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TABLE OF CONTENTS
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01. Executive Summary..................................................
02. About the Company..................................................
03. Context.........................................................................
04. The Need.....................................................................
	Funders
	 Service Providers
	 The Giving Economy
05. The Opportunity.........................................................
06. Product & Service......................................................
	Funders
	 Service Providers
	 All Stakeholders
07. Business Strategy.......................................................
	 Programming/Web development
	Talent
	 Subscription-based Membership
	 Customer Use Cases
08. Positioning & Go to Market Strategy....................
	 Competitive Analysis
	 Go-to-Market Strategy
	 Platform Development and Customer
Acquisition
09. Financials....................................................................
10. Team..............................................................................
11. End Notes......................................................................
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55
58
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01.
EXECUTIVE SUMMARY
5
THE CONCEPT
Currently, 60% of released pris-
oners in the US return to prison
within 3 years. Programs work-
ing to rehabilitate aren’t properly
self-assessing and a majority
lack fundraising capacity. They
also have limited knowledge
sharing and the ability to learn
from others to redesign pro-
grams for scale and greater ef-
fectiveness. Funders have limited
visibility into a program’s impact
and as a result see social invest-
ments as risky.
Currently, 60% of released pris-
oners in the US return to prison
within 3 years. Programs work-
ing to rehabilitate aren’t properly
self-assessing and a majority
lack fundraising capacity. They
also have limited knowledge
sharing and the ability to learn
from others to redesign pro-
grams for scale and greater ef-
fectiveness. Funders have limited
visibility into a program’s impact
and as a result see social invest-
ments as risky.
The US Department of Jus-
tice requested 95.3 million for
prevention and reentry efforts
with $56.5 million being allo-
cated to grants.1
More broadly
giving by foundations amounted
to $53.7 billion in 2013 and of
that total amount 12% went to
human services and grant mak-
ing entities according to Giving
USA.2
Open Society Founda-
tions allocates 6% of their total
2016 of 930.7M budget towards
Justice Reform and The Rule of
Law programs.3
Beyond Bars
estimates foundational giving to
recidivism organizations at $386
million (6%*12%*53.7B) although
the ability to demonstrate most
effective correctional strategies
through data remains undone.
Beyond Bars focuses at the
system level of recidivism efforts
to connect funders with service
providers so funds are chan-
nelled to the most effective
programs. This in turn motivates
programs, as a whole, to adopt
an approach which direct-
ly translates into sustainable
funding, and therefore creates a
steady downward trend in recid-
ivism. Presently, no centralized
database of the organizations
working in social impact exists.
Nor is there a shared platform of
communication on which these
Service Providers and potential
Funders can connect.
Beyond Bars plans to be a for profit benefit corporation that incentivizes service providers to
measure their impact by connecting them with foundations looking to fund programs making a
difference. We expect to reach $8.8 million in annual revenue in year 5 by charging funders and
programs an annual subscription fee to access impact data. After establishing this vertical, Be-
yond Bars plans to expand to other social problems where funders need impact measurements
to drive accountability and transparency. By prompting and facilitating ongoing communication
between Funders and ‘Top-Rated’ Service Providers, we can transform beyond a mere static
database into a dynamic, evolving platform, through which the critical players channel available
funds to organizations doing effective work in the recidivism space.
The MarketThe OpportunityThe Need
Changing Donor
Landscape
6
Beyond Bars will focus first on
the development of the plat-
form from existing data points
pulled from tax information and
those gathered from prospective
customers. Upon solidifying the
frameworks to measure impact,
Beyond Bars will implement a
prototype-test-build iteration
cycle to continue enhancing
the product while also market-
ing heavily through conference
events and social media chan-
nels.
9,600 Service Provider mem-
berships and 360 Funder mem-
berships by Year 5
Best-In-Breed Data Platform in
the Social Impact Industry
Trusted and Credible Expertise
in recidivism, social impact
bonds, giving, and measure-
ments
Currently three established play-
ers exist in the space of monitor-
ing, rating, and reporting impact
measurements for non-profits.
However, their approaches
do not derisk Funders invest-
ments nor do they empower
Service Providers to capture
their impact and tell their story
in a compelling way to attract
Funders. Beyond Bars differen-
tiates itself by focusing specifi-
cally on issues of recidivism and
leverages predictive analytics to
create connections for Funders
and Service Providers.
Beyond Bars’ advisory board
includes experts from Impact
Assessment, Finance and Social
Impact Bonds (SIBs), Govern-
ment, Legal and those currently
working in the recidivism space.
Each bring a unique perspec-
tive on how to approach social
challenges and see the potential
of anti-recidivism efforts.
The revenue model consists of
memberships and premium sub-
scriptions for Service Providers
and Funders. $300,000 in fund-
raising in Year 1 and additional
$300,000 in Year 2 will allow
Beyond Bars to be profitable in
Year 4 and earn $8.8M in reve-
nue by Year 5.
Insight Garden Program; The
Last Mile; Richmond Develop-
ment Company; Prison Recov-
ery Network
Beyond Bars will focus first on
serving Service Providers work-
ing in anti-recidivism efforts.
Beyond Bars seeks to capture
30% market share for Service
Providers and 44% market share
for Funders within 5 years. At
the term of 3 years, and every
3 years thereafter, Beyond Bars
plans to expand into new social
impact sectors.
Visiting 3 prisons in Colorado,
volunteering in San Quentin, in-
terviewing recent parolees, orga-
nizations and individuals work-
ing in this space, sparked the
passion of the Beyond Bars team
to magnify the impact of efforts
to combating prison recidivism.
Our team brings diverse per-
spectives to shift the paradigm
on giving and hold accountable
the promise of providers.
Charlene Cuenca
CEO, Vision/Strategy
Isabel Harvey
Chief Customer Experience
Officer, Customer Research
Julieta Collart
Chief Business Development
Officer, Business Development
Stephanie Knabe
COO/CFO,
Operations & Finance
Tom Bendon
Chief Information Officer,
Risk Assessment
Go-To-Market StrategyCompetitive Landscape
The AdvisorsFinancial Overview Partners
Scaling & Growth
TEAM
OBJECTIVES
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02.
ABOUT THE COMPANY
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Our Mission
Purpose Statement
Our Vision
We bring service providers and investors together
through meaningful data, which magnifies the im-
pact of government and citizen efforts at combat-
ing prison recidivism.
To assist organizations in capturing impact; In a
way that bolsters their funding and operating part-
nerships; So that the cycle of recidivism is ENDED
and communities are strengthened.
A world where restorative justice and healthy com-
munities thrive.
Our Core Values
Harmony
We believe in illuminating how each individual and
organization plays a part in the social goal to end
recidivism
Empowerment
We believe in empowering those passionate and
committed to create social good with data
Action
We believe in leveraging data for decision-making
and instigating action with sound decision-making
Respect
We believe in creating better choices for contribut-
ing members of society
Truth:
We believe in having compassionately candid con-
versations all for the greater good
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03.
CONTEXT
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Advisory Board
Josh Genser
Social Impact Bond and Pay for
Success Programs Consultant.
Matthew Platshorn
CEO & Founder
Prison Recovery Netwok
Rebecca Brown
Founder
Reentry Solutions Group
Michelle Katz
Legal and Business Advisor to
StartUp Companies,
California College of Arts,
Art Center College of Design
Daniel Sevall
Director of Finance and Human
Resources, Military.com
Raffi Minasian
Design Strategy and Business
Development
Larry Crowder,
Colorado State Senator
11
Recidivism - [ri-sid-uh-viz-uh m] noun
1. Repeated or habitual relapse, as into crime.
12
Context
Over Populated US Prisons & the Revolving Door
Beyond Bars seeks to measure and increase visibility of results and accountability to rationalize
anti-recidivism programs for funders. Beyond Bars is positioned to help channel available funds
to organizations doing effective work in the recidivism space.
US taxpayers bear $39 billion of the costs of running the prison
system.
According to Prison Recovery Network, over 40,000 resource
organizations exist nationwide8
to help prisoners and their fami-
lies. These organizations build pathways to careers, housing, and
opportunities to rebuild their lives as citizens. However, they are
dependent on a network of donors (foundations and donations) to
fund their programs. Each organization varies widely in how they
quantify impact (if they mention their approach at all) and no one
place exists to review all the information in existence. People need
to go to program websites, Facebook pages, and a variety of other
websites to find any information on impact and/or financial related
information.
5%
The United States has
of the world’s
population
22%of the world’s
PRISON
behind
population
bars
In the State of California
PRISON POPULATION
ARE RELEASED
Budget 2015 / 2016
127,000
112,887
$10.5 billion
to parolee
RETURN
60% within 3years
4
5 6
7
13
With the rise of kickstarter and crowdfunding, donors are more interested in choosing a specific cause
or organization. Despite an influx of cash and the transition of charitable giving adjusting to pre-reces-
sion levels9
, the scrutiny on the use of funds continues to increase. Foundations and donors are feeling
the squeeze on their money to be more accountable for funds.
Impact investing has also emerged as another means to create measurable impact financially as well as
in the social and/or environmental space. Even more recently, Social Impact Bonds (SIBs) and Pay-for-
Success contracts have emerged on the landscape as another avenue to fund outcome achievements,
channel financing to social services and even drive governmental accountability on social programs.
Social Impact Bonds (SIBs) were created to leverage private-sector
capital for social service programs and to focus on achieving agreed
outcomes. By entering into a Social Impact Bonds, the stakeholders
create a government commitment to reward private sector capital
through the savings created by structured activities that accomplish
improved social outcomes.12
To date, over 26 states are in the pre-
launch phase with 9 states with active and launched SIBs. Investors
such as Goldman Sachs, Bloomberg Philanthropies, Merrill Lynch,
Social Finance, Nonprofit Finance Fund and Third Sector Capital are
currently leading investors and intermediaries in this space.
Changing Donor Landscape
Impact investing has also emerged
as another means to create mea-
surable impact financially as well as
in the social and/or environmental
space. Impact investing is estimat-
ed to grow10
2008 2018
$50
Billion
$500
Billion
1. Investment
of principal
2. Coordinate,
Structure Deal
& Manage Perfomance
3. Deliver
Services
5. Evaluate
Impact
6. Pay for
Success
7. Return or
Principal plus
Interest
4. Achieve Outcomes
Investor
Intermediary
ServiceProvider
Evaluator Population
in need
Outcome
funder
11
14
Launching in 2006, the B Lab added itself to the list of organiza-
tions working to certify a network of members who have similar
ideals and want to be recognized as a movement. Other companies
like Underwriter Labs and Fair Trade had been working to gain cred-
ibility to and create consistency across organizations doing similar
work. In doing so they created the space to hold society account-
able to the bottom line beyond profits and in doing so are defining
a new expectation around performance for the triple bottom line.
In addition to certifications in triple bottom line focused businesses,
a new trend of socially minded entrepreneurs seek a similar ‘return
on investment’ or accountability for social causes.
With the rise of wealthy young activists who have already made
their money in high finance or tech industries, there’s a movement
toward fast-moving networks, open information, and bottom-up en-
trepreneurialism13
. Beyond Bar seeks leverage this emergent field of
certifying a new type of intelligence and commitment to the triple
bottom line through our perspective on data while being establish-
ment as a benefit corporation. Data for decision-making becomes
the new currency for intelligence on what organizations can solve
major social challenges.
Certifying A New Intelligence
15
Market Analysis
According to the National Center for Charitable Statistics, over one
million charities and over one hundred thousand foundations exist
in the United States.14
With those numbers in mind, the number of
organizations working specifically within the recidivism space tally
over forty thousand according to the Prison Recovery Network15
.
Beyond Bars estimates that one percent of the total number of
foundations (104,16516
) work specifically within the anti-recidivism
efforts.
Though spending by foundations or charitable giving focused on
anti-recidivism efforts is largely unclear, the amount spent on cor-
rections by the US Department of Justice is more than $50 billion a
year at the state level and over $100 billion in local corrections17
. For
the 2017 budget year, the US Department of Justice requested 95.3
million for prevention and reentry efforts with $56.5 million being
allocated to grants.18
More broadly, giving by foundations amounted
to $53.7 billion in 2013 and of that total amount 12% went to human
services and grant making entities according to Giving USA19
. Open
Society Foundations allocates 6% of their total 2016 of 930.7M
budget towards Justice Reform and The Rule of Law programs20
.
Beyond Bars estimates foundational giving to recidivism organiza-
tions at $386 million (6%*12%*53.7B). In terms of spending, since
2010 over $50 million dollars alone have been allocated through
Social Impact Bonds (SIBs) focused on recidivism across the world21
.
Despite the staggering numbers the Public Policy Institute of Cali-
fornia argues that the work of creating integrated data systems that
can be used to demonstrate which correctional strategies are most
effective remains largely undone.22
When looking to better understand how much foundations are
willing to spend on information for effective, top-rated Charities,
Beyond Bars looked to the current industry standards set by Global
Impact Investment Network (GIIN), Charity Navigator, and Guide-
Star.
Charity Navigator offers their services for free.
GIIN represents the middle of the market with
pricing from $2,500 to $3,500.
Guidestar’s membership levels and corresponding
rates range from $2,000 for an individual user to
$50,000+ for Foundations.
Looking beyond the charitable giving sector, network and/or corpo-
rate memberships for information range from
(price quotes based on Corporate Executive Board, Bersin by Deloitte and other InsideNGO).
$10,000 to $50,000
16
04.
THE NEED
17
Service providersFunders
The customer segments
Service Providers include nonprofits, governmental agencies and
non traditional providers.
Funders include foundations, high net worth individuals, individual
donors and government.
18
Funding sources for anti-recidivism efforts are varied in size and
profile; many funders do not fit the model of large, powerful foun-
dations. They are smaller organizations that lack the capacity to ad-
equately search for, find, and assess prospective Service Providers.
As a result, most Funders go largely unaware of compelling oppor-
tunities for social investment, particularly with programs that may
be lesser known, but align highly with the Funder’s started mission
and values. Missed opportunities result, with Funders of all sizes of-
ten defaulting to ‘follow the tail’ of larger, more visible Foundations
in their decisions to invest.
The Need
It is difficult for Funders to appropriately assess potential invest-
ments in social programs. There are a great deal of unknowns, both
in the initial vetting of prospective service providers and following
the investment in the pursuit of information on outcomes. Even
large foundations, with robust assessment departments, lack ap-
propriately rigorous procedures on this particular point in how they
identify and evaluate Service Providers. Presently only weakly codi-
fied systems exist to capture outcomes of anti-recidivism programs.
As a result, a ‘black box effect’ occurs for social investment- capital
goes into a program, but it is unclear how the Service Provider’s op-
erations and, more importantly, relative impact benefit from these
funds.
Funders
1 2‘Risky’ Social Investments Majority of Funders Lack Capacity
19
There’s tons and tons of money invested in prison recidivism
programs. Funders are willing to take risks, but the risks are
huge right now because there’s no data. Address this for
funders and say we’re going to take out the data risk for you.”
“ - Josh Genser
CEO of Richmond Development Company & Con-
sultant for Social Impact
20
Service Providers Fail to Properly Self-Assess
Most Service Providers are unable to hire devoted grant writers,
whose sole job is to identify and pursue opportunities for funding.
Thus, such organizations’ efforts at fundraising are inefficient and,
ultimately, inadequate; they are unsure of how, even where to look
for the necessary funding critical to their operations. Beyond this,
Service Providers falter at clarifying their particular identity- who
they are, what sets them apart- that would create a compelling sto-
ry for them to communicate to potential Funders (large and small).
This weakens Service Providers’ efforts at securing funding.
Lack of Fundraising Capacity (Majority)
“Matching with investors would be really great.”
- Natrina Gandana, Project Coordinator Last Mile
Service Providers
1 2
In addition to lacking capacity for maximized fundraising efforts,
Service Providers do not have the sufficient time and energy to
appropriately assess their own organizational efforts. According to
the Institute of Public Policy California, some agencies lag further
behind than others in the collection of use-of-service data and
many do not track beyond simply referrals to necessary services23
.
Service Providers are unsure of how they are doing, as they must
devote the majority of their effort to fundraising and basic service
operations; they do not engage in ongoing reflection and assess-
ment. Service Providers are even unsure of what their particular
impact looks like, let alone how to capture and communicate it. As
a result, their cases for funding suffer. Also, ongoing organizational
learning and process improvement are slow, limited, or altogether
non-existent.
21
How do we prove the efficacy of our program? We’re
trying to figure out where can we find tangible results.”
- Natrina Gandana, Project Coordinator Last Mile
“
22
The Giving Economy has been slow to adapt to the changing needs
of the industry of social impact. This is a function of its antiquated
top-down, centralized system of giving; such a system results in pri-
marily ‘loyalty-based’ giving, rather than giving based on merit. The
lack of merit-based giving persists in large part to outdated thinking
as well as the fact that stakeholders are un-incentivized to utilize
(if not entirely unaware of) the various tools and metrics available
for enhanced assessment of merit-based impact. [See Competitive
Landscape section] Such resources have not been highlighted as
the primary drivers of the change that must come to the growing
industry of social impact.
Given the rise of enhanced gathering capabilities and techniques,
there is a potentially staggering wealth of data available on the
social impact industry. However, Funders and Service Providers
alike are all too often overwhelmed by the size of this data pool;
they struggle to synthesize meaningful insights from it, insights that
can lead to more ‘intelligent’ social investing. Some of this struggle
stems from the lack of capacity on the part of both Funders and
Service Providers stated above, but it is also borne out of the lack
of any shared, clarified language of social impact; this results in a
failure of stakeholders in the Giving Economy to engage in ongoing,
reciprocal communication through the lifecycle of their efforts.
The slow adaptation that pervades the Giving Economy stifles the
development of innovative programs which promise to sufficiently
alleviate the issue of recidivism. Thus far, the existing system has
proven woefully incapable of compellingly meeting this challenge-
with 60% of parolees returning to prison within three years of re-
lease24
, the failures of the effort continue to glaringly outweigh the
successes. No doubt that drastic changes are needed, yet innovative
programs of promise struggle to secure the required level of recog-
nition and scale needed to attract the large Funders. Unfortunately
resulting in more of much of the same efforts that have thus far
failed to provide a compelling solution to the problem of recidivism.
Beyond the lack of knowledge and shared understanding that typi-
fies the connection and engagement of Funders to Service Provid-
ers, a less useful communication and knowledge exchange currently
exists in the enactment of this relationship. Ongoing connection
between Funders and Service Providers suffers. This leads to inef-
ficiencies and missed opportunities on the part of both stakehold-
ers- much latent knowledge is created from their shared effort, but
when Funders and Service Providers fail to adequately engage in
follow-up communication over the effort, so much of these potential
insights are lost. The opportunity for improvement and innovation is
squandered.
Unique Pain Points – The Giving Economy on the Whole
1. Top-down, Centralized System
2. Lack of Innovative Efforts of Promise
3. Data Feast; ‘Intelligence’ Famine
4. Relationships Are Un-Formalized; Tenuous
23
“There’s no question, among the most difficult
things facing social impact programs is data.”
“There’s no question, among the most difficult things facing social
impact programs is data.”
”Bottom line, if we could help sway the needle from loyalty-based
giving to merit-based giving–and [as a result] there was more ef-
fective allocation of public funding–that would be a huge accom-
plishment”
“
“
- Josh Genser
CEO of Richmond Development Company
& Consultant for Social Impact
- Mario Morino, Venture Philanthropy Partners25
24
05.
OPPORTUNITY
25
Presently, there is no centralized database of the organizations working in social impact. Nor is there a
shared platform of communication on which these Service Providers and potential Funders can con-
nect.
By first establishing rigorous systems of impact measurement- drawing both on pre-existing resources
(like GIIN’s IRIS) and emerging requirements from dialogues with prospective funders- and then assess-
ing Service Providers against such codified measurements, we can compile a catalogue of ‘Top-Rated’
organizations for review by Funders.
By prompting and facilitating ongoing communication between Funders and ‘Top-Rated’ Service
Providers, we can transform beyond a mere static database into a dynamic, evolving platform, through
which the critical players in social impact forge powerful connections and meaningful pursuits of collab-
oration.
The Opportunity
Fail to Properly Self-Assess
Lack of “the right match”
Funds aren’t allocated
to the best Service Providers
Cannot measure impact
Make social Investments risky
Risky Social Investments
26
As a platform that leverages data management services to connect
Funders and Service Providers, Beyond Bars’ most vital resource
is this very network of stakeholders- the more comprehensive and
expansive this network, the larger, more fruitful the data pool avail-
able.
From this, Beyond Bars can facilitate more and more meaningful
connections between Funders and Service Providers. The platform
can generate increasingly powerful insights to fuel process improve-
ment. It can also foster greater collaboration and ongoing innova-
tion.
Of course, none of this is possible without a robust and diverse net-
work of both Funders and Service Providers, with all users engaging
regularly and meaningfully with Beyond Bars platform features. The
following details the superior experience users can expect from the
Beyond Bars platform, as well as the strategy for establishing, grow-
ing, and further developing a robust network of users.
OUR GOAL
Facilitate Results and MeasurementDe risk Social Investments
Funders
Service
Providers
27
06.
PRODUCT & SERVICE
28
Features
Given the multi-sided nature of the platform, Beyond Bars offers slightly different features to
Funders verses Service Providers in its efforts to bring value to these distinct user groups; there
are also certain features that benefit all users of the platform.
Funders can access Beyond Bars’ extensive database of existing
programs to learn more about organizations in which they are con-
sidering investing. While much basic information on such organiza-
tions is already available from various sources, Beyond Bars gath-
ers it all into one place, creating clear, straightforward profiles for
scores of Service Providers.
In addition to data collection and aggregation, Beyond Bars gener-
ates insights on organizational identity and trajectory based off of
this data, empowering discerning Funders to make more informed
decisions regarding potential funding opportunities.
As Funders increase their interaction with Beyond Bars, they gener-
ate further data. This helps to create a portfolio and profile for the
Funder, which they utilize to track their current investments, better
understand their own identity as a social investor, and clarify their
expectations for Service Providers, thus maximizing their efforts
when searching for funding opportunities that will be most mean-
ingful to them.
The visualization of this data helps Funders to better understand
their own efforts- particularly the relative successfulness of each-
within the social impact space. Contributing and generating such
Database of Service Provider Profiles Funder Portfolio
For Funders
data serves to enhance the pre-
dictive analytics Beyond Bars
employs for users. This makes
the platform ever better at iden-
tifying funding opportunities of
greatest interest and meaning
to Funders. As Funders continue
to leverage the site, predictive
analytics learn their preferences
and suggest ‘Top Rated’ Service
Providers. This report goes into
further details in the Business
Strategy section.
29
For Service Providers
Just as Funders are utilizing Beyond Bars’ platform to effectively
find programs of promise in which to invest, Service Providers have
access to a wide array of Funders with capital available for efforts
of clear social impact. In many cases, potential Funders do not have
a highly visible presence in the giving economy; many foundations
do not have a website. This leaves Service Providers running the risk
of missing a great many opportunities to secure funding.
With Beyond Bars’ expansive and diverse database of Funders,
Service Providers can improve their chances of connecting with a
Funder willing to invest in their program. Beyond Bars assists in this
search for funds with helpful filtering options (i.e. geographic, size,
focus), as well as more proactive facilitation of matches through
recommendations on ‘fit’ drawn from data-generated insights.
It is not enough for Service Providers to come upon potential op-
portunities to secure funding; they must make a compelling case for
why they should be the one to receive a Funder’s resources. Beyond
Bars helps Service Providers to clarify their message and strengthen
their case for funding.
Drawing on insights generated from both pre-existing data on and
regularly updated behaviors of Funders, Beyond Bars communi-
cates to Service Providers the specific efforts they can make that
have been shown to improve their chances of securing funding.
Primarily, this concerns capturing and communicating a program’s
impact. Again, Beyond Bars draws on its data-driven insights to
generate recommendations on approaches and procedures best
suited for this task.
Effective storytelling is one thing, actual program improvement is
another, more compelling thing. By drawing on the experiences of
others, Beyond Bars can point Service Providers in the direction
of powerful opportunities for process improvement. Beyond Bars
creates additional opportunity for Service Providers to leverage
existing frameworks for measuring impact while also providing
customizable tools to capture results and outcomes of their efforts.
Once a Service Provider has a clear understanding of its impact and
identity, it can set to work further improving its effort and augment-
ing its impact. Beyond Bars provides insights and support through-
out such efforts.
Database of Funder Profiles Support Systems for Service Providers
30
By bringing all the various stakeholders working in the anti-recidi-
vism space together on a shared platform, Beyond Bars drastically
enhances the opportunities for meaningful, productive communica-
tion between them. Beyond Bars does not merely create an invita-
tion and hope stakeholders will participate however; the platform
provides additional features to spark connections and facilitate on-
going exchanges between Funders and Service Providers (as well as
amongst such groups themselves). This is done through easy mes-
saging opportunities, augmented by recommendations/suggestions
for connections translated by the platform’s predictive analytics.
In addition to the straightforward benefit of efficiently bringing
together partners (those with the capital and those running the
programs in need of the capital) in the anti-recidivism effort, such
communication will also help to spur greater efforts of collaboration
and innovation in the space. Such ongoing, robust communication
gives many more stakeholders the opportunity to become more of
an ‘influencer’- it allows for heightened levels of engagement with
the process and an increased presence in the space. This again
drives further innovative efforts at social impact.
This is the DNA of the platform; it is the basis of all of Beyond Bars’
interactions. It is the energy that fires across all the synapses of
communication on the platform. It is the shared language of stake-
holders speaking about opportunities for greater social impact.
While this ‘Catalogue’ will look and work slightly different for
Funders and Service Providers, the core benefit of the feature is the
same- a clear and codified system by which Funders and Service
Providers can speak about efforts and impacts within the anti-recid-
ivism space.
It is an effective and efficient way for Funders to identify which
types of programs they might be most interested in funding; it is
equally effective and efficient in helping Service Providers charac-
terize themselves, seek out assistance from other similar organiza-
tions, or find Funders with a history of investing in similarly focused
programs.
The Catalogue brings clarity to all communication on the platform.
It is a rigorous model of program assessment and characterization,
continuously refined by Beyond Bars’ team of social impact experts,
that defines both the language and currency of impact and success
in the effort to combat recidivism.
Enhanced Communication
2. A ‘Catalogue of Impact’
For All Stakeholders
31
Beyond Bars is aggressive and expansive in its practices of data
gathering and aggregation; this fuels the predictive analytics that
serve both Funders and Service Providers who utilize the platform
to gain greater understanding of their own performance, the efforts
of other stakeholders, and the state and trends of the anti-recidi-
vism ecosystem on the whole. These analytics are mobilized into
a lean interface that makes the entire experience for Beyond Bars
users highly intuitive, intrinsically motivating, and, ultimately ener-
gizing. Engagement with and on the platform clearly translates the
service benefits clearly through the utilization of the offerings; the
entire practice of utilization itself is a highly pleasing and inspiring
one.
Superior User Experience
32
07.
BUSINESS STRATEGY
33
Programming/web development
In addition to utilizing pre-existing metric systems for social impact,
Beyond Bars will create proprietary algorithms to measure and track
the performance of organizations that will eventually lead to the
prediction of the programs who are primed to succeed in the near
future. These data-gathering algorithms will be refined as time goes
by and tweaked as the offering expands to encompass an array of
Service Providers with diverse program offerings. Beyond Bars of-
fers a superior interactive experience, with responsive presentation
of information that adjusts to individual user behavior over time.
Talent
Beyond Bars seeks individuals who are passionate about address-
ing such a pressing social problem. Team members must thrive in
complex challenges and draw motivation from working to solve
this daunting challenge. By recruiting talent with this mindset and
motivating staff based on organizational performance, Beyond Bars
believes it will stand out in the competitive talent market of the Bay
Area.
Subscription-based Membership
Beyond Bars differs from competitors in that we leverage already
existing data through tax information, creates measurement frame-
works and offers predictive analytics. To accomplish this, Beyond
Bars offers two tiers of subscriptions Basic and Premium.
Business Strategy
To accomplish the mission, Beyond Bars will focus key operations in programming/web develop-
ment, talent, and subscription based membership.
34
Basic Subscription Membership
Firstly, the basic measurement is focused on reducing recidivism.
The basic measurement of a recidivism rate must be addressed by
programs and their progress uploaded for 3 consecutive months in
order to be considered for funding. From a system level, the pro-
gram’s recidivism rate must be under 60% (as the standard base-
line). Beyond Bars will track each program’s progress and put into
place a rigorous moving target with the expectation of an increase
in funding leading to a decrease in recidivism.
The third measurement framework leverages predictive analytic
technologies, and serves as the most sophisticated. Once the first
and second frameworks are in operation, Beyond Bars will have
enough data points and insights to decipher the characteristics
of a ‘fundable’ program and/or channeling them towards founda-
tions. Our platform will be able to predict a ‘North Star’ for funders
based on Service Provider data and Funders history to recommend
distinct Service Providers as investments to foundations. Through
meaningful data, Beyond Bars works to highlight programs who do
well and connect them to funding sources for sustainability.
The second measurement framework addresses the expected out-
comes in contrast to the actual outcomes. Beyond Bars recognizes
the variability between programs.
Example
Homeboy Hotline focuses on communication where former-
ly incarcerated individuals can call in for help at any time,
whereas Defy Ventures assists formerly incarcerated individ-
uals through job assistance, focusing on entrepreneurship.
The platform will include the capability to create an outcome repos-
itory to hold expected outcomes defined by each program. Beyond
Bars plans to build a framework where these outcomes can be
re-visited at set intervals and eventually programs supply the actual
outcome to be measured against. Programs define outcomes at the
onset and maintain responsibility for credibility, while Beyond Bars
serves as a platform for the technical and functional framework,
data storage, and visualization of progress.
1.
3.2.
60%
Recidivism rate
less than 60%
35
Premium Subscription Membership
The premium subscription is modeled after a licensing mechanism
where foundations could use part of their fee to fund the use of
Beyond Bars by providing licenses to specific programs of their
choosing. This type of model reinforces the idea of connection and
harmony between the two parties - both committed to the cause of
reducing recidivism. The platform also uses predictive analytics to
connect foundations to other similarly minded foundations.
Furthermore, based on the time spent on a program’s page and the
number of times specific sections of existing information is clicked,
Beyond Bars will present information based on behavior, analogous
to Netflix recommendations or Spotify’s Discover Weekly playlists.
Seamless interaction between people and data drives Beyond Bars
to deliver a rewarding experiencing for both the Funders and the
Service Providers.
36
Customer Use Cases
Product Development is one of Beyond Bar’s core competencies. As such, below outlines two
key customer use cases written in a standard Agile Methodology approach (Who/What/Why
addressing who is the user, what do they need to do, and why is this function important - the
benefit or value).
As a foundation, I need to be presented with successful in-prison and reentry programs, so
that I am confident in the investments I make through the Beyond Bars platform.
I am able to see a short-list of programs based on my past interac-
tion history with Beyond Bars
•	 I am able to easily find the contact information for these programs
•	 I am able to save these programs to my portfolio for later consumption
•	 I am able to easily find more information on each program individually
•	 I am able to see North Star programs based on the data analyzed by Beyond Bars in an easy to
understand and visually pleasing manner
I spend time searching for pro-
grams with a <10% recidivism
rate and I see all the programs
displayed have a <10% recidivism
rate
I invest an average of $5,000 on
one program and I see all the
programs displayed are asking
for an investment of $5,000 +/-
$1000
I spend time searching for pro-
grams that are diverse in their
missions, ie jobs, transitional
services, gardening, landscaping,
health and I see a variety of
programs displayed for me
37
As a service provider, I need to be able to upload the necessary information on Beyond Bars,
so that I am confident in receiving funding to sustain my program.
•	 I am able to see a form with the pre-defined fields available to
me
•	 I am able to upload information through the User Interface form
•	 I am able to upload an excel spreadsheet I have used for the
duration of my job to the Beyond Bars platform
•	 I am able to see the data successfully and save after uploading
through the UI and/or through the mass upload
•	 I am able to see my program’s progress based on the informa-
tion I have uploaded to the platform
•	 I am able to see a probability rate of a foundation connection
based on past interactions
Number of graduates from my
program for the quarter, Release
Date, Duration of Time on the
outside, Place of Employment,
Duration of Employment
38
Business Model Canvas
39
40
08.
POSITIONING &
GO TO MARKET STRATEGY
41
Competitive Analysis
Organizations that relate most to Beyond Bars include GIIN, GuideStar, and Charity Navigator.
By comparing these organizations to Beyond Bars’ products and services, similarities and differ-
ences to Beyond Bars’ products and services are captured below.
Financial Model: 501(c)(3)
Free and Public Good (limited access on
web platform), Annual Membership Fees
Founding Year: 2009
Revenue: ~100M
Expenses: 100M
Net Gain/Loss: 650K
# of Employees: 11-50
User Base: Impact Investors
GIIN26
is a platform for investors to meet and take part in activities
that build the impact investing industry from a practitioner’s per-
spective. GIIN Members gain access to industry information, tools,
and resources to enhance their capacity to make and manage im-
pact investments. Investors who are part of the GIIN network con-
nect with one another through virtual and in-person members-only
events. To become a member of GIIN, there are four different pric-
ing models available on an annual membership price basis. For-Prof-
it Organizations and Foundations who would like to be part of the
impact investing network for developing markets is $3500 per year,
while emerging markets is $2500 per year. For Not-For-Profit orga-
nizations who are interested in impact investing, the annual mem-
bership is $2500 for both developed and emerging markets.
There are two arms of GIIN that are worth mentioning, IRIS and
ImpactBase. IRIS 4.0 provides investors with clear instructions to
enable consistency in data collection, management, and reporting.
The IRIS mission is to create a space where social and environmen-
tal performance drives investment decisions and, alongside financial
performance, can be universally benchmarked and compared. The
IRIS arm is a free and public good, where the metrics are cata-
logued and searchable for anyone to use.
ImpactBase is a searchable, online database of impact investment
funds and products designed for investors. Published fund or
product profiles on ImpactBase gain exposure to the global impact
investing community. This arm of GIIN is offered at no additional
cost, but there is a vetting process. Before being able to register,
individuals must prove they are accredited investors with assets of
over $5M.
42
GuideStar27
is the world’s largest source of information on nonprofit
organizations. Guidestar envisions a nonprofit sector strong enough
to tackle great challenges. GuideStar provides Nonprofit Profiles
with the information needed to build connections and learn from
each other to make smart decisions. Anyone can use Nonprofit Pro-
files for research and can be used to compare nonprofits in an easy
and transparent way.
Guidestar also offers a plethora of products, services and events for
an additional cost.
Sample Membership Services:
•	 Invitation to the GuideStar User Advisory Panel
•	 Invitations to Members-only events, including with GuideStar’s
senior leadership
•	 In-person trainings for GuideStar tools and services tailored to
specific needs
Memberships range from $2,000-$50,000 per year.
Sample Products
•	 GuideStar Search API at $2,000 per year
•	 GuideStar Detail API at $1,800 per year
•	 NonProfit Lists by State - $500 each
•	 NonProfit Lists by Metropolitan Statistical Area - $800 each
Charity Navigator works to guide intelligent giving. By guiding intel-
ligent giving, this organization’s goal is to advance a more efficient
and responsive philanthropic marketplace. Givers and the charities
work together to overcome our nation’s and the world’s most per-
sistent challenges.
Financial Model: 501(c)(3)
Free and Public Good (limited
access on web platform), Paid
Services for Membership and
Products, Grants
Founding Year: 1996
Revenue: $10,676,538
Expenses: $11,205,500
Net Gain/Loss: ($528,962)
# of Employees: 83
User Base: Foundations, Non-
Profit Organizations, Volunteers
and Donors
Financial Model: 501(c)(3),
Free and Public Good, Contribu-
tions and Grants
Founding Year: 2000
Revenue: $1,808,426
Expenses: $1,657,374
Net Gain/Loss: 151,052
# of Employees: 15
User Base: Individual Donors
43
Beyond Bars focuses on one social cause, while the other organizations cast a wide net and include all
nonprofit organizations. By becoming the most knowledgeable and credible experts in the recidivism
space, investors and foundations who are interested in a high social return of investment will feel con-
fident in working with Beyond Bars and the anti-recidivism programs in the network. In the long-term,
Beyond Bars plans for expansion into other social causes and is taking a conservative approach allow-
ing three years in the recidivism space before moving into an additional vertical.
The three organizations listed as competitors also serve as inspiration. An opportunity exists to lever-
age GIIN, Guidestar, and Charity Navigator’s networks and services as complements given all target
the same network and work to support nonprofits. For example, the use of GuideStar’s APIs may be
useful to pull in as one form of information. GIIN has a very strong hold with impact investment funds
that could be investigated as Beyond Bars ventures into the Social Impact Bond space. While GuideStar
currently stands as the most technologically savvy, they are currently not using predictive analytics or
providing service providers with impact measurement frameworks. This is another differentiator Beyond
Bars plans to implement once our initial phase of investor acquisition is completed.
44
Go-to-Market Strategy
Platform Development and Customer Acquisition
Relationship Building is integral as part of the platform develop-
ment process. By iterating with customers we ensure it provides the
most value and ease of use. As we scale we must foster relation-
ships through conferences, social media and one-on-one interaction
with customers and industry professionals to achieve industry trust,
respect and credibility.
Platform Development is the means by which we provide value. It
is important to include customer feedback as well as state of the art
analytics, visualization tools to provide unparalleled user experience.
Impact Measurement Frameworks will not only be a guide to
service providers on how to measure their impact but also allow
Beyond Bars to quickly source relevant data. Additionally, once
an impact measurement framework and system is developed for
recidivism programs it will be replicable for other sectors and fuel
expansion and scale.
Relationship
Building
Platform
Development
Impact
Measurement
Frameworks
Critical Success Factors
45
Implementation Plan
46
3-6 Months
Beyond Bars’ platform will be in early stages of Alpha focused on
the development of the platform pulling from existing data (non-
profit tax information) and the information gathered via meetings
with prospects. Iterative design will be based on identified partner
organizations as well as internal feedback. At month four, Beyond
Bars moves into Beta with a prototype-test-build iteration cycle
each month to enhance the platform based on direct customer
feedback. At the start of each month, Beyond Bars will deploy an
enhanced version (V1.0, V1.1, etc). During the month, Beyond Bars
will work to gain customer feedback and capture for refinements to
the next version iteration.
6-12 Months
The platform becomes officially generally available for Service Pro-
viders and Funders consumption. At this point, Funders will be able
to pay a premium membership fee to research additional programs.
Those who are fully funded and working towards clear objectives
can be expected to deliver 20 to 30 percent reductions in recid-
ivism or crime rates for the intended populations28
. As discussed
previously Service Providers would receive a “Top-Rated” rating
based on their performance and recidivism reduction, catching the
attention of impact focused foundations.
Year 1 - Development
Assumptions
•	 Currently developing frameworks and the data set to measure impact in conjunction with Service
Providers and Foundations.
	 - Within the initial data set of 40 programs, only 3 out of the 40 programs have an easy way to
see the common measurement;
rate of recidivism.
•	 For Service Providers: must create create a catalogue of programs, merging the data, and transform-
ing it through data analysis and visualization tools.
•	 For Foundations: must gauge the most relevant metrics of interest, develop measures and create a
standard way to apply these metrics (or variations of) for the different programs.
	 - Prospective foundations instrumental to initial iterations
47
Conferences
Beyond Bars will target relevant conferences in the social impact,
social investing, and data analytics fields. Below is a brief list of
conferences that Beyond Bars will attend as a vendor. By putting
the product literally in the hands of users at the conferences Beyond
Bars will be able to better understand customer needs and generate
follow-up leads. To continue the momentum from the conferences,
Beyond Bars’ staff will personally connect with Service Providers
and Funder via phone, email and in-person meetings to introduce
our platform.
Media Strategy
With the platform live and containing a stable pool of service pro-
viders and foundations, Beyond Bars expects for growth to happen
aggressively both by word of mouth as well as through social media
channels.
Beyond Bars will leverage the marketing team to get specific
placements in blogs like RSF Social Finance Social Investments, the
Calvert Foundation’s Impact Investing Blog, and Echoing Green’s
blog. Beyond Bars will leverage the marketing team to create and
share small 2 minute videos telling the stories of Service Providers
impact as a result of receiving additional funds through Beyond
Bars. Beyond Bars also plans to maintain a LinkedIn page, Insta-
gram, and Twitter account to share smaller updates and success-
es of Beyond Bars’ participants as well as upcoming events and
opportunities to engage through conferences. In doing so, Beyond
Bars will claim a handful of hashtags that contain extensive reach
as well as create several specific to the company’s personality and
objectives.
Year 2 - Marketing the Platform
48
At year 3, Beyond Bars will hire additional ‘onboarding’ personnel
responsible for developing contacts with Local Government, Na-
tional Government, Social Impact Investors and Social Impact Bond
Investors as well as assist new users with initially using the platform.
At the term of 3 years, and every 3 years thereafter, Beyond Bars
plans to expand into new focus sectors. Criteria for expansion in-
cludes:
1.	 Meaningful connection and collective impact on recidivism.
Beyond Bars strives continue to support people from returning
to prison but will also prevent people from entering the prison
system.
2.	 Scaleable model and ability to develop a standardized frame-
work for a more general target market. If a general target group
relates to anti-recidivism work and has the ability to transfer
many of the same measurements, Beyond Bars will work with
Service providers and foundations working in this space to cre-
ate frameworks and measure the impact of programs.
3.	 Market size: It must follow that the chosen sector will move the
needle in a significant way, and that to do so there are both
enough service providers and foundations interested in working
in this space.
Beyond Bars is focused on measuring impact. While the first center
of focus will be reducing recidivism, measuring of impact across
sectors remains profusely important and largely lacking. Local Gov-
ernment as well as National Government serve as important addi-
tional users of Beyond Bars’ information. Opportunities to expand
Beyond Bars beyond recidivism also exist considering the platform’s
capability to be used by foundations and nonprofits working in dif-
ferent sectors and considering the increasing interest in measuring
impact. Compelling spaces related to anti-recidivism efforts include
health, housing, and employment opportunities. Beyond Bars sees a
natural extension into applying the existing frameworks and meth-
odologies to these social sectors to create additional impact.
Year 3 - Onboarding and Customer Support Year 4 Expansion
49
At the term of 3 years, and every 3 years thereafter, Beyond Bars
plans to expand into new focus sectors. Criteria for expansion in-
cludes:
1.	 Meaningful connection and collective impact on recidivism.
Beyond Bars strives continue to support people from returning
to prison but will also prevent people from entering the prison
system.
2.	 Scaleable model and ability to develop a standardized frame-
work for a more general target market. If a general target group
relates to anti-recidivism work and has the ability to transfer
many of the same measurements, Beyond Bars will work with
Service providers and foundations working in this space to cre-
ate frameworks and measure the impact of programs.
3.	 Market size: It must follow that the chosen sector will move the
needle in a significant way, and that to do so there are both
enough service providers and foundations interested in working
in this space.
Beyond Bars is focused on measuring impact. While the first center
of focus will be reducing recidivism, measuring of impact across
sectors remains profusely important and largely lacking. Local Gov-
ernment as well as National Government serve as important addi-
tional users of Beyond Bars’ information. Opportunities to expand
Beyond Bars beyond recidivism also exist considering the platform’s
capability to be used by foundations and nonprofits working in dif-
ferent sectors and considering the increasing interest in measuring
impact. Compelling spaces related to anti-recidivism efforts include
health, housing, and employment opportunities. Beyond Bars sees a
natural extension into applying the existing frameworks and meth-
odologies to these social sectors to create additional impact.
50
De-Risking Strategy
51
09.
FINANCIALS
52
Customer Acquisition/Growth Rate
•	 1% of the Funder estimated market (in total estimated at 1,000)
•	 1% of the Service Providers estimated market (in total estimated
at 40,000)
•	 Growth doubling each year for each target group
•	 Offering a premium subscription for Funders in Year 3
•	 Expand to a new vertical in Year 3
Cost Drivers
•	 Development costs - people & technology
•	 Marketing and Business Development set at 2% of revenue,
Travel set at 1%
•	 Scaling into additional sectors
Pricing
•	 $15,000 basic membership for Funders per year
•	 $20,000 premium membership for Funders per year
•	 $300 membership for Service Providers per year
Assumptions
53
54
Case Study: Insight Garden Program
2011 Study
117 IGP Participants (between 2003-2009)
<10% recidivism rate
$47,421 incarceration cost per person
$40m cost savings in California
Source: http://insightgardenprogram.org/research-studies/
Recidivism Statistics:
http://www.bjs.gov/content/pub/pdf/p14.pdf
RCRD Ratio:
ReCidivism ReDuction Ratio measures the amount of contributing
members who have gone through successful programs. An increase
in this ratio points to a positive trend in the number of graduates
from a program who do not go back to prison for at least 3 years.
The connection between funders and programs who are demon-
strating meaningful successes will lead to a significant change in
our industry. Beyond Bars will be profitable by year 4 and by year 8,
recidivism will drop by 20%.
Beyond Bars is driving a wedge into an out-dated and convoluted
system and accomplishing true social change.
Social Value
55
10.
TEAM
56
As CEO of Beyond Bars, Charlene holds responsibility for the vision
and execution of Beyond Bars’ products and services. She is a
member of the Advisory Board Committee and volunteer for Insight
Garden Program, an in-prison program which transforms prisoner’s
lives through connection to nature. In San Quentin, Charlene and
the IGP team teaches curriculum combined with vocational garden-
ing and landscape training so that people in prison can reconnect
to self, community, and the natural world. Additionally, she holds
strong relationships with California Prison Focus and The Last Mile.
Her experience in recidivism programs both inside and outside of
prison walls give her the ability to connect the public with the recid-
ivism support network, formerly incarcerated individuals and those
still serving their sentences. She believes everyone has the right to
be safe in an ever-changing and diverse world. She is accountable
for the success of the company both from a social impact and prof-
itability perspective.
Secondarily, Charlene leverages her experience as a businesswoman
in Silicon Valley to ensure Beyond Bars is using the most current
technology to optimize their products and services. She has led na-
tion-wide enterprise software implementation projects for custom-
ers in the healthcare, manufacturing, insurance, and banking indus-
tries during the early years of her career. Most recently, she holds
the Senior Product Manager position for an enterprise software
company and is responsible for release planning, release execution,
analytics and customer relationships. She possesses a high level of
familiarity with consumer and enterprise technologies, best practice
methods, as well as user behavior and adoption.
As COO of Beyond Bars, Stephanie co-develops vision and strategy
to position Beyond Bars as a social enterprise company. Stephanie
drives innovation through consistent collaboration, working abstract
ideas into viable business models, and holding the team account-
able for results. Stephanie brings the energy to cultivate a high-per-
forming team and culture of breakthrough innovation. Stephanie
leads the financial management of Beyond Bars and oversees
budget management. She establishes go-to-market strategies and
return-on-investment metrics.
Stephanie’s leadership experience in management consulting and
international non-profit work enables her to convert challenges to
opportunities and achieve business results at scale. A bulk of Steph-
anie’s work experience increased availability for health products and
services in the resource constrained context of developing coun-
tries. Through roles of increasing responsibility, she worked to scale
innovation throughout the organization of 9,000 staff, oversees
a budget of $3 million and managed a team of five. Stephanie is
enthusiastic about the intersection of design, business, and organi-
zational learning.
Our team is comprised of five MBA in Design Strategy graduates from California College of the
Arts. We are best placed to tackle this space because of our expert knowledge in the recidivism
space, ability to build connections with investors and service providers as well as our skills in
data aggregation, visualization, business and strategy.
Charlene Cuenca: Chief Executive Officer Stephanie Knabe: Chief Operations Officer
57
As CBDO, Julieta identifies new sales prospects and drives business
growth while ensuring requirements for product development are
coordinated with R&D functions. Julieta’s background and experi-
ence as an entrepreneur serves as healthy balance to other found-
ing members in applying a startup mentality to all aspects of the
business.
Previously, Julieta owned a design-build firm built from scratch.
Julieta drove fundraising, pitching projects, closing deals as well as
delivered on writing proposals, engaging with clients, city officials
and diverse stakeholders. As co-founder of another startup, she ap-
plied user research to develop product features and defined go to
market strategy by performing ecosystem analysis and risk analysis.
Throughout her background, helping the community and those in
need has always been a constant.
As CIO of Beyond Bars, Tom ensures effective working relation-
ships of all employees, bridging the gap between IT and non-IT
professionals through the creation of organizational systems and
frameworks that clarify expectations and support employee efforts.
He manages all IT resources of the company, analyzing and re-en-
gineering existing business processes for enhancement, while also
identifying and developing Beyond Bars’ capabilities to utilize addi-
tional, emerging tools. Utilizing his strengths in future proofing and
strategic design for desired outcomes, Tom continually identifies the
potential risks and evolving needs of Beyond Bars to then develops
strategies to address them; in support of this, he clarifies the roles
and accountability of key committees within Beyond Bars.
Tom brings a wealth of experience working previously as an edu-
cator to Beyond Bars; as CIO, he will leverage this expertise in the
creation of supportive structures that enhance employee success
and promote professional development, as well as in the forging of
effective professional relationships to increase value and effective-
ness.
Isa drives development of the customer experience, understanding
the stakeholder’s needs through both qualitative and quantitative
research and later creating compelling product(s). In doing so, Isa
also works to find the right market fit and the adequate business
model that respond to those needs and the objective of the project.
She leads the experience prototyping phase and the iterative pro-
cess to make ongoing changes to the product. She has a laser-like
focus on creating and testing ideas based on the insights provided
by the stakeholders and with the objective of being a profitable
business. Isa has more than 5 years of experience in the nonprofit
sector and most recently worked for the nonprofit TECHO as Devel-
opment Director in charge of the funding and strategy. Hailing from
Mexico City, she brings an international perspective to the team.
Isa Harvey: Chief Customer Experience Officer
Julieta Collart: Chief Business Development
Officer
Tom Bendon: Chief Information Officer
58
11.
END NOTES
59
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27 Apr. 2016. <https://www.opensocietyfoundations.org/about/
expenditures>.
21.	 “Pay for Success Learning Hub.” Pay for Success U.S. Ac-
tivity. N.p., n.d. Web. 27 Apr. 2016. <http://www.payforsuccess.org/
pay-success-deals-united-states#ca>.
22.	 Tafoya, Sonya, Ryken Grattet, and Mia Bird. “Corrections
Realignment and Data Collection in California.” SpringerRefer-
ence (2014): n. pag. Web. <http://www.ppic.org/content/pubs/
report/r_414str.pdf>.
23.	 Tafoya, Sonya, Ryken Grattet, and Mia Bird. “Corrections
Realignment and Data Collection in California.” SpringerRefer-
ence (2014): n. pag. Web. <http://www.ppic.org/content/pubs/
report/r_414str.pdf>.
24.	 James, Nathan. Offender Reentry Correctional Statistics,
Reintegration into the Community, and Recidivism. Washington,
D.C.: Congressional Research Service, Library of Congress, 2009.
Web.
25.	 “The New Activist Givers.” Forbes. Forbes Magazine, n.d.
Web. 12 Mar. 2016. <http://www.forbes.com/2007/06/01/philan-
thropy-wealth-foundation-pf-philo-in_rm_0601philanthropy_inl.
html>.
26.	 “The GIIN.” The GIIN. N.p., n.d. Web. 27 Mar. 2016. <https://
thegiin.org/>.
27.	 “GuideStar nonprofit reports and Forms 990 for donors
...” 2006. 29 Mar. 2016 <https://www.guidestar.org/>
28.	 May 2001. The Comparative Costs and Benefits of Pro-
grams to Reduce Crime. Washington State Institute for Public
Policy.
Sources
60

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Book - BB Final

  • 1. 1
  • 3. 3 01. Executive Summary.................................................. 02. About the Company.................................................. 03. Context......................................................................... 04. The Need..................................................................... Funders Service Providers The Giving Economy 05. The Opportunity......................................................... 06. Product & Service...................................................... Funders Service Providers All Stakeholders 07. Business Strategy....................................................... Programming/Web development Talent Subscription-based Membership Customer Use Cases 08. Positioning & Go to Market Strategy.................... Competitive Analysis Go-to-Market Strategy Platform Development and Customer Acquisition 09. Financials.................................................................... 10. Team.............................................................................. 11. End Notes...................................................................... 4 7 9 16 24 27 32 40 51 55 58
  • 5. 5 THE CONCEPT Currently, 60% of released pris- oners in the US return to prison within 3 years. Programs work- ing to rehabilitate aren’t properly self-assessing and a majority lack fundraising capacity. They also have limited knowledge sharing and the ability to learn from others to redesign pro- grams for scale and greater ef- fectiveness. Funders have limited visibility into a program’s impact and as a result see social invest- ments as risky. Currently, 60% of released pris- oners in the US return to prison within 3 years. Programs work- ing to rehabilitate aren’t properly self-assessing and a majority lack fundraising capacity. They also have limited knowledge sharing and the ability to learn from others to redesign pro- grams for scale and greater ef- fectiveness. Funders have limited visibility into a program’s impact and as a result see social invest- ments as risky. The US Department of Jus- tice requested 95.3 million for prevention and reentry efforts with $56.5 million being allo- cated to grants.1 More broadly giving by foundations amounted to $53.7 billion in 2013 and of that total amount 12% went to human services and grant mak- ing entities according to Giving USA.2 Open Society Founda- tions allocates 6% of their total 2016 of 930.7M budget towards Justice Reform and The Rule of Law programs.3 Beyond Bars estimates foundational giving to recidivism organizations at $386 million (6%*12%*53.7B) although the ability to demonstrate most effective correctional strategies through data remains undone. Beyond Bars focuses at the system level of recidivism efforts to connect funders with service providers so funds are chan- nelled to the most effective programs. This in turn motivates programs, as a whole, to adopt an approach which direct- ly translates into sustainable funding, and therefore creates a steady downward trend in recid- ivism. Presently, no centralized database of the organizations working in social impact exists. Nor is there a shared platform of communication on which these Service Providers and potential Funders can connect. Beyond Bars plans to be a for profit benefit corporation that incentivizes service providers to measure their impact by connecting them with foundations looking to fund programs making a difference. We expect to reach $8.8 million in annual revenue in year 5 by charging funders and programs an annual subscription fee to access impact data. After establishing this vertical, Be- yond Bars plans to expand to other social problems where funders need impact measurements to drive accountability and transparency. By prompting and facilitating ongoing communication between Funders and ‘Top-Rated’ Service Providers, we can transform beyond a mere static database into a dynamic, evolving platform, through which the critical players channel available funds to organizations doing effective work in the recidivism space. The MarketThe OpportunityThe Need Changing Donor Landscape
  • 6. 6 Beyond Bars will focus first on the development of the plat- form from existing data points pulled from tax information and those gathered from prospective customers. Upon solidifying the frameworks to measure impact, Beyond Bars will implement a prototype-test-build iteration cycle to continue enhancing the product while also market- ing heavily through conference events and social media chan- nels. 9,600 Service Provider mem- berships and 360 Funder mem- berships by Year 5 Best-In-Breed Data Platform in the Social Impact Industry Trusted and Credible Expertise in recidivism, social impact bonds, giving, and measure- ments Currently three established play- ers exist in the space of monitor- ing, rating, and reporting impact measurements for non-profits. However, their approaches do not derisk Funders invest- ments nor do they empower Service Providers to capture their impact and tell their story in a compelling way to attract Funders. Beyond Bars differen- tiates itself by focusing specifi- cally on issues of recidivism and leverages predictive analytics to create connections for Funders and Service Providers. Beyond Bars’ advisory board includes experts from Impact Assessment, Finance and Social Impact Bonds (SIBs), Govern- ment, Legal and those currently working in the recidivism space. Each bring a unique perspec- tive on how to approach social challenges and see the potential of anti-recidivism efforts. The revenue model consists of memberships and premium sub- scriptions for Service Providers and Funders. $300,000 in fund- raising in Year 1 and additional $300,000 in Year 2 will allow Beyond Bars to be profitable in Year 4 and earn $8.8M in reve- nue by Year 5. Insight Garden Program; The Last Mile; Richmond Develop- ment Company; Prison Recov- ery Network Beyond Bars will focus first on serving Service Providers work- ing in anti-recidivism efforts. Beyond Bars seeks to capture 30% market share for Service Providers and 44% market share for Funders within 5 years. At the term of 3 years, and every 3 years thereafter, Beyond Bars plans to expand into new social impact sectors. Visiting 3 prisons in Colorado, volunteering in San Quentin, in- terviewing recent parolees, orga- nizations and individuals work- ing in this space, sparked the passion of the Beyond Bars team to magnify the impact of efforts to combating prison recidivism. Our team brings diverse per- spectives to shift the paradigm on giving and hold accountable the promise of providers. Charlene Cuenca CEO, Vision/Strategy Isabel Harvey Chief Customer Experience Officer, Customer Research Julieta Collart Chief Business Development Officer, Business Development Stephanie Knabe COO/CFO, Operations & Finance Tom Bendon Chief Information Officer, Risk Assessment Go-To-Market StrategyCompetitive Landscape The AdvisorsFinancial Overview Partners Scaling & Growth TEAM OBJECTIVES
  • 8. 8 Our Mission Purpose Statement Our Vision We bring service providers and investors together through meaningful data, which magnifies the im- pact of government and citizen efforts at combat- ing prison recidivism. To assist organizations in capturing impact; In a way that bolsters their funding and operating part- nerships; So that the cycle of recidivism is ENDED and communities are strengthened. A world where restorative justice and healthy com- munities thrive. Our Core Values Harmony We believe in illuminating how each individual and organization plays a part in the social goal to end recidivism Empowerment We believe in empowering those passionate and committed to create social good with data Action We believe in leveraging data for decision-making and instigating action with sound decision-making Respect We believe in creating better choices for contribut- ing members of society Truth: We believe in having compassionately candid con- versations all for the greater good
  • 10. 10 Advisory Board Josh Genser Social Impact Bond and Pay for Success Programs Consultant. Matthew Platshorn CEO & Founder Prison Recovery Netwok Rebecca Brown Founder Reentry Solutions Group Michelle Katz Legal and Business Advisor to StartUp Companies, California College of Arts, Art Center College of Design Daniel Sevall Director of Finance and Human Resources, Military.com Raffi Minasian Design Strategy and Business Development Larry Crowder, Colorado State Senator
  • 11. 11 Recidivism - [ri-sid-uh-viz-uh m] noun 1. Repeated or habitual relapse, as into crime.
  • 12. 12 Context Over Populated US Prisons & the Revolving Door Beyond Bars seeks to measure and increase visibility of results and accountability to rationalize anti-recidivism programs for funders. Beyond Bars is positioned to help channel available funds to organizations doing effective work in the recidivism space. US taxpayers bear $39 billion of the costs of running the prison system. According to Prison Recovery Network, over 40,000 resource organizations exist nationwide8 to help prisoners and their fami- lies. These organizations build pathways to careers, housing, and opportunities to rebuild their lives as citizens. However, they are dependent on a network of donors (foundations and donations) to fund their programs. Each organization varies widely in how they quantify impact (if they mention their approach at all) and no one place exists to review all the information in existence. People need to go to program websites, Facebook pages, and a variety of other websites to find any information on impact and/or financial related information. 5% The United States has of the world’s population 22%of the world’s PRISON behind population bars In the State of California PRISON POPULATION ARE RELEASED Budget 2015 / 2016 127,000 112,887 $10.5 billion to parolee RETURN 60% within 3years 4 5 6 7
  • 13. 13 With the rise of kickstarter and crowdfunding, donors are more interested in choosing a specific cause or organization. Despite an influx of cash and the transition of charitable giving adjusting to pre-reces- sion levels9 , the scrutiny on the use of funds continues to increase. Foundations and donors are feeling the squeeze on their money to be more accountable for funds. Impact investing has also emerged as another means to create measurable impact financially as well as in the social and/or environmental space. Even more recently, Social Impact Bonds (SIBs) and Pay-for- Success contracts have emerged on the landscape as another avenue to fund outcome achievements, channel financing to social services and even drive governmental accountability on social programs. Social Impact Bonds (SIBs) were created to leverage private-sector capital for social service programs and to focus on achieving agreed outcomes. By entering into a Social Impact Bonds, the stakeholders create a government commitment to reward private sector capital through the savings created by structured activities that accomplish improved social outcomes.12 To date, over 26 states are in the pre- launch phase with 9 states with active and launched SIBs. Investors such as Goldman Sachs, Bloomberg Philanthropies, Merrill Lynch, Social Finance, Nonprofit Finance Fund and Third Sector Capital are currently leading investors and intermediaries in this space. Changing Donor Landscape Impact investing has also emerged as another means to create mea- surable impact financially as well as in the social and/or environmental space. Impact investing is estimat- ed to grow10 2008 2018 $50 Billion $500 Billion 1. Investment of principal 2. Coordinate, Structure Deal & Manage Perfomance 3. Deliver Services 5. Evaluate Impact 6. Pay for Success 7. Return or Principal plus Interest 4. Achieve Outcomes Investor Intermediary ServiceProvider Evaluator Population in need Outcome funder 11
  • 14. 14 Launching in 2006, the B Lab added itself to the list of organiza- tions working to certify a network of members who have similar ideals and want to be recognized as a movement. Other companies like Underwriter Labs and Fair Trade had been working to gain cred- ibility to and create consistency across organizations doing similar work. In doing so they created the space to hold society account- able to the bottom line beyond profits and in doing so are defining a new expectation around performance for the triple bottom line. In addition to certifications in triple bottom line focused businesses, a new trend of socially minded entrepreneurs seek a similar ‘return on investment’ or accountability for social causes. With the rise of wealthy young activists who have already made their money in high finance or tech industries, there’s a movement toward fast-moving networks, open information, and bottom-up en- trepreneurialism13 . Beyond Bar seeks leverage this emergent field of certifying a new type of intelligence and commitment to the triple bottom line through our perspective on data while being establish- ment as a benefit corporation. Data for decision-making becomes the new currency for intelligence on what organizations can solve major social challenges. Certifying A New Intelligence
  • 15. 15 Market Analysis According to the National Center for Charitable Statistics, over one million charities and over one hundred thousand foundations exist in the United States.14 With those numbers in mind, the number of organizations working specifically within the recidivism space tally over forty thousand according to the Prison Recovery Network15 . Beyond Bars estimates that one percent of the total number of foundations (104,16516 ) work specifically within the anti-recidivism efforts. Though spending by foundations or charitable giving focused on anti-recidivism efforts is largely unclear, the amount spent on cor- rections by the US Department of Justice is more than $50 billion a year at the state level and over $100 billion in local corrections17 . For the 2017 budget year, the US Department of Justice requested 95.3 million for prevention and reentry efforts with $56.5 million being allocated to grants.18 More broadly, giving by foundations amounted to $53.7 billion in 2013 and of that total amount 12% went to human services and grant making entities according to Giving USA19 . Open Society Foundations allocates 6% of their total 2016 of 930.7M budget towards Justice Reform and The Rule of Law programs20 . Beyond Bars estimates foundational giving to recidivism organiza- tions at $386 million (6%*12%*53.7B). In terms of spending, since 2010 over $50 million dollars alone have been allocated through Social Impact Bonds (SIBs) focused on recidivism across the world21 . Despite the staggering numbers the Public Policy Institute of Cali- fornia argues that the work of creating integrated data systems that can be used to demonstrate which correctional strategies are most effective remains largely undone.22 When looking to better understand how much foundations are willing to spend on information for effective, top-rated Charities, Beyond Bars looked to the current industry standards set by Global Impact Investment Network (GIIN), Charity Navigator, and Guide- Star. Charity Navigator offers their services for free. GIIN represents the middle of the market with pricing from $2,500 to $3,500. Guidestar’s membership levels and corresponding rates range from $2,000 for an individual user to $50,000+ for Foundations. Looking beyond the charitable giving sector, network and/or corpo- rate memberships for information range from (price quotes based on Corporate Executive Board, Bersin by Deloitte and other InsideNGO). $10,000 to $50,000
  • 17. 17 Service providersFunders The customer segments Service Providers include nonprofits, governmental agencies and non traditional providers. Funders include foundations, high net worth individuals, individual donors and government.
  • 18. 18 Funding sources for anti-recidivism efforts are varied in size and profile; many funders do not fit the model of large, powerful foun- dations. They are smaller organizations that lack the capacity to ad- equately search for, find, and assess prospective Service Providers. As a result, most Funders go largely unaware of compelling oppor- tunities for social investment, particularly with programs that may be lesser known, but align highly with the Funder’s started mission and values. Missed opportunities result, with Funders of all sizes of- ten defaulting to ‘follow the tail’ of larger, more visible Foundations in their decisions to invest. The Need It is difficult for Funders to appropriately assess potential invest- ments in social programs. There are a great deal of unknowns, both in the initial vetting of prospective service providers and following the investment in the pursuit of information on outcomes. Even large foundations, with robust assessment departments, lack ap- propriately rigorous procedures on this particular point in how they identify and evaluate Service Providers. Presently only weakly codi- fied systems exist to capture outcomes of anti-recidivism programs. As a result, a ‘black box effect’ occurs for social investment- capital goes into a program, but it is unclear how the Service Provider’s op- erations and, more importantly, relative impact benefit from these funds. Funders 1 2‘Risky’ Social Investments Majority of Funders Lack Capacity
  • 19. 19 There’s tons and tons of money invested in prison recidivism programs. Funders are willing to take risks, but the risks are huge right now because there’s no data. Address this for funders and say we’re going to take out the data risk for you.” “ - Josh Genser CEO of Richmond Development Company & Con- sultant for Social Impact
  • 20. 20 Service Providers Fail to Properly Self-Assess Most Service Providers are unable to hire devoted grant writers, whose sole job is to identify and pursue opportunities for funding. Thus, such organizations’ efforts at fundraising are inefficient and, ultimately, inadequate; they are unsure of how, even where to look for the necessary funding critical to their operations. Beyond this, Service Providers falter at clarifying their particular identity- who they are, what sets them apart- that would create a compelling sto- ry for them to communicate to potential Funders (large and small). This weakens Service Providers’ efforts at securing funding. Lack of Fundraising Capacity (Majority) “Matching with investors would be really great.” - Natrina Gandana, Project Coordinator Last Mile Service Providers 1 2 In addition to lacking capacity for maximized fundraising efforts, Service Providers do not have the sufficient time and energy to appropriately assess their own organizational efforts. According to the Institute of Public Policy California, some agencies lag further behind than others in the collection of use-of-service data and many do not track beyond simply referrals to necessary services23 . Service Providers are unsure of how they are doing, as they must devote the majority of their effort to fundraising and basic service operations; they do not engage in ongoing reflection and assess- ment. Service Providers are even unsure of what their particular impact looks like, let alone how to capture and communicate it. As a result, their cases for funding suffer. Also, ongoing organizational learning and process improvement are slow, limited, or altogether non-existent.
  • 21. 21 How do we prove the efficacy of our program? We’re trying to figure out where can we find tangible results.” - Natrina Gandana, Project Coordinator Last Mile “
  • 22. 22 The Giving Economy has been slow to adapt to the changing needs of the industry of social impact. This is a function of its antiquated top-down, centralized system of giving; such a system results in pri- marily ‘loyalty-based’ giving, rather than giving based on merit. The lack of merit-based giving persists in large part to outdated thinking as well as the fact that stakeholders are un-incentivized to utilize (if not entirely unaware of) the various tools and metrics available for enhanced assessment of merit-based impact. [See Competitive Landscape section] Such resources have not been highlighted as the primary drivers of the change that must come to the growing industry of social impact. Given the rise of enhanced gathering capabilities and techniques, there is a potentially staggering wealth of data available on the social impact industry. However, Funders and Service Providers alike are all too often overwhelmed by the size of this data pool; they struggle to synthesize meaningful insights from it, insights that can lead to more ‘intelligent’ social investing. Some of this struggle stems from the lack of capacity on the part of both Funders and Service Providers stated above, but it is also borne out of the lack of any shared, clarified language of social impact; this results in a failure of stakeholders in the Giving Economy to engage in ongoing, reciprocal communication through the lifecycle of their efforts. The slow adaptation that pervades the Giving Economy stifles the development of innovative programs which promise to sufficiently alleviate the issue of recidivism. Thus far, the existing system has proven woefully incapable of compellingly meeting this challenge- with 60% of parolees returning to prison within three years of re- lease24 , the failures of the effort continue to glaringly outweigh the successes. No doubt that drastic changes are needed, yet innovative programs of promise struggle to secure the required level of recog- nition and scale needed to attract the large Funders. Unfortunately resulting in more of much of the same efforts that have thus far failed to provide a compelling solution to the problem of recidivism. Beyond the lack of knowledge and shared understanding that typi- fies the connection and engagement of Funders to Service Provid- ers, a less useful communication and knowledge exchange currently exists in the enactment of this relationship. Ongoing connection between Funders and Service Providers suffers. This leads to inef- ficiencies and missed opportunities on the part of both stakehold- ers- much latent knowledge is created from their shared effort, but when Funders and Service Providers fail to adequately engage in follow-up communication over the effort, so much of these potential insights are lost. The opportunity for improvement and innovation is squandered. Unique Pain Points – The Giving Economy on the Whole 1. Top-down, Centralized System 2. Lack of Innovative Efforts of Promise 3. Data Feast; ‘Intelligence’ Famine 4. Relationships Are Un-Formalized; Tenuous
  • 23. 23 “There’s no question, among the most difficult things facing social impact programs is data.” “There’s no question, among the most difficult things facing social impact programs is data.” ”Bottom line, if we could help sway the needle from loyalty-based giving to merit-based giving–and [as a result] there was more ef- fective allocation of public funding–that would be a huge accom- plishment” “ “ - Josh Genser CEO of Richmond Development Company & Consultant for Social Impact - Mario Morino, Venture Philanthropy Partners25
  • 25. 25 Presently, there is no centralized database of the organizations working in social impact. Nor is there a shared platform of communication on which these Service Providers and potential Funders can con- nect. By first establishing rigorous systems of impact measurement- drawing both on pre-existing resources (like GIIN’s IRIS) and emerging requirements from dialogues with prospective funders- and then assess- ing Service Providers against such codified measurements, we can compile a catalogue of ‘Top-Rated’ organizations for review by Funders. By prompting and facilitating ongoing communication between Funders and ‘Top-Rated’ Service Providers, we can transform beyond a mere static database into a dynamic, evolving platform, through which the critical players in social impact forge powerful connections and meaningful pursuits of collab- oration. The Opportunity Fail to Properly Self-Assess Lack of “the right match” Funds aren’t allocated to the best Service Providers Cannot measure impact Make social Investments risky Risky Social Investments
  • 26. 26 As a platform that leverages data management services to connect Funders and Service Providers, Beyond Bars’ most vital resource is this very network of stakeholders- the more comprehensive and expansive this network, the larger, more fruitful the data pool avail- able. From this, Beyond Bars can facilitate more and more meaningful connections between Funders and Service Providers. The platform can generate increasingly powerful insights to fuel process improve- ment. It can also foster greater collaboration and ongoing innova- tion. Of course, none of this is possible without a robust and diverse net- work of both Funders and Service Providers, with all users engaging regularly and meaningfully with Beyond Bars platform features. The following details the superior experience users can expect from the Beyond Bars platform, as well as the strategy for establishing, grow- ing, and further developing a robust network of users. OUR GOAL Facilitate Results and MeasurementDe risk Social Investments Funders Service Providers
  • 28. 28 Features Given the multi-sided nature of the platform, Beyond Bars offers slightly different features to Funders verses Service Providers in its efforts to bring value to these distinct user groups; there are also certain features that benefit all users of the platform. Funders can access Beyond Bars’ extensive database of existing programs to learn more about organizations in which they are con- sidering investing. While much basic information on such organiza- tions is already available from various sources, Beyond Bars gath- ers it all into one place, creating clear, straightforward profiles for scores of Service Providers. In addition to data collection and aggregation, Beyond Bars gener- ates insights on organizational identity and trajectory based off of this data, empowering discerning Funders to make more informed decisions regarding potential funding opportunities. As Funders increase their interaction with Beyond Bars, they gener- ate further data. This helps to create a portfolio and profile for the Funder, which they utilize to track their current investments, better understand their own identity as a social investor, and clarify their expectations for Service Providers, thus maximizing their efforts when searching for funding opportunities that will be most mean- ingful to them. The visualization of this data helps Funders to better understand their own efforts- particularly the relative successfulness of each- within the social impact space. Contributing and generating such Database of Service Provider Profiles Funder Portfolio For Funders data serves to enhance the pre- dictive analytics Beyond Bars employs for users. This makes the platform ever better at iden- tifying funding opportunities of greatest interest and meaning to Funders. As Funders continue to leverage the site, predictive analytics learn their preferences and suggest ‘Top Rated’ Service Providers. This report goes into further details in the Business Strategy section.
  • 29. 29 For Service Providers Just as Funders are utilizing Beyond Bars’ platform to effectively find programs of promise in which to invest, Service Providers have access to a wide array of Funders with capital available for efforts of clear social impact. In many cases, potential Funders do not have a highly visible presence in the giving economy; many foundations do not have a website. This leaves Service Providers running the risk of missing a great many opportunities to secure funding. With Beyond Bars’ expansive and diverse database of Funders, Service Providers can improve their chances of connecting with a Funder willing to invest in their program. Beyond Bars assists in this search for funds with helpful filtering options (i.e. geographic, size, focus), as well as more proactive facilitation of matches through recommendations on ‘fit’ drawn from data-generated insights. It is not enough for Service Providers to come upon potential op- portunities to secure funding; they must make a compelling case for why they should be the one to receive a Funder’s resources. Beyond Bars helps Service Providers to clarify their message and strengthen their case for funding. Drawing on insights generated from both pre-existing data on and regularly updated behaviors of Funders, Beyond Bars communi- cates to Service Providers the specific efforts they can make that have been shown to improve their chances of securing funding. Primarily, this concerns capturing and communicating a program’s impact. Again, Beyond Bars draws on its data-driven insights to generate recommendations on approaches and procedures best suited for this task. Effective storytelling is one thing, actual program improvement is another, more compelling thing. By drawing on the experiences of others, Beyond Bars can point Service Providers in the direction of powerful opportunities for process improvement. Beyond Bars creates additional opportunity for Service Providers to leverage existing frameworks for measuring impact while also providing customizable tools to capture results and outcomes of their efforts. Once a Service Provider has a clear understanding of its impact and identity, it can set to work further improving its effort and augment- ing its impact. Beyond Bars provides insights and support through- out such efforts. Database of Funder Profiles Support Systems for Service Providers
  • 30. 30 By bringing all the various stakeholders working in the anti-recidi- vism space together on a shared platform, Beyond Bars drastically enhances the opportunities for meaningful, productive communica- tion between them. Beyond Bars does not merely create an invita- tion and hope stakeholders will participate however; the platform provides additional features to spark connections and facilitate on- going exchanges between Funders and Service Providers (as well as amongst such groups themselves). This is done through easy mes- saging opportunities, augmented by recommendations/suggestions for connections translated by the platform’s predictive analytics. In addition to the straightforward benefit of efficiently bringing together partners (those with the capital and those running the programs in need of the capital) in the anti-recidivism effort, such communication will also help to spur greater efforts of collaboration and innovation in the space. Such ongoing, robust communication gives many more stakeholders the opportunity to become more of an ‘influencer’- it allows for heightened levels of engagement with the process and an increased presence in the space. This again drives further innovative efforts at social impact. This is the DNA of the platform; it is the basis of all of Beyond Bars’ interactions. It is the energy that fires across all the synapses of communication on the platform. It is the shared language of stake- holders speaking about opportunities for greater social impact. While this ‘Catalogue’ will look and work slightly different for Funders and Service Providers, the core benefit of the feature is the same- a clear and codified system by which Funders and Service Providers can speak about efforts and impacts within the anti-recid- ivism space. It is an effective and efficient way for Funders to identify which types of programs they might be most interested in funding; it is equally effective and efficient in helping Service Providers charac- terize themselves, seek out assistance from other similar organiza- tions, or find Funders with a history of investing in similarly focused programs. The Catalogue brings clarity to all communication on the platform. It is a rigorous model of program assessment and characterization, continuously refined by Beyond Bars’ team of social impact experts, that defines both the language and currency of impact and success in the effort to combat recidivism. Enhanced Communication 2. A ‘Catalogue of Impact’ For All Stakeholders
  • 31. 31 Beyond Bars is aggressive and expansive in its practices of data gathering and aggregation; this fuels the predictive analytics that serve both Funders and Service Providers who utilize the platform to gain greater understanding of their own performance, the efforts of other stakeholders, and the state and trends of the anti-recidi- vism ecosystem on the whole. These analytics are mobilized into a lean interface that makes the entire experience for Beyond Bars users highly intuitive, intrinsically motivating, and, ultimately ener- gizing. Engagement with and on the platform clearly translates the service benefits clearly through the utilization of the offerings; the entire practice of utilization itself is a highly pleasing and inspiring one. Superior User Experience
  • 33. 33 Programming/web development In addition to utilizing pre-existing metric systems for social impact, Beyond Bars will create proprietary algorithms to measure and track the performance of organizations that will eventually lead to the prediction of the programs who are primed to succeed in the near future. These data-gathering algorithms will be refined as time goes by and tweaked as the offering expands to encompass an array of Service Providers with diverse program offerings. Beyond Bars of- fers a superior interactive experience, with responsive presentation of information that adjusts to individual user behavior over time. Talent Beyond Bars seeks individuals who are passionate about address- ing such a pressing social problem. Team members must thrive in complex challenges and draw motivation from working to solve this daunting challenge. By recruiting talent with this mindset and motivating staff based on organizational performance, Beyond Bars believes it will stand out in the competitive talent market of the Bay Area. Subscription-based Membership Beyond Bars differs from competitors in that we leverage already existing data through tax information, creates measurement frame- works and offers predictive analytics. To accomplish this, Beyond Bars offers two tiers of subscriptions Basic and Premium. Business Strategy To accomplish the mission, Beyond Bars will focus key operations in programming/web develop- ment, talent, and subscription based membership.
  • 34. 34 Basic Subscription Membership Firstly, the basic measurement is focused on reducing recidivism. The basic measurement of a recidivism rate must be addressed by programs and their progress uploaded for 3 consecutive months in order to be considered for funding. From a system level, the pro- gram’s recidivism rate must be under 60% (as the standard base- line). Beyond Bars will track each program’s progress and put into place a rigorous moving target with the expectation of an increase in funding leading to a decrease in recidivism. The third measurement framework leverages predictive analytic technologies, and serves as the most sophisticated. Once the first and second frameworks are in operation, Beyond Bars will have enough data points and insights to decipher the characteristics of a ‘fundable’ program and/or channeling them towards founda- tions. Our platform will be able to predict a ‘North Star’ for funders based on Service Provider data and Funders history to recommend distinct Service Providers as investments to foundations. Through meaningful data, Beyond Bars works to highlight programs who do well and connect them to funding sources for sustainability. The second measurement framework addresses the expected out- comes in contrast to the actual outcomes. Beyond Bars recognizes the variability between programs. Example Homeboy Hotline focuses on communication where former- ly incarcerated individuals can call in for help at any time, whereas Defy Ventures assists formerly incarcerated individ- uals through job assistance, focusing on entrepreneurship. The platform will include the capability to create an outcome repos- itory to hold expected outcomes defined by each program. Beyond Bars plans to build a framework where these outcomes can be re-visited at set intervals and eventually programs supply the actual outcome to be measured against. Programs define outcomes at the onset and maintain responsibility for credibility, while Beyond Bars serves as a platform for the technical and functional framework, data storage, and visualization of progress. 1. 3.2. 60% Recidivism rate less than 60%
  • 35. 35 Premium Subscription Membership The premium subscription is modeled after a licensing mechanism where foundations could use part of their fee to fund the use of Beyond Bars by providing licenses to specific programs of their choosing. This type of model reinforces the idea of connection and harmony between the two parties - both committed to the cause of reducing recidivism. The platform also uses predictive analytics to connect foundations to other similarly minded foundations. Furthermore, based on the time spent on a program’s page and the number of times specific sections of existing information is clicked, Beyond Bars will present information based on behavior, analogous to Netflix recommendations or Spotify’s Discover Weekly playlists. Seamless interaction between people and data drives Beyond Bars to deliver a rewarding experiencing for both the Funders and the Service Providers.
  • 36. 36 Customer Use Cases Product Development is one of Beyond Bar’s core competencies. As such, below outlines two key customer use cases written in a standard Agile Methodology approach (Who/What/Why addressing who is the user, what do they need to do, and why is this function important - the benefit or value). As a foundation, I need to be presented with successful in-prison and reentry programs, so that I am confident in the investments I make through the Beyond Bars platform. I am able to see a short-list of programs based on my past interac- tion history with Beyond Bars • I am able to easily find the contact information for these programs • I am able to save these programs to my portfolio for later consumption • I am able to easily find more information on each program individually • I am able to see North Star programs based on the data analyzed by Beyond Bars in an easy to understand and visually pleasing manner I spend time searching for pro- grams with a <10% recidivism rate and I see all the programs displayed have a <10% recidivism rate I invest an average of $5,000 on one program and I see all the programs displayed are asking for an investment of $5,000 +/- $1000 I spend time searching for pro- grams that are diverse in their missions, ie jobs, transitional services, gardening, landscaping, health and I see a variety of programs displayed for me
  • 37. 37 As a service provider, I need to be able to upload the necessary information on Beyond Bars, so that I am confident in receiving funding to sustain my program. • I am able to see a form with the pre-defined fields available to me • I am able to upload information through the User Interface form • I am able to upload an excel spreadsheet I have used for the duration of my job to the Beyond Bars platform • I am able to see the data successfully and save after uploading through the UI and/or through the mass upload • I am able to see my program’s progress based on the informa- tion I have uploaded to the platform • I am able to see a probability rate of a foundation connection based on past interactions Number of graduates from my program for the quarter, Release Date, Duration of Time on the outside, Place of Employment, Duration of Employment
  • 39. 39
  • 40. 40 08. POSITIONING & GO TO MARKET STRATEGY
  • 41. 41 Competitive Analysis Organizations that relate most to Beyond Bars include GIIN, GuideStar, and Charity Navigator. By comparing these organizations to Beyond Bars’ products and services, similarities and differ- ences to Beyond Bars’ products and services are captured below. Financial Model: 501(c)(3) Free and Public Good (limited access on web platform), Annual Membership Fees Founding Year: 2009 Revenue: ~100M Expenses: 100M Net Gain/Loss: 650K # of Employees: 11-50 User Base: Impact Investors GIIN26 is a platform for investors to meet and take part in activities that build the impact investing industry from a practitioner’s per- spective. GIIN Members gain access to industry information, tools, and resources to enhance their capacity to make and manage im- pact investments. Investors who are part of the GIIN network con- nect with one another through virtual and in-person members-only events. To become a member of GIIN, there are four different pric- ing models available on an annual membership price basis. For-Prof- it Organizations and Foundations who would like to be part of the impact investing network for developing markets is $3500 per year, while emerging markets is $2500 per year. For Not-For-Profit orga- nizations who are interested in impact investing, the annual mem- bership is $2500 for both developed and emerging markets. There are two arms of GIIN that are worth mentioning, IRIS and ImpactBase. IRIS 4.0 provides investors with clear instructions to enable consistency in data collection, management, and reporting. The IRIS mission is to create a space where social and environmen- tal performance drives investment decisions and, alongside financial performance, can be universally benchmarked and compared. The IRIS arm is a free and public good, where the metrics are cata- logued and searchable for anyone to use. ImpactBase is a searchable, online database of impact investment funds and products designed for investors. Published fund or product profiles on ImpactBase gain exposure to the global impact investing community. This arm of GIIN is offered at no additional cost, but there is a vetting process. Before being able to register, individuals must prove they are accredited investors with assets of over $5M.
  • 42. 42 GuideStar27 is the world’s largest source of information on nonprofit organizations. Guidestar envisions a nonprofit sector strong enough to tackle great challenges. GuideStar provides Nonprofit Profiles with the information needed to build connections and learn from each other to make smart decisions. Anyone can use Nonprofit Pro- files for research and can be used to compare nonprofits in an easy and transparent way. Guidestar also offers a plethora of products, services and events for an additional cost. Sample Membership Services: • Invitation to the GuideStar User Advisory Panel • Invitations to Members-only events, including with GuideStar’s senior leadership • In-person trainings for GuideStar tools and services tailored to specific needs Memberships range from $2,000-$50,000 per year. Sample Products • GuideStar Search API at $2,000 per year • GuideStar Detail API at $1,800 per year • NonProfit Lists by State - $500 each • NonProfit Lists by Metropolitan Statistical Area - $800 each Charity Navigator works to guide intelligent giving. By guiding intel- ligent giving, this organization’s goal is to advance a more efficient and responsive philanthropic marketplace. Givers and the charities work together to overcome our nation’s and the world’s most per- sistent challenges. Financial Model: 501(c)(3) Free and Public Good (limited access on web platform), Paid Services for Membership and Products, Grants Founding Year: 1996 Revenue: $10,676,538 Expenses: $11,205,500 Net Gain/Loss: ($528,962) # of Employees: 83 User Base: Foundations, Non- Profit Organizations, Volunteers and Donors Financial Model: 501(c)(3), Free and Public Good, Contribu- tions and Grants Founding Year: 2000 Revenue: $1,808,426 Expenses: $1,657,374 Net Gain/Loss: 151,052 # of Employees: 15 User Base: Individual Donors
  • 43. 43 Beyond Bars focuses on one social cause, while the other organizations cast a wide net and include all nonprofit organizations. By becoming the most knowledgeable and credible experts in the recidivism space, investors and foundations who are interested in a high social return of investment will feel con- fident in working with Beyond Bars and the anti-recidivism programs in the network. In the long-term, Beyond Bars plans for expansion into other social causes and is taking a conservative approach allow- ing three years in the recidivism space before moving into an additional vertical. The three organizations listed as competitors also serve as inspiration. An opportunity exists to lever- age GIIN, Guidestar, and Charity Navigator’s networks and services as complements given all target the same network and work to support nonprofits. For example, the use of GuideStar’s APIs may be useful to pull in as one form of information. GIIN has a very strong hold with impact investment funds that could be investigated as Beyond Bars ventures into the Social Impact Bond space. While GuideStar currently stands as the most technologically savvy, they are currently not using predictive analytics or providing service providers with impact measurement frameworks. This is another differentiator Beyond Bars plans to implement once our initial phase of investor acquisition is completed.
  • 44. 44 Go-to-Market Strategy Platform Development and Customer Acquisition Relationship Building is integral as part of the platform develop- ment process. By iterating with customers we ensure it provides the most value and ease of use. As we scale we must foster relation- ships through conferences, social media and one-on-one interaction with customers and industry professionals to achieve industry trust, respect and credibility. Platform Development is the means by which we provide value. It is important to include customer feedback as well as state of the art analytics, visualization tools to provide unparalleled user experience. Impact Measurement Frameworks will not only be a guide to service providers on how to measure their impact but also allow Beyond Bars to quickly source relevant data. Additionally, once an impact measurement framework and system is developed for recidivism programs it will be replicable for other sectors and fuel expansion and scale. Relationship Building Platform Development Impact Measurement Frameworks Critical Success Factors
  • 46. 46 3-6 Months Beyond Bars’ platform will be in early stages of Alpha focused on the development of the platform pulling from existing data (non- profit tax information) and the information gathered via meetings with prospects. Iterative design will be based on identified partner organizations as well as internal feedback. At month four, Beyond Bars moves into Beta with a prototype-test-build iteration cycle each month to enhance the platform based on direct customer feedback. At the start of each month, Beyond Bars will deploy an enhanced version (V1.0, V1.1, etc). During the month, Beyond Bars will work to gain customer feedback and capture for refinements to the next version iteration. 6-12 Months The platform becomes officially generally available for Service Pro- viders and Funders consumption. At this point, Funders will be able to pay a premium membership fee to research additional programs. Those who are fully funded and working towards clear objectives can be expected to deliver 20 to 30 percent reductions in recid- ivism or crime rates for the intended populations28 . As discussed previously Service Providers would receive a “Top-Rated” rating based on their performance and recidivism reduction, catching the attention of impact focused foundations. Year 1 - Development Assumptions • Currently developing frameworks and the data set to measure impact in conjunction with Service Providers and Foundations. - Within the initial data set of 40 programs, only 3 out of the 40 programs have an easy way to see the common measurement; rate of recidivism. • For Service Providers: must create create a catalogue of programs, merging the data, and transform- ing it through data analysis and visualization tools. • For Foundations: must gauge the most relevant metrics of interest, develop measures and create a standard way to apply these metrics (or variations of) for the different programs. - Prospective foundations instrumental to initial iterations
  • 47. 47 Conferences Beyond Bars will target relevant conferences in the social impact, social investing, and data analytics fields. Below is a brief list of conferences that Beyond Bars will attend as a vendor. By putting the product literally in the hands of users at the conferences Beyond Bars will be able to better understand customer needs and generate follow-up leads. To continue the momentum from the conferences, Beyond Bars’ staff will personally connect with Service Providers and Funder via phone, email and in-person meetings to introduce our platform. Media Strategy With the platform live and containing a stable pool of service pro- viders and foundations, Beyond Bars expects for growth to happen aggressively both by word of mouth as well as through social media channels. Beyond Bars will leverage the marketing team to get specific placements in blogs like RSF Social Finance Social Investments, the Calvert Foundation’s Impact Investing Blog, and Echoing Green’s blog. Beyond Bars will leverage the marketing team to create and share small 2 minute videos telling the stories of Service Providers impact as a result of receiving additional funds through Beyond Bars. Beyond Bars also plans to maintain a LinkedIn page, Insta- gram, and Twitter account to share smaller updates and success- es of Beyond Bars’ participants as well as upcoming events and opportunities to engage through conferences. In doing so, Beyond Bars will claim a handful of hashtags that contain extensive reach as well as create several specific to the company’s personality and objectives. Year 2 - Marketing the Platform
  • 48. 48 At year 3, Beyond Bars will hire additional ‘onboarding’ personnel responsible for developing contacts with Local Government, Na- tional Government, Social Impact Investors and Social Impact Bond Investors as well as assist new users with initially using the platform. At the term of 3 years, and every 3 years thereafter, Beyond Bars plans to expand into new focus sectors. Criteria for expansion in- cludes: 1. Meaningful connection and collective impact on recidivism. Beyond Bars strives continue to support people from returning to prison but will also prevent people from entering the prison system. 2. Scaleable model and ability to develop a standardized frame- work for a more general target market. If a general target group relates to anti-recidivism work and has the ability to transfer many of the same measurements, Beyond Bars will work with Service providers and foundations working in this space to cre- ate frameworks and measure the impact of programs. 3. Market size: It must follow that the chosen sector will move the needle in a significant way, and that to do so there are both enough service providers and foundations interested in working in this space. Beyond Bars is focused on measuring impact. While the first center of focus will be reducing recidivism, measuring of impact across sectors remains profusely important and largely lacking. Local Gov- ernment as well as National Government serve as important addi- tional users of Beyond Bars’ information. Opportunities to expand Beyond Bars beyond recidivism also exist considering the platform’s capability to be used by foundations and nonprofits working in dif- ferent sectors and considering the increasing interest in measuring impact. Compelling spaces related to anti-recidivism efforts include health, housing, and employment opportunities. Beyond Bars sees a natural extension into applying the existing frameworks and meth- odologies to these social sectors to create additional impact. Year 3 - Onboarding and Customer Support Year 4 Expansion
  • 49. 49 At the term of 3 years, and every 3 years thereafter, Beyond Bars plans to expand into new focus sectors. Criteria for expansion in- cludes: 1. Meaningful connection and collective impact on recidivism. Beyond Bars strives continue to support people from returning to prison but will also prevent people from entering the prison system. 2. Scaleable model and ability to develop a standardized frame- work for a more general target market. If a general target group relates to anti-recidivism work and has the ability to transfer many of the same measurements, Beyond Bars will work with Service providers and foundations working in this space to cre- ate frameworks and measure the impact of programs. 3. Market size: It must follow that the chosen sector will move the needle in a significant way, and that to do so there are both enough service providers and foundations interested in working in this space. Beyond Bars is focused on measuring impact. While the first center of focus will be reducing recidivism, measuring of impact across sectors remains profusely important and largely lacking. Local Gov- ernment as well as National Government serve as important addi- tional users of Beyond Bars’ information. Opportunities to expand Beyond Bars beyond recidivism also exist considering the platform’s capability to be used by foundations and nonprofits working in dif- ferent sectors and considering the increasing interest in measuring impact. Compelling spaces related to anti-recidivism efforts include health, housing, and employment opportunities. Beyond Bars sees a natural extension into applying the existing frameworks and meth- odologies to these social sectors to create additional impact.
  • 52. 52 Customer Acquisition/Growth Rate • 1% of the Funder estimated market (in total estimated at 1,000) • 1% of the Service Providers estimated market (in total estimated at 40,000) • Growth doubling each year for each target group • Offering a premium subscription for Funders in Year 3 • Expand to a new vertical in Year 3 Cost Drivers • Development costs - people & technology • Marketing and Business Development set at 2% of revenue, Travel set at 1% • Scaling into additional sectors Pricing • $15,000 basic membership for Funders per year • $20,000 premium membership for Funders per year • $300 membership for Service Providers per year Assumptions
  • 53. 53
  • 54. 54 Case Study: Insight Garden Program 2011 Study 117 IGP Participants (between 2003-2009) <10% recidivism rate $47,421 incarceration cost per person $40m cost savings in California Source: http://insightgardenprogram.org/research-studies/ Recidivism Statistics: http://www.bjs.gov/content/pub/pdf/p14.pdf RCRD Ratio: ReCidivism ReDuction Ratio measures the amount of contributing members who have gone through successful programs. An increase in this ratio points to a positive trend in the number of graduates from a program who do not go back to prison for at least 3 years. The connection between funders and programs who are demon- strating meaningful successes will lead to a significant change in our industry. Beyond Bars will be profitable by year 4 and by year 8, recidivism will drop by 20%. Beyond Bars is driving a wedge into an out-dated and convoluted system and accomplishing true social change. Social Value
  • 56. 56 As CEO of Beyond Bars, Charlene holds responsibility for the vision and execution of Beyond Bars’ products and services. She is a member of the Advisory Board Committee and volunteer for Insight Garden Program, an in-prison program which transforms prisoner’s lives through connection to nature. In San Quentin, Charlene and the IGP team teaches curriculum combined with vocational garden- ing and landscape training so that people in prison can reconnect to self, community, and the natural world. Additionally, she holds strong relationships with California Prison Focus and The Last Mile. Her experience in recidivism programs both inside and outside of prison walls give her the ability to connect the public with the recid- ivism support network, formerly incarcerated individuals and those still serving their sentences. She believes everyone has the right to be safe in an ever-changing and diverse world. She is accountable for the success of the company both from a social impact and prof- itability perspective. Secondarily, Charlene leverages her experience as a businesswoman in Silicon Valley to ensure Beyond Bars is using the most current technology to optimize their products and services. She has led na- tion-wide enterprise software implementation projects for custom- ers in the healthcare, manufacturing, insurance, and banking indus- tries during the early years of her career. Most recently, she holds the Senior Product Manager position for an enterprise software company and is responsible for release planning, release execution, analytics and customer relationships. She possesses a high level of familiarity with consumer and enterprise technologies, best practice methods, as well as user behavior and adoption. As COO of Beyond Bars, Stephanie co-develops vision and strategy to position Beyond Bars as a social enterprise company. Stephanie drives innovation through consistent collaboration, working abstract ideas into viable business models, and holding the team account- able for results. Stephanie brings the energy to cultivate a high-per- forming team and culture of breakthrough innovation. Stephanie leads the financial management of Beyond Bars and oversees budget management. She establishes go-to-market strategies and return-on-investment metrics. Stephanie’s leadership experience in management consulting and international non-profit work enables her to convert challenges to opportunities and achieve business results at scale. A bulk of Steph- anie’s work experience increased availability for health products and services in the resource constrained context of developing coun- tries. Through roles of increasing responsibility, she worked to scale innovation throughout the organization of 9,000 staff, oversees a budget of $3 million and managed a team of five. Stephanie is enthusiastic about the intersection of design, business, and organi- zational learning. Our team is comprised of five MBA in Design Strategy graduates from California College of the Arts. We are best placed to tackle this space because of our expert knowledge in the recidivism space, ability to build connections with investors and service providers as well as our skills in data aggregation, visualization, business and strategy. Charlene Cuenca: Chief Executive Officer Stephanie Knabe: Chief Operations Officer
  • 57. 57 As CBDO, Julieta identifies new sales prospects and drives business growth while ensuring requirements for product development are coordinated with R&D functions. Julieta’s background and experi- ence as an entrepreneur serves as healthy balance to other found- ing members in applying a startup mentality to all aspects of the business. Previously, Julieta owned a design-build firm built from scratch. Julieta drove fundraising, pitching projects, closing deals as well as delivered on writing proposals, engaging with clients, city officials and diverse stakeholders. As co-founder of another startup, she ap- plied user research to develop product features and defined go to market strategy by performing ecosystem analysis and risk analysis. Throughout her background, helping the community and those in need has always been a constant. As CIO of Beyond Bars, Tom ensures effective working relation- ships of all employees, bridging the gap between IT and non-IT professionals through the creation of organizational systems and frameworks that clarify expectations and support employee efforts. He manages all IT resources of the company, analyzing and re-en- gineering existing business processes for enhancement, while also identifying and developing Beyond Bars’ capabilities to utilize addi- tional, emerging tools. Utilizing his strengths in future proofing and strategic design for desired outcomes, Tom continually identifies the potential risks and evolving needs of Beyond Bars to then develops strategies to address them; in support of this, he clarifies the roles and accountability of key committees within Beyond Bars. Tom brings a wealth of experience working previously as an edu- cator to Beyond Bars; as CIO, he will leverage this expertise in the creation of supportive structures that enhance employee success and promote professional development, as well as in the forging of effective professional relationships to increase value and effective- ness. Isa drives development of the customer experience, understanding the stakeholder’s needs through both qualitative and quantitative research and later creating compelling product(s). In doing so, Isa also works to find the right market fit and the adequate business model that respond to those needs and the objective of the project. She leads the experience prototyping phase and the iterative pro- cess to make ongoing changes to the product. She has a laser-like focus on creating and testing ideas based on the insights provided by the stakeholders and with the objective of being a profitable business. Isa has more than 5 years of experience in the nonprofit sector and most recently worked for the nonprofit TECHO as Devel- opment Director in charge of the funding and strategy. Hailing from Mexico City, she brings an international perspective to the team. Isa Harvey: Chief Customer Experience Officer Julieta Collart: Chief Business Development Officer Tom Bendon: Chief Information Officer
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