The Fog Lifts

      So by the time March came around, I knew my selling season was over, and I did not have much to show for it.  But that was OK.  I got my feet wet, and I learned a lot as well.  It was now time to throttle back, take stock and do it right the second time around.
      Throughout most of February and March, I did lots of thinking about what I really wanted Moenavi Clothing to be and to do.  I came to the conclusion that the most important thing it could do was to create jobs for former homeless people.  I had spoken with some folks involved with local homeless advocacy groups, who could identify those folks who would be ready to work. I really wanted to be involved in helping any person who wanted to leave the streets find a good-paying job.  This would be the cornerstone of Moenavi’s mission. 
      The jobs would consist of working for Moenavi, probably cutting out patterns or sewing.  People would be trained on the items we donate to homeless shelters, and when they become skilled enough and are producing consistently and with high quality, then they would move to the pieces we sell.  These jobs needed to pay well — not just minimum wage — as well as provide benefits right from the start.
      To fund this, we would use the profit from the sale of hats and other items, but this probably would not be enough, especially early in the game when hat sales would be slow.  But if we could rely as well on money from grants and donations, to supplement the income from hat sales, then Moenavi could fly.
      It became clear at this point that Moenavi needed to become a nonprofit corporation with 501(c)(3) tax exempt status.  This seemed to be the ticket.  By becoming a nonprofit, all the money from the sale of the hats could be used to fulfill our mission, since the manufacture and sale of these pieces is directly related to our mission.  With 501(c)(3) status people who donated money to us could take the tax deduction, encouraging large donations.  Also, many grant awarding foundations require that the recipient have 501(c)(3) status, so this would clear the way for additional funds.
      The fog was beginning to lift.  I could start to see a clearer path ahead.  Everything Moenavi would do would support getting homeless people working, getting them off the streets, getting them to feel good about themselves, and getting them to be a benefit to the community.  I knew this was something that had to be done, and I knew it could be done.  The “how” was the problem, and the more I looked into it, the more difficult it appeared to be.  But I was determined to figure it out.
      The first step was to get writing.  I knew I needed a plan, a business plan.  At the very least, I needed a clear mission statement, a detailed description of how the business would achieve its mission, pro forma financials to determine how much money I would need, a solid marketing plan for selling hats, and basic grant research.
      Once I had a plan written out on paper, I could then begin to get others seriously interested in Moenavi from which I would assemble a board of directors.  Then it’s just a short step to incorporate and, finally, to apply for 501(c)(3) tax exempt status.
      The mechanics of putting this enterprise together seemed straight forward.  It would take time and a bit of money, but I felt confident that I could pull it off.  The tricky part was that I did not really know the people I wanted to help.  I had no direct experience working with homeless people.  But I knew I could get this.  Tune in again for more on this.  Thanks for reading!  Stay well and be peaceful.