Ramat Beit Shemesh
Communal Kitchen & Deli Shop
A Social Entrepreneurial Project
Presented by:
Gideon Yavin
Corporate Communications’ Consultant
and Social Entrepreneur
Tel: +972 (0) 52 714 4428
April 16, 2012
Category: Self sustaining empowerment business incubator
Target: Primarily but not exclusive to Chareidi Ladies
Reach: Initial reach of 15 families. To grow organically.
Sector: Food industry
Niche: Affordable meals. Small function catering. Dely Shop.
Success parameters:
Exit policy: 5 years. With the aim of conversion into a Cooperative.
Executive Summary:
This is a proposal for the creation of a business incubator in the form of a Communal Kitchen and Deli Shop. The facility will serve as a manufacturing site and a wholesale and retail outlet of affordable, ready to eat food.
The facility will function as a self sustaining profit based facility that will produce an income for its participants out of an existing skill. The facility will be run by professionals from within the community in accordance to the norms and values acceptable to the community, the Law of The State and sound business principles and in consultation with industry experts.
The facility will provide a forum for members to interact with the greater community by providing a tangible benefit exchange, that will hopefully translate into healthy, respectful relationships and grass root dialogue.
Investment required:
Initial setup costs: 300,000 NIS ($79,808)
Budget for initial operating costs: 150,000 NIS ($39,904)
Funding in the form of a grant, a loan or Impact Investments.
Background
The Beit Shemesh intercultural friction, that has recently made international headlines can be ascribed to the communities feeling threatened by each other. Many members of the Chareidi community feel that the other communities are spitefully disregarding their request for modesty in an attempt to break down its moral fiber. While the other communities feel that their liberties are being impinged upon and there is an attempt to expel them from their own suburbs.
Currently, the Chareidi community in Ramat Beit Shemesh Bet (home to Chasidic communities) is very insular and there is not much interaction between them and other communities. The primary fear of the leadership, is that the members will have to compromise their level of observance in order to function within the work environment.
The challenge lies in creating an environment where the members of the two communities will not feel threatened by each other and allow the fostering of healthy mutually-beneficial relationships based on an exchange of benefits.
The need in Ramat Beit Shemesh Aleph (home to Modern-Orthodox and American Chareidim families) has been identified for a Deli-Shop that will supply affordable, wholesome, pre-cooked meals, Delicatessen and basic catering. Country wide, there is an increase in demand for such products bearing a strict, Mehadrin, Kosher Certification.
A large number of Chareidi ladies are already manufacturing food from home and selling their wares to their friends and neighbours but lack the business acumen, experience and funding required to expand their operations, making the substantial investment required, too risky for conventional funding.
The Ramat Beit Shemesh Communal Kitchen and Deli Shop
The proposed facility will allow the pooling of existing skills with the guidance of professional expertise. The facility will conform to local authority and health department standards and will have a highly respected Kosher Certification.
The ideal premises for this project has been identified in the Ramat Beit Shemesh Aleph Business Centre. The shop has an existing production kitchen, retail area and a moderate amount of passing trade.
The products that will manufactured and sold will be optimized to meet the needs of the local clientele. The aim would be to produce a broad range of foods that would appeal to different tastes of the different communities.
The community involvement will serve as a marketing and PR tools to create awareness and goodwill.
The business model is based on similar models that have shown success in other communities, but is adjusted to the local legal, economic, religious and cultural realities.
The business model will be upscale-able to include ISO9000 and HACCP standards to meet the requirements of the large chain stores and to compete for governmental and institutional tenders.
The facility will benefit from the local population growth that will be brought about by the influx of new residents into Ramat Beit Shemesh Gimmel, Ramat Avraham, The Police Training College and other projects such as the proposed Hospital in RBS Gimmel.
The model will be reproducible to allow for the opening of branches.
Once the business model shows its success it will serve as a prototype for similar facilities in other industries.
Business Model
The Community Kitchen will function as a service provider that will offer the participant the manufacturing facilities and expertise that will allow them to produce high quality products at competitive prices. The Community Kitchen will facilitate the sale of the products to the public, to institutions and other retailers on a wholesale basis.
The net profit of the products sold will be retained by the participating member.
The facility management will ensure the product suitability and consistancy
Conclusion
This facility is aimed at providing a platform that will empower members of the Chareidi community to improve their lot without threatening their religious standards. It is the hope that this project will be the first of many that will allow the members of the Chareidi community to contribute to the general economy and to find new avenues for economic empowerment.