ANNUAL REPORT 2011-2012
IN A NUTSHELL...
= Street Youth + Street Food + Street Culture
CONTENTS Our Story
Our Business Model Meet STREAT’s Executive Chef and General Manager
Get to Know Our Board
A Fork in the Road for Street Youth
A Pathway Off the Street/ The ‘Pozible’ Campaign
Word on the STREAT
Homelessness Matters/ Streats Story
Our Values and Mission/ Our Partners
Word on the STREAT
Tuesday at William Angliss
Food for Thoughts/ From little Tings Do Big Things Grow Serving the Soul and the Stomach
Our Fundraising
Committie Reports
Statement of Income and Expenditure
Balance Sheet
Cash Flow Statement
Auditor’s Report
18 20 21 24 26 28 36 37 38 39
STOP HOMELESSNESS THE DELICIOUS WAY
100 MILLION YOUNG PEOPLE LIVE OR WORK ON THE WORLD’S STREETS. IF YOU FIND THIS HARD TO SWALLOW, USE ONE OF YOUR LIFE’S 80,000 MEALS TO MAKE THIS STOP BY EATING WITH US.
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MEET STREAT’S EXECUTIVE CHEF AND GENERAL MANAGER STREAT’s Executive Chef and General Manager of Food Service, Rob Auger, has worked in finedining restaurants on different continents, but his real dream job has proven to be teaching disadvantaged youth not only hospitality skills, but life skills – right here in Melbourne. STREAT is a not-for-profit social enterprise that provides youth at risk with hospitality training, work experience and social support and, as an outcome, the hope of lasting employment and a better future. STREAT operates four cafés across the CBD and Flemington, as well as a roaster, and these businesses are the life-blood of the organisation. Originally from Toronto, Canada, Rob completed an apprenticeship at The Four Seasons Toronto, before travelling and working at The Mudbrick Vineyard in New Zealand and then at the Michelin starred restaurant, Chateau Neercanne in the Netherlands.
In 2005, after revisiting New Zealand, Rob decided to spend six months in Melbourne before returning to Canada. But he fell in love – with Melbourne, with an Australian, and with the footy. Leaving Melbourne was no longer an option so Rob began expanding his career here, including doing stints at Glaze and 312. Having married an Australian youth worker, Rob was always bugging his wife about starting a program in her organisation where he could teach young people some basic cooking skills. Fate stepped in when Rob saw an advertisement for an Executive Chef and General Manager of Food Service at STREAT. “IT JUST SCREAMED AT ME AS MY DREAM JOB. I APPLIED, AND TWO YEARS ON ITS CERTAINLY LIVED UP TO MY LOFTY EXPECTATIONS,” SAYS ROB.
“Australia is ‘the land of the fair go’, but as a society, we’re not doing enough to ensure that all of our young people have an equal starting point.” Rob finds training and mentoring disadvantaged youth very rewarding. “I love seeing the confidence of our trainees grow, from being around a team that not only has great hospitality skills, but also the desire to help them establish a new start in life.” Rob’s food philosophy is to offer interesting and balanced menus, creating dishes based around what he’s currently enjoying eating and cooking. Inspirations might come from a food memory from home, or from Melbourne’s banquet of fresh local produce. Getting hungry at the thought of a meal drives Rob to perfect the flavours in his own version of a delicious dish.
Rob says, “Anyone lucky enough to come from a supportive home should consider themselves very fortunate, and recognise how it has lead them to where they are today. 7
HOMELESSNESS MATTERS The Global Situation Across the planet there are over 100 million people living or working on the streets. Homeless people aren’t just the random folks you see sleeping on the street. Anyone in danger of losing their home— anyone who has an insecure place to live—is homeless. By the end of the decade, nearly 1.2 billion young people will be between the ages of 15-24. About 85% of them will be in developing countries and up to 100 million living or working on the streets. By 2015, there will be 95 million unemployed youth. They are an untapped resource, particularly as young people under 34 are at their most entrepreneurial age. The Local Situation • On any night, 105,000 Australians
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are defined as homeless. • Of these, 26,060 are youth aged 12-18. • Many of these youth will drop out of the education system and become long-term unemployed. • In Victoria there are over 23,000 people homeless on any given night, sleeping in motels, hostels, temporary housing or on the streets. • 7,000 are young people aged between 12 and 24 years. • 14% of 15-19 year olds in Victoria are not in full-time school, study or work. Counting the Cost The costs associated with keeping a homeless person on the streets are enormous – costs for physical and mental healthcare, crisis accommodation, policing, criminal justice, housing assistance, welfare benefits and charity services.
OUR VALUES AND MISSION STREAT believes large intractable social problems like youth homelessness and disadvantage are hard to swallow. That’s why we work towards a creative, large-scale response. Our foodservice social enterprise is dedicated to providing a supported pathway to long-term employment for young people who have been living on the street or at risk of being on the street. We work with others like you to change it — one meal at a time. We combine wrap-around social support with industry training and employment opportunities in our street cafes. We offer customers delicious and cost-effective meals celebrating the unique tastes and styles of street cultures worldwide. As a social enterprise all of our commercial activities are dedicated to generating funds to address areas of acute social need. As such, we model a different way of doing business: innovative and responsible market engagement that resolves large-scale issues while meeting a known consumer need. Ultimately, we provide trainees with work and life skills as well as distributing delicious and healthy food to Australian communities. OUR PARTNERS Ladder Ladder was created by the AFL Players’ Association and AFL Foundation in 2007 to address the issue of youth homelessness across Australia. By harnessing the AFL industry’s power for change, Ladder is partnering with State and Federal Governments as well as the philanthropic, corporate and industry service provider sectors across Australia with the bold vision of creating a Ladder youth homelessness facility in every state where AFL football is played.
Ladder’s programs offer hope, inspiration as well as improving the lives of homeless young people by tapping into the resources, passion and commitment of the AFL and the players themselves. William Angliss Institute William Angliss Institute (WAI) is Australia’s leading specialist training provider for the foods, tourism and hospitality industries, delivering a range of courses from traineeships through to degrees. Each year over 21,000 students, including 1100 international students, are trained throughout Australia, with its main campus located in the heart of Melbourne’s CBD and a new industry training centre in Sydney. The Institute also delivers training directly to industry partners through offices interstate, four joint venture campuses in China and international consultancy projects around the world. WAI work with major industry leaders to develop training solutions specifically to meet their needs. Nationally their clients include Jetstar and Compass Group. Over the last five years WAI have increasingly been delivering vocational training to high needs groups in conjunction with community and benevolent institutions. They have recently been recognised with an award by the Victorian State Government for their innovative work in this area.
family and community links; and disability case management. MCM are Melbourne’s largest youth homelessness service provider and run programs specifically to assist young people to break the cycle of poverty and homelessness. MCM specialise in providing homeless youth with training and employment opportunities through their Job Services Australia (JSA) contract and they have strongly assisted STREAT with the recruitment of their youth. Abbotsford Convent Bakery Built in 1901 the magnificent wood fired masonry ovens of the Abbotsford Convent are now home to a team of bakers and pastry chefs. The bakery is open daily from 7am5pm and a full breakfast and lunch menu is available daily as well as fresh wood-fired bread and pastries. In addition to baking amazing bread, the Convent Bakery also sources, roasts and grinds organic and fair-trade coffees from around the globe. STREAT partners with the Bakery to deliver the delicious STREAT Coffee blend.
Melbourne Citymission Melbourne Citymission (MCM) is a non-denominational organisation established in 1854 to support individuals, families and communities who are marginalised, at risk or experiencing disadvantage. Their programs and services provide pathways to social and economic participation and independence, with social inclusion being key to their mission. Their programs include homelessness support; employment, education and training;
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COMMUNITY NEWS
BY SPENDING THE DAY WITH THE TRAINEES, I GOT A TASTE OF THEIR LIFE IN THE KITCHEN.
TUESDAYS AT WILLIAM ANGLISS What makes you want to cook? Why do you do it? Because we have to eat—it seems an obvious answer. But you might be surprised what the trainees said when I asked them that question. There’s a certain exhilaration to working in a kitchen. Maybe it comes from the sharp objects and high heat—potential for disaster creates excitement and an incentive to get the job done correctly. Who knows. But what I do know is that the day I spent in the kitchen of William Angliss with the trainees was a real rush, because I got to see our trainees in action, knife skills, sautéing and all. They start the day with a couple hours of cooking theory. In the afternoon, they move into the kitchen. On the day I saw them they made chicken wings in a honey and soy marinade, fried rice with ham and egg. They cooked the rice pilafstyle and infused it with star anise and ginger, and finished the lesson with a rocket and grilled pear dish, which took them from 1pm to about 5pm.
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When I asked Jamie he told me that he wanted to go into construction, that originally he wanted to build things, but he found that cooking was also a building of flavours. Rayne said that she was learning new things that she wouldn’t otherwise know about—making stock, rolling pizza dough. And Damien said that he isn’t into cooking as much as making things that are complicated and gourmet. He treats his time in the kitchen as an exercise in artistic expression, something that is certainly evident by the panache with which he plates a dish. By spending the day with the trainees, I got a taste of their life in the kitchen. I saw them in what is now their territory, their domain, and they are looking mighty excited to be there.
FOOD FOR THOUGHTS Trading at Fed Square has been full of trial and error, the occasional cut finger and Pete’s favourite job of building shelves without the right tools. Throw together electricity issues, new sinks and pushing a half tonne of cart up an incline every morning has lead to a journey of many learnings. Learning to use our new equipment, learning to cook the food, and learning to smile through many ups and downs that come with the start up off any new enterprise— such as an outdoor food cart. At the end of trading recently we reached a small but very important milestone. Our trainees arrived and completed their first of many shifts down at the food carts. The truth is that it was a hard shift for some of them to come to work. It was an exciting change for others. The truth is, hospitality isn’t an easy industry. It has its slow time and its busy hours.
Muhammad Yunus, who started the global microfinance and microcredit systems by lending to a group of impoverished women in Jobra, Bangladesh. In his words: “I made a list of people who needed just a little bit of money. And when the list was complete, there were 42 names. The total amount of money they needed was $27. I was shocked.” On Friday I got to celebrate our 250,000 customer directly with Professor Yunus. We’ll continue to be inspired by his vision to ‘create a poverty museum by 2030’. With my thanks and gratitude to our customers and supporters for being part of the journey.
STREAT ENTERPRISES PTY LTD Donkey Wheel Foundation
50% 12.5% 12.5%
Fair Business Australia
Small Giants
J&S McKinnon Foundation
12.5%
THE IMPACT CREATED AS STREAT’S BUSINESS GROWS Number of Youths in Program
(Rebecca Scott, Co-Founder)
But in the end the sizzle off the grill smells good, the trainees all smiled, and Pete left with a blue bandaid. FROM LITTLE THINGS DO BIG THINGS GROW I believe Australian singer songwriter Paul Kelly was right when he said ‘from little things big things grow’. This week at STREAT we’re celebrating 250,000 meals and coffees made since opening our first small food cart on 15 March 2010. We’d particularly like to thank our customers for the role they’ve played in helping us reach this significant milestone. For stopping youth homelessness – one mouthful at a time. This week we’ll be giving out $27 of ‘STREAT Cred(it)’ to a bunch of lucky customers across all of our sites for use at any of our sites. Why $27? It’s to honour one of the world’s most significant social entrepreneurs, Professor
50
70
2011/12
2012/13
90 100 2013/14
2014/15
Number of Hours Available for Support, Training, Work Experience and Employment 14,500 32,500 55,000 93,250
2011/12
2012/13
2013/14
2014/15
Hours Per Annum
21
STATEMENT OF COMPREHENSIVE INCOME FOR THE YEAR ENDED 30 JUNE 2012 Note
2012
2011
$
$
Revenue Government grants
2(A)
11,761,525
12,021,419
Sale of goods
2(B)
19,329,628
18,771,985
Client contributions
2(C)
1,491,950
1,136,223
Fundraising
2(D)
6,301,593
5,874,381
Return on available for sales financial assets
2(E)
385,126
(272,632)
Other income
2(F)
124,159
207,217
39,393,981
37,738,593
Total Revenue From Operating Activities
Operating Expenses Sales of goods
3(A)
12,709,658
12,776,341
Administration
3(B)
3,644,300
2,454,620
Fundraising
3(C)
490,388
544,908
16,844,346
15,775,869
22,549,635
21,962,724
Total Funds Available For Client Services
Client Services Expenses People in need services
3(D)
14,473,872
14,876,714
Shelter and homeless services
3(E)
2,823,420
1,772,825
Family support
3(F)
2,506,618
1,783,448
19,803,910
18,432,987
36,648,256
34,208,856
2,745,725
3,529,737
(761,491)
(992,517)
1,984,234
2,537,220
Reclassification adjustment on disposal of property
-
(27,500)
Reclassification adjustment on sale of available for sale financial assets
130,556
776,114
Reclassification adjustment on impairment of available for sale financial assets
495,556
-
Net changes in fair value of available for sale financial assets
666,075
(1,752,284)
Other comprehensive income for the year
1,293,186
(1,003,670
Total comprehensive income for the year
3,277,420
1,533,550
Total Expenses Operating surplus for the period Net Intra-Society transfers Net Surplus for the period
21
Other Comprehensive Income
36
STATEMENT OF FINANCIAL POSITION AS AT 30 JUNE 2012 Note
2012
2011
$
$
Current Assets Cash and cash equivalents
5
8,386,295
10,038,792
Trade and other receivables
6
1,219,062
1,167,452
Inventories
7
100,491
115,665
Other assests
8
389,783
501,948
10,095,631
11,823,857
9
42,542,173
36,103,626
10(A)
8,880,484
7,689,961
Total non-current assets
51,423,657
43,793,587
Total Assets
61,519,288
55,617,44
Total Current Assets
Non-Current Assets Property, plant and equipment Availble for sale financial assets
Current Liabilities Trade and other payables
11
4,477,173
3,458,179
Interest bearing liabilities
12
112,134
-
13(A)
312,070
371,739
4,901,377
3,829,918
12
1,453,686
-
13(B)
852,983
753,704
Total non-current liabilities
2,306,669
753,704
Total liabilities
7,208,046
4,583,622
54,311,242
51,033,822
Provisions Total Current Liabilities
Non-Current Liabilities Internet bearing liabilities Provisions
Net assets Equity Accumulated funds
14
46,861,194
44,821,960
Reserves
14
7,450,048
6,211,861
54,311,242
51,033,822
Total Equity
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OUR VALUES
DISCOVER CREATE
NOURISH
We believe in lifeong learning.
Our meals nourish customers and youth.
We tackle problems with imaination and passion.
CONNECT SUSTAIN We bring ideas, We strive for individual and sustainability in all communities together. our activties.