Liverpool city region’s Kindred programme invests £2m into socially trading organisations helping create 126 jobs and sparking further investment totalling £14m. Tony McDonough reports
Socially trading organisations (STOs) in Liverpool city region have attracted investment of around £14m thanks to the support of the Kindred programme.
STOs are businesses which set out to deliver social benefits and trade commercially. They include community businesses, community interest companies, social enterprises and cooperatives. They can include charities as long as they trade and aren’t grant-reliant.
In the city region it is estimated STOs employ around 50,000 people, one in 10 of the city region’s workforce, with 1,300 STOs generating £2.9bn per year for the local economy.
Backed by £5.5m from the Liverpool City Region Combined Authority and £1m from Power to Change, Kindred LCR was established to support STOs in the city region.
During its first two years Kindred has invested £2m into 44 STOs, helping to create 126 jobs. Thanks to this support those organisations have attracted £14m of additional funding and seen their combined turnover rise by £4.3m.
Among those STOs that have secured investment 49% are led by women and 25% of investees are members of the Black Social Traders Network.
Kindred’s director, Jennifer Van der Merwe, said: “STOs are demonstrating the long term economic change that social businesses can create.
“Lots of small organisations, aligned in their mission for impact, are creating something bigger together – and these numbers evidence that impact.
“Our growing community is now 1,000 members-strong, with impact doubling every year, as socially-trading organisations build a more inclusive and diverse economy.
“We will only create the economy we want in Liverpool city region by making sure that we have robust, resilient and sustainable socially-trading organisations across the region.”
In September LBN reported that a collaboration between Kindred and St Helens Council had let to the setting up of a new hub for STOs in the town centre.
Street and a Half is the culmination of a two-year project that has transformed the 9,250 sq ft former Catapult Building in Haydock Street and Bickerstaffe Street into a hub for the social business sector.
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City region Metro Mayor Steve Rotheram added: “Community businesses are the beating heart of our region, driving both economic growth and social change. We’re the only ones in the country levelling the playing field.
“With Kindred, we’re putting power and resources into the hands of those who know their communities best, helping them to create good-quality local jobs and attract millions in additional funding.”