Philanthropy Roundtable Presentation

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Philanthropy RoundtablePresentation

Entrepreneurship as a vehicle to college
preparation and access
Ajuah Helton East Coast Regional
Director ahelton_at_build.org 202.393.7071
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The Need

• High school dropouts are
• 4 times more likely to be unemployed
• Earning nearly 60 less
• 2.5 times more likely to be arrested
• For Americas low-income youth
• 60 will not graduate high school
• One in three graduates will enroll in college
• One in seven college matriculants will earn a
  bachelors degree

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Mission

• BUILDs mission is to provide real-world
  entrepreneurial experience that empowers youth
  from under-resourced communities to excel in
  education, lead in their communities, and succeed
  professionally.

BUILD helps students from under-resourced
communities to graduate from high school and
enroll in college, by providing four years of
entrepreneurial education, mentoring, academic
support and professional development.
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History of BUILD

• Founded in 1999 by Suzanne McKechnie Klahr,
  Stanford Law School graduate
• Launched with 4 students at 1 school and initial
  budget of 37,000
• Operating in CAs South Bay and Oakland and now
  Washington, DC

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BUILDs Theory of ChangeProblem Intervention
Outcome

• Entrepreneurial education and training
• academic support/enrichment
• college-preparation coaching
• high-touch service w/ multiple adult role
  models _____________________________________
• more future vision, motivation and
  self-efficacy
• increased personal and professional skills
• improved academic performance in school
• college access

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Why Entrepreneurship?

• Hallmark traits parallel and capitalize on
  students strengths and experiences
• Builds on students a-priori knowledge
• Direct application and extension of academic
  subjects learned in school
• Provides new layer of identity as young
  entrepreneurs
• Cultivates highly desirable skill-set for future
  as entrepreneur or intrapreneur
• Meets a financial need

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Current Program Size

• 370 students
• Eleven partner high schools
• Two incubators
• Separate headquarters location
• 19 full-time, 2 part-time staff in three cities
• Over 300 mentors and other volunteers
• 2.4M budget for 2007-2008

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BUILD Locations

• Peninsula Youth Business Academic Incubator
• Largest in the nation
• Serves four schools
• Oakland Youth Business Academic Incubator
• Moved into new facility July 2007
• Serves five schools
• Washington, DC Youth Business Academic
  Incubator
• Soft opening November 2007
• Serving 80-100 students September 2008

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BUILDs Core Values

• BUILD sees value and opportunity in marginalized
  youth that others often do not.
• We believe in accessing the innate brilliance and
  savvy of ALL youth, even those disenfranchised
  from the educational system. We cherish the
  entrepreneurial qualities risk-taking,
  perseverance, honesty, adaptability that
  students who have struggled academically and
  personally tend to develop, even if they are
  harder to reach emotionally or more difficult to
  position for higher education. We look past
  problems and see untapped, unlimited potential.
• BUILD views entrepreneurship as a vehicle to
  higher education, not an ultimate destination.
• We believe that studying and practicing
  entrepreneurship requires students to cultivate
  the academic, intrapersonal, interpersonal, and
  professional skills they will need to flourish in
  college and beyond. However, we view college
  access and attainment, not entrepreneurial
  success, as the end goal for BUILD students. We
  would rather a students business fail but he or
  she enrolls in college than have a student who
  shines in BUILD but does not take that next step.
  
• BUILD matches high expectations for students with
  a can-do problem-solving approach.
• We believe that EVERY student can excel, lead,
  and succeed. We do not allow any student to view
  his or her socioeconomic background, ethnicity,
  low-performing school, familial legacy,
  linguistic challenges, or past academic
  preparation as a reason not to perform well in
  school or in BUILD. Instead, we strategize with
  our students to turn their perceived THREATS into
  OPPORTUNITIES upon which to capitalize.

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BUILDs Core Values

• BUILD operates at the axis of absolute authority
  and unconditional love.
• We believe that BUILD instructors and staff have
  to command absolute authority with students while
  constantly demonstrating profound respect and
  love for them. We can not practice authority
  with no love because blind control without
  student-centered rationale oppresses instead of
  manages. We can not govern by love with no
  authority because without high behavioral
  expectations, boundaries get crossed and
  classroom dynamics become impossible. We can not
  vacillate wildly between the two poles because
  contradicting messages result in confused
  students who can not meet our expectations.
• The BUILD program is different from most high
  school programs.
• We believe that a BUILD class should look, sound,
  and feel different from other classes. When you
  enter a BUILD class, students should LOOK
  engaged, interested, and entertained. The class
  should SOUND interactive, interpersonal and
  high-energy. The interaction between BUILD
  students and adults should FEEL familial,
  respectful, warm and honest.

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BUILDs Guiding Principles

• Entrepreneurial Innovation We continually
  challenge one another and refuse to accept the
  status quo. We remain responsive to trends and
  adapt quickly to new situations.
• Teamwork We remain committed to working
  together productively, drawing on one anothers
  skills, celebrating our successes together, and
  enjoying each other as people.
• Belief in the Power of Youth We believe that
  all students can and will excel, lead, and
  succeed in their businesses, academics, and lives
  outside of BUILD, and we commit to BUILDs Core
  Values.
• Relentless Pursuit of Excellence We are
  resourceful, efficient, strategic, organized, and
  compassionate. We work hard to achieve the high
  expectations we set for ourselves personally and
  professionally.
• Strengthening the BUILD Family We recognize the
  unique contributions of every member of the BUILD
  extended family (staff, students, families,
  teachers, school administrators, mentors,
  volunteers, and the community at large) and we
  seize opportunities to expose our various
  constituencies to one another for the positive
  transformation of all.

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Ideal BUILD Student

• Lives in an under-resourced community with
  under-performing schools
• Is of an ethnicity typically under-represented in
  college (e.g., African American, Latino, Native
  American)
• Will be the first in their family to attend
  college
• Eligible for free or reduced lunch
• Not participating in academic preparation or
  enrichment programs

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How We Reach Them

• Recruiting in 8th grade classrooms
• Program information sent home
• Business Plan Competitions
• Siblings, friends, other family members
• Partnerships with other organizations (e.g.,
  BizWorld, Compass)

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Entrepreneurs 1 (E1)

• Ninth grade students attend BUILD in-classroom
  for 7-10 hours per week for the entire academic
  year
• Curriculum includes
• Fundamentals of business
• Time management
• Goal setting
• Organization
• Professional communication etiquette
• Students create business teams of 3-5 members,
  and develop comprehensive (20-30 page) business
  plans.
• At end of year, BUILD Youth Business Plan
  Competitions held at the Stanford Graduate School
  of Business and the Haas School of Business at
  the University of California at Berkeley.

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Entrepreneurs 2 (E2)

• Sophomores meet after-school in BUILDs Youth
  Business and Academic Incubator, for 3 hours per
  week for the entire academic year.
• First hour focuses on academics, working with
  Academic Program Manager
• Teams begin to operate their small businesses
• Present to Venture Capital Advisors to secure
  BUILD-sponsored funding
• Curriculum includes negotiations, business ethics
  and more
• To stay in BUILD, students must maintain a 2.0
  GPA.

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Entrepreneurs 3 (E3)

• Juniors meet after-school in BUILDs Youth
  Business and Academic Incubator, for 3 hours per
  week for the entire academic year.
• Curriculum includes advanced topics relating to
  college selection and preparation
• Essay writing
• Interviewing
• Financial aid
• Standardized test preparation
• To inspire and inform the students, BUILD
  organizes and leads students on college tours.
• To remain in BUILD, students must maintain a 2.7
  GPA.

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Entrepreneurs 4 (E4)

• Seniors focus shifts from running businesses to
  selecting and applying to colleges. 
• With the help of BUILDs College Counselor,
  students
• Identify stretch and safety schools
• Write admissions essays
• Prepare college applications
• Package their BUILD experience into a portfolio
• BUILD also collaborates with parents and
  guardians to explore students scholarships and
  financial aid options.

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Student Demographics
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BUILD Headquarters Staff

• Suzanne McKechnie Klahr, CEO Founder
• Entrepreneurial Teaching Award from NFTE
• Ashoka Fellow
• Dual degree from Brown University JD from
  Stanford Law School
• Jennifer Sigler, Chief Operating Officer
• Significant experience from PriceWaterhouseCoopers
  and AOL
• MBA and MA in Education from Stanford University
• Barbara Bellissimo, Director of Development
• Twenty years of marketing, fundraising and
  entrepreneurship experience
• BS from The Wharton School at the University of
  Pennsylvania

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BUILDs Program Team

• Hillary Aitken Fernandes, Peninsula Site Director
• Formerly of InsideTrack and Princeton Review
• BA from University of Oregon MA from Stanford
  University
• Chantal Laurie, Oakland Site Director
• Previously with KIPP Foundation, also taught 4th
  grade with Teach for America
• BA from Georgetown University
• Ajuah Helton, East Coast Regional Director
• Former BUILD entrepreneurship instructor, also
  managed entrepreneurship programs at UC
  Berkeleys Haas School of Business and The
  Entrepreneurship Center in Philadelphia
• BA from Clark Atlanta University and MSEd from
  the University of Pennsylvania

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BUILD Board of Directors

• Affi Ansari SVP, Comerica Bank
• John R. Berthold CEO, The Altos Group
• R. James Ellis Lecturer in Management, Stanford
  Graduate School of Business
• Eldridge Gray Managing Director, Goldman Sachs
• Emiko Higashi Managing Director, Tomon Partners
• Thomas J. Ivey Partner, Skadden, Arps, Slate,
  Meagher Flom LLP
• Robert Katz President, Robert L. Katz and
  Associates
• Suzanne McKechnie Klahr CEO and Founder, BUILD
• Jean Kovacs President and CEO, Comergent
  Techologies
• Francisca Miranda Deputy Superintendent,
  Sequoia Union High School District

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Recent Accomplishments

• Suzanne McKechnie Klahr invited to join Ashoka
  Fellowship
• iWear CEO featured on BizKid TV program
• 7 BUILD students honored by Merrill Lynch
  Growing Up CEO
• But most importantly

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Success Metrics

• Student retention 74
• Student business aptitude 114 improvement
• Student written skills 83 improvement
• SAT scores 254-point increase after BUILDs SAT
  prep
• High School Graduation 100 of BUILD graduates
  have graduated High School
• College Admissions 100 of BUILD graduates have
  been admitted to college

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Where Do They Go?
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How Individuals Help

• Donors
• New site launch costs 300,000
• Sponsor a student 4,500 per year
• Textbooks for one E1 class 2,500
• Mentor training session 1,000
• College trip 500 per student
• Volunteers
• Mentor 1.5 hours per week
• Business Plan Judge 4 hours per year
• Guest speaker 1 hour per visit

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Future Plans

• 10 Sites by 2017
• Criteria for New Communities
• Community need
• Availability of potential site director
• Bandwidth of executive team and staff
• Community and school district support
• Financial resources
• Local political landscape
• Competitive environment
• Compatibility with growth plans

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Potential Sites

• Create regional centers for BUILD
• Oakland II
• Boston
• San Jose
• New York
• Pittsburgh
• Baltimore
• Los Angeles
• Chicago

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BUILD Supporters
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Student Enrollment vs. Costs per Pupil
2007-2008 cost per pupil does not include 198K
in D.C. planning costs.
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Assumptions for Growth

• Year 0 10K feasibility study funded locally
• Year 1 100K provided by 10 local supporters
• Funds majority of plenary-year costs
• Donors will seed site Advisory Board
• Year 2 300K commitment to green-light an
  official site launch
• Year 3 Site fully funded by local supporters
• Development Manager hired in Year 3

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Next Step Evaluation 2008-2009

• Opportunity to systematically study BUILDs
  impact on student, family, school and community
  levels
• Chance to further develop quality measurement
  tools that are sustainable over time and allow
  for on-going expansion of the program
• Goal to evaluate the cost of BUILD vs. the cost
  to society to not have BUILD

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• Teaching entrepreneurship to high school
  freshmen is all about high expectations. It is
  about giving a real-world context to students who
  might otherwise not be motivated to do well in
  math and English classes. Whether or not these
  students become entrepreneurs as adults is
  unimportant. What they have learned is that they
  can develop skills and take on challenges beyond
  their own expectations.
• Gordon Lewin
• Trustee, Sequoia Union High School District
• 2007 BUILD Business Plan Competition Judge

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Ajuah Heltonahelton_at_build.org 202.393.7071www.b
uild.org