TREES

'Training, Regeneration, Education, Employment, Sustainability Services Ltd' (TREES) was founded in 1995, to drive employment and training creation in deprived communities across the Midlands.

The group includes several businesses that operate in a range of commercial and social sectors - from conferences, construction to landscaping and grounds maintenance.

Setting up TREES

Established as an Industrial & Provident Society with exempt charitable status, TREES has created a surplus each year since it was founded. These funds are used to provide loans to TREES' subsidiary social enterprises for use as working capital and to support communities in need.

In setting up TREES' close attention was paid to find the legal financial, asset, tax, employment and insurance structures that would best work for the organisation. John Montague, TREES' Chief Executive says they recognised the importance of having sound governance arrangements in place with engaged individuals involved.

TREES' social enterprises are run along business rules as it is essential that the businesses deliver their outputs and remain profitable to be able to support TREES' other projects. This includes not relying on free labour, which is unsustainable and can devalue people.

Responding to events

The initial success of TREE'S first social enterprise, Thorpete Gas Services, along with Newlife Construction & Regeneration which was launched in 1999, enabled the TREES team to focus on developing Highpoint in 2002 - a conference venue on the outskirts of Leicester city centre.

However, rising prices and competition meant that Thorpete lost contracts and became unsustainable as a business. As disappointing as it was that the enterprise had to close, John says it was important to keep sight of the vision and mission: to make money.

TREES continues to learn as they develop their social enterprises. Thorpete taught them to plan for downfalls in their business so that they are better prepared to respond. All important considerations as they build their strategy of investment and growth whilst creating opportunities for local people to achieve their ambitions.

You can find more information on TREES at www.thetreesgroup.org.uk