown Brothers Harriman

JAMES LYLE(Co-Vice Chairman)Millgate Capital, Inc.

STEVE MARIOTTI NFTE

CONSUELO MACKConsuelo Mack Wealth Track

KEVIN MURPHYTandem Global Partners

ALAN PATRICOFGreycroft Partners

MARSHA RALLSThe Ralls Collection

DONNA REDEL

ROBERT REFFKINGoldman Sachs & Co.

ARTHUR SAMBERGPequot Capital

DIANA DAVIS SPENCER(Co-Vice Chairman)Shelby Cullom Davis Fdn

PETER B. WALKERMcKinsey & Co.

TUCKER YORK

Goldman Sachs & Co.

National Board of Directors

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NFTE’s Media Track Record Notable Coverage

Print Daily News, "Wind in their Sales," June 10, 2008 Chicago Tribune, "Kidpreneurs don't let age stand in the way of success," May 22,

2008 Inc. magazine, "Honoring Great Leaders," November 2007 Los Angeles Times, "A Head Start on Entrepreneurship," July 4, 2007 Financial Times, "The teens that mean business," April 19, 2007 USA Today, "Get a job? No, make a job," February 6, 2007 The Wall Street Journal, "Beyond the Lemonade Stand," November 13, 2006 The New York Times, "Changing Young Lives With the ABC's of Business," May 1,

2006

TV FOX Business News, "Money for Breakfast" program, April 3, 2008 CNBC, "On the Money" program, June 12, 2007 PBS, "Newshour with Jim Lehrer," January 15, 2007 As well as many local ABC, NBC and CBS affiliate news programs in major markets

including New York, Los Angeles, San Francisco & Chicago.

On The Horizon 3rd Annual National Youth Entrepreneurship Challenge (business plan competition),

October 23, 2008, sponsored by OppenheimerFunds Documentary film project, release fall 2009

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Major Donors$4,000,000 +

The Atlantic Philanthropies

The Goldman Sachs Foundation

$2,000,000 +Shelby Cullom Davis Foundation Mary Myers Kauppila & George MyersMicrosoft CorporationMultinational Scholar Charitable Trust 1907Arthur & Rebecca Samberg

$1,000,000 +Amelior/MCJ FoundationColeman FoundationKathryn Davis Ewing Marion Kauffman FoundationGoldhirsh FoundationVira I. Heinz EndowmentCharles G. Koch Charitable FoundationDavid H. Koch Charitable FoundationKoch Industries, Inc.McKinsey & Company, Inc.Merrill Lynch & Co. Foundation, Inc.

$1,000,000+ (Cont)OppenheimerFunds FoundationScaife Family FoundationDiana Davis SpencerJohn Templeton FoundationHarry & Jeanette Weinberg FoundationWhitehead FoundationWilliam Zimmerman Foundation

$500,000 +Advanced Network & ServicesDwight Anderson Argidius FoundationBank of America Charitable FoundationCA, Inc.Carson Family Charitable TrustFreddie Mac FoundationGoldman Sachs & Co.Landon HilliardJohn S. and James L. Knight FoundationJPMorgan Chase FoundationF.M. Kirby FoundationLouis and Harold Price FoundationNASDAQ Educational FoundationSamberg Family FoundationSmith BarneyWal-Mart Foundation* List represents cumulative giving since NFTE’s founding

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Major Donors$250,000+Babson CollegeJay & Doris Christopher

FoundationCIBC World Markets Corp. USACarlyse F. & Arthur A. CioccaCitigroup FoundationNathan Cummings FoundationDunn Family Charitable FdnFirst Republic Bank Corp.Morgan Stanley FoundationHenry E. Niles FoundationJames R. Lyle & Tracy L. NixonPeter G. Peterson FoundationPrincess House, Inc.Prudential FoundationSafeguard Scientifics, Inc.SAP America, Inc.Verizon FoundationYork Family Fund

$100,000+Achelis & Bodman FoundationsAlcoa FoundationAllied Capital CorporationAOL LLCArtistic Impressions, Inc.Aspen InstituteBarker Welfare Foundation, Inc.

$100,000+ (cont)K2 AdvisorsZanvyl & Isabelle Krieger FundKimberly F. LamannaMetLife FoundationLowell B. MasonEugene & Agnes E. Meyer FoundationKevin MurphyNew York Stock Exchange FoundationPatricof Family Foundation Pitney Bowes Literacy & Education FundPicower FoundationPolk Bros. FoundationPutnam InvestmentsGeoffrey S. Rehnert Charitable FundJulian H. RobertsonRonald McDonald House CharitiesSacramento Housing & Redevelopment AgencySeedlings FoundationShoreland FoundationSmall-Alper Family FoundationSouthern Management CorporationState Street CorporationAaron Straus & Lillie Straus FoundationTudor FoundationHenry E. Niles FoundationVitale, Caturano & Company, PCWilliam E. Simon FoundationWorld Trade Center Business Recovery Grant ProgramZell Family FoundationYS Interactive Corp.

$100,000+ (cont)Benson FoundationArthur M. Blank Family FoundationBooth Ferris FoundationBoston PropertiesMorris & Gwendolyn Cafritz FdnBruce & Marjorie CalvertCastle Rock FoundationCooley Godward, LLPCortopassi InstituteCowie Family Charitable TrustJoseph A. DiMennaWilliam A. & Lynn DouglassMegan McGowan EpsteinGov’t of the District of ColumbiaPhilip A. & Lisa FalconeEris & Larry Field Family FoundationFight for Children, Inc.Paul & Phyllis Fireman Charitable FoundationGabilan FoundationGap FoundationCraig & Kathryn Hall/Hall Financial GroupGladys & Roland Harriman FoundationHewlett-Packard CompanyJ.M. Foundation, Inc.Irish Youth FoundationBob & Karen Jones

* List represents cumulative giving since NFTE’s founding

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Founder: Steve Mariotti

Steve Mariotti received an MBA from the University of Michigan and has studied at Harvard University, Stanford University, and Brooklyn College. His professional career began as a Treasury Analyst for Ford Motor Co. (1976-79). He then founded Mason Import/Export Services in New York, eventually acting as sales representative and purchasing agent for 32 overseas firms.

In 1982, after getting mugged by teenagers who took $10 from him, Steve realized he had to help youth find a better way. He made a significant career change and became a Special Education/Business Teacher in the New York City public school system. After teaching in notorious neighborhoods such as Bedford-Stuyvesant in Brooklyn and the “Fort Apache” section of the South Bronx, he discovered unique insights about connections between entrepreneurship education, learning, and motivation, particularly among economically disadvantaged youth. This led to the creation of a formal curriculum and the founding of the National Foundation for Teaching Entrepreneurship (NFTE) in 1987.

Now, more than twenty years later, NFTE’s mission is to provide entrepreneurship education programs to young people from low-income communities. The program has a proven track record of success. It is frequently used as a model and foundation for other programs and the organization is considered a global leader in the field of youth entrepreneurship education. NFTE has reached over 230,000 young people since it started and has programs in 21 states and 13 countries outside the United States.

"Our program transforms street

smarts into business smarts"

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Photos from around the world