Post on 25-Jun-2015
Education that Pays for Itself:
The Financially Self-Sufficent School Model
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Financially Self- Sufficient School Model:n Classroom
instructionn Practical experience
running commerciallysuccessful on-campusenterprises
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Purpose of School Enterprises
1) Training platformFor students to acquirepractical & entrepre-neurial skills in demandin real markets
2) Income-generationTo cover school operatingcosts & ensure long-termfinancial sustainability.
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Measures of success:
1. Graduates: 100% are productivelyengaged within 4 months of graduation
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Productively engaged
n Responsible job in modern sectorn Started own business, with own business plan &
line of creditn Teaching at another agricultural schooln Working as a rural extension agentn Entered university
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2. Financial Self-Sufficiency:
US $ 2003 2004 2005 2006 2007 2008Income 42,814 45,182 97,434 233,601 253,016 336,112
Expenditure 199,239 223,261 277,993 316,110 250,710 323,931
Surplus/Deficit -156,424 -178,079 -180,559 -82,510 2,306 12,180
% Self-Sufficiency 21% 20% 35% 74% 101% 104%
School income covers 100% of school operating costs,including depreciation
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Examples of on-campus enterprises:
Bio-Intensive, organic garden
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Dairy & Milk Processing Plant
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Small livestock
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Small livestock
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Roadside Store & Restaurant
Rural Services:
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Hotel & Conference Center
Rural Services:
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Rural Services:
Outdoor Education Training Workshops
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How to integrate education& income generation?
Business Plan for Learning & Production
Key Tool =
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Basic Steps:
1. Estimate program expenses:
Teachers salariesFood for students & teachers
+ Electricity & water, etc. etc.=
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2. Define competencies for type of qualifiedlabor to be trained rural entrepreneurs.
Calculate break-even point
Keep accurate
records
Providegoodclientservice
Communicate by email
Vaccinate
livestockUseorganicfarmingtechniques
Add value to production
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3. Decide which income-generating activitiescould teach those competencies .
Chicken coop?
Rural hotel??
Road-sidestore?? Fish processing ??
Ornamental plants??
Rural areas :
Coastal areas:
Boat & motor repair??
Urban areas:
Catering ??
Eco-friendly construction ??
Eco-tourism ???Boat trips??
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4. Consider:Can our school establish suchenterprises, with the human, financial,physical resources at its deposal?
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5. Develop a standardbusiness plan for eachschool business underconsideration.
Will it be profitable?
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6. Consider:Are there markets for those products& services ?
Can our school compete?
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7. Establish schedule of classes & practicalactivities that meets production &educational needs.
n Section A:Classroom Activities6:00 Campus clean-up7:00 Breakfast8:00 Math class9:00 Plant production10:00 Language Arts11:30 Lunch
n Section B:Practical Activities6:00 am Feed animals7: 00 Breakfast8:00 Organic Garden10:00 Mechanics/Electricity11:30 Lunch
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8. Evaluate results being achieved:
Competencies beingacquired vs.
Training goals
Financial results of eachenterprise vs.
Projected production,income & expenditure
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9. Continuously adjust activities in classroomand field in response to market signals
Example:Cotton is notprofitable forschool or theParaguayansmall-holder;let s stopteaching &producing that.
Example:Not all the school´sproduce is selling atorganic market; let swork harder withstudents on how todisplay produce &interact withshoppers.
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Tips:1. Maintain daily records & controls2. Keep separate accounting for each enterprise3. Make teachers responsible for income
generation4. Give responsibility for whole cycle (planning -
production- marketing)5. Seek market niches, value-added, diversification6. Offer financial incentives for reaching goals, if
possible.
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Educational impact:
Example:Decision to stopteaching cottonproduction due tolack of profitabilityfor school & smallfarmer.
1. Curriculum remains market-driven
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2. Teachers develop ownentrepreneurial skills &mindset
Example:Sale ofschooltractor
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3. Encourages innovation
Examples:Hot chilipowderSucklingpigs
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4. More efficient use of school resources
Example:Student dining
pays market pricesfor products fromthe chicken coop,organic garden &other enterprises.
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Where else could there be afinancially self-sufficientschool?
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Anywhere…
Rural areas… urban areas….coastalareas…. highlands…. lowlands… etc.
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Third AnnualConference onEducation That PaysFor Itself
Yachana School,EcuadorDecember 8-10, 2009
For information, see:www.teachamantofish.org.uk/conference
You’re invited!
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Thank you!
www.fundacionparaguaya.org.pywww.teachamantofish.org.uk
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