Having increasing levels of demand would not bother most businesses if its part of the plan, but for the not-for-profit sector it is an ever increasing issue, with limited levels of funding required to meet those demands.
Having increasing levels of demand would not bother most businesses if its part of the plan, but for the not-for-profit sector it is an ever increasing issue, with limited levels of funding required to meet those demands.
The good news is that the Western Australian government has recognised the problem and made recommendations through its Economic Audit Committee for not for profits to branch out to the private sector.
Perth-based disability therapy and support service Therapy Focus saw this change coming and created a private division of its business, dubbed The Complete Advantage.
Therapy Focus was established 12 years ago and now has more than 110 staff working with 2,500 children with disabilities. It provides speech therapy, physiotherapy, occupational therapy and psychology and is largely government funded.
The Complete Advantage was created as a spin-off private arm of the business in order to meet the needs of children without disabilities and those with learning difficulties that were not eligible for services provided by Therapy Focus.
It was established 18 months ago and already services 1,500 children.
The Complete Advantage general manager, community and advantage services, Colin La Galia told WA Business News the business is a good example of a not for profit putting the government’s recommendations into action, and becoming more commercial in their thinking.
As with any new business model within a sector, there have been challenges with the development of The Complete Advantage.
“This was breaking new ground and creating a new mind set around what not for profits were,” he said.
“You have some internal and external expectations; people need to have an intimate understanding of what a private service within a not for profit actually means.”
Mr La Galia said The Complete Advantage operates on the same key principles as Therapy Focus, but its structure is built on commercial principles.
“The private model had to be much more structured around a business plan. It had to be strategic and operational and it had to have key performance indicators,” he said.
“It relies on a robust business plan, targeting, profiling, coverage and frequency, and then the execution.”
The Complete Advantage also had to develop a client base and did so through developing relationships with other service providers.
“You have to have an intimate understanding of who is your key audience; we worked closely with general practitioners and paediatricians as a referral base, which increased the level of awareness that existed,” he said.
It also provides training for teachers and has helped to develop numeracy and literacy programs, furthering its relationships with schools.
The Complete Advantage is now operating in Kalgoorlie and Port Hedland, in partnership with mining giant BHP Billiton, which is working to build sustainable communities in regional areas of its operation.
Currently operating on a fly-in-fly-out basis, Mr La Galia said one of the plans for The Complete Advantage is to have a permanent presence in regional growth areas in WA.
They may be run as two separate entities, but Therapy Focus benefits from The Complete Advantage, with all profits from the private arm going to the Help a Child Grow Fund.
“The intent behind setting this up is to provide a source for additional funding for children who didn’t qualify or weren’t eligible for Therapy Focus and who had additional needs outside of what government funding could provide,” he said.
Last year, $100,000 was generated by The Complete Advantage and was used to provide children with equipment to aid their development.
