NewStarts
A loan from Charity Bank meant NewStarts could buy its warehouse and save £15,000 a year. It’s now able to support even more people with furniture, household essentials and emergency food parcels.
Social Problem
People moving into their first home or starting their life over, often struggle to afford even basic household essentials.
Solution
NewStarts takes unwanted furniture, computers and other items, to give to the people who desperately need them. That might be a woman who needs beds for the grandchildren she’s just taken custody of, a single mum escaping domestic violence, or a family fleeing war. The charity also provides emergency food parcels, children’s toys and work experience opportunities.
Loan
NewStarts had been renting their warehouse for several years. The rent kept going up and the landlord was keen to sell. With the help of a £280,000 loan from Charity Bank, NewStarts was able to buy the property.
Impact
NewStarts is now saving a significant amount of money each year, as its loan repayments are considerably lower than the rent it was previously paying. Its income has also risen by 40%. The charity has been able to take on new staff, invest in training and look to expand into new areas. As a result, more people are now benefitting from the charity’s help. Last year alone, more than 350 households were given free furniture; over 380 households received emergency food parcels; and almost 140 people learnt new skills through work experience or volunteering opportunities.
“People get a property but nothing to go in it, not even carpets. So they either have to beg and borrow from relatives and friends or take on debt. That can mean they then can’t afford the rent, so go into arrears and become homeless. NewStarts helps people with wraparound services before they get into that situation.
“I like the personal relationship I have with Charity Bank. I can ring up and someone knows who we are and understands what we’re going through. If I rang a highstreet bank and said I had a problem, they wouldn’t really care. Charity Bank does.”
Marion Kenyon, CEO, NewStarts
About Charity Bank
Charity Bank is the loans and savings bank owned by and committed to supporting the social sector. Since 2002, we have used our savers’ money to make more than 1280 loans totalling over £500m to housing, education, social care, community and other social purpose organisations.
Nothing in this article constitutes an invitation to engage in investment activity nor is it advice or a recommendation and professional advice should be taken before any course of action is pursued.
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