Social entrepreneurship project - Hostel in Namibia
Transcript of Social entrepreneurship project - Hostel in Namibia
Amélie Houdet
Alice Tabarin
Links Hostels offers free, flexible, independent, and personalized longterm volunteering placements in local NGOs and community projects inNamibia in addition to providing a welcoming and affordable accommodationwhere volunteers from all over the world can form a community.
THE NEED: DISRUPT THE INTERNATIONAL VOLUNTEERING INDUSTRY
The international volunteering industry has never been
more prevalent than in the past decade. Nowadays, the most
common way to partake a volunteering abroad experience
consists in going through an international organization that
usually provides “packages”, which include administration
fees, orientation, placement, accomodation, and food. These
packages are very costly and the money normally never
reaches the community in which the volunteer will work. In
fact, much controversy surrounds this industry as these
organizations tend to prioritize profit maximization over
the development of the local communities they work with.
Often, the NGOs affiliated with these international
volunteering organizations are rooted in developed
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countries, thus basing their actions on expected problems
rather than on observed needs. There is a clear need for an
international volunteering framework that benefits both
volunteers and local communities. This requires a sustained
presence and in dept knowledge of the targeted communities.
Raymond and Hall argue in The development of cross-cultural
(mis)understanding through volunteer tourism that sending
organizations play an important role in shaping the
experience of volunteers and should be careful to be
efficient and relevant to the context. They argue that these
organizations undermine the projects by not responding to
the needs of the local population and they often misplace
their volunteers in programs that do not fit their
abilities. Placing volunteers from abroad does not allow for
flexibility and may not correspond to the needs of locals
(Raymond and Hall).
Below are findings that depict the international
volunteering industry today when doing a basic Internet
search, confirming the exuberant amounts charged to
international volunteers.
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Average Price for International Volunteering in Africa
Place & name Price Length Type
Namibia,
Frontier
$1500-$3000 2 weeks + Wildlife
protection,
teaching,
medical
Namibia,
African Impact
$1400-$2500 2-12 weeks Wildlife
protection
Tanzania,
Kenya, Uganda,
Ghana, South
Africa,
International
Volunteer HQ
$700-$1100 4-6 weeks Teaching,
Orphanage
work, medical
placement, HIV
work,
construction
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and
renovation,
sports
education,
musical
training
Senegal,
Ghana, Togo,
Ethiopia,
Kenya,
Tanzania,
South Africa,
Projects
Abroad
$3000-$5000 4-6 weeks Teaching,
sports
training,
journalism,
care,
conservation &
environment,
Animal care
South Africa,
ISV
$4000 4 weeks Wildlife
conservation,
community
development,
children’s
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programs,
environmental
management
Ghana,
Tanzania,
Volunteer Base
Camp
$750-$1500 4-6 weeks teaching,
sports,
environment,
childcare,
development
* prices include registration fee, airport pick up, orientation,program supervision, accommodation and meals, in country support bystaff, administration costs and program marketing costs BUT not visas,work permits, flight, travel insurance, vaccinations, criminalbackground checks, souvenirs, safari tours, spending money.
Furthermore, there is a problem of information
asymmetry stemming from little internet access in
developing countries. For example, in Namibia, only 12.9 per
cent of the population has Internet access (World Bank).
Therefore, local NGOs in developing countries tend to have
little internet presence and low international visibility
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when it comes to reaching out for volunteers and funds. In
fact, a simple Internet search on NGOs in Namibia leads to
very few Namibian websites and NGOs.
In this context, a hostel that disintermediates by
linking international volunteers directly with local NGOs
provides a viable solution to the problems described above.
WHERE TO ACT: NAMIBIAWe have chosen to act in Namibia
for a number of reasons. Namibia is one
of the youngest African states, having
gained its independence from South Africa in 1990. Since
then, it has experienced constant and moderate levels of
economic growth and has been classified as a lower-middle
income country. However, when looking at development in the
broader sense, it is evident that Namibia still has a long
way to go, ranking 128th out of 186 countries with regard
to its Human Development Index performance (UNDP).
Furthermore, with a GINI coefficient of 59.7, it is known as
one of the world’s most unequal countries (CIA). Apart from
this staggering level of inequality, Namibia faces a number
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of challenges with unemployment (58.9%), HIV/AIDS (13.4%
adult prevalence), and poverty (31.9% below $1.25/day PPP)
(UNICEF and UNDP). Therefore, the need for development
efforts and the role that civil society can play in Namibia
are evident.
In terms of feasibility, Namibia also represents an
ideal location. First of all, it has experienced economic
and political stability since its independence, both of
which are important when setting up a business in a country
as well as when making the decision to volunteer abroad.
Furthermore, another crucial component for volunteers is
security. On the Government of Canada’s travel website, the
travel advisory map depicts Namibia as one of the safest
countries on the continent with a classification of
“Exercise a high degree of caution”.
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Source: Government of Canada.
<http://travel.gc.ca/travelling/advisories>
Namibia is also one of the least densely populated
countries in the world with about 2.5 persons per square
kilometer (Government of Namibia). This might translate into
lower real estate prices compared to other Sub Saharan
countries, therefore reducing our costs.
In addition, tourism has been expanding in the region.
According to the United Nations World Tourism Organization
data, there has been an increase in international tourists
arrival of 4,4% between 2010 and 2011 compared to 0,4%
between 2009 and 2010 (UNWTO, 2013). Moreover, different
projects such as AECID’s “Training and Support for the
Establishment of Small Tourism-related Businesses,
especially for rural women” aiming at promoting and
developing tourism in Namibia, are taking place (UNWTO,
2012). This expanding industry of tourism constitutes a
safety net for our hostel in times when there might be fewer
volunteers, making Namibia an ideal location to set up our
project. It also depicts the many attractions that Namibia
has to offer to our volunteers in addition to their
rewarding experience.
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A MARKET IN EXPANSION
Some statistics on international volunteering
As mentioned earlier, the market for internationational
volunteering has greatly expanded in the past decade or so.
Globalization has resulted in a growing awareness of global
injustice, which has raised concern for international
development. Wishing to make a contribution and gain an
experience, an increasing number of people get involved in
volunteering abroad. Since the 1960s, over 65,000 young
Canadians have participated in volunteer abroad programs
(Ngo, 2013).
The growing numbers of people wanting to engage in
international volunteering points to an existing market for
our social enterprise.
Survey
We led a brief survey of the market with four core questions
to guide us in the process of establishing our hostel:
- What is your experience with international
volunteering?
- If you were to volunteer, how would you plan it?
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- For how long would you volunteer abroad?
- What type of accommodation would you chose when
volunteering abroad?
We interviewed a total of 44 people, aged between 18 and 28,
coming from different backgrounds (friends, family, and
McGill students). Results are displayed in the following
charts:
These findings confirm that there is a market for the
type of hostel that we will build. Furthermore, GeckoGo’s
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2009 survey also revealed volunteers’ preferences: 44
percent prefer trips longer than one month, 42 percent
between two weeks and a month (GeckoGo) .
Targeting a wide market
Links Hostels welcomes and targets volunteers from all
countries. The founders’ language skills (French, English,
Spanish, Japanese), their international web of contacts, and
today’s developed communication technologies allows them to
reach a worldwide market. However, it might be easier at
first to attract volunteers from McGill University and
Montreal, more generally, since those are communities in
which the founders already have a presence. Although people
from all age groups are welcomed, it is expected that the
majority of volunteers will be young adults (in their gap
year, completing an internship for school credits, gaining
experience abroad).
THE SOLUTION: LINKS HOSTELS
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In response to the problematic framework in which
international volunteering takes place today, Links Hostels
will participate in the process of disintermediation by
creating free and direct links between long term volunteers
and local NGOs in addition to the welcoming accommodation it
offers.
Inspiration from an effective model
The idea to build Links Hostels stemmed from one of the
founders’ personal experience in Tanzania. In 2010, Akina
Matsuo flew to Tanzania in the hope of gaining a meaningful
experience volunteering with a local organization. She was
against the idea of being part of a rigid and expensive trip
organized by a big Western company and her pre-departure
search for local Tanzanian NGOs proved unsuccessful. Once in
Tanzania, the search was not much easier and the few
projects she found were neither structured nor functioning
well. After a frustrating month, she found Hostel Hoff in
the town of Moshi. She ended up staying there for four
months and it completely changed her experience for the
better.
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Hostel Hoff, built by an Irish lady, Sarah Carroll, was
a welcoming hostel where a community of long-term volunteers
from all over the world lived. The first day, the hostel
management gave a tour of Moshi and discussed with the
newcomers the varied and numerous internship opportunities
available at the moment with local NGOs. The next day, the
newcomers were accompanied to visit and spend time at two
NGOs of their choice, after which they decided where they
would be volunteering for the next months. The whole
placement process was free of charge! The only fees were
those related to the accommodation, which included breakfast
and dinner as well as laundry and cleaning. Everyone working
at the hostel was Tanzanian. The volunteers therefore had
the chance to develop ties with the locals during their
internships as well as with the hostel staff. Friendly
decoration, varied and comforting food, communal and
personal spaces, and organized activities were all aspects
that eased the transition of the volunteers into their new
environment, making them feel at home, and easing the
cultural shock. The hostel also offered airport pickup for
those who flew into the country.
Hostel Hoff started to attract a steady stream of
customers after its first year of existence. For the
subsequent years, it made an average of $30, 000$ in net
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profits annually and its 25 beds where fully booked eight to
nine months a year. It was built with the owner’s personal
savings and was subsequently maintained with the income
stream stemming from its customers.
Adapting and reproducing this model
Links Hostels will be modeled upon Hostel Hoff since
Akina and her peers’ experience at the Hoff was positive,
meaningful, and memorable and the hostel proved to be
economically sustainable (it is now in its seventh year of
existence). This model proved to be beneficial on many
levels. First, from the perspective of the volunteers, this
option is much cheaper than any experience organized by a
volunteering abroad organization. It also allowed them to
get a more flexible placement into a community project that
they felt comfortable in as opposed to paying months in
advance for a placement that might not meet their
expectations. Since volunteers in such hostels are all long
term, they end up developing a small community with shared
interests and values and they can support each other and
learn from each other’s different projects. For example,
while in Moshi, Akina visited many of the other volunteers’
projects. Being in the country independently allows much
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more liberty to the volunteers, who can go away anytime they
are not working and who are not confined to representing the
values and the name of a Western organization.
Local communities have experienced both positive and
negative impacts from this major growth in the trend of
international volunteering. As mentioned earlier, when a
trip is organized by a profit oriented volunteering abroad
company based in a developed country, the negative impacts
are more likely to be numerous since the main purpose is not
to help people. Such companies are so distanced from the
receiving community that they are unlikely to understand and
be aware of the consequences of their activities in the
area. For example, it has been the case that transitory
contact by those unqualified to work with children have had
hugely damaging effects in certain orphanages. However,
this is not to say that all forms of international
volunteering are bad for the communities. In fact, there is
great potential for positive outcomes if it is done in the
right framework. Benefits of international volunteering
include: an exchange from which both the volunteer and the
local learn a lot, volunteers can contribute specific skills
that the NGOs could not afford to pay for and help NGOs grow
or members of a local community acquire practical knowledge,
changing the volunteer’s mindset and building ties and
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concern for global poverty that can be beneficial in the
long term.
This is where the role of hostels such as the Hoff and
Links is crucial in shaping international volunteering to
ensure that its negative impacts are reduced and its
positive ones are enhanced. It is in this optic that Links
Hostels will operate, keeping a few things in mind at all
times. Links Hostels will educate its customers in terms of
ethical volunteering. First, it will encourage them to view
their experiences as a learning experience and an exchange
rather than as an imbalanced relationship in which they are
the “helpers”. Second, there will be a minimum of one month
of volunteering since internships that are shorter than that
create more wrong than good due to adaptation and training.
We will make sure the volunteers are culturally sensitive in
their behavior. We will also ensure that they are not taking
away jobs from the locals. Finally, the placements will be
carefully selected to ensure it benefits all parties
involved in terms of skills, needs, and preferences.
Links Hostels will create the same positive impacts for
a local community in Namibia as Hostel Hoff does in Moshi.
Those include the creation of employment opportunities for
the locals with good working conditions: Hostel Hoff employs
11 Tanzanians. It will also generate its own flow of
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visitors to a region: long term volunteering is a strong
enough motive to attract people to a region that they would
otherwise not have visited. Hostel Hoff alone brings 300
foreigners a year to the town of Moshi. Both the money spent
in the area by the volunteers and the salaries received by
the hostel’s employees generate income into the area. The
interaction between the volunteers and the local community
through the hostel as well as through the internships will
create a cultural exchange from which both volunteers and
locals can learn a great deal. Furthermore, volunteers will
go back to their countries of origin with changed mindsets
and new knowledge that they will share with their own
community, which might subsequently generate tourism and aid
into the area. Some volunteers might even decide to stay
involved on a long-term long-distance basis with the
internship they were a part of. Others might decide to
dedicate their lives to international development, in
whatever area this might be.
In addition, Links Hostels will innovate upon the
Hoff’s model in the goal of further benefiting the community
it will be built in. In fact, it will have a center for
skill building whereby it will not only train its staff to
perform the tasks required for the hostel, but it will also
train them in additional skills such as computer, English,
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and administration so that they can eventually get another
job and move up the social ladder. Hence, there will be a
turnover that will allow new staff to come in and get the
training once the older staff will be hired elsewhere. The
volunteers at the hostel will be able to help in this
training program, depending on their specific skill set. One
of Namibia’s biggest challenges at the moment is
unemployment and it is in large part due to a lack of human
skills and a failure in the education system to train its
students adequately. Although Links Hostels’ training
program will start on a small scale, the goal is to grow
bigger with time and help the country with this challenge.
Eventually, the trainees could teach the skills they have
learnt to other members of their communities even if they
are not hostel employees. Furthermore, since Links Hostels
is a social business and its first goal is social rather
than profit oriented, as soon as it will start making net
profits, it will give a percentage of these profits, between
15 and 25 per cent, to some of the NGOs and projects that it
sends volunteers to. The benefit of such aid is that it is
sustainable compared to aid efforts that give one sum of
money once and then never come back to the area. The
projects that will have partnerships with Links will
regularly be visited and assessed by Links representatives
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so that a strong relationship is built and the funds are
used in a productive, efficient, and beneficial manner.
Links Hostels will be careful in its selection of NGOs
and projects to develop partnerships with. Various selection
criteria will be applied when selecting such partnerships.
First, it is important that the community project is viable
and sustainable on its own. The people in charge of these
projects should be able to answer clearly and with ease to
questions pertaining to the goals, needs, and income
generation model of their community project or NGO. It
should be a project that is already started and that the
community believes in and is invested in. Help coming from
Links Hostels should be an asset, not a necessity to the
survival of the project. Therefore, once the partnership is
in place it is also imperial to make sure a dependency does
not develop. Links Hostels will help these projects grow
faster, but will in no way be the backbone of these
initiatives. Furthermore, we will try to diversify the type
of projects we send volunteers to in order to spread the
benefits to target various needs in the community as well as
to offer an array of choice for all types of volunteers.
As for the specific attributes of Links Hostels, it
will begin small, with a capacity of 20 customers and will
hopefully expand up to 30. There will be two private rooms
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with double beds and the rest will be dorms with bunk beds.
In the beginning there will be five staff members, all
Namibian: a cook, a cleaning person, two security guards,
and a manager. As we expand, more staff will be added such
as another cook, cleaning person, security guard, and
gardener. The pricing structure will follow Hostel Hoffs’
regressive pricing: it will cost one dollar less a day for
every additional month. Private rooms will cost two dollars
extra a day per person. The minimum stay will be of one
month, however, exceptions will be made during quiet times.
All possible efforts will be made in order for the
volunteers to feel happy and comfortable. Both private and
communal spaces will be created, indoors and outdoors.
COMPETITION
Our competition analysis relies on three types of
competitors: international organizations offering
volunteering experiences in Namibia and Sub-Saharan Africa,
hostels in Namibia that offer similar services (linking
volunteers to local NGOs), and hostels in Namibia that offer
standard accommodation services. The results gathered are
summed up in the table below. We only found one hostel in
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Namibia offering similar services as ours, Elonga hostel. We
did not consider it to be a significant source of
competition as it one single hostel in the entire country
and we do not plan on setting up our own hostel in the same
town. Moreover, their main customer base is from Germany,
which is not our specific target market. Finally, Elonga
hostel does not provide meals to its customers and the daily
rate for the first month is extremely high.
We found a multitude of volunteering programs offered
by international agencies very often at prices that we
easily outcompete (see chart above: “Average price for
international volunteering in Africa”). Furthermore, most of
the experiences in Namibia offered by these companies are
related to wildlife conservation rather than human
development, on which Links Hostels will focus. For these
reasons among others, Links Hostels will be able to compete
against these international volunteering agencies.
The competition embodied by standard hostels might be
the most threatening given the very low rates they offer.
However, we offer an additional and valuable service, as
well as life in community of long-term volunteers, meals and
laundry, which justifies a slightly higher rate.
Furthermore, these hostels do not necessarily represent
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direct competition since backpackers and long-term
volunteers are two separate markets.
Hostels in Namibia
Name Place Price/night Included in
the price
Type of
competitor
Elonga Windhoek
(capital and
largest city)
33 CAD $
(first month)
12CAD$
(additional
months)
Accommodation
in dorm
Volunteer
hostel
The
Cardboard
box
Windhoek 12 CAD $ Accommodation
in dorm
Regular
Hostel
Skeleton
Beach
Backpackers
Swakopmund
(coast)
13 CAD $ Accommodation
in dorm
Regular
Hostel
Loubser’s
B&B
Selfcatering
Walvis Bay
(coast)
20 CAD $ Accommodation
in dorm
Regular
Hostel
Chameleon
backpackers
Windhoek 13 CAD $ Accommodation
in tents,
3meals/day
Volunteering
organization
FINANCES
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Links Hostels is based on an economically sustainable
model, and the income generated through customers will cover
monthly expenses including improvements. However, the team
has been looking for funding in order to cover its startup
costs.
Some funding option
1) Crowd Funding consists in setting up a profile page for a
new business project and relying on family, friends or
anyone who wants to support the initiative, to send
donations through the website. The startup costs for Links
Hostels could therefore be supplied through this form of
funding. Donations range anywhere from 10 cents to thousands
of dollars and some people donate on a recurring basis. Some
examples of such websites include:
-33needs (connects micro-investors with social entrepreneurs
who have big ideas in categories such as sustainable food,
health, education, and the environment. Investors can earn a
percentage of revenue in exchange for their support)
-Causevox (offers nonprofit organizations a fully
customizable fundraising page that makes collecting money
from supporters easy. Supporters can also create their own
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personalized fundraising pages. Social media integration
makes it easy to embed YouTube videos, Flickr slideshows,
and more)
-Firstgiving (the site allows non-profit supporters to
create their own fundraising page to raise money for the
cause of their choice.)
We will exploit this option following our field
assessment in Namibia where we will have produced a video on
the ground to compel people to donate to our project. It is
also only after the field assessment that we will have a
clear notion of the funds needed to build Links Hostels.
2) As to other sources of funding, we have looked into the
possible contests we can apply to in order to get the
project started. Our research yielded a few interesting and
potential sources of funding for which Links Hostels could
fulfill the criteria:
a) Canadian Social Entrepreneurship Foundation (CSEF)Since 2003, CSEF has been providing its members with accessto funding through online competitions as well as access toan online investor community for support. The CSEF aims toeducate, engage and support social entrepreneurs such asLinks Hostels. The SE IDEA challenge is of interest becauseit provides funding, mentorship and startup materials toentrants, in order for them to get to the next steps oftheir business plan.
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Criteria are: -The focus of submissions should be on any of the following areas: clean-tech, biotechnology, social justice, poverty, literacy, and the environment. -Plan to be financially sustainable or profitable; whether it is a commercial business or a tax-exempt organization, itmust be self-sufficient on its earned revenue. -Be scalable. This criterion will be unique for each business plan. Scalability will take into account the potential for growth of the business (and how well both the financial and social goals can be scaled). -Have a quantifiable social and/or environmental bottom lineincorporated into its mission and practices. -The proposed venture can be a new identity or a wholly owned subsidiary of an existing entity (either a for profit or non profit entity). -A business plan can re-enter the competition year after year. -Team size is not restricted.
b) The Skoll Foundation The Skoll Awards for social entrepreneurship has beenhappening each year since 1999 and rewards socialentrepreneurs that have demonstrated leadership and come upwith a business plan that positively impacts the world. Theaward provides funding and access to an extensive network ofsocial entrepreneurs. The aim is to drive social change andsolve the most pressing problems the world encounters today.Criteria are: -Impact potential: Organization’s innovation is positioned to directly affect policy, behaviour and/or infrastructure/system(s) on a large scale and can show evidence of significant impact already achieved.
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- Inflection: Organization has a proven approach that has already been implemented with success and is now ready to apply the approach on a much larger scale. - Innovation: Organization has an approach that fundamentally disrupts the status quo to solve social and/orenvironmental problems. - Focus Area: Organization works on a focus area that is identified by the Skoll Foundation as one of world’s most pressing problems. - Skoll leverage: Organization will benefit from engaging with Skoll Foundation beyond a purely funding relationship, such as collaboration with our network of entrepreneurs or access to media opportunities. - Social entrepreneur: Organization is led by a visionary social entrepreneur- Sustainability: Organization has a clear, compelling plan for expanding impact and achieving long-term financial and operational sustainability.
c) Pathy Family Foundation (PFF)PFF is a leadership program dedicated to providing funding opportunities to McGill students. Its aim is sustainable, positive, community-based change and student-led innovation.Candidates can earn up to $20,000 for 8months projects and $30,000 for 12 months projects. Criteria are: Special consideration is given to innovative and entrepreneurial projects. -The project must respond to a demonstrated and prioritized community need. -The application should clearly demonstrate that the projectis feasible in scope and goals, and the budget and timeline are realistic. -The project proposal must be supported/endorsed by local organization(s) (for-profit or non-profit) or community leaders.
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-Applications should focus on the potential sustainability of the project beyond the life of the Fellowship, whether byextension of the project or by perceived sustainable change in the community. -The project should be based on a new or improved idea for the community and/or the partner organization.
3) Links Hostels’ founders have an understanding with the
owner of a popular bar in downtown Montreal, l’Abreuvoir.
They will be allowed to use the spacious venue to host a
fundraising event for the creation of Links Hostels. All
revenues collected from the tickets, which will cost five
dollars, will go to Links Hostels, while all the revenues
from the drinks purchased by the guests will go to
l’Abreuvoir. The founders’ friends with artistic skills
(music band, Dj, dancers) will also perform for free and
there will be a presentation of the project to build Links
Hostels. At least 100 guests will be expected and the event
should take place during the fall of 2014, upon return from
the field assessment trip to Namibia. If this event is
successful, more fundraising events of this sort could be
organized, including: speed dating, social entrepreneurship
networking cocktail, documentary night, etc.
Tentative budget (rough estimate)
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Location: Namibia (town to be determined upon field
assessment)
Capacity: 20 people
All prices are displayed in Canadian dollars. The exchange
rate is approximately $1CAD= 9.74 Namibian $
a) Startup costs
It is very difficult to estimate the startup costs
before being on the field. Moreover, it will be extremely
important to have a Namibian partner to help us with these
purchases in terms of bargaining skills and knowledge of the
places to buy these things from. The most accurate
information we were able to access was from Scott Howe who
founded a hostel in Kenya. The prices listed below are the
estimates that resulted from the combination of information
collected through interviews and web research. It is
expected that the high level of inequality as well as the
low population density that are specific to Namibia will
allow us to find good deals on certain items and cheaper
rent in certain areas.
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$12000 - Rent and deposits
$10000 - Permits and registration
$ 4000 - Buying a van
$15000 – beds (3 double beds and 8 bunk beds), TV's,
drawers, sofas, decoration (mirror, lamps, curtains, paint,
frames), kitchen setup (toaster, microwave, oven, fridges,
cutlery, glasses, cups, plates, bowls) etc
$ 1000-Advertisement (printing posters and flyers, paying
to be in Google search)
$ 10000-Plane tickets, visas, travel expenses of the
founders
Total: $ 52, 000 CAD
This is the amount we will need in order to open the
hostel. This means that if each of the three founders
succeeds in accumulating about $17, 000 through personal
savings, donations, and other funding methods described
above, we will have enough resources to make the project a
reality. However, ideally our goal is to start with enough
money to get us through the first year, after which we are
hoping to have a steady customer stream. This would increase
our start up costs by 12 months of rent, salaries,
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electricity, and water. However, although this would be an
ideal situation, past experiences of hostel owners in
developing countries confirm that a hostel can successfully
be established solely with personal savings and with minimal
costs.
b) Chart of income/expenses on a monthly basis
Expenses
Rent: $2000/month
Average salary: $500/month. $500 x 5 staff members=
$2500/month (the manager will receive a higher compensation
than the other staff members)
Others (Wifi, electricity, gas, water, garbage): $350/month
Food (for 20 guests): $2000
Upgrades: $200/month
Collateral: $400/month
TOTAL: $7,450 CAD/month
Income
20beds x $19,50/night*
TOTAL: $390/night= $11, 700/month
Net profits: $ 11, 700 - $ 7, 450 CAD= $ 4, 250 CAD/month
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*This is an average rate since people in private rooms will
be charged slightly more than people in dorms. Furthermore,
the price structure will be regressive (the longer the stay,
the cheaper the price per night for the volunteer) in order
to encourage longer stays. During the low season, the team
is open to hosting non-volunteers (backpackers, travellers,
tourists) in order to keep the business sustainable. The net
profits will be lower during the months when some beds will
not be occupied.
The team is aware of the many hidden costs it will
encounter when concretizing the project. This income
statement is approximate and entirely dependent on the
findings resulting from the field assessment.
Long term Profit Use
As discussed earlier, although Links Hostels is not a
nonprofit organization, it is a social business in the sense
that its main driver is social in nature and not profit
maximization. As soon as Links Hostels will start generating
profits, it will give a percentage, between 15 and 25 per
cent, to the NGOs and community projects that it will have
partnerships with. The rest of the profits will be used
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toward improvements and expansion in terms of number of beds
(comfortable tents might also be added in the backyard),
staff members, decoration, and atmosphere. Furthermore, the
very long-term goal is to eventually become a chain of such
hostels will branches all over the developing world. It is
in this optic that the hostel was named Links Hostels in the
plural form. The hostels will function on the “B.O.O.T”
model: Build, Own, Operate, Transfer. While the management
of the separate branches will be transferred to a person
from the community, the ownership will remain in the hands
of Links Hostels. For the period following the opening of a
new branch, there will be a strong presence of a Links
Hostels representative and a great deal of efforts will be
destined to the training of a local manager so that the
hostel is left in good hands. A representative of Links
Hostels will subsequently be in charge of visiting each
branch as well as each NGO partner once to twice a year to
make sure their services remain in line with the company’s
values and vision.
ESTABLISHING PARTNERSHIPS
33
Ensuring the sustainability of our social enterprise is
crucial to its success. Therefore, we need a stable base of
clients providing a steady source of revenues. We elaborated
a twofold strategy relying on partnerships and
advertisement.
First, we approached a few institutions in the hope of
building partnerships in Montreal. We presented these
institutions a one pager explaining the main components of
our project1.
- Arts Office of Advising and Student Information
Services, study abroad department. Looking for a
partnership to consolidate our client base. Asking
them to advertise our hostel towards student going on
an exchange in Sub-Saharan Africa. Answer was negative,
no possibility to help us but we were redirect to the
Institute for the Study of International Development.
- The Faculty of Arts Internship Office (location -
McGill): possibility to be approved as an official
internship (granting academic credit or not). Being
officially recognized as one of McGill’s internships
opportunities depends mainly on security conditions and
skills acquired by students during their volunteering
1 Appendix 1: One pager
34
experience. Seems highly feasible given our social
enterprise.
- The Institute for the Study of International
Development (location – McGill): possibility to be
advertised through regular appearances on their
listserv.
- Travel Cuts agency (location – McGill): possibility to
display flyers and posters of our hostel, possibility
to highlight offers on trips to Namibia sold regularly
by the agency.
- Audrey Leduc (location-Montreal): graduate student in
advertisement and director of marketing for B1 Bar.
Will help us promoting the hostel especially in
designing advertisement free of charge (flyers,
website, posters, etc). She designed the Links Hostels
logo.
- North-South Studies program (location-Dawson College):
possibility to do an in-class presentation to promote
the hostel to last year students every December. The
North-South Studies program is focused on the study of
developing countries, therefore, Links Hostels
represents an interesting opportunity for the students
who choose to take a gap year. Akina was a North-South
35
Studies student who spent her gap year in volunteering
in Tanzania.
Second, we elaborated different advertisement and marketing
strategies:
- Creation of a coherent and explicit logo:
The Links Hostels logo was chosen carefully. Its bright
colors are youthful and soft, the elephants, which are found
in Africa and Asia, make a reference to the South or the
developing world, their linking trunks represent the links
that the hostel create between the volunteers and the local
community, and create a feeling of compassion. While the
elements are targeted, they are not specific to any one
country since Links Hostels is planning on becoming a chain
with branches all over the developing world.
- Internet-based advertisement:
o Facebook page with specific details of the service
we offer, frequent updates of news coming from the
hostel, volunteering posting stories of their
experiences, pictures, etc.
o Twitter account displaying regular news from the
field
36
o Website with specific details of our vision,
values, goals, services we offer, contact
information, possibility to make a reservation
online, etc
o Advertising of our hostel on
http://theethicalvolunteer.com/, thanks to Sarah
Carroll
o Registering for free on various accommodation
websites such as www.hostelworld.com or
www.tripadvisor.com
o Still hypothetical: paying to appear among the
first links offered by google search
- Real world advertisement:
o Design and diffusion of flyers and posters,
designed by Audrey Leduc, to be displayed in
different places of Montreal including CEGEP and
universities
o Presentations in different educational
institutions
o Participating in volunteer fairs in Montreal
(McGill, Concordia,etc)
o Creating partnerships with universities around
Namibia that receive temporary foreign students
37
o Attempts to be mentioned in travel guide books
such as Lonely Planet, Le Routard, Frommer’s as
well as in travel websites such as tripadvisor.
Our multidimensional advertisement approach will
undoubtedly allow us to secure a broad client base and
contribute to the success of Links Hostels. However, if
partnerships and advertisement are part of the game, we
remain conscious that the strongest form of advertising is
“word of mouth”, which is secured by offering quality
services.
PROGRESS TO DATE
In addition to the partnerships created through face-
to-face solicitation, both primary research, in the form of
interviews (Skype, phonecall, email), and secondary research
in the form of articles, websites and reports were performed
in the process of planning the establishment of Links
Hostels2.
Emails:
- To the Law Society of Namibia asking for further
information regarding legislation on starting a
2 Appendix 2: emails and Skype conversations
38
business as a foreigner and on buying a land or a
building as a foreigner. Still no answer after a month.
- To the Society of Advocates of Namibia, idem. Still no
answer after a month.
- To the Secretary of the High Commission of the Republic
of Namibia, idem. Answer was that as Canadian and
French citizens we were allowed to set up the business
we look forward to establish.
- Canadian representatives on the ground were also e-
mailed but no answer has been received (yet,
hopefully). The team felt that securing connections
with agents on the ground was crucial in getting some
information pertaining to the laws, costs, and
situation in Namibia prior to the field assessment.
These contacts will also be an important source of
support once on the ground. Hence, we will pursue
efforts in trying to build a bridge with the Canadian
embassy in Namibia through emails and phone calls.
- The Umoja hostel in Tanzania. There was a reply to the
first e-mails, but the specific questions regarding
details about the hostel sent in the subsequent e-mails
were never answered.
39
- Carley, Ujamaa hostel and volunteer program in
Tanzania. Email interview with one of the founder who
gave us insightful information on her experience. She
highlighted the importance of having a local partner to
deal with legal issues, the major time commitment that
such a project involves, as well as some details of her
hostel: capacity of 22, she was able to cover the costs
with only five customers, most of the time there were
12 to 15 occupants.
- Gerda, Elonga internship hostel in Namibia is a hostel
based on the same model as Links Hostels. It is owned
by a German lady and is situated in the capital of the
country, Windhoek. An email was sent asking for
information concerning costs, customers, local
community, advices, her experience, etc. She quickly
replied that she would be glad to help, but that it
will have to wait until she is back in town. We are
still waiting for a reply.
- Marie-Cyrille Lavalle, humanitarian project leader at
the International School of Paris. She led projects in
Namibia for many years, but instead of giving us
information on the country, she gave us the contacts of
40
two NGOs in Namibia that she worked with. We are now
waiting for replies from these two NGOs who could give
us a better understanding of the civil society as well
as other aspects of Namibia.
- Scott Howe (contact given by a classmate), hostel in
Diani Beach, Kenya (not originally for volunteers but
ended up hosting many of them). He shared his
experience and some tips with the team. Some of his
advices were: make sure the political situation is okay
in the country you want to implement your project in,
make sure the security team of the hostel is present at
all times, and reinforced if needed because robbery is
common, and it is extremely important that the guests
feel safe, make sure the proper permits are applied
for, bribes could also work (although it is in Kenya),
it usually takes at least 2 months up to a year to open
a hostel, if you can handle the whole operation, do it!
It’s fun even though stressful sometimes
- Hostel Hoff, Tanzania. When we wrote to Hostel Hoff
through their website asking for information on opening
a hostel based on their model, their response was
41
negative. They refused to help us since they did not
want more competition.
Skype interviews:
- Sarah Carroll, founder of Hostel Hoff.
Luckily, although Hostel Hoff’s management did not
want to help us, we were able to directly contact the
hostel’s founder and former owner. She granted us an
hour-long Skype interview, which provided us with
priceless information. She shared her experience with
Hostel Hoff and then she discussed some
recommendations, which included how to choose the NGOs
that we would get involved with. She emphasized the
importance of training our staff, of being an asset and
not a necessity to the local projects, and the power of
word-of-mouth.
42
- Grant Lingel, founder of That Hostel, Brazil.
He granted us a Skype interview in which he advised us
to have enough money to pay for all of the expenses of
the first year as well as to choose an area that is not
very touristic in order to have a specific type of
customers and to reduce competition. He also told us
about the importance of appearing in Google searches
and his own experience with his hostel, which is no
longer operating.
Being able to interview four hostel founders (Sarah,
Scott, Grant, and Carley) was instrumental in guiding the
process of planning the establishment of Links Hostels, from
possible obstacles, to costs, and advices. All four founders
have rented the building for their hostel, have covered the
startup costs with their personal savings, and have
succeeded in generating profits through their enterprise.
Furthermore, they all worked in close partnership with a
local. These palpable success stories prove that Links
Hostels can also be successful and sustainable.
43
NEXT STEPS
While the process of establishing Links Hostels is
already well underway, it is of utmost importance to
recognize that all the aspects mentioned above are relying
upon confirmation and development through an in dept field
assessment that will take place in summer 2014 when at least
one of the founders will go to Namibia for six months or
longer. The field assessment component will be central to
the establishment of Links Hostels. During that period, the
founders will travel the whole country and spend at least
two weeks in each place. They will be looking for a town
where there is a good number of NGOs and community projects
operating, where there is a good atmosphere and where they
and their guests will be able to feel comfortable and
welcomed, where tourism has not yet reached a heavy flow,
but there are activities and sights nearby, and where there
is a need and potential for development. Furthermore, when
choosing the destination for Links Hostels, the founders
will always keep in mind the problem of inequality that is
omnipresent in Namibia and therefore, they will not choose
the capital or any of the other highly developed regions
that are already recipient of most tourism and foreign
investment.
44
Once a town will be deemed as a good option, a thorough
research will be made: the founders will network to make
important contacts which are key, they will also research
the laws and costs pertaining to renting real estate and to
building and operating a company, they will look for sources
of support, they will get acquainted with the history and
situation of that specific region, and they will build
partnerships with NGOs and community projects. These
partnerships will be carefully selected in accordance with
the criteria mentioned earlier. In regards with the creation
of partnerships, the field assessment will be conducted in
an anonymous manner. In fact, the founders will visit the
different NGOs and community projects and will ask them
about their aims, needs, history, and structure anonymously
to ensure that the information collected is not modified in
an attempt to secure a partnership. A study will also be
conducted among the members of the community in an attempt
to discover the projects that are regarded as beneficial by
and for the locals.
During this field assessment, the information collected
will be carefully recorded in order to be used upon return
to create a more specific and realistic plan both in terms
of finances and steps to follow. A video will be created in
Namibia and will be used to generate funding on Crowdfunding
45
websites as well as during fundraising events and meetings
with potential investors and partners. Once this detailed
plan will be in place and a specific region will be selected
for the hostel, Links will also be able to enter an intense
advertising campaign to secure its first customers.
Between now and the summer 2014, the founders will
pursue their efforts into building partnerships with
institutions in the Western world that can insure them a
steady stream of customers as well as spreading the word to
let individuals know about Links Hostels. They will also
continue their research on Namibia to arrive in the country
with an extended knowledge base. Furthermore, considerable
efforts will also be placed in securing funding in the forms
described above as well as in the form of personal savings.
CONCLUDING REMARKS
Social entrepreneurs can be defined as “society’s
change agents: creators of innovations that disrupt the
status quo and transform our world for the better” (Skoll
46
Foundation). This is exactly the challenge that Links
Hostels’ team is on the road of tackling. The
international development industry and the international
volunteering industry more specifically have grown
incredibly fast in the past decades and major amounts of
money are involved in their activities. This has in some
cases diverted these industries from their primarily
social development goals to profit seeking. Links Hostels
is a sustainable project based on previously successful
models. Its primary goal is to benefit the community in
which it will be based and to create opportunities for
positive exchanges between the north and the south. It is
a model of disintermediation that disrupts the
international volunteering industry and challenges the
status quo, thereby changing the current framework to
benefit both the volunteers and the local community.
THE TEAM
AKINA MATSUO, 24 years old
Owner and manager
47
International Development Studies Honors and African Studies
Minor, McGill University
(514) 663-5382
“One world, One people”
ALICE TABARIN, 20 years old
Associate manager, accountant
International Development Studies and Political Science, McGill University
(514) 651-4807
“Figure out what you dream of and make it come true”
AMÉLIE HOUDET, 20 years old
Associate manager, Director of public relations
and marketing
International Development Studies and Sociology,
McGill University
(514) 557-1898
“The world is a good place and I want to make it better”
48
Works Cited
Central Intelligence Agency. “The World Factbook: Namibia.”
https://www.cia.gov/library/publications/the-world-factbook/geos
/wa.html (accessed October 10th, 2013)
Dawson, and Hall. "Journal of sustainable journalism." Taylor &
Francis Online. N.p., n.d. Web.
49
http://www.tandfonline.com/doi/full/10.1 (accessed December 5th,
2013)
Government of Canada. “Country Travel Advice and Advisories.”
http://travel.gc.ca/travelling/advisories (accessed October
11th, 2013)
Government of Namibia. “Census Projected Population.”
http://www.gov.na/population (accessed November 15th, 2013)
Nestora, Alexia , Pokin Yeung, and Helen Calderon. "Travel insights by
Geckogo." Volunteer travel report.
http://www.geckogo.com/volunteer/report2009/ (accessed December
8, 2013).
Ngo, Mai. "CANADIAN YOUTH VOLUNTEERING ABROAD: RETHINKING ISSUES OF
POWER AND PRIVILEGE." Library of UToronto. N.p., n.d. Web.
https://tspace.library.utoronto.ca/bitstream (accessed December
5th, 2013)
Skoll Foundation. “Social Entrepreneurs Challenge.”
http://www.skollfoundation.org (accessed December 5th, 2013)
UNDP. “International Human Development Indicators.” 2013 report.
http://hdrstats.undp.org/en/indicators/103106.html (accessed
November 15th, 2013)
50
UNICEF. “Namibia: Statistics.”
http://www.unicef.org/infobycountry/namibia_statistics.html
(accessed December 2nd, 2013)
UN World Tourism Organization (UNWTO). “Tourism Highlights, 2013
Edition.” http://mkt.unwto.org/en/publication/unwto-tourism-
highlights-2013-edition, p.10 (accessed October 28th, 2013)
UN World Tourism Organization (UNWTO). “2012 Annual Report.”
http://www2.unwto.org/en/publication/unwto-annual-report-2012,
p.64 (accessed October 28th, 2013)
World Bank. “Data: Internet Users (per 100 people).”
http://data.worldbank.org/indicator/IT.NET.USER.P2 (accessed
October 10th, 2013)
51
Emails1- Canadian embassy in Namibia ([email protected]) -no answerTo whom it may concern, I am a young Canadian entrepreneur and McGill University graduate in International Development Studies Honors, who is planning to open a hostel in Namibia that would cater for long-term volunteers from all over the world.I want to build links with local community based programs which I could then refer the volunteers to and therefore help both the volunteers and the local NGOs. The hostel will, among other benefits, create local employment, createa flow of volunteers which will spend in the community, provide volunteers as well as a percentage of its profits to local NGOs. As the Canadian representative in Namibia, I am asking for your help in providing me with information and support that I cannot reach from here, in Montreal. I am planning on traveling to Namibia in May for an extended period oftime, but prior to that it would be of great help to collaborate with you. I need information on:- the laws for buying and renting property in Namibia as a Canadian. - the prices of buying and renting property (for a hostel that would cater to about 20 people)- the laws for starting and operating such a social enterprise in Namibia as a Canadian. - the possible sources of funding or other support for such a social enterpriseI thank you in advance for your help. Kind regards, Akina Matsuo514 663 5382
2- Gerda, founder of Elonga Internship hostel, Namibia ([email protected])
Dear Gerda, I came across your hostel's website while doing some research for a university project where we must pretend we are starting a social entrepreneurship business. My two teammates and I have decided to simulate opening a hostel for volunteers in Namibia. I am sure you must be extremely busy, but it would be of immense help to us if you could her us with some information based on your experience with Elonga, which is exactly in line with what we are planning to do.
54
Would it be possible for you to Skype anytime this week? Or is it better to function with emails?The information we are looking for would include: -costs and laws when opening such a hostel in Namibia-obstacles and tips-possible funding methods-customer baseThank you very much. Kind regards, Akina Matsuo
Reply:
Hi Akina,
thanks for your email.
Unfortunately, I currently have too little time to help you.I'll be out of town for the next days, but after my return, I'll be intouch with you.
Kind regards
Gerda
Thanks for patiencebest
3-The Cardboard Box hostel in Namibia ([email protected])
To whom it may concern, I came across your hostel's website while doing some research for a university project where we must pretend we are starting a social entrepreneurship business. My two teammates and I have decided to simulate opening a hostel for volunteers in Namibia. I am sure you must be extremely busy, but it would be of immense help to us if you could give us with some information based on your experience with the Cardboard Box.Would it be possible for you to Skype anytime this week? Or is it better to function with emails?The information we are looking for would include: -costs and laws when opening such a hostel in Namibia
55
-obstacles and tips-possible funding methods-customer baseThank you very much. Kind regards, Akina Matsuo Reply:
Hi there Akina. Thanks for your interest in the cardboard box, however I am leaving this week on my annual vacation and will only be back later in December. Maybe try Chameleon or backpackers unite. Good luck.CheersChad Wratten The Cardboard box backpackers15 Johann Albrecht stP O Box 97313Maerua MallWindhoek9000 4-Scott Howe, hostel founder, Mombassa, Kenya ([email protected])
Hi,
My name is Amelie I am currently taking a seminar on social entrepreneurship at McGill university in Montreal and I believe gijs has mentioned me. We are building a project that consists in potentially opening a hostel in Namibia in order to welcome international volunteers and connect them to local NGOs that have notaccess to internet. I heard you have conducted a similar project in Kenya and was wondering if you could help us with a few things. We would like to know where you got your investment and how much you needed, how big the hostel was and any hidden costs. As well, what problems did you run into? Did you also have some positive aspects youcan share? We are interested in the laws in Namibia but they probably differ by country in terms of owning or renting a building so I'm not sure you could help us with that. How long did it take you to organizeeverything before going there? How long did you stay there for? Would you say your experience was mostly positive or negative? Anyways, anything you can tell us would be of great help! Let me know if you can, if not no worries. If you could also put me in touch with people
56
with a similar business idea or who are there currently, that would begreat. Thank you so much for the favour I hope to be able to return it.CordiallyAmelie Houdet
Reply: Hi, Yeah, I opened a hostel in Diani Beach Kenya. We did get a lot of guests who were volunteers or ngo workers, but we didn't actively try and connect our guests with volunteer organisations. That being said I am quite familiar with a few other hostels who do work more closely with volunteers so I do know a bit about it. In the town that we opened in, property prices were very high and rentwas low. We decided to sign a 5-10 year lease on a property rather than buying it ourselves. This allowed us to operate on a very tight budget. This was our initial rough breakdown of costs for start up. $15000 - Rent and deposits$13000 - Permits and registration$4000 - Buy a van$11000 - beds TV's kitchen setup etc That makes roughly 43000 in costs to get the hostel to the point whereit could open. Our monthly fixed costs were: $2000 rent$1500 staff$500 upgrades and replacements We ran a bar and restaurant along with the hostel. It changed from time to time but we generally had 10-12 full time staff. This included cleaners, security, chefs, and bartenders/reception. Finding guests to come to the hostel was always easy if the political situation was ok, however Kenya was and still is a dangerous place so from time to time travel advisories would be issues by embassies meaning the number of tourists would drop substantially. For example,a cleric was assassinated in Mombasa on a night when we had
57
approximately 30 guests, we remained almost completely empty for the next 3 months until the advisories were dropped. Another problem we ran into was security, we were robbed at gunpoint several times, each of which cost me thousands of dollars. We had very good security, including attack dogs and security guards, but they are no match for a gun. So it is important to do a lot of research into the property to ensure you can keep your guests safe. Another problem was getting the proper permits to open. Applying directly to the government will usually result in a rejected application, so you need to make connections within the business community to arrange for the permits through a bribe. From the time that we arrived in Kenya to the time we opened was approximately 2 months. That was very quick, most places would have taken 6 months at least to open. We more just got lucky. If your looking for somebody who is doing a great job of running a place there now, look for Distant Relatives Eco Lodge on facebook and ask for Romain, hes a friend of mine and he'd be happy to help. As for the overall experience, I am very glad I did it. I got life experience that few westerners ever get. It made me a lot stronger and more confident person and I had a lot of fun and made good friendsin the process. That being said, it was without a doubt the most stressful period of my life. Most of the time it is easy and pretty laid back, but every once in a while something crazy will happen and you'll be the one who has to deal with it. If you can handle that I say go for it. Sorry that was a bit poorly written and short, im just on my way to class right now, but feel free to contact me anytime with more questions or if theres any way I can help
5- North South studies program, Dawson College ([email protected])
Dear Fred Jones, I hope you are doing good. I have not seen you in more than a year now. I think the last time was when we bumped into each other in Place-Saint-Henri when I used to live there. I don't know if you are still involved and teaching in North South,
58
but I am guessing you are :)I am now in my graduating semester at McGill in International Development Studies and African Studies. I am taking a seminar called Social Entrepreneurship and we are asked to come up with a social enterprise that we would like to start. I am planning to open a hostel for long term volunteers in Namibia: Links HostelThe hostel would create partnerships on the ground with community based projects and would then create a link between these projects, who don't have international visibility due to lack of Internet accessand marketing tools, and the people who want a volunteering experiencein Africa. Following North South I took a year off before I started university and I flew to Tanzania with Katherine Morielli with the goal of volunteering there. It was really difficult for us to find a project and we came across a hostel like the one I want to open. This saved our experience and allowed us to find a project to volunteer with as well as a community of volunteers to live with. The reason why I am writing you all of this is because I feel like North South students could benefit from such an experience upon graduation and could be an important customer base for Links Hostel. I was wondering if once it is open in maybe about two years, it would be possible for North South to promote this option to its students andto let me come and do a presentation, every year, to last year students. I hope I did not bother you with this. We can also meet in person if it is more suitable for you. Thank you so much. Kindest regards, Akina Matsuo514 663 5382
Reply:
Hi Akina,
Sounds like an interesting project. Keep us informed. A little bit like the Casa Canadiense in Nicaragua. Not exactly the same because the Casa is an NGO on its own. But similar.Fred
6-Hoff Hostel in Moshi, Tanzania ([email protected])
59
To whom it may concern,I am a last year undergrad student in International Development Studies in Montreal, Canada.I stayed at Hostel Hoff for 4 months in 2010 and I thought the whole concept and functioning of the Hoff were absolutely amazing.I would love to see more of these types of hostels around the world. For my Social Entrepreneurship we are asked to come up with a project that we would like to lead as future entrepreneurs.I would love to start a hostel like the Hoff. It would be of great help if I could be put in contact with the couple who built it. Do youthink it would be possible to put us in contact so that I can ask themsome questions and maybe collaborate with them?It would be greatly appreciated.Thank you very much.Kind regards,Akina Matsuo
Reply:
Dear Akina,
Thank you for your email. It's always lovely to hear from past volunteers who are still passionate about their experiences.
Unfortunately the lady who established the hostel has moved on and we are not able to give out her contact details. She is extremely busy building her new business so I'm afraid I don't think she would be able to help with your project.
We receive emails frequently with people asking questions about setting up a hostel. They then go ahead and set up in competition with us and I'm sure you can appreciate this damages our business. There are now at least two hostels in Moshi itself created by previousHostel Hoff volunteers and others in different locations. As a resultwe have decided that we are no longer able to help with requests like this. Sorry!
I do wish you luck with your project and your studies.
Best wishes,
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Rhiannon
www.hostelhoff.com
7-Ujamaa hostel, Tanzania ([email protected])
Dear Carley and Gasper, I came across your hostel's website while doing some research for auniversity project where we must pretend we are starting a socialentrepreneurship business. My two teammates and I have decided tosimulate opening a hostel for volunteers in Namibia. I am sure youmust be extremely busy, but it would be of immense help to us if youcould her us with some information based on your experience with yourhostel, which is exactly in line with what we are planning to do. Would it be possible for you to Skype anytime this week? Or is it better to function with emails? The information we are looking for would include: -costs and laws when opening such a hostel in Namibia -obstacles and tips -possible funding methods -customer base Thank you very much. Kind regards
Reply1:
Hi Amelie, I would be willing to help you out with some details but as Tanzaniaand Namibia are very different countries the information in regards tocosts and laws would not be relevant. Email is usually better for contact as the networks don't always workwell. Good luck with your project. Cheers, Carley
Reply2: Hi Amelie,I had been a volunteer in Tanzania for about 6 months when I decidedto set up the hostel. I created it with my Tanzanian husband as he hadalso been working in the volunteer industry for many years and wechose a city where there weren't low cost volunteering/hostel optionsat the time (now there are many!)
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We established the business from scratch, but rented the property thehostel was housed in. I lived and worked in Tanzania for 6 years andyes it is very successful. I left the hostel because my relationshipwith my husband ended, but he continues to run the hostel now.I invested my personal savings in the business which I have been ableto pay back over the years and we also lived off the business so itwas very comfortable. There are always more costs than you expect butwe were able to balance these with the profits we made. It took a lotof hard work and dedication to do this and I have seen many others tryand fail to do what we have done. Having a local Tanzanian running it with me certainly helped a lot inregards to dealing with the laws and unexpected issues that arisesimply from running a business in Africa. Laws aren't quite the sameover here and corruption is rife so there are many unexpected issuesin relation to this. We were able to be more sustainable because we were also a standardhostel as well as a volunteering program in a town that has a lot oftourists. Having a hostel you have a lot of set costs (rent, wages for staffetc) whether you have guests or not so it needs to be large enough tocover these costs. We usually needed at least 5 people a night tocover these so when we were full with 22 we made very good profit.Through the year we usually had 12-15 people and more in the busyseason.My personal focus was good quality volunteering to help both theprojects and the volunteers have a great experience and I am veryproud of what we achieved over the years. Overall I loved running thehostel, meeting people and helping with the projects. I made someamazing friends and had crazy/awesome experiences. I now run my ownorphanage and continue to support projects in the local area. For us it was a huge success! However running your own business isvery taxing personally, you never really take time off (I wasanswering emails in hospital about 6hrs after I gave birth!) and it isdifficult for anyone else to take over. So it's definitely a bigcommitment - but if you enjoy it, it's really worthwhile Good luck with your project. I hope this has helped.If you are interested please have a look at my children's home:www.ujamaachildren.comCheers, Carley
8-Umoja hostel, Tanzania ([email protected])
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To whoever it may concern, I came across your hostel's website whiledoing some research for a university project where we must pretend weare starting a social entrepreneurship business. My two teammates andI have decided to simulate opening a hostel for volunteers in Namibia.I am sure you must be extremely busy, but it would be of immense helpto us if you could her us with some information based on yourexperience with Umoja, which is exactly in line with what we areplanning to do. Would it be possible for you to Skype anytime thisweek? Or is it better to function with emails? The information we arelooking for would include: -costs and laws when opening such a hostelin Namibia -obstacles and tips -possible funding methods -customerbase Thank you very much. Kind regardsAmélie Houdet
Reply:
Hi, thank you for your interest on opening the hostel, i’m inTanzania, why not preferring to open in tanzania. may I know where areyou from, and email me all the question you want to ask and lets planfor skype. Good luck ok I will reply to all your questions, and worry not I can reply.
9-Marie-Cyrille Lavalle, Humanitarian project leader, International School of Paris ([email protected])Hi I'm contacting you again regarding the project that my friends and Iare doing at school, I am sending you the link of our presentation soyou can take a look at what we have done so far. Basically we had tobuild a humanitarian project for our social entrepreneurship seminarat McGill and we decided that building a hostel in Namibia was what wewanted to go for. Our classmate Ericka told us about this project thatshe did when she was in Paris and the travel that she took with you toNamibia. And she gave us your contact telling us that you could helpus to get in contact with the local NGOs that are in the country. Mymajor is international development and also sociology so I'mfascinated by these issues. we unfortunately did not find out exactlywhat you did when you went to Namibia so we would just like as muchinformation as possible regarding the project of the local NGOs thatyou were connected with and that what you ended up doing, the climate,the political situation, the need, all of these details anything that
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could help us out. For example do you think that Namibia is a countrythat would be benefiting from this project? What is the need for helpthere? Also how important is the tourist industry? Anyways anythingyou can tell us will be of great help and I do not expect someresponse of any kind it's just any information that could be helpful,we thank you very much and hope to hear back from you. Cordially,Amelie houdetLink to our project: http://prezi.com/fjfcpvjikx54/?utm_campaign=share&utm_medium=copy&rc=ex0share
Reply:Dear Amelie, Sorry for the delay but life in Paris could be sostressful! You can contact(on my name Cyrille LAVALLE from ISP) thefollowing persons : - Assaph Kandjeo : He is pastor and work with aGerman association : Step for children. - Ms and M. BULLEN who takecare of the” Catherine BULLEN foundation” These 2 references are veryserious and really need some help. They did an amazing job to helpchildren in Namibia! ISP students helped during 5 years these 2associations. Their emails are in copy, Let me know cyrille
*Emails sent and received by Alice are not included in this appendix, although their content is described in the report above, because of a communication error: she forgot to send them before leaving for Panamaand is now unreachable.
Skype calls
1-Sarah Carroll, founder of Hostel Hoff, Tanzania
2-Grant Lingel, founder of That Hostel, Brazil
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