FISCAL YEAR 2021 ANNUAL REPORT
Innovation Works
creatively and collaboratively connects neighborhoods, entrepreneurs, social innovation assets, and investors to build sustainable neighborhood economies in Baltimore.
Our Mission
is to reduce Baltimore’s neighborhood and racial wealth divide by supporting and accompanying leaders of social enterprises working to create sustainable neighborhood economies.
Our Values
HEROIC VISION // Each person, no matter their circumstance, has untapped leadership potential EXCELLENCE // Baltimore’s entrepreneurs can create grassroots, national models of quality, livable, urban community solutions DIGNITY // Work is fundamental to the dignity of the person INCLUSION // We meet community members where they are FOR THE GREATER GOOD // We encourage social entrepreneurs to see opportunity as more than about income
Welcome :H DUH JUDWHIXO WR EH VKDULQJ ZLWK \RX WKH ࡼUVW DQQXDO UHSRUW IRU ,QQRYDWLRQ :RUNV ,: 7KH ZRUN ZH GR DW ,: ZRXOG EH LPSRVVLEOH ZLWKRXW WKH EURDG FRPPXQLW\ RI SHRSOH OLNH \RX VXUURXQGLQJ DQG VXSSRUWLQJ XV From funders to social entrepreneurs to mentors and staff,
As you review this annual report, we ask that you reflect on
we are in the business of serving, empowering, and con-
the state of our country and our city that has brought us to
necting with people. Over the past 18 months, we have
this moment. Racial injustice and wealth disparity remain
been challenged to reimagine what human connection
prevalent issues that require intentional action to undo the
looks like in the midst of a pandemic forcing us to remain
centuries of harm that continue to impact Baltimore.
distanced. Though our lives have changed dramatically, what hasn’t changed is the importance of meeting indi-
That said, we hope this report inspires you to celebrate
viduals where they are, acknowledging lived experiences,
the progress made over the past three years and see the
and offering tailored, intentional support. At IW, this is what
hope and opportunity overflowing in Baltimore thanks
we’ve always believed, and what we strive for every day in
to the dedication of social entrepreneurs and innovators
our work.
across the city. As we transition into the next year, we want to reflect on how we got here and specifically thank our
Since 2017, IW has gone from a big idea with great potential
founding institutional partners, including the USA East
to a fully operational organization making steady progress
Jesuits and Bunting Family Foundation, for believing in IW
toward our goals. The growth of IW has come with its fair
from the start and continuing to support our mission.
share of growing pains, but our approach has allowed us to adapt quickly through trial and error. While our first three
Lastly, we invite you to engage with us—find yourself
years have been full of change, we are working toward—and
within these stories, identify areas in which your expertise
beginning to reach—a place of long-term sustainability.
can work alongside IW to multiply our collective impact,
Ultimately, our stakeholders need a reliable organization
and challenge us to better reflect our values in our service
with a strong foundation that will not waver in service.
to Baltimore communities. We hope this report not only serves as a snapshot of Innovation Works at this moment
We are excited to announce a transition of leadership at IW.
in time, but also as a broader representation of the inter-
After three years of dedicated leadership to our Board,
connectedness of Baltimore and the potential that already
IW Founder Frank Knott is passing the baton and will con-
exists within this city.
tinue his service to IW in the new role of Fundraising Chair. Dan Rizzo and Tina Rodriguez, both existing board mem-
With gratitude,
bers, will serve as Board Chair and Vice Chair respectively beginning in FY22. Dan and Tina bring many years of expe-
Jay Nwachu
Frank Knott
rience in successful entrepreneurial careers to their roles,
President & CEO
Founder & Board Chair
making room for long-term planning for the future of IW. 1
Innovation Works’ History In 2016, leaders of Baltimore’s Jesuit institutions—including Innovation Works’ founder, Frank Knott—formed an exploratory team to create a social enterprise solution that would provide resources and create economic sustainability for underserved and minority communities in Baltimore. They concluded such a solution would fulfill three needs:
to provide a path to economic
to create opportunities for
to offer Jesuit institutions a
sustainability for minorities presently
members of historically
means to live out their mission
underserved by the existing
disinvested neighborhoods
by responding to a pressing faith-
innovation ecosystem in Baltimore.
to build local economies.
justice issue in the city.
Thus, Innovation Works is officially incorporated in 2017 and its Strategic Model is developed. Other notable events in IW’s history are included below, with events in FY21 highlighted in yellow.
BALTIMORE’S
2017:
residents in underinvested communities to
the CREATION of a program supporting
2
OLD TOWN MALL
Feb 2019: IW launches &
June 2019: IW launches
2018: IW partners with
builds operations with
1st Global Social Benefit
Miller Center to bring
four initial employees,
Institute (GSBI®) Boost
its 20-plus years of
followed by the launch of
Program, introducing
global practice in social
four Neighborhood Ignite
28 social enterprises (SEs)
entrepreneurship to
Hubs and 20 Executive
to mission-driven business
address the needs of
Mentors in the Mentor
lessons that are key for all
Baltimore.
Network.
SE leaders to understand.
Oct 2019: IW launches
May 2021: IW hosts
1st GSBI® Accelerator,
2nd Virtual GSBI® Boost
a 6-month program
Program, focused on
June 2020: Ignite
offering an extended,
existing SEs within
Capital makes first
personalized experience
the IW pipeline, and
investments & hosts
to 10 SEs who are paired
representing a transition
Investor Showcase,
with individual mentors
of responsibility from
giving eight of IW’s
to walk through
Miller Center to IW.
most advanced SEs the
essential business
opportunity to pitch for
lessons and apply them
investment.
to their enterprise.
Jan 2021: IW begins 2nd GSBI® Accelerator & 1st GSBI Transform
Feb 2020: IW launches Ignite Capital, its subsidiary impact fund, to address Baltimore’s critical gap in access to capital necessary to lead and grow sustainable enterprises.
Lexington Accelerator, a program adapted to the food industry to train and prepare vendors chosen for the new Lexington Market, set to open Spring 2022.
CREATE GROW SCALE
SOCIAL ENTERPRISES
to achieve
FINANCIAL SUSTAINABILITY
Nov 2019: IW pilots
April 2020: IW
Baltimore Neighborhood
participates in Makers
Indicators Alliance (BNIA)
Unite! COVID relief
Community Guidepost,
initiative to help
a free public resource
Baltimore’s businesses
designed to provide
meet the high demand
Sept 2020: IW hosts fully
focused on the Urban
neighborhood-specific
of personal protective
Virtual GSBI® Boost
Wood, Natural Dye, and
data to the Baltimore
equipment (PPE) in our
Program consisting of 27
Manufacturing industries
community.
region.
SEs and 14 mentors.
in Baltimore.
Feb 2021: IW announces 3 Strategic Initiatives
3
The Innovation Works Model
The Innovation Works model revolves around three strategic focus areas designed to accelerate its bold goals while building from Baltimore’s core strengths.
Neighborhoods
Strategic Initiatives
Social Enterprises
Through trusted community
A key part of our growth strategy,
Innovation Works supports social
anchors, Innovation Works delivers
IW pursues initiatives that accelerate
entrepreneurs through the full
social enterprise programming that
innovation and growth across various
entrepreneurship journey and its
ignites and develops local interest
industries with untapped resources
five-stage social enterprise develop-
and capacity to transform neighbor-
and opportunity for economic devel-
ment pipeline, allowing leaders to
hood economies.
opment in Baltimore City.
enter the pipeline at any stage.
5
Neighborhoods Delivering social enterprise programming that ignites and develops local interest and capacity to transform neighborhood economies.
Members of the Kingdom Life Church in the Hilton Street Corridor gather for a workshop led by IW.
WHILE IW’S OVERALL VISION
understanding the context and sys-
their neighborhoods. It is important
works to build sustainable neigh-
tems that have led to and sustained
to note that entrepreneurs present in
borhood economies, we recognize
Baltimore’s neighborhood, racial,
many different ways—corner stores,
this is impossible without meaning-
and wealth divides. We believe the
in-home businesses, etc. If we focus
ful, engaging relationships within
community members should play a
on the neighborhood leaders, we
these neighborhoods to increase
key role in creating entrepreneurial
can find the entrepreneurs making a
community capacity and trust. IW’s
solutions and decision making pro-
difference in their community.
Neighborhood Strategy is rooted in
cesses to create positive change in
BNIA COMMUNITY GUIDEPOST IW has partnered with the Baltimore Neighborhood Indicator’s Alliance (BNIA) to create a user-friendly neighborhood analysis tool called the Community Guidepost. The Guidepost allows users to evaluate neighborhoods across areas of interest such as growth and occupancy, workforce development, real estate markets, crime and safety, and equity in order to show how a given community fairs over time and how it compares to others. This enables Baltimoreans across the city to have the knowledge and, therefore, power to create change in their communities. View the Community Guidepost at www.bniajfi.org/community-guidepost
6
Innovation Works focuses in historically disinvested neighborhoods of Baltimore with rich social entrepreneurship ecosystems. This map showcases neighborhood-based entrepreneurs and organizations in the West/Southwest corridors of Baltimore.
SANDTOWN-WINCHESTER Social Enterprise: Black Arts District, Fresh at the Avenue Community Partner: No Boundaries Coalition
HILTON STREET CORRIDOR Community Partner: Kingdom Life Church
HARLEM PARK Social Enterprises: Breathe4Sure, Flight Blight, Parity Community Partner: No Boundaries Coalition
PENROSE/FAYETTE Social Enterprise: Epic Art Universe Community Partner: Fayette Street Outreach Organization
“The … networks and entrepreneurs that exist in … Baltimore are being cultivated into a social enterprise engine that, with the correct resources, can create change. IW is helping carve out that presence.”
“What is truly unique about IW is that it looks at its work from a systems perspective and focuses on undoing harm done to black and brown communities by asking, ‘How do we reposition the power dynamics associated with wealth so that we look at entrepreneurs as whole people with agency and wisdom?’ ” — BREE JONES FOUNDER & CEO, PARITY
— DION BOWEN CEO, EPIC ART UNIVERSE
7
Strategic Initiatives Pursuing initiatives that accelerate innovation and growth across Baltimore.
Staff at Arbor Place in Rockville offer thanks for receiving face masks made at Open Works as part of Makers Unite!, a collaborative project launched in response to the COVID-19 pandemic and the critical shortage of PPE for front line health workers. Through this initiative, IW facilitated production shifts in Baltimore businesses to meet the high demand of PPE in our region.
A KEY PART OF OUR GROWTH
Initiative supported local makers
Urban Wood
STRATEGY, IW’s Strategic Initiatives
in Baltimore to produce personal
Also in March 2020, Innovation
are designed to address the critical
protective equipment (PPE) in the
Works received a grant from the
challenges facing Baltimore’s eco-
early days of the pandemic. Since
Transparent Fish Fund to utilize and
nomic sectors with opportunities for
then, thanks to our partnership
expand upon the recent research
growth. IW pursues initiatives that
with CareFirst, we have turned the
efforts of the US Forest Service and
cover topic areas such as the digital
original crisis response into The
local urban wood industry lead-
divide, food access, education and
Link, a more future-focused man-
ers who identified Baltimore as
literacy, public health, and afford-
ufacturing effort that increases the
a unique resource center for the
able housing. Through collaborative
purchasing of products manufac-
reclaimed urban wood market. IW’s
efforts, these initiatives accelerate
tured in Baltimore across a variety of
Urban Wood Strategic Initiative
innovation and growth with the
industries. This will ultimately build
uses Baltimore’s indigenous asset of
common goal of creating jobs in
a bridge between local manufactur-
urban wood to develop local value
Baltimore for members of the city’s
ers—specifically manufacturers of
chains with the intention of estab-
disinvested communities.
color—and prospective vendors.
lishing Baltimore as the national market leader. By applying IW’s
Manufacturing
Key Partners: Made@Dent, Open
model to the development of the
Initially launched in response to
Works, Made in Baltimore, SewLab
urban wood markets, social enter-
the COVID-19 pandemic in March
USA
prises in the industry will be deeply
2020, the Manufacturing Strategic 8
rooted in Baltimore’s niche market
SPOTLIGHT ON STRATEGIC INITIATIVES with competitive advantages, therefore creating sustainable businesses and furthering IW’s mission to reduce the racial wealth divide in Baltimore’s economically distressed neighborhoods. Key Partners: Camp Small, US Forest Service
Natural Dye Similarly, Innovation Works began a journey in early 2020 to expand
Participants in the Makers Unite! PPE initiative work on creating face masks and shields for local healthcare workers.
upon the recent research efforts of the Maryland Department of Commerce and the Maryland State Arts Council, along with Maryland Institute College of Art (MICA), which identified Baltimore as a unique indigenous resource center for the natural dye market. From this research came the Nature’s Colors Initiative, a year-long collaborative effort with IW’s stakeholders to identify ways in which we can pursue our mission through the development of multiple social enterprise businesses across the “raw material to consumer” supply chain in the natural dye market. Key Partners: MICA, Blue Light Junction, Agriculture and Community Development Services (ACDS) Indigo plants are grown at various partner farms to be harvested for use as natural dyes as part of the Nature’s Colors Initiative. Top: Farmer Jordan Bethea at Bliss Meadows. Bottom left: Indigo harvested by Blue Light Junction. Bottom right: Plantation Park Heights Urban Farm.
Case Study: Nature’s Colors Initiative IN SEPTEMBER 2017, Maryland’s
In March of 2020, Innovation Works
First Lady, Yumi Hogan, visited the
received a grant to utilize and
Natural Dyeing Culture Center in
expand upon the research efforts of
her hometown of Naju, South Jeolla
the Baltimore Natural Dye Initiative,
Province, South Korea, to examine
thus creating the IW Nature’s Colors
the natural dye market in that area.
Initiative. IW’s goal was to maximize
Following her trip, a number of local
the natural dye industry resources in
natural dye partners, including the
Baltimore with a focus on economic
Maryland Institute College of Art
development and job creation in
(MICA), the Maryland Department
economically distressed communi-
of Commerce, and the Maryland
ties. After assembling an advisory
State Arts Council, came together
group to help tackle these new
to work with First Lady Hogan to
objectives around economic devel-
explore what a similar market could
opment and job creation, the group
look like in Baltimore. This became
began researching and strategizing
known as the Baltimore Natural
what this market could look like
Dye Initiative, a project aiming to
in order to guide the future of the
fortify local capacity for growing,
project. Through discussions with
processing, and working with natural
members of the initial Natural Dye
dyes by:
Initiative and other individuals in
NATURE'S COLORS IMPACT (FY21) CAPITAL DEPLOYED
$51K
(for farmer compensation, land rental, and equipment)
TOP 3 INDUSTRIES
Textiles, cosmetics, food
the natural dye space in Baltimore, deepening the expertise in our
the advisory group identified natural
region through supporting local
dye as an emerging local market,
talent and bringing in natural
considered options to use a variety
dye practitioners to share their
of plants that are native to Maryland,
knowledge;
and encountered opportunities to engage Baltimore’s urban farming
supporting the development of a
community dye kitchen and learning space; and developing local markets for nat-
ural dye and artisanally produced goods.
10
FARMS INVOLVED Bliss Meadows backyardbasecamp.org/ bliss-meadows Cherry Hill Urban Garden farmalliancebaltimore.org
community. Parks & People Foundation parksandpeople.org Plantation Park Heights Urban Farm plantationparkheights.org
“This project allows us the opportunity to connect deeper to the richness of plant technologies, food, color, and medicine.” — KENYA MILES FOUNDER OF BLUE LIGHT JUNCTION
Kenya Miles with her son at the Hidden Harvest Farm when the dye garden was first created. Photo credit: Colby Ware.
Social Enterprises Supporting social entrepreneurs in growing their enterprise from idea to scale.
GIVEN THE MANY BARRIERS that
Innovation Works supports social
prevent individuals living in eco-
entrepreneurs through the full
nomically distressed communities
entrepreneurship journey and its
from upward economic mobility,
five-stage social enterprise develop-
entrepreneurship has proven to be
ment pipeline, allowing leaders to
an alternate route that can close the
enter the pipeline at any stage. The
wealth gap. Supporting minority
top three industries of social enter-
entrepreneurs, especially those
prises in IW’s pipeline include retail/
leading social enterprises, is vital to
manufacturing, youth development,
the economic progress of neighbor-
and creative/community arts.
SNAPSHOT OF IW’S ENTREPRENEURS (FY21) ECONOMIC DEVELOPMENT
41%
59%
hoods and the overall well-being of Baltimore.
place-based entrepreneurs (addressing needs specific to Baltimore)
STAGES OF SOCIAL ENTERPRISE DEVELOPMENT PIPELINE IGNITE sets the tone for the social entrepreneurship journey by building an Impact Model through the Theory of Change framework that serves as the foundation of the social enterprise. IDEATE supports emerging social entrepreneurs by focusing on creating a sustainable lean business model around their intended social impact. CREATE equips newly-operating social entrepreneurs with mission-driven business fundamentals so they can effectively guide their operations and growth. GROW provides the social enterprise discipline needed to implement, market validate, adjust and grow the social enterprise into a place-based or scalable business and job creator. SCALE identifies social enterprises that can grow beyond a local market and prepares them for scalable capital investment and accelerated growth.
9
24
62%
38%
led by women
led by men
84%
G¨ Þ
#
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12
GENDER BREAKDOWN
RACIAL BREAKDOWN
8
30
scalable entrepreneurs (growing beyond the local market)
SCAL E
53
Indicates number of SEs in each stage of the pipeline
3
led by BIPOC
Mentor Network
everything from accounting and
The IW Mentor Network represents
financial service to real estate and
IW’s essential accompaniment and
legal services.
support resource for entrepreneurs participating in IW programming.
In 2021, IW will devote tailored
The Mentor Network is a diverse
resources to existing and future
group of accomplished leaders
mentors through the development
with the common goal of sharing
of a mentor-driven Collaborative
their expertise with the next gen-
Leadership Council (CLC), additional
eration of Baltimore entrepreneurs.
mentor engagement opportunities,
Mentors support aspiring and estab-
and increased recruitment efforts.
SNAPSHOT OF IW’S MENTORS (FY21)
71
active members
2,124 total hours of direct social enterprise support
lished social enterprise leaders with
2,211 total other volunteer hours
$1.4M total dollar value of all volunteer and mentor support
IW Mentors, such as Natasha Dartigue, bring strong business skills and valuesdriven coaching in alignment with IW’s mission.
“What makes Innovation Works really dynamic is that you have mentors from different backgrounds that can apply whatever their specialty is to help build the community, but also build the network of entrepreneurs. I can’t think of another place where you have such a rich pool of resources.” —
NATASHA DARTIGUE BALTIMORE CITY DEPUTY DISTRICT PUBLIC DEFENDER
13
Social Enterprise Programs Providing social enterprise leaders with programs designed to boost business fundamentals, strategic thinking, and growth strategies.
Left: IW’s virtual Spring 2021 Boost Program cohort. Below: Joshua Day, founder of Mission Fit, presents his executive summary pitch intended to provide an overview of the progress made throughout the program and the status of the social enterprise on the last day of Boost.
INNOVATION WORKS’ STRUCTURED PROGRAMS support social enterprises (SEs) in the later stages of the pipeline with enterprise development curriculum. The curriculum has been developed through a strategic partnership between IW and Miller Center for
entrepreneurs. While in the program,
their business and develop a solid
Social Entrepreneurship. To date,
they learn business fundamentals,
growth strategy that demonstrates
we have adapted and applied
improve their strategic thinking,
an increase in their enterprise’s social
Miller Center’s Global Social Benefit
and articulate a business plan that
impact and a plan for long-term
Institute (GSBI) curriculum into two
demonstrates impact, growth, and
financial sustainability.
variations of IW programs.
long-term financial sustainability.
IW GSBI Boost – CREATE Stage
IW GSBI Accelerator – GROW Stage
riculum was adapted into the IW GSBI
The IW GSBI Boost Program packs
The IW GSBI Accelerator is a
a program designed to apply core
core business lessons into a pow-
6-month program that delves deep
business lessons to the food market
erful 3- to 4-day workshop to help
into eight core social enterprise
industry in order to prepare vendors
local nonprofit, for-profit, and hybrid
business modules. The goal is to help
selected for the new Lexington Market
social enterprise leaders grow as
local SEs hone in on key aspects of
for launch in the spring of 2022.
In 2021, the IW GSBI Accelerator cur-
14
Transform Lexington Accelerator,
SOCIAL ENTREPRENEUR SPOTLIGHT
“The instructors [in the Boost program] challenged and supported me to reach heights in my business that I never would have on my own. My gratitude is immeasurable.” —
Above: Nkenge Yasin presents her executive summary pitch and works with IW Mentor George Economy as a participant in Boost. Below: Nkenge (far right) and her staff at Learning How! Child Development Center.
NKENGE YASIN FOUNDER OF LEARNING HOW! CHILD DEVELOPMENT CENTER
SNAPSHOT OF IW’S PROGRAMS (FY21)
61 social enterprises supported
28 mentors engaged
NKENGE’S JOURNEY WITH INNOVATION WORKS
Summer 2021: 2nd Learning How! Location Opens
Winter 2019–20:
October 2020:
GSBI Accelerator
Joined IW Board
June 2019:
June 2020:
June 2021:
GSBI Boost
Investor Showcase
Ignite Capital
Program
Investment
15
Ignite Capital IW’s subsidiary impact fund addresses Baltimore’s critical gap in access to capital necessary to lead and grow sustainable enterprises.
FY21 IMPACT
$640K CO-INVESTOR INVESTMENTS
$375K
$38K
IGNITE CAPITAL INVESTMENTS
MICRO-GRANTS
IN FURTHERANCE OF ITS MISSION, IW founded Ignite
community-oriented startups, and philanthropists’ reluc-
Capital in February 2020, a fund designed to empower
tance to capitalize on such entrepreneurs. Ignite Capital’s
Baltimore residents in economically distressed com-
place-based focus helps distressed communities pre-
munities. Ignite Capital identifies social enterprises
pare for economic activity and develop a viable market,
committed to creating a better future for lower-income
expanding broader impact opportunities. In addition to
communities and communities of color in Baltimore City.
receiving financial support, these social enterprises also
These enterprises lack access to capital due to traditional
receive resources and education from IW in the form of
lenders’ unwillingness to take risks on nontraditional
tailored entrepreneurship curriculum and mentorship.
borrowers, venture capitalists’ lack of interest in funding
“Ignite Capital is the first joint program that says, ‘We will work with you through the technical assistance program, but then we are going to take what you have learned and bring you into a funding opportunity.’ It creates a very fluid world for entrepreneurs where they don’t have to go to five different places because we are bringing the community to them.” —
PATTI CHANDLER VP OF FINANCE & ADMINISTRATION, BALTIMORE COMMUNITY FOUNDATION AND MEMBER OF IGNITE CAPITAL BOARD AND INVESTMENT COMMITTEES
“Participating in Innovation Works’ programming set my business up for success and opened up the door to receive funding from Ignite Capital.” —
For more information on Ignite Capital, check out the Ignite Capital Fiscal Year 2021 Impact Report at www.ignitecapital.org/reports.
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CHESTER FRANCE FOUNDER OF LIFTING LABELS, A GRANTEE OF IGNITE CAPITAL
6WDಀ /HDGHUVKLS Innovation Works Staff
Innovation Works Board Members
MARINA BUTLER
JACQUELINE CALDWELL
JAMIE MCDONALD
BILL COLE
NICK NAPOLITANO
Manager, Strategic Initiatives
HANNAH CORRELLI
Manager, Experience Design
MADI DUFFY
Manager, Marketing & Communications
MARTI ECKERT
Ignatian Corps Volunteer
JASMINE GODBOLT
Executive Assistant & Operations Coordinator
NICHOLAS MITCHEL
Manager, Enterprise Development
JAY NWACHU
President & CEO, Innovation Works
SALLY RATRIE
Director, Operations & Culture
STU TOBIN
Manager, Mentor Network, Executive In Residence
Ignite Capital Staff JAY NWACHU
President, Ignite Capital
GREGORY HUNTER
Funding Coordinator
President, Whittier-Monroe Community Neighborhood Association Partner, Margrave Strategies
JOHN CICCONE
President, St. Ignatius Loyola Academy
ANTHONY DAY
President & Head of School, Loyola Blakefield
SABRINA DEPESTRE
Director of Marketing & Recruitment, Maryland Institute College of Art (MICA)
FAGAN HARRIS
President & CEO, Baltimore Corps
BILL HEISER, PHD
Founder, Generosity & The Courage.Us (Co-Founder) Director of Social Ministries, Jesuits USA East Province
JIM PETERSON, JR.
VP, Business Banking Relationship Manager, M&T Bank
DAN RIZZO
Founding Chief Innovation Officer, Inovalon
TINA RODRIGUEZ
CFO, General Counsel, & Co-Founder, SAGE Dining Services
PAMELA ROUSSOS
President, Cristo Rey Jesuit High School
Chief Community Officer, Miller Center for Social Entrepreneurship
FRANK KNOTT
FR. BILL WATTERS, SJ
Founder & Board Chair, Innovation Works; Founder & CEO, ViTAL Economy
President, Loyola Early Learning Center
NKENGE YASIN
Child Development Specialist, Learning How, Inc.
Ignite Capital Board Members
Ignite Capital Investment Committee
PATTI CHANDLER
PATTI CHANDLER
MURRAY DALZIEL
CHRIS GRANT
VP of Finance & Admin, Baltimore Community Foundation Dean, University of Baltimore, Merrick School of Business
JAY NWACHU
President & CEO, Innovation Works President, Ignite Capital
FR. RICHARD MCGOWAN
Treasurer, The Jesuits USA East Province
DAN RIZZO
Founding Chief Innovation Officer, Inovalon
VP of Finance & Admin, Baltimore Community Foundation Investment Manager, Blueprint Local
BREE JONES
Founder & CEO, Parity
KEN MALONE
Co-Founder, Early Charm Ventures
JAY NWACHU
President & CEO, Innovation Works President, Ignite Capital
DAN RIZZO
Founding Chief Innovation Officer, Inovalon 17
'RQRUV &RQWULEXWRUV We express our deep appreciation and thanks to the organizations and individuals who support IW, Ignite Capital, and our social enterprises. Corporations Berman McAleer Foundation for Education and Economic Development CareFirst Blue Cross Blue Shield Continental Realty Corp Howard Bank Kelly Benefits M&T Bank The SAGE Foundation
Foundations & Other Institutions The Abell Foundation American Baptist Mission Home Society Baltimore Development Corporation Baltimore Homecoming Baltimore Small Business Support Fund at Baltimore Community Foundation The Bunting Family Foundation Ping and Amy Chao ChowFamily FamilyFoundation Foundation Cristo Rey Jesuit High School Goldseker Foundation The Reginald F. Lewis Foundation Transparent Fish Fund T Rowe Price Foundation USA East Province of the Jesuits
Individual/Family Offices 4K Foundation Baltimore Tiger21 Group Murray Dalziel and Elizabeth Rogers Family Fund Scott and Kim David Steve Dubin Pierce B. Dunn and Barbara L. Hoyt Elbow Fund Alex Fisher The Green Family Fund Janet and Dixon Harvey Senator Frank and Janet Kelly Manus Christi Charitable Foundation Jessica Pothering Matthew Seward Barbara and Sig Shapiro Philanthropic Fund Jim and Sandy Smith The Spriggs Family The Wiese Family Charitable Fund
“As a young organization, Innovation Works holds immense potential to impact Baltimore by being a source of connection for so many assets already existing across the city— assets including people, resources, and communities. We are honored to step into these new roles and work towards IW’s mission, and we know this organization is just getting started.” — DAN RIZZO & TINA RODRIGUEZ FY22 BOARD CHAIR & VICE CHAIR
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Financials As of and for the period ended June 30, 2021
Statement of Financial Position
Statement of Activities
INNOVATION
IGNITE
WORKS
CAPITAL
COMBINED
ASSETS
INNOVATION
IGNITE
WORKS
CAPITAL
COMBINED
$2,418,388
$140,772
$2,422,360
Total expenses
$2,540,051
$49,280
$2,452,531
NET REVENUE
-$121,663
$91,492
-$30,171
REVENUE
current assets
$805,041
$811,680
$1,616,721
other assets
$33,810
$172,495
$206,305
Total assets
$838,851
$984,175
$1,823,026
Total revenue
EXPENSES
LIABILITIES current liabilities
$77,012
$450
$77,462
-
$878,279
$878,279
$77,012
$878,729
$955,741
unrestricted assets
$560,395
$105,446
$665,841
restricted assets
$201,444
-
$201,444
Total net assets
$761,839
$105,446
$867,285
$984,175
$1,823,026
long-term liabilities Total liabilities
NET ASSETS
Total liabilities and net assets $838,851
Expenses
Revenue Fundraising
Interest Income
0.5%
0.2%
Administrative
Earned Revenue
4%
11.7% Contributions 30.7%
Programs
In-Kind
95.5%
57.4%
19
The Big Picture Ultimately, IW’s work lacks purpose without an understanding of the context within which we exist in Baltimore City. Decades of redlining and racially motivated policies have left many predominantly Black neighborhoods in Baltimore lacking adequate resources and investment to provide support for their community members. Here is a quick snapshot:
LIVING & WORKING IN BALTIMORE CITY
34K
63K
Small businesses in Baltimore are
vs
2017 median household income for Black residents in Baltimore is nearly half that of white residents
42%
53%
47%
BIPOCowned
womenowned
60% vs While these percentages increased in the last decade (2007–2016), small business lending by traditional banks decreased by 20%
homeownership among Black residents in Baltimore compared to that of white residents
Neighborhoods that are less than 50% Black receive over six times the investment of neighborhoods that are more than 85% Black.
of Baltimore City households have an annual income of less than $25K.
50% of Innovation Works’ social entrepreneurs are working or living within neighborhoods with a median household income of less than $40K. 20
Sources: Abell Foundation, 2020; Community Economic Development Hub, 2020; Racial Wealth Divide Initiative, 2017; 21st Century Cities Initiative, 2018
Design by: Lynde Pratt // LP Design Collaborative
28%
LESSONS AND OPPORTUNITIES As an organization, we strive to be in a constant state of reflection. Throughout the past year, as we navigated the ups and downs of our work and of our world, we found ourselves repeating a cycle with each new challenge: listening, discerning, and responding accordingly. This cycle allowed us to change and advance, evaluate how we are achieving our goals, and consider how these goals ultimately reflect our values.
Listen
Discern
Respond
MOVING FORWARD In response to challenges we strive to address in Baltimore and the lessons we have learned over the past year through the process outlined above, we have identified a number of key priorities to intentionally focus our efforts in FY22.
Continue to strengthen Ignite Capital’s structure and systems to deploy capital more efficiently.
Increase capacity to support entrepreneurs by hiring 2 pipeline staff, transitioning mentor manager role to full time, and implementing a pipeline management system.
Launch board committee tasked with developing systems to track IW’s impact and tell our story with concrete data that accurately reflects our work.
Review and refine IW’s long-term strategic plan to maximize impact in the coming years.
Manage for organizational growth through development of internal systems and team culture.
Refine the scope of our neighborhood strategy to make a more focused impact.
1400 Greenmount Avenue, Ste. B01 Baltimore, MD 21202 USA
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