New research has shown that Match Trading can increase the income which a social sector or community business earns from trading by 64% over a year.
Match Trading® aims to transform the use of grants so that they can be applied in a way that directly incentivises trading. The aim of this is to produce stronger and more viable organisations, capable of achieving sustained benefits.
Match Trading programmes empower social entrepreneurs operating in challenging markets to build sustainable futures. The grants reward sales growth by paying out pound-for-pound against proof of increased trading income.
Match Trading has been launched by the School for Social Entrepreneurs (SSE), with an original pilot programme in partnership with Lloyds Bank and the National Lottery Community Fund. It has since helped nearly 400 organisations with many more scheduled for the future.
The research shows that over a year a typical Match Trading recipient will have:
• Increased their income from trading by £16,952 - a 64% increase over the previous year
• Increased their ratio of income from trading from 58% to 69% of their overall income
This added up to a combined £5.5m increase in income from trading across 143 organisations.
In contrast, a typical organisation in a control group (who received a traditional grant) increased their income from trading by £6,453 – representing a 21% increase over the previous year.