Mansfield CVS

Mansfield CVS is an infrastructure organisation that has been supporting the community and voluntary sector in Mansfield for over 40 years.

MCVS are a landlord providing serviced offices for tenants and individual room hires for events. They also deliver local authority contracts e.g. public patient engagement CCG, County Council - volunteer co-ordination and Sport England.

 

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Duration
3 years
Cost of capital
6%
Turnover
£317,459
Amount invested
£23,000
Product type
Unsecured loan (incl. overdrafts)

Challenge

Mansfield CVS are a infrastructure organisation who support the community and voluntary groups to get started, grow and provide information , advice and guidance. They invest their support into community they are based in.

Solution

The changing nature of how CVS organisations have previously been funded has resulted in an inheritance cost base which exceeded income and resulted in a cashflow crisis. The organisation required restructuring in order to be able to continue delivery of their vital services to support the community. They were refused back lending and explored social investment as an alternative option to fund their restructure and enable them to cut costs in order to survive.

Revenue model

MCVS generate income by:

  • selling goods to public sector bodies
  • renting commercial space for for-profit businesses
  • renting commercial space to not-for-profit businesses

Impact

The investment In the short term enabled survival, but also underpinned the ability for the organisation to reset, thrive and establish a financially sound business model.

"Without this investment we just simply wouldn't exist. Because of this investment we have been able to support our community, voluntary sector and our statutory partners throughout the pandemic. It is inconceivable to think we wouldn't have been here to support over 5,000 individuals with lifesaving Coronavirus services (food, shelter, benefits advice etc) without it"

Steve Morris, CEO, Mansfield CVS

“We were pleased to lend to Mansfield CVS using our “critical friend” case-building approach to ensure the investment would be a case of “right money at the right time.”  Having done this we were confident that our support would enable them to enter a new phase of operation from a position of financial security. This allowed them to safeguard and grow their impactful activity, completing the final element of their re-structure and allowing them to be in a position to re-build and grow, maximising the opportunities available and continuing to be a key element of support in their community.”

Rachel Veitch-Straw, Investment Manager, The Key Fund