Directors Meeting - 2015-05-28
Location: 1340 Commercial Drive
Attending: Nigel, Trevor, Kricket, Chenessa, Jodi
1. Adoption of agenda by consensus
2. Approval of minutes of previous meeting by consensus
3. Financial reports
- proposal to increase staff will required increased sales. Further research is required.
Nigel prepared the budget for 2015 and we are once again set to make a loss. His current estimate is a deficit of 17.6K. Most items we have in the budget like rent and staff salaries are fixed and cannot easily be changed. So we have to look at ways of gaining revenue.
We had a proposal to extend staff hours in the store so we could sell more and generate more revenue. That makes some sense, but the underlying assumption is that we have an overabundance of goods to sell. If you ran a bakery and had more staff you would only be able to generate more revenue if you made more bread. So I have looked at PC sales and analysed what these potential extra costs mean to Free Geek and the build teams.
Computer (laptops and desktops) sales are responsible for a consistent 50% of our retail sales. One sells (on average) for $120. Conversely you could also say that a PC Sale (laptop or desktop) is responsible for getting customers to our store and generating $240 revenue. This simply equates PCs to Revenue.
If Free Geek has a deficit of $17.6K then we need to build and sell approximately an extra 88 PCs to overcome this deficit (based on revenue generated to be $200 for each PC sold). That is an extra 3 PCs a week between now and the New Year.
Likewise if we add additional staff to Free Geek (at $150/ day) we have to produce and sell a PC each day to employ these staff. In Plan B of the proposal (where we employ two additional staff for 7 days each week) we could afford to implement this if they sold 5 or more PCs a week and the PC build teams built an additional 5 PCs each week. This brings the requirement to build an extra 8 PCs each week to support the staff costs and remove the projected deficit.
To employ 2 additional staff for 7 working days each week and have no deficit by the end of the year we need to build and sell an additional 125+ PCs by 2016, or 8+ extra PCs each week. We should be aiming higher to ensure a net revenue (profit) in 2015. To achieve this we need to understand and address the problems the build teams have and help them address these. We should also have regular reports from the build teams to ensure their success.
Looking at this from a financial perspective only underlines what Free Geek should be passionately doing. That is to work with the community to recycle more technology.
5. Directors' reports
- Chenessa has lightly edited the staff job descriptions.
- UBC students are researching fundraising. We await further reports
6. In Camera
- Review of video records from security cameras. No decision on further action.
7. Old business
8. New business
- WorkSafe BC report : staff is working towards compliance.
- This requires constant work.
- Kricket's ban
- Jodi stated that statements in ban letter are false.
- Kricket believes HR Lead's role is to act as intermediary in conflicts between members.
- Concern expressed by Kricket that Open Help Night is not a safe environment due to clutter and not enough space.
- Jodi concerned that Adrian is not a 'people person' and should be replaced.
- Jodi concerned that productivity and the number of volunteers has dropped since Adrian was hired.
- Kricket concerned that there are unresolved issues with Adrian.
- Kricket concerned about Adrian's request for overtime.
- Trevor noted that he was going to be reviving monthly meetings and will post a notice in the mailing lists.
9. Adjournment 8:30
Minutes taken by Trevor M.