The Hub: amplifying impact
A groundbreaking Social Enterprise Hub creating jobs and opportunity in the heart of Melbourne
Melbourne’s first ever social enterprise hub
The Good Cycles Social Enterprise Hub (the Hub) will see a complementary group of social enterprises come together to create jobs in the heart of the Melbourne central business district.
The project delivers activation and revitalisation to the site located underneath the train line at the intersection of Flinders Street and Queens Bridge Street. This area provides a central setting for building ‘place-based’ activation from the ground up.
The Good Cycles Social Enterprise Hub will:
- Assemble complementary social enterprises focused on providing real jobs for disadvantaged Victorians
- Commit to social enterprise and engage with the Melbourne community
- Support delivery of community and the City of Melbourne’s vision for the future of the CBD
- Revitalise a site that has traditionally been problematic and seen to attract social issues
- Provide a tangible example of the power of social enterprise and strong partnerships
It is estimated that the Hub will create 800 transitional employment opportunities with social enterprise employers for people who experience disadvantage in the labour market across the first eight years of the project.
The estimated value created by the Hub in the first year of its operation is $4.6 million. Some of the value repeats in every year of operation. The value created by the Hub across its first eight-years is estimated at $39 million.
The potential value is broken down into 4 key areas:
The prominent city centre location increases the visibility of social enterprises, leading to improved understanding of the business model. This could catalyse the expansion of the social enterprise sector, leading to improved social and policy outcomes for Melbourne and Victoria.
A wide range of employment opportunities will be created for people who are disadvantaged in the labour market, including support to enable people to transition into mainstream employment. These transitional employment opportunities mean that the social value created is not a one-off but repeated each year through the Hub model.
Activation of a currently under-utilised location can drive inclusive economic development and enhance Melbourne’s identity as a diverse and socially inclusive city.
The Hub will serve as a central operation base for our innovative City Logistics division. Powered by eCargo bikes, we offer efficient, productive, and low-impact commercial solutions for city bound deliveries and maintenance services.
Sustainable social enterprise
Since 2017, Good Cycles has successfully maintained its strategic 80/20 revenue model, with more than 80% of annual revenue derived from its commercial operations. Good Cycles reinvests 100% of profits back into its mission: providing young Victorians at risk of disengagement with employment opportunities that improve their futures. The remaining revenue is largely made up of philanthropic funding with the balance from donations and government grants. This funding is critical to the ability to scale business and in turn, support and provide valuable employment opportunities and partnerships.
Good Cycles is dually focused on delivering both social impact and commercial sustainability. Success is measured by continuing to provide paid employment and support for at-risk youth. In a few short years, we have reached commercial sustainability with over 80% of our revenue coming from commercial activities.
With 100% of our profits going to support our mission, the past 12 months has seen our outcomes continue to grow.
Good Cycles has established itself as a key influencer in Victoria’s social enterprise sector. Together with other leading social enterprises, the site will set a new, exciting stage for the development of social enterprise in Victoria.
This project is an opportunity for Melbourne to continue its influence in the growing global social enterprise sector. It will provide a tangible example of the power of social enterprise to create inclusive social and economic development, and a model for increasing the scale at which social enterprise can operate.
We are fortunate to have gathered strong partners to establish and grow a vibrant Hub. Good Cycles and its partners bring together complementary social enterprises focused on providing real jobs for disadvantaged Victorians.
Do you want to get involved?
We’re always looking to hear from new supporters & organisations interested in contributing to this exciting new venture.
For more information on joining us in this initiative, contact our Commercial Manager Gordon Oakley