The document discusses a Social Impact Bond program in Rotterdam called the Buzinezzclub that aims to reduce unemployment among youth. The Buzinezzclub provides entrepreneurship training, personal development, and assistance with personal problems to unemployed youth over 4-6 months. The city of Rotterdam provides €300,000 annually to fund 80 youth participants. The program's success will be measured by whether participants find jobs and remain employed. An independent auditor will measure how many fewer days of municipal welfare participants require after completing the program, determining the savings for the city government.

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Social Impact Bonds
City of Rotterdam
OECD, Paris
April 15, 2015
Tjalling de Vries
Program manager
SIB

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Social Impact Bonds Rotterdam – target group
Target group SIB Buzinezzclub: unemployed youth
Possible future groups: unaccounted possibilities

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The objective of the Rotterdam Buzinezzclub SIB
From unemployment to work!
Focus on entrepreneurship
•Results for participants:
- A job
- From loser to winner
- Improved self esteem and a changed way of life
•Results for government:
- Less unemployment
- Increased number of entrepreneurs
- Less youth without a school diploma
- Less violence and poverty

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Intervention approach
Buzinezzclub Rotterdam guides the members with
three programs, for 4 – 6 months:
1.Developing entrepreneurs skills
- business education
- management skills
2.Personal development
- responsibility, from victim to self control
- realistic dreams and self esteem
3.Help with personal problems
- debt reducing, drug abuse, etc

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Financial arrangements
2014: ca € 300.000
80 youngsters
2015: ca € 300.000
80 youngsters
Succesfull
intervention?
YES!
2015: initial investment plus
part profit
2016: initial investment plus
part profit
2017-2018: profit based on
sustainable employment rate
1
3
2

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Measuring results
Measuring Model: the Ortec Finance Model
Basics: the model calculates the number of days
selected members of the Buzinezzclub are forecasted to
receive municipal welfare. Based on specific variables
and historical numbers.
Deloitte acts as the independent thirth. By measuring
the members of the Buzinezzclub before and after their
participation in the Buzinezzclub. This defines the
actual amount the city government saves on welfare.

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Measuring results
Measuring Model: the Ortec Finance Model
Basics: the model calculates the number of days
selected members of the Buzinezzclub are forecasted to
receive municipal welfare. Based on specific variables
and historical numbers.
Deloitte acts as the independent thirth. By measuring
the members of the Buzinezzclub before and after their
participation in the Buzinezzclub. This defines the
actual amount the city government saves on welfare.