Generous Minds is an established cooperative with a shareholder point system, which bases ownership on invested hours of work. The percentage ownership of Generous Minds is constantly changing based upon the total contribution hours of each co-owner. Co-owners are rigorously vetted before joining and are required to invest with a recurring entrance fee to become and stay a co-owner of the Generous Minds cooperative.
TIAS School for Business and Society
The creation of a “Covestor” platform through a cooperative matrix structure has allowed Generous Minds to stay ahead of the game. Generous Minds is a co-owner only cooperative with no employees on the payroll. This provides for a significant advantage through lowering the overhead costs for the business on the one hand and creating a large group of aligned experts on the other hand.
Through Covestment Generous Minds enables good companies to become great. Co-owners are highly intrinsically motivated to perform as their stake within the business is on the line. In addition to this, projects and internal decisions are vetted and voted on by the co-owners, requiring majority vote to be accepted. Co-owners hold each other accountable in performance while also being constantly challenged through ensuring the projects which are selected will benefit society.Fair-Prizing – While Covestors bring their expertise to the table, clients are also incentivized through a fair pricing model which offers lower than industry standard prices for consultations. Prospective social enterprise is able to tap into the Generous Minds resources through a variety of entrepreneurial pricing options. The Covestors work under no-value-no-pay principles and are rated by customers at the end of each project so that the quality of the work is ensured, as well as the formation of mutual trust. The fair pricing system was enabled through the lowered overhead costs of a self-regulating organization structure and no permanent costs of employees.
After a steep rise within the advertising world heading towards a CEO position in 1999, followed by a all-round consultancy period until 2011, Ronald Beuk stepped back and decided it was time for a change. Believing in creating “real positives for the future”, Ronald initiated the Generous Minds cooperative. He had the idea of creating a company, developed as a world-wide-movement, that makes changes in both the consulting- and investing system from within to make the world a better place.
He did not want to just become a boss in the advertising industry or make money as a one-person company working for his mortgage but create impact on the world. In his words “My impact is more than my bank account”. It took two years to develop Generous Minds from an idea to a full Co-operative.
Covestment is core to the Generous Minds business, enabling the company to create exponential value creation throughout society. By offering fair-pricing and providing access to an expansive network of Minds and Money, social enterprises now have an opportunity to approach a one-stop shop for all their business needs
- Generous Minds has talked with over 800 enterprises of which over 200 fell into the Good business category
- Generous Minds has committed to over 50 long-term partnerships
- Generous Minds has invested about €400k into social enterprises
- External Financiers have invested over €10 million from external financiers
The introduction of Covestment brings a unique element of risk to the Covestors of Generous Minds. By having “skin in the game” through ensuring fair pricing and investing with prospective clients, Generous Minds members intrinsically motivated in the long-term to ensure successes with partners.
The use of a Co-operative legal entity with a sharepoint system also ensures members are engaged and keep up to date with business ventures, ensuring the sustainability of firm. Generous Minds has built extensive capability around the expertise of their network and covestors.
Consultancy has always been viewed as an external resource, used only in a time of need. The Covestment model built by Generous Minds not only promotes business sustainability but exemplifies the need for a change in business mindset. As the growth of venture capital and start-ups has been vast, there is a need for an example in the industry to invest not only for profits but to be the guardian of what industry standard should be.
The influence and focus on social enterprises which do good, and the support structure provided by Generous Minds through knowledge, capital and network acts as a pillar for best practices. The rigorous methodology created by Generous Minds not only ensures that projects are enabled but more importantly selected projects have impact in making the world a better place.
In order to ensure the selected companies, match the societal and environmental goals of Generous Minds, a hearing board selection mechanism is adopted. In this mechanism, Generous Minds do the first-round selection from the documented stories provided by the potential companies, only those with clear and unique propositions, societal and environmental objectives and vision can move to the second round, where a at least 2-hour meeting is held to ensure the alignment with the enterprise, before being introduced to the collective of the 33 Covestors and the Generous Money network. The selection criteria of the meeting includes the following. The approval of no less than 50% co-owners is required for a company to pass the second round and to be admitted to the business scheme.
• The company is an impact-first enterprise
• The company is willing to co-working with Generous Minds in appreciating advice and criticism from General Minds in the process
• The company is open to be introduced to the Generous Money network where and if relevant to boost the impact of the Good Business
• The company is able to generate stable revenue with the impact-first business model
Ronald Beuk, Initiator (Founder)
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Amsterdam, Noord-Holland, NL
Business Website: http://www.generous-minds.com
Year Founded: 2013
Number of Employees: 2 to 10
Generous Minds is a unique business consultancy with a complete offering to grow a good business to great. Through a collective of like-minded impact driven financiers, entrepreneurs and consultants, Generous Minds joint ambition is:
To solves societal problems in an entrepreneurial way by accelerating and magnifying the success of Good Business.
With a focus on businesses that do good, whose product, services and organizational structure directly contribute to a better world.
The Covestment offered by Generous Minds is a blend of consultancy with investment. Consultancy from Minds is provided by business experts in the co-operative and network. While investment is funded through Generous Money, a combination of impact driven 3rd party financiers and the co-owner funds of Generous Minds. Through the personal investment of time and money, the Covestors of Generous Minds commit to ensuring the long-term success of good businesses they support.