BCSL: Detailed Business Plan

BLEDINGTON COMMUNITY SHOP & CAFÉ

DETAILED BUSINESS PLAN

“The protection of existing post offices, village shops, public houses and other retail facilities is vital to the future sustainability of many small settlements. These facilities are an essential element of the local economy and, especially in the more remote rural areas, of great importance socially” Source: Cotswold District Local Plan 2001 – 2011, Section 3.5.12

Produced by Bledington Community Shop Ltd August 2012

Contact: Michael Lear (Chairman, Bledington Community Shop Ltd) Trinders Bledington OX7 6UG Tel: 01608 659371 Email: [email protected]

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BLEDINGTON COMMUNITY SHOP LTD (BCSL): BUSINESS PLAN

1. Executive Summary Page 3 2. BCSL: Positives and Negatives Page 5 3. Current Situation Page 6 4. BCSL: The Proposed Offering Page 7 5. BCSL’s Potential Market Page 10 6. BCSL’s Proposed Location Page 11 7. Is This Project Viable? Page 12 8. BCSL’s Legal Structure Page 14 9. Financial Forecasts Page 14 10. Funding Requirements Page 18 11. Timetable Page 18 12. Opposition to the Project Page 19

APPENDICES

A. BCSL’s Projected Start Up Capital Costs Page 21 B. Detailed 5 Year Financial Model Page 22 C. Sources Of Comparable Statistics Page 24 D. 2010 Village Shop Survey Results Page 25 E. Comments from the 2010 Survey Page 26 F. BCSL’s Officers Page 32 G. History of BCSL Page 34

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1. EXECUTIVE SUMMARY Bledington has been without a village shop since 2006, when its privately-owed shop and post office closed. As a result, the community lacks an effective social centre, accessible to all ages throughout the day. A new, well located shop and café should answer this need, and, critically, help to ensure that Bledington remains a thriving and vibrant community in the years to come.

The Proposal Bledington Community Shop Ltd (BCSL) (formerly Bledington Shop Group (BSG)) proposes to open Bledington Shop and Café as a Community Enterprise in Autumn 2013. BCSL has recently acquired an option from the land owner to develop a new, purpose built premises on a small section of Middle Orchard in the centre of the village. Within easy walking distance for the majority of the population, the shop will provide residents with a wide range of services and high quality, locally sourced produce at reasonable prices. The shop may also offer some form of postal services: BCSL is currently in discussions with the Post Office. Total project costs (including an allowance for working capital) are forecast at £205,000. (see: BCSL: The Proposed Offering Pg 7ff)

Most of the parish supports the project, as do local businesses In the 2010 parish survey (the third survey conducted since 2006), 151 households (49% of the 270 households in the community) thought a shop was ‘important’ or ‘very important’. This compared with 104 (42%) in the previous 2008 survey. 181 (67%) expected to use the proposed shop at least weekly, compared with 44% in the 2008 survey. Bledington Parish Council, the Governors of Bledington Primary School, Bledington Housing Association and local employers, including the King’s Head Inn, have also stated their support for the project . (see: Current Situation Pg 6)

31% of the community are already members of BCSL Since February 2012, 147 people (31% of the adult members of the community) have joined the BCSL, despite the fact that the project is still in its infancy. To date, almost 20% of households in the community have committed to a regular payment scheme at the shop, guaranteeing annual revenue of £40,360, representing 25% of the shop’s forecast retail sales in Year 1. (see: BCSL’s Legal Structure Pg14 + Financial Forecasts Pg 14ff).

BCSL considers Middle Orchard to be the only feasible site Everyone in the village recognises and appreciates the value of Middle Orchard as a green space. Unfortunately, there are very few locations available in the village that make sound economic sense for a successful shop. After spending 6 years considering all possible sites, BCSL concluded that the proposed Middle Orchard site is ideal, and, indeed, is the only feasible site for a viable shop and cafe. Lying in the heart of the village, the site is within easy walking distance for the majority of the population, and has sufficient space to accommodate parking and deliveries with the minimum of disruption for local residents. Moreover, it is adjacent to the busy B4450 (linking Stow on the Wold, Kingham Railway Station and Chipping Norton). It is close to Bledington Primary School and beside the Oxfordshire Way, a well-established long distance walking route. It should, therefore, attract useful additional revenue from outside the village community. (see BCSL’s Proposed Location Pg 11ff).

In the 2010 survey, 56% supported the Middle Orchard site In the 2010 village shop survey, 120 households (44% of total households, and representing 56% of those who responded to the survey) supported the proposal to build a shop on the Middle Orchard site, whilst 57 (21%) were neutral. Only 38 (14%) ‘disagreed’ or ‘strongly disagreed’ with the proposed site. (see BCSL’s Proposed Location Pg 11ff). .

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35 villagers have already volunteered to work in the shop and cafe Based on the experience of the best performing community shops, BCSL will employ a paid professional to manage the shop, supported by some 20+ reliable volunteers. Some 35 people of all ages have already volunteered to work in the shop, with more expressing interest to volunteer once planning permission has been granted. In future, BCSL expects the success of the shop to result in the creation of additional employment, in the form of retail apprenticeships for local school leavers, or paid part time work. (see Financial Forecasts: staff costs Pg 16). An experienced fund raising committee has been established Since detailed proposals were discussed in a public meeting in February, 116 households have already committed £14,000 (7% of total costs) towards the project’s £205,000 costs, with additional pledges made for further sums. Whilst BCSL will continue active fund raising within the community, it expects to raise the majority of funding externally. This is line with the recent experience of other community shops. An external fund raising committee has been established, comprised of individuals with significant experience of fund raising at national and local levels . (see Funding Requirements Pg 18).

Bledington Shop + Café: Summary Financial Forecasts (£) Year 1 Year 2 Year 3 Year 4 Year 5 Turnover 170,100 187,110 199,958 209,956 220,454

Cost of Goods Sold 129,729 142,702 151,823 158,210 165,061

Gross Profit 40,371 44,408 48,135 51,746 55,393

Gross Profit Margin (%) 23.7 23.7 24.1 24.6 25.1

Overheads 41,168 43,276 47,104 49,296 51,598

Overheads as a % of sales 24.2 23.1 23.5 23.5 23.5

Surplus/(deficit) (797) 1,131 1,031 2,450 3,795 Source: BCSL

BCSL has used the trading performance of the previous Bledington shop as a starting point for its financial forecasts. As these figures are very out of date, BCSL has relied more on recent comparative figures from existing community shops in the Cotswolds, as well as recent data from other community shops and industry experts. BCSL’s forecast retail sales of £158,760 in 2013-14 (equivalent to average weekly retail sales of £3,053) is likely to prove conservative. Last year, the seven shops advising BCSL – all in communities of a similar size – reported turnover between 3% – 59% higher than BCSL’s 2013- 14 forecast sales. Most of these shops do not benefit from the through traffic that Bledington Shop is likely to benefit from . (see Financial Forecasts Pg 14ff + Detailed 5 Year Financial Model Pg 22ff).

Evidence from existing shops supports the business case According to BCSL’s conservative forecasts, Bledington Shop is expected to start generating surpluses in its second year of operation. This is in line with the performance of other community shops. Over time, these surpluses should be sufficient to fund future growth and also to provide valuable donations to community projects, so relieving some of the burden of fund raising from individuals within the village. (see Financial Forecasts Pg 14ff + Appendix B Comparative Statistics From Other Community Shops Pg 25)

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2. BCSL: POSTIVES AND NEGATIVES In the following pages, BCSL discusses the detailed case behind its proposal for a community shop. BCSL believes the positive factors far outweigh possible negatives. Likely benefits are listed in detail on page 8, but include the following: Positives • A shop will enhance the viability of the village, and help meet the needs of the local community – eg strong community support from the village ( see Pg 6 ) + likely support from people living outside the community ( see Pg 10 ) • A shop will reduce the need for local people to travel to purchase supplies – eg current shopping facilities ( see Pg 6ff ) + the proposed offering ( see Pg 7ff ). • A shop with café facilities will help social inclusion and improve the community’s sustainability – eg the creation of an attractive social hub for Bledington’s diverse community (see Pg 9 ) + the use of volunteers and staff from within the community ( see staff costs Pg 16) • Located in the centre of the village within easy walking distance for the majority of the community, the shop will be easily accessible for customers and suppliers (see Pg 11ff) • The financial case for community-run shops is strong – eg community-run shops often succeed where privately-owned ones fail ( see Pg 12 ); other community shops in the area generate surpluses; BCSL’s conservative financial model suggests that the shop will generate surpluses from its second year of trading ( see Pg 14ff and Pg 22ff ) • Community involvement should ensure continuing, long term support and customers for the shop – eg 31% of the adults in the community have already joined BCSL ( see page 14 ); almost 20% of total households have signed up for the shop’s ‘regular payment scheme’ ( see page 15) • BCSL’s legal structure enables it to donate future excess surpluses to the community to fund local projects (see legal structure: page 14) .

Negatives • Bledington might not be large enough to support a viable shop . This appears unlikely, particularly given the healthy operating statistics of existing community shops servicing populations that are smaller than Bledington’s (see Pg 15) • There may be too much competition from existing shops in the area . Bledington is 4 miles from its nearest large supermarket/market town ( see Pg 7). Careful purchasing means that community shops do compete successfully with large supermarket chains ( Pricing Pg 9) • There may not be enough footfall . The proposed site is ideally located to attract maximum footfall: it is centrally located, within easy walking distance for the majority of the community, adjacent to village’s main thoroughfare and close to the primary school . (see Pg 11) • Traffic may be a problem at the proposed location . Current traffic levels in the village are likely to decline once the shop opens, as residents walk/bicycle to the shop (see Pg 19). Based on the advice of the Highways Officer and Cotswold District Council, the inclusion of 3 parking spaces will provide ample parking (see Pg 19) • The shop may be unable to recruit a professional retail manager. If BCSL offers a generous package at a time of economic uncertainty, it should attract a suitable candidate, excited by the opportunity of opening and operating an attractive shop in a vibrant community (see Staffing Pg 9 + Staff Costs Pg 16) • The shop may not attract suitable volunteers . Most of the shops advising BCSL have retained a core of 20-25 volunteers, attracted by the social interaction that the work involves.

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To date, 35 Bledington residents have volunteered their services (see Staffing Pg 9). BCSL plans over time to recruit additional paid staff ( See Staffing Pg 9 + Staff Costs Pg 16) • BCSL may not raise adequate funding . Given the strength of the business case, the expertise of BCSL members and the support of its advisers, BCSL believes that it will raise the necessary funding for the project through external grants and donations, as well as through continued local fund raising (see Pg 18).

3. CURRENT SITUATION Bledington had a well-established, privately-owned shop and sub-post office until February 2006, when it closed. Under the last owners, the shop had operated profitably but these profits had not been adequate to sustain a family of four. The owners subsequently gained planning approval to convert the property into a residential dwelling. This was despite strong opposition from the community: in summer 2006, 145 letters (equivalent to 54% households in the parish) were sent to Cotswolds District Council, opposing the original application. Shop Group Committee formed in 2006 As a result of the strong demand for a shop, a Shop Group Committee (now part of BCSL) of concerned villagers with relevant skills ( see Appendix F, page 32) was formed in 2006. Originally, the Group tried to purchase the recently closed shop, but the asking price (initially £450,000) was too high to make sound financial sense, and the Group realised it had to explore alternatives. Since 2006, therefore, the Group explored all possible locations and conducted regular surveys – in 2006, 2008 and 2010 - to gauge local support. Surveys Demonstrate Strong Village Support For a Shop In the last detailed survey of the village conducted in 2010, 215 households in Bledington, Foscot and Foxholes (representing 80% of the parish) returned the survey. • 181 households (67% of total households) said they would use the shop at least weekly; • 91 households (34%) said they would definitely or possibly help in the shop • 58 households (21%) said they would be willing to consider a financial investment in the shop. Interestingly, more responded to the survey in 2010 than to the previous 2008 survey. This was despite the fact that residents had settled into other shopping arrangements since the previous shop’s closure in 2006. We attribute this increased enthusiasm to several factors, including the sharp deterioration of the economic climate, the hefty increase in oil and transport prices, which has impacted our rural community, and also, critically, to a growing awareness that the community had been negatively affected by the loss of an easily accessible village meeting place. In the 2006 survey, 152 households returned the survey, representing 56% of the parish. • 120 households (44% of total households) said they would use the shop at least weekly. • 53 (20%) would consider helping in the shop • 28 (10%) householders were prepared to invest in the project.

Current shopping facilities Villagers currently obtain groceries either by driving to local stores or supermarkets, or by relying on internet deliveries. The major competition for village shops comes from large supermarkets, with commanding pricing power. Bledington is located at least 4 miles away from its nearest major supermarket (Tesco in Stow on the Wold). Consequently, once transportation costs are included, the pricing differential that supermarkets theoretically enjoy is eroded. Based on current fuel prices and AA estimates, we calculate that transportation costs from Bledington to Stow on the Wold or Chipping Norton are currently between £2.50-5.50 per return trip.

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BCSL clearly would be unable to compete with the full range of services that the large supermarkets can provide, especially in terms of bulk items. Examples of other community shops, however, suggest that if a community shop’s product range and overall environment are attractive enough, village residents rapidly change their shopping habits. Evidence suggests that, if they are well run, rural community shops can thrive, even when located near well stocked market towns. This is demonstrated by most of the community shops BCSL has visited. Moreover, the majority of the community shops that are sharing financial information with BCSL report a healthy performance in the current fiscal year. There is evidence to suggest that consumers’ preferences are changing, with shoppers preferring to save on petrol and time consuming journeys, and shopping locally instead in smaller shops that offer more of a personal experience. Current shopping facilities are available as follows :

• Postal services in the King’s Head Inn, Bledington – following the closure of the Shop and Post Office in 2006, the King’s Head Inn generously offered to accommodate a basic post office outreach counter in its restaurant area. This operates 2 mornings a week (from 10am- noon). Opening hours can vary if the pub is busy and has many overnight guests breakfasting late. BCSL is in talks with the Post Office to move this service (at least) to the new shop. At the new shop, the Post Office would be able to increase its opening hours, and possibly offer additional services. • Kingham Stores and Post Office (1.8 miles from Bledington) - a privately-run village shop, supplied by Londis, and a sub post office. When the previous shop was open in Bledington, both stores co-existed comfortably. BCSL does not expect the opening of its shop and café to have a dramatic negative impact on Kingham Stores, because of the different markets both serve and their different locations. • Daylesford Farm Shop (2.2 miles from Bledington) - a privately owned, luxury organic store, selling high quality, expensive organic food and lifestyle products, supported by an expensive café. This targets a very different market than BCSL’s expected market. • Stow on the Wold (4 miles from Bledington) – a market town offering a full range of retail services and a large out-of-town supermarket, Tesco. Stow is a popular tourist destination and so parking can be a problem, particularly in the summer months, for local residents wanting to stop briefly at the baker, butcher or chemist etc. • Chipping Norton (6 miles from Bledington) - a market town offering a full range of retail services with two moderately sized supermarkets, Co-op and Sainsbury, located in the town. • Internet shopping : since the closure of Bledington’s previous shop in 2006, some residents use internet delivery services to purchase groceries (eg Tesco or Ocado (Waitrose)). These deliveries, however, incur high delivery charges, currently ranging from £3.00-£6.00, and are out of the range of many households in Bledington. They also require someone to be at home to receive the deliveries – which presents problems for households with residents absent from home, working long hours etc.

4. BCSL: THE PROPOSED OFFERING As an enterprise owned by members of the community, BCSL will supply what the community demands. Essentially, the shop will aim to stock everything a normal household needs, with an emphasis on local, fresh, fair trade and a minimum of waste. BCSL has already received a significant amount of advice from existing community shops in the area. These have provided detailed information about product ranges, sales performance, and the margins they achieve. By careful purchasing from local wholesalers and companies such as the Co-op, which are keen to support rural shops, BCSL will provide a wide range of reasonably priced goods that generate reasonable margins. Likely services • Basic food items – to cover essential needs, particularly for those who are less mobile; 7 BCSL: Detailed Business Plan

• Quality foods, produced locally, including local jams and chutneys; • Bread and other bakery products, baked on the premises; • Frozen foods, including ready meals; • Organic, fair trade and whole food supplies; • Fruit and vegetables, from local suppliers and wholesalers. BCSL also hopes that villagers will be able to sell surplus garden produce (vegetables and fruit) through the shop. • Dairy products; • Deli items; • Household goods; • Alcohol – especially wines; • Cigarettes; • Newspapers, magazines and cards; • Supplies of coal, bottled gas and other fuels. • DVD hire • Postal services (BCSL is in discussions with the Post Office about the nature of these services. At the minimum, the current outreach postal counter is likely to move from its current location in the King’s Head Inn in Bledington to the new shop, where it will be able to open for longer periods). • A delivery service for those unable to get to the shop, or for those unable to carry their shopping; • ‘Food hampers’ for those working unsociable hours, and for weekenders and tourists staying in holiday cottages; • Drop off/collection point (eg dry cleaning/fresh fish deliveries/a collection point for items to be delivered to the county recycling centre etc); • Community and tourist information centre (especially important as the current Tourist Information Centre in Stow is under threat, as a result of government cuts); • A small café, serving coffees and teas, homemade cakes, soups and sandwiches. This will have the benefit of enhancing overall margins, and reducing waste (eg by using unsold vegetables for soups etc).

Expected benefits • Easy access to groceries and quality foodstuffs – particularly for those in the village who are less mobile (many people in the village experience transport difficulties including the elderly, the disabled, those who cannot afford a car (especially in the face of rising insurance costs and high fuel prices), and those with no car available during the working day, when the household’s ‘breadwinner’ needs the car for work) • Support local suppliers through the sale of local produce; • Encourage local enterprise/cottage industries (eg jam, chutney and cake making); • Help sustain the local community by providing a much needed social centre that is accessible to all ages throughout the day; • Reduction of road traffic etc by reducing the trips local residents need to make to local shopping centres; • Safe environment for children to learn how to shop/use money (BCSL is keen to encourage the involvement of Bledington Primary School and Bledington Toddler Group); • Generate local employment; • Provide a social centre for teenagers to meet; • Provide older children with work experience, through volunteering or apprenticeships; • Provide others with useful work experience – eg parents, who have been out of the work place for some years whilst bringing up children; • Generate a trading surplus that will be donated to the community to support community projects; • Provision of community and tourist information.

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Opening Hours According to replies to the surveys conducted in 2006, 2008 and 2010, there is demand from residents to have longer opening hours than those of the previous shop, to accommodate residents who work outside the village. The following opening hours have been suggested:

• 7.30 am to 6.30 pm Monday – Saturday • 9.00 am to 12 noon Sunday and Bank Holidays.

The BCSL has used these hours in its business plan, but the actual hours will be determined by the shop’s Management Committee. According to statistics from the Plunkett Foundation, rural shops tend to attract the most shoppers in the late morning. Few customers tend to use these shops in the early morning and late afternoon. This may prove different in Bledington, because of the village’s close proximity to Kingham Railway Station and its popular village school. Pricing The shop will aim to offer its customers good value products, with prices comparable to other local outlets. This is part of the local service the shop will bring to the community. Given that the main competitors for village shops are the large supermarket chains, pricing will be an issue for BCSL. Whilst a small rural shop cannot compete with supermarkets for those keen to buy in bulk, there is ample evidence to demonstrate that they can compete on price – especially when compared with larger chains such as Tesco and Sainsbury. Information supplied by existing community shops certainly supports this. This reflects careful purchasing and an increasing number of attractive schemes introduced by certain wholesalers, including the Co-op, keen to support rural community enterprises.

Staffing BCSL’s Management Committee will employ an experienced, full time, salaried manager, recruited from the local community, if possible. This appointment will be critical to BCSL’s success: this individual will be responsible for all aspects of the daily running of the business, including ordering, stock keeping, sales and marketing. Evidence from other community shops suggests that shops employing one experienced retail manager enjoy better gross profit margins than those run entirely by volunteers. This position could be suitable for a job-sharing arrangement. Given Bledington’s location between Stow on the Wold and Chipping Norton, we do not anticipate difficulties in recruiting a suitably experienced professional. Ideally, we would like to recruit someone from within the immediate community, but BCSL may have to search for a suitable candidate from adjacent towns. The full time, salaried manager will be supported by volunteers. Judging from other established community shops and cafes, we will probably require a core group of 20-25 volunteers, working some 2-4 hours each. To date, 35 villagers have volunteered to help in the shop. Ideally, it would be useful to have a larger pool of volunteers to draw on, if more help is required (during holiday periods, for example). Whilst these volunteers will report to the manager, a member of the Management Committee is expected to be responsible for managing the volunteers’ schedules etc. Judging from the example set by other established community shops, once the shop starts to build up reserves, it should be in a position to offer additional paid work – to apprentices, for instance, taking advantage of the government’s recently introduced apprenticeship schemes, or a part time café manager. A social hub for the community BCSL is determined to create a vibrant centre, which can act as a social hub for our diverse community. Responses to the three surveys conducted in 2006, 2008, and 2010 highlighted that the informal nature of social contacts in the village shop was highly valued, with people of all ages and interests meeting

9 BCSL: Detailed Business Plan there regularly. Social interaction is increasingly difficult in a scattered community where cars are widely used for transportation and the lack of facilities can lead to social exclusion. The inclusion of a café in BCSL’s proposal means that there will be a community area and notice board in the shop. This area will provide a meeting place all year round during opening hours, which should help to address the many problems associated with social isolation. It will allow for the exchange of information necessary to promote the health and well being of our community. The use of volunteers will also improve the uptake of life-long learning opportunities, skills and training, whilst enhancing employability and encouraging self development and the realisation of personal potential. All these will add positively to the community – one which, although vibrant, can be daunting, particularly for those who have recently moved into the village, as one newly arrived family has complained.

5. BCSL’S POTENTIAL MARKET BCSL’s financial projections assume conservatively that its customers are the 600 residents of the parish of Bledington (a total of 270 households in the village of Bledington, and the adjacent hamlets of Foscot and Foxholes). Of these residents, some 120 are under 16. Other local community shops have demonstrated that communities smaller than Bledington, without the through traffic that Bledington enjoys, can sustain successful shops and generate sufficient surpluses both to build up reserves and to donate funds to community projects. A community shop will benefit villagers with transportation difficulties The shop should particularly benefit the many villagers who experience transport difficulties. These include the elderly, the disabled, those who cannot afford a car (particularly when faced with high fuel costs and hefty insurance premiums) and those with no car available during the working day, when the household’s ‘breadwinner’ needs the family car to travel to work. It is difficult to obtain accurate statistics for those who face these problems. Bledington Care Committee currently provides regular transportation to hospitals, doctors’ appointments etc for some 25-26 elderly people, but there are many others who rely on neighbours or the irregular bus services for transport to local shops. Bledington has an ageing population According to the 2010 village shop survey, to which 215 households (made up of 519 people) responded, 23% of the people were over 65, and a further 23% aged between 46-65. The shop and café are likely to benefit the elderly particularly. Table: Analysis by age group of the 215 households that responded to the 2010 village shop survey Age Group No of People in Age Group % in Age Group 0 - 16 104 20 17 - 25 35 7 26 - 45 143 27 46 - 65 120 23 Over 65 117 23 To tal 519 100 Source: 2010 Village Shop Survey (215 households responded, comprising 519 people (87% of the community’s population) A well located, attractive shop will attract customers from outside the community From BCSL’s discussions with established community shops, it is evident that the shop should attract additional regular customers from several groups outside the community, if it is well marketed and managed and its offering attractive and well priced. Its proposed location, just off the village’s main

10 BCSL: Detailed Business Plan thoroughfare, the B4450, which links Stow on the Wold to popular Kingham Railway Station and Chipping Norton, should make it particularly attractive to these additional groups. These groups are: • those living in neighbouring hamlets and villages without their own village shops , such as Idbury, Church Westcote, Nether Westcote, Icomb and Oddington. • non-residents working permanently in the area (such as Bledington Primary School staff; nurses and carers, agricultural workers; employees of small businesses in the area). • Bledington Primary School parents, who live outside the village. Benefiting from its “outstanding” Ofsted ranking, Bledington Primary School, positioned close to the proposed location of the shop, is a thriving school with 87 pupils, an increasing number of whom live outside the community. According to parent feedback, those from outside the village will take advantage of the shop and cafe. • Through traffic – commuters. Unlike other successful community run shops in the area, Bledington lies on a busy thoroughfare. Many people drive regularly through the village en route to Kingham Railway Station, which lies on the B4450, 0.8 m east of Bledington. If the shop’s opening hours and offerings are appropriate, the shop should benefit from regular custom from these commuters (there are no services at Kingham Railway Station itself, other than a ticket office). • Through traffic – tourists. An attractive Cotswold village, situated in an Area of Outstanding Natural Beauty, Bledington lies on a well established tourist route. The shop’s proposed location is beside the Oxfordshire Way, a popular route for walkers throughout the year. There are many regular visitors to the area, some owning holiday homes and others lodges at the Bluewood Lodges Holiday Park, a mile from the village. There are also numerous holiday cottages in the area (including the village itself) and several B&B and self-catering cottages. With effective, targeted advertising, BCSL should be popular with this market.

6. BCSL’S PROPOSED LOCATION Following the closure of the previous shop in 2006, BCSL has spent six years considering carefully all other possible sites in the village. The major problem has been that there are very few viable sites available. After failing to acquire the previous shop in 2006, BCSL: • Investigated a small garden site, on the village green adjacent to the previous shop . This proved unviable as it is in the flooding zone (certain parts of Bledington were badly affected by the 2007 floods), and presented practical problems in terms of planning/traffic/size/location. There were also significant concerns about a shop’s impact on the village green, which is within a Conservation Area. • Investigated other village properties that were on the market . As residential properties within a popular Cotswold village, these properties were all too expensive to make sound financial sense for a community shop. • Considered locating the shop in existing premises , such as the Village Hall or the local pub, the privately-owned King’s Head. Neither of these options were considered possible for a number of reasons. • Investigated the few open sites within the village . This included the ‘Gravel Pit Site’, which is owned by the parish and is currently used for rough grazing. It is next to a recently developed children’s play area. The site’s location on the outskirts of the village would not be ideal, in terms of potential footfall. More critically, this site was used until fairly recently as a general rubbish tip, and contains various buried cars and agricultural machinery as well as industrial and agricultural refuse. When the adjacent play area was under development in 2009-10, this site was investigated and found to be contaminated. Consequently, the

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substantial costs of preparing the site for development mean that it would not be economically feasible to use it for BCSL.

The Middle Orchard site After a lengthy period of public consultation, plans have been drawn up for a shop and café at Middle Orchard, the only feasible open space in the village, and the only viable location that makes commercial sense for the proposed shop. After lengthy negotiations, BCSL recently acquired an option from the land owner on a small section of the land at Middle Orchard to develop a community shop and café. Under the terms of the option agreement, the surrounding land at Middle Orchard will be protected strictly from future building, so that it remains an open space. Middle Orchard is located in the heart of the village The Middle Orchard site has the advantages of being in the heart of the most populated part of the village, within easy walking or cycling distance for the majority of the residents. It is close to Bledington Primary School and adjacent to the main thoroughfare (the B4450, which runs between Stow on the Wold and Chipping Norton, linking both towns to Kingham Railway Station). It is also on the Oxfordshire Way, a popular and well established long distance walking route. The site can accommodate sufficient parking space, and is easily accessible both for customers and deliveries, with the minimum of disruption for local residents. In the 2010 survey, 56% supported the proposed site In the 2010 survey, 120 households (44% of total households, and representing 56% of those who responded to the survey) supported the proposed Middle Orchard site, whilst 57 (21%) were neutral. Only 38 (14%) ‘disagreed’ or ‘strongly disagreed’ with the proposal. The shop will be an attractive, wooden building The aim is to construct a community building of which both residents and visitors will be proud, with attractive landscaping and planting. Using the experience of other recently built community shops, BCSL has created a sympathetic design, using the highest standard of energy efficiency and access. In addition to normal specifications, essential considerations include the provision of safe entrances, adequate parking – for cars, delivery vehicles, bicycles and pushchairs – disabled access and supervision. In addition to the retail space, there will be a small café area, a small food preparation area and a WC, including disabled access. There will be an adequate stock room with space for an office area. There will also be some external space for a couple of benches and tables. Following best practice from other community shops, BCSL plans to build the shop using a high quality, wooden structure, suitable for this site. This is cheaper than a stone alternative. It can also be assembled faster and with less disruption than a stone built building. In the very unlikely scenario that the shop proves not to be viable, the wooden structure can be dismantled, sold and the site restored to its original state. Consent for planning is being sought. If planning permission is received and funding secured, BSCL aims to open the shop by Autumn 2013.

7. IS THIS PROJECT VIABLE? According to research by the Plunkett Foundation, a national organisation that supports the development of community owned shops in the UK, only 8 (3%) of the 259 community shops opened in the UK since 1991, have closed (source: ‘Community Owned Village Shops: a Better Form of Business’, Plunkett Foundation, January 2011 ). None of these closures have been in the Cotswolds area. According to the Plunkett Foundation, most of the shops that have closed have been in remote rural areas where the populations are small and widely scattered.

12 BCSL: Detailed Business Plan

Community-run shops often succeed where privately-owned ones fail The Plunkett Foundation argues that two major factors ensure that community-owned shops succeed where privately-run enterprises fail or struggle ( source: ‘Community Owned Village Shops: a Better Form of Business’, Plunkett Foundation, January 2011 ): • a community is usually keener to support a community shop than a privately-owned enterprise . This claim is supported by evidence BCSL has gleaned from established community shops. In the case of community enterprises that have taken over existing shops (eg Wootton near Woodstock), turnover tends to be considerably higher in their first year of trading and remains strong, when compared with previous privately-owned shops; • community shops’ overheads are considerably lower than those of privately-owned shops . This is due to the fact that staff costs (typically the major overhead) are reduced considerably by the involvement of volunteer staff. In addition, community shops enjoy significant relief from business rates. Ample evidence supports BCSL’s likely success Although Bledington is a relatively small village, with a population of some 600, the evidence suggests that there is no reason for its scheme not to prove viable. BCSL should generate a sufficient surplus both to build up solid reserves and to donate funds to community projects, based on the following reasons: • evidence supplied by the Plunkett Foundation ; • the example of our previous shop. Before the decision to wind down the shop was made, the shop was profitable (despite various factors that dampened its performance); • the strong trading performance of established community shops with populations smaller than Bledington, and without the advantage of through traffic. Critical factors that will ensure success There are a number of critical factors that will be important for the success of the project. These include: • Location and footfall - Industry research clearly demonstrates that the choice of location is critical if a retail enterprise is to attract sufficient footfall. Based on BCSL’s extensive research, the proposed site at Middle Orchard is the best possible location – in the heart of the village – to ensure its success. • Continuing community support - BCSL’s three surveys suggest that the majority of village residents support the project, as do the Parish Council, the Governors of Bledington School, Bledington Housing Association, and The Kings Head Inn. Since February, 147 residents have signed up to become members of BCSL. In addition, 50 households have signed up to BCSL’s Regular Payment Scheme, committing to spend at least £40,360 by advanced direct debit in Year 1. This represents 25% of BCSL’s forecast retail sales in its first year of trading. • The product range and pricing - As is demonstrated clearly by existing community shops, product range and pricing are critical for any shop’s success. This is one, key reason why BCSL will employ an experienced professional as shop manager. BCSL’s studies of other community shops have also demonstrated the clear advantage of including a café. An attractive café will enhance trading performance significantly, both in terms of sales and gross profit margins. • Staffing - Effective staffing is essential, if BCSL is to retain the support of the community, and operate successfully. • Marketing/PR – An on-going marketing/PR campaign will be important, if BCSL is to remain successful in the long term. A number of younger members of BCSL with experience in this area have volunteered to help BCSL. • Management - BCSL is supported by members with a diverse range of relevant skills. BCSL will establish a Management Group, which will oversee shop operations on behalf of its members. Following the formation of Bledington Community Shop Ltd as an Industrial & Provident Society, 13 BCSL: Detailed Business Plan

several residents with suitable expertise have expressed interest in joining the Management Group, or in providing advice (including one with 10 years experience of working in an Oxfordshire village shop). BCSL is likely to generate healthy surpluses BCSL’s financial model has been constructed bearing these factors in mind. (see Financial Forecasts Pg 14ff and Detailed 5 Year Model Pg22ff). Based on the most conservative assumptions, BCSL’s projections suggest that the shop will generate the healthy surpluses that other community shops enjoy, if the shop is located at Middle Orchard, is supported by the community, and is run by effective staff and a strong management team.

8. BCSL’S LEGAL STRUCTURE Using the model adopted by the majority of successful community shops, BCSL will operate as an Industrial and Provident Society (I&PS). All community members can join BCSL at a cost of £1 a share. BCSL is registered with the Financial Services Authority (FSA) and a full Constitution has been drawn up. Once planning permission has been approved, BCSL will appoint a Management Committee, which will determine the shop’s general policy, appoint the shop manager, and oversee accounting, volunteer staff and operations. The full time, professional shop manager will be responsible for day-to- day operations, within parameters laid down by BCSL’s members. Monitoring of performance will be the responsibility of the Management Committee, which will have regular meetings with the manager and staff, and will actively seek feedback from the community and other shop users.

As an I&PS, surpluses generated by BCSL will firstly be reinvested in the shop (to build up adequate reserves), and secondly will be donated to community projects. Currently, the village supports many local services that require regular funding. These include the village hall, the Villager Bus Service (a volunteer run and funded local bus service), care services for the village’s older inhabitants, the toddler group, the church and the primary school. Once BCSL generates sufficient surpluses to make contributions to community projects, this should alleviate much of the pressure on particular individuals in the village to fund raise continually.

An IP&S is expected to apply for corporate membership of a wholesale organisation and, where practical, local suppliers will be used. Best practice as far as suppliers, staffing, health and safety and providing a positive contribution to the community will be followed. As an ethical company, the Co- operative Welfare Society (CWS), for example, actively pursues a policy of supporting community ventures and supplies goods at the same prices it charges its own shops. The advantages of membership include access to the CWS supply chain, a discount on those goods purchased through the CWS, a working capital loan of up to £10,000, preferential insurance rates, staff training and advisory support. Tesco also offers support to local communities establishing shops.

An open meeting was held in Bledington in early February 2012 to explain BCSL’s proposals, including the legal structure of the I&PS. This was attended by 110 people. To date, 147 people have become members of BCSL, equivalent to 31% of the adults in the community.

9. FINANCIAL FORECASTS BCSL’s financial forecasts ( see Detailed 5 Year Model, Appendix B, Pg22ff ) are based on extensive research and the results of a number of surveys conducted in the village. Whilst we have used the trading performance of the previous Bledington shop as a starting point, these figures are very out of date: the previous shop closed in early 2006, whilst our shop is anticipated to open in summer 2013. We have drawn more on comparative figures from existing community shops in the Cotswolds. We have also used figures from other community shops in the Southwest to check the sense of our

14 BCSL: Detailed Business Plan assumptions. In addition, we have drawn on the expertise of advisors at the Plunkett Foundation and Gloucestershire Rural Community Council (GRCC). We believe that our forecasts may well prove unduly conservative. The seven community shops with which we are working closely are generally reporting a healthy improvement in performance this year, on the back of better than expected sales, with all of them recording weekly sales comfortably above our forecasts. For instance, North Marston shop in Buckinghamshire has been trading for 6 months. It is already reporting 25% gross profit margins (compared with our forecasts of 21% for Bledington Shop’s first year of trading) on the back of revenues which are currently some 75% ahead of estimates made in their business plan . Our major assumptions are as follows: Revenue – will be generated from the sales of groceries and related services, as required by local residents. We have not factored in revenues from passing trade, although this could prove significant given the shop’s proposed location, next to the B4450. We have not factored in any revenue from possible postal services, although BCSL is in discussions with the Post Office to provide some postal services. We have also assumed that BCSL’s small café space will generate £11,340 sales in Year 1. In total, the shop and café are expected to generate sales of £170,100 in Year 1. We expect total sales to increase by 10% in Year 2, as the shop establishes itself in the market place and attracts more customers, and by 7% in Year 3. In Years 4-5, we have forecast an average 5% increase in annual sales. Bledington’s previous village shop turned over some £110,000 (excluding post office related sales) in its final year of operation before its closure in February 2006. BCSL’s forecast revenue of £170,100 in its first year of operation (assumed to be 2013-2014) is 55% higher than the old shop’s sales in 2005- 2006. This increase in performance is explained partly by the significant uplift in RPI between 2006 and 2014. It also reflects a threefold increase in retail space, the additional contribution from café sales, consistent (and longer) opening hours, much improved facilities and service, and an improved location with easier parking. Our forecast retail turnover of £158,760 in Year 1 looks conservative when compared with other community shops of a smaller size, without a busy through road. Table: Community Shops: Sales Comparisons Bledington Village A, Oxon Village C, Village D, Glos Somerset

Year 1 2011A 2011A 2011A Households (no) 270 245 250 260 Population (approx.) 600 500 500 500 Primary school (no of children) Yes - 87 Yes - 120 Yes - 40 Yes - 140 Busy through road? Yes No No No Annual sales (retail, £) 158,760 163,706 190,000 253,859 Annual sales (café, £) 11,340 0 n/a 26,832 Av retail sales/wk (£) 3,053 3,148 3,654 4,882 Av retail sales/ household/mth (£) 49 56 63 81 Av café sales/wk (£) 218 0 n/a 516 Av cafe sales per 3.50 0 n/a 8.60 household/month (£) Source: BCSL; Community Shops + Village Websites

15 BCSL: Detailed Business Plan

BCSL will use a ‘regular payment scheme’ to build a large group of regular customers, to improve cash flow and to increase revenue certainty. Under this scheme, which other community shops operate successfully, customers sign up and commit to pay the shop a regular monthly amount by direct debit. During the month, the customer can pop into the shop and use a card to draw down on their account. Meanwhile, the shop receives a known amount of money in advance, and can use this to buy goods. Since February 2012, 50 households (almost 20% of total households in Bledington) have signed up for this scheme, committing £40,360 in the first year, representing 25% of BCSL’s forecast retail sales in Year 1. In line with community shops already using this scheme, BCSL anticipates that, as the date for the shop opening draws closer, more households will sign up to this scheme. We also anticipate that scheme members will adjust direct debits upwards once trading has started. In terms of security, this scheme will reduce the amount of cash that the shop holds on the premises. Gross profit margins – in BCSL’s first year of trading, we have conservatively assumed an overall gross profit margin of 23.7%, enhanced by the contribution of a healthy 62% gross margin on café sales (cf Freshford café’s 66% gross margin in FY11). Our assumed gross profit margin on retail sales (excluding the café) is 21%. This is lower than most other community shops and compares with the Plunkett Foundation’s average reported 24% . Clearly much will depend on careful product mix and control of wastage: the shop manager’s skills will be crucial in this area. BCSL’s café will be valuable in helping to control waste and enhance margins: eg unsold vegetables can be used to make soup. BCSL’s long term target is to increase gross retail profit margins to 25%. That said, our prudent Year 2- 5 forecasts assume that gross retail profit margins improve only gradually to 25% in Year 5. It is worth noting that one recently opened community shop that is advising us, North Marston in Buckinghamshire, is already enjoying 25% gross profit margins on retail sales in its first 6 months of trading. Overheads – based on extensive research and using comparable shops’ actual figures as a sense check, our forecasts assume that overheads total £41,168 in Year 1, representing 24.2% of total sales. The key components are staff costs (50% of forecast overheads), light and power (12.1% of overheads), depreciation (10% of overheads) and accountants/audit fees (6% of overheads). We have also included £1,500 of contingencies (3.6% of overheads), as a prudent cushion for any unforeseen costs. We have prudently assumed that BCSL’s overheads – with the exception of staff costs - rise above inflation, at 5% a year, in Years 2-5. Staff costs – BCSL’s Year 1 forecast of £20,475 in staff costs assumes that the shop employs one full time, experienced and salaried manager (paid at a generous £10.00/hour – significantly higher than local rates (eg a nearby shop pays staff £6.50/hour, whilst another pays £8.00/hour)), supported by a team of some 20-25 volunteers. This is based on the existing requirements of established community shops and cafes. By offering a generous rate of pay (which is well above levels paid by most of our community shop advisers), BCSL should be able to recruit a high quality, experienced shop manager, attracted by the challenge of opening and building a successful shop in a vibrant rural community. Ideally, the shop will recruit a suitable candidate at rates below our estimate. BCSL will control costs by employing volunteers to support its professional manager. Over the last 6 months, some 35 people have signed up as volunteers. Following advice from other community shops, we anticipate that significantly more people will offer their services as plans for the shop become more definite. We fully recognise that relying on volunteers can be difficult, which is why we believe we need to employ an experienced shop manager. We are encouraged, however, by the advice we have received from other community shops. They report that volunteers generally remain committed to shop work because they enjoy the social interaction. That said, BCSL’s Management Committee may consider employing additional paid staff, as sales grow. Many community shops, for instance, are taking advantage of the government’s recently introduced apprenticeship programmes. BCSL is keen to provide employment and work experience for more local people – particularly the young or those returning to work after a break. 16 BCSL: Detailed Business Plan

In Years 2-5, we have assumed that BCSL’s experienced shop manager receives a 5% annual pay increase, together with a bonus of one month’s pay. We have also included an additional amount from Year 3 onwards to cover the cost of an additional part time paid worker. This explains why staff costs rise almost 13% in Year 3, impacting the expected surplus that year. Light and power – BCSL’s forecasts are based on actuals reported by established shops of a similar size.. Several shops experienced higher than expected electricity charges, because heat generated by chiller units resulted in the need for air conditioning. BCSL, therefore, shall explore various methods to reduce energy requirements, and to find greener solutions, if possible. Consequently, we hope that actual utilitycosts may prove lower than estimates. Accountants/audit fees – BCSL’s forecasts include a conservative £2,500 (7% of overheads) to cover accountancy charges and audit fees. In practice, many community shops find that local accountants resident in the village volunteer their services for free, or at a reduced rate. It is possible that we may find ourselves in a similar position in Bledington. Maintenance – in BCSL’s first year of opening, we expect maintenance costs to be relatively low at £1,000, rising 10% a year in Years 2 and 3, and 5% in Years 4 and 5. In addition, we have prudently included £1,500 contingencies in Year 1 to cover any unexpected overheads, and £1,575 in subsequent years. Depreciation – Basing our fixed asset costs on those of shops of comparable size, we assume that chillers are depreciated over 8 years, electronic equipment 5 years and shop fittings 20 years. Rate relief – As a community enterprise, the shop will benefit from 100% rate relief in its initial years. Surplus - Based on conservative revenue and gross profit estimates, and generous forecasts for overheads, BCSL may report a small deficit of £797 in its first year of trading. From the second year of trading, however, it should start generating a surplus, as the shop establishes itself in the market place and as staff increase their skills in purchasing and product mix, whilst keeping a tight control on costs. Table: BCSL: Summary Financial Forecasts (£) Year 1 Year 2 Year 3 Year 4 Year 5 Turnover 170,100 187,110 199,958 209,956 220,454 Cost of Goods Sold 129,729 142,702 152,197 159,387 166,915 Gross Profit 40,371 44,408 48,135 51,746 55,393 Gross Profit Margin (%) 23.7 23.7 24.1 24.6 25.1 Overheads 41,168 43,276 47,104 49,296 51,598 Overheads as a % of sales 24.2 23.1 23.5 23.5 23.5 Of which: - Staff + National Insurance 20,475 21,499 24,262 25,390 26,575 - Light + Power 5,000 5,250 5,513 5,788 6,078 - Accountancy + audit 2,500 2,625 2,756 2,894 3,039 - Sundry/licence/waste disposal 1,664 1,747 1,835 1,926 2,023 - Phone/ADSL/computer 1,300 1,365 1,433 1,505 1,580 - Others 4,729 5,015 5,320 5,587 5,866 - Contingencies 1,500 1,575 1,575 1,575 1,575 - Depreciation 4,000 4,200 4,410 4,631 4,862 Surplus/(deficit) (797) 1,131 1,031 2,450 3,795 Source: BCSL estimates 17 BCSL: Detailed Business Plan

10. FUNDING REQUIREMENTS Based on current estimates, BCSL forecasts total project costs of £205,000, to build the shop and to provide adequate working capital. The community has already donated 7% of total project costs Over the last six months, 116 households have donated some £14,000 towards the cost of the project (representing 7% of total project costs), with additional pledges given. BCSL has established a local fund raising committee, comprised of energetic residents, with experience of community fund raising, to raise additional contributions locally, through a variety of events. External funding is being sought to cover the majority of project costs Following advice from other community shops, the Plunkett Foundation and Gloucestershire Rural Community Council, BCSL expects to fund the majority of project costs externally, by targeting trusts, corporates and high net worth individuals. BCSL has established an external fund raising committee, made up of individuals with experience in this field (one, for instance, has raised funds for the Royal Opera House and Marie Curie, whilst another has worked in fund raising for the Tate Gallery, The Ashmolean Museum, the Cheltenham Literary Festival and St Anne’s College, Oxford). It is also working with the Plunkett Foundation, which makes grants and loans to community shops. Sponsors and donors are being sought for fixtures and fittings BCSL is seeking corporate donors to donate fixtures and fittings, including the café table and chairs, the shop counter, freezer cabinets, computer equipment, delivery bicycle etc. Table: BCSL’s Projected Start Up Capital Costs (£) Site purchase 25,000 External work an d drainage 39,000 Sub -structure 10,000 Purchase and installation of building 95,000 Electronic systems, alarms etc 3,000 Furniture, fixtures, fitting 11,500 Initial stock 10,000 Planning, architect etc 5,000 Cashflow requirement 6,500 Total capita l costs 205,000 Source: BCSL estimates Fund raising may prove to be an onerous task, given the general economic climate. As other recently opened community shops have demonstrated, however, it should not be an insurmountable one. BCSL believes that grant making bodies are likely to look more favourably on its application, if it obtains planning permission to develop the shop on the proposed Middle Orchard site, as this site makes the greatest economic sense.

11. TIME TABLE The business plan assumes these key dates:

Planning application submitted August 2012

18 BCSL: Detailed Business Plan

Grant applications submitted September-December 2012

Planning permissions granted November 2012

Formal tender accepted; December 2012-June 2013 Ground works carried out; Utilities installed: Building installed; Fitting out + intial stock completed; Operating manuals completed; Staff recruited + trained.

Shop opens July 2013

12. OPPOSITION TO THE SHOP Inevitably, there is some limited, local opposition to the opening of a new shop and café. The objectors appear to fall into two main groups: • Those who dislike the location chosen for the shop; • Those who do not believe it will be financially viable. Detailed (anonymous) comments from supporters and objectors can be seen in Appendix E ( Pg 26ff ). BCSL has considered these objections carefully and has incorporated appropriate measures into the proposed location and shop design and into the financial plan. These objections focus on: • Possible further development at the Middle Orchard site . There is concern that if part of the site is developed for a community shop, the remainder of the site – currently an untended paddock - will eventually be developed. Under the terms of the option to purchase a section of Middle Orchard for the development of a community shop, a strict new restriction has been agreed to prevent development of the remaining Middle Orchard area. BCSL believes that, with a large number of residents now owning shares in BCSL, more residents will be actively engaged in protecting and preserving the surrounding green area around the store. • General traffic flows : It is difficult to estimate the potential traffic flows related to BCSL. Based on advice from other community shops, the opening of a shop in the village could actually reduce car traffic, as residents switch from car transport to pick up necessities from outside Bledington to walking or cycling to the village shop. It will be important to offer a delivery service – preferably by bicycle – so that residents who shop on foot could opt to have heavy purchases delivered later in the day. • Parking and traffic flows were not a major issue at the previous shop , which was located in the village at the end of a residential terrace, on a sharp, busy corner of the B4450. There were usually two car spaces beside the shop, which proved more than adequate for both deliveries and customers. • Existing traffic flows in Old Forge Close : Some residents of Old Forge Close, which runs along Middle Orchard, are concerned about current traffic flows in their road, and possible additional traffic that might occur in Old Forge Close as a result of the new shop. Old Forge Close is a cul-de-sac, so should not attract additional shop-related traffic, as there will not be access to the shop from the close. Current traffic flows relate to existing residents’ requirements, and to nurses and carers visiting elderly clients in the cul-de-sac. Judging from the experience of other communities, this traffic may in fact decline when the new shop opens, because residents and care workers will be able to walk to the nearby shop, rather than drive to buy necessities. • If there is adequate parking at the shop, customers in cars are unlikely to park in Old Forge Close, as the Close is some way from the site, and there will be more convenient alternatives beside the shop. • Parking: The BCSL proposal includes parking spaces for 3 vehicles and some bicycles. Based on advice from officers at Cotswold District Council and the Highway Officer, as well as other community

19 BCSL: Detailed Business Plan

shops, and traffic surveys that we have conducted at local shops in the area and at the site, this should be more than adequate. • The only period when there might be additional traffic congestion close to the proposed shop is around school opening and closing times (8.45am-9.15am and 3.10pm-3.30pm). Currently, 3 families regularly park in Church Lane, opposite the proposed shop site, to drop off and collect children. Most other parents who deliver children by car prefer to park closer to the school on Main Road, the B4450. Because of the age of the primary school children, BCSL does not anticipate that this parking pattern will change dramatically once the shop opens. It believes that most parents will continue to park as close as possible to the school, and then walk to the shop. • Viability : Section 7 (page 12 ) discusses BCSL’s arguments for why the shop and café should be viable. Extensive advice from established community shops suggests that BCSL’s financial forecasts are conservative, particularly when compared with their current performance. • BCSL has decided to construct an attractive high quality, wooden structure . As well as reducing development costs, the building could easily be removed if the shop is not successful, and the site restored to its former state.

Discussions with established community shops confirm that they faced similar objections before they opened. Interestingly, these shops have found that once they started operating, these objectors became keen supporters.

20 BCSL: Detailed Business Plan

APPENDIX A: BCSL’S PROJECTED START UP CAPITAL COSTS

Note Cost (£)

Purchase of site 1 25,000

External work + drainage 2 39,000

Sub -structure 3 10,000

Purchase + installation of building 4 95,000

Electronic systems, alarms etc 5 3,000

Furnitur e, fixtures, fittings 6 11,500

Initial stock 7 10,000

Planning, architect etc 8 5,000

Cash flow requirement 9 6,500

TOTAL CAPITAL COSTS 205,000

Source: BCSL estimates

NOTES

1. Purchase price of land as agreed by owner of Middle Orchard, including cost of option

2. Based on surveyor’s site estimates

3. Based on surveyor’s site estimates

4. As per quotes from Norwegian Log

5. Based on North Marston shop (a timber building opened in Buckinghamshire in 2012)

6. Based on North Marston shop ( “ “ “ )

7. Based on recent shop openings (North Marston, South Cerney etc)

8. BCSL’s estimates

9. BCSL’s estimates

21 BCSL: Detailed Business Plan

APPENDIX B: DETAILED 5 YEAR FINANCIAL MODEL

Yr 1 Yr 2 % Chng Yr 3 % Chng Yr 4 % Chng Yr 5 % Chng Retail sales (£) 158,760 174,636 10.0 186,861 7.0 196,204 5.0 206,014 5.0 Av sales/wk (£) 3,053 3,358 10.0 3,593 7.0 3,773 5.0 3,962 5.0 sales per village household (£/yr) 588 647 10.0 692 7.0 727 5.0 763 5.0 sales per village household (£/mth) 49 54 10.0 58 7.0 61 5.0 64 5.0 Café sal es (£) 11,340 12,474 10.0 13,098 5.0 13,753 5.0 14,440 5.0 Av sales/week (GBP) 218 240 10.0 252 5.0 264 5.0 278 5.0 Annual sales/household (£) 42 46 10.0 49 5.0 51 5.0 53 5.0 Monthly sales/household (£) 3.50 3.85 10.0 4.04 5.0 4.24 5.0 4. 46 5.0 Total Sales 170,100 187,110 10.0 199,958 6.9 209,956 5.0 220,454 5.0 Retail COGS 125,420 137,962 10.0 146,872 6.5 153,039 4.2 159,661 4.3 Retail COGS as a % of sales 79.0 79.0 78.6 78.0 77.5 Café COGS 4,309 4,740 10.0 4,951 4.5 5,171 4.4 5,401 4.4 Café COGS as a % of sales 38.0 38.0 37.8 37.6 37.4 Total Cost of Goods Sold 129,729 142,702 10.0 151,823 6.4 158,210 4.2 165,061 4.3 Total COGS as a % of sales 76.3 76.3 75.9 75.4 74.9 Retail Gross Profit 33,340 36,674 10.0 39,988 9.0 43,165 7.9 46,353 7.4 Retail GP margin (%) 21.0 21.0 21.4 22.0 22.5 Café Gross Profit 7,031 7,734 4.7 8,147 5.3 8,582 5.3 9,040 5.3 Café GP margin (%) 62.0 62.0 62.2 62.4 62.6 Total Gross Profit 40,371 44,408 10.0 48,135 8.4 51 ,746 7.5 55,393 7.0 Gross profit margin (%) 23.7 23.7 24.1 24.6 25.1 Overheads Wages (incl NI) 20,475 21,499 5.0 24,262 12.9 25,390 4.6 26,575 4.7 Rates + rent 0 0 0 0 0.0 0 0.0 0 0.0 Maintenance 1,000 1,100 10.0 1,210 10.0 1,271 5.0 1,334 5.0 Water 105 110 5.0 116 5.0 122 5.0 128 5.0 Light & Power 5,000 5,250 5.0 5,513 5.0 5,788 5.0 6,078 5.0 Insurance 1,100 1,155 5.0 1,213 5.0 1,273 5.0 1,337 5.0 Advertising & Promotion + training 800 840 5.0 882 5.0 926 5.0 972 5.0 Office 624 655 5.0 688 5.0 722 5.0 758 5.0 Postage 100 105 5.0 110 5.0 116 5.0 122 5.0 Telephone/ADSL/computer 1,300 1,365 5.0 1,433 5.0 1,505 5.0 1,580 5.0 Sundry/License/Waste Disposal 1,664 1,747 5.0 1,835 5.0 1,926 5. 0 2,023 5.0 Accountant + audit fee 2,500 2,625 5.0 2,756 5.0 2,894 5.0 3,039 5.0 Finance & Credit Card Charges 1,000 1,050 5.0 1,103 5.0 1,158 5.0 1,216 5.0 Others (Contingencies) 1,500 1,575 5.0 1,575 0.0 1,575 0.0 1,575 0.0 Depreciation /Loss Plant Sales 4,000 4,200 5.0 4,410 5.0 4,631 5.0 4,862 5.0 Total Overheads 41,168 43,276 5.1 47,104 8.8 49,296 4.7 51,598 4.7 Surplus /(Deficit) (797) 1,131 N/M 1,031 -8.9 2,450 137.7 3,795 54.9 Source: BCSL estimates 22 BCSL: Detailed Business Plan

Table: BCSL: 5 Year Cost Analysis

Costs as a % of total sales Yr 1 Yr 2 Yr 3 Yr 4 Yr 5 Wages (incl NI) 12.0 11.5 12.1 12.1 12.1 Rent + rates 0.0 0.0 0.0 0.0 0.0 Maintenance 0.6 0.6 0.6 0.6 0.6 Water 0.1 0.1 0.1 0.1 0.1 Light & Power 2.9 2.8 2.8 2.8 2.8 Insurance 0.6 0.6 0.6 0.6 0.6 Advertising & Promotion 0.5 0.5 0.5 0.5 0.5 Office 0.4 0.4 0.4 0.4 0.4 Postage 0.1 0.1 0.1 0.1 0.1 Telephone/ADSL/computers 0.8 0.7 0.7 0.7 0.7 Sundry/Licence/Waste Disposal 1.0 1.0 1.0 1.0 1.0 Accountant + audit 1.5 1.4 1.4 1.4 1.4 Finance & Credit Card Charges 0.6 0.6 0.6 0.6 0.6 Others (eg contingencies) 0.9 0.9 0.8 0.8 0.7 Depreciation/Loss Plant Sales 2.4 2.3 2.3 2.3 2.3 Total costs as a % of sales 24.2 23.1 23.6 23.5 23.4

Costs per week (£) Yr 1 Yr 2 Yr 3 Yr 4 Yr 5 Wages (i nc NI) 393.8 413.4 466.6 488.3 511.1 Rates + Rent 0.0 0.0 0.0 0.0 0.0 Maintenance 19.2 21.2 23.3 24.4 25.7 Water 2.0 2.1 2.2 2.3 2.5 Light & Power 96.2 101.0 106.0 111.3 116.9 Insurance 21.2 22.2 23.3 24.5 25.7 Advertising & Promotion 15.4 16.2 17. 0 17.8 18.7 Office 12.0 12.6 13.2 13.9 14.6 Postage 1.9 2.0 2.1 2.2 2.3 Telephone/ADSL/computer 25.0 26.3 27.6 28.9 30.4 Sundry/Licence/Waste Disposal 32.0 33.6 35.3 37.0 38.9 Accounting + audit 48.1 50.5 53.0 55.7 58.4 Finance & Credit Card Charges 19.2 20.2 21.2 22.3 23.4 Others (eg contingencies) 28.8 30.3 30.3 30.3 30.3 Depreciation/Loss Plant Sales 76.9 80.8 84.8 89.0 93.5 Total costs per week ( £) 791.7 832.2 905.8 948.0 992.3 Source: BCSL estimates

23 BCSL: Detailed Business Plan

APPENDIX C: COMPARISONS WITH OTHER COMMUNITY SHOPS

During the last 6 years, BCSL has conducted extensive research, visiting both community and privately owned shops in the Cotswolds and further afield. In particular, we have been given detailed information and advice by the following established community shops, all in villages of a similar size to Bledington:

• Ascott under Wychwood, Oxfordshire • Leafield, Oxfordshire • Wootton by Woodstock, Oxfordshire • Filkins, Oxfordshire • Longborough, Gloucestershire • Temple Guiting, Gloucestershire • Freshford, Somerset • North Marston, Buckinghamshire • South Cerney, Gloucestershire • Down Ampney, Gloucestershire.

This advice has been particularly helpful when preparing our financial estimates.

In addition, BCSL has received most helpful data and advice from the Plunkett Foundation and Gloucestershire Rural Community Council (GRCC).

For detailed information about comparable community shops’ historical performance, please contact Ali Mackesy, BCSL (email: [email protected] ; tel: 01451 831727).

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APPENDIX D: 2010 VILLAGE SHOP SURVEY

BLEDINGTON COMMUNITY SHOP

2010 VILLAGE SURVEY & QUESTIONNAIRE -- RESULTS.

The survey forms were recently distributed to 270 households in Bledington, Foscot and Foxholes, and 215 of them were returned or collected over the following weeks. The results are shown below.

1, How important to your household is it to have a village shop in Bledington?

Very important 1; 76. 2; 55. 3; 49. 4; 12. 5; 23. Not important

2, How often might someone from your household use the village shop?

Daily; 25. 2-3 times a week; 90. Weekly; 66. Seldom; 28. Never; 6.

3, When more details are available, would you be willing to consider a financial investment in a community shop?

Yes; 59. No; 156. If Yes, donation; 26. Loan; 9. Shares; 24.

4, Would any members from your household be willing to spend a little time helping in the shop?

Yes; 35. No; 116. Maybe; 57.

5, How many people are there in your household in each of these age ranges?

0-16; 104. 17-25; 35. 26-45; 143. 46-65; 120. over 65; 117.

6, Do you agree with the proposal to build a community shop in Middle Orchard?

Strongly agree 1; 78. 2; 42. 3; 57. 4; 19. 5; 19. Firmly disagree.

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APPENDIX E: COMMENTS RECEIVED IN THE 2010 SHOP SURVEY

Stow Road and The Green

13 Difficult to compete with the supermarkets. Supermarkets have discount power, a village shop cannot compete with the likes of Tesco, Co-op and Daylesford. Already proved with the shop shutting already in the village. The American tried hard but didn’t get support from the local community. Speciality brands will not sell in the current climate.

15 Daily papers would be good.

17 I live alone. My needs are not very great and the financial side worries me.

18 We currently feel that too long has elapsed now since the closure of Bledington original shop and post office to realistically try and build up a community shop – although we would use and patronise it if it were to come into being. Depending on voluntary help and the shop could also prove contentious.

20 Very good idea for the community and the village. Supporting local producers, i.e. cheese, eggs, bread etc. plus basics for daily shop. Organic and local where possible.

21 It would be great to have a (meeting, connecting) place – fresh veg? homemade cakes etc.

27 I would be willing to help with the range of products. I have accounts with several wholesale suppliers and am happy to help with that.

28 5 The Green is to be a holiday let. It is to be assumed that tenants/holiday makers will need to use the village shop.

29 Good idea. Funds are rather limited but I would be willing to make a small donation or buy some shares and help.

32 I am very grateful to the committee for their persistent hard work. I do hope the planning permission will not take too long. I wish success for the whole enterprise.

34 It would be totally marvellous to have a well-run community shop. It would help pull the village together even more.

35 Not if it upsets the surrounding households. Also concerned about the traffic in the area. I do not believe, for various reasons, that this enterprise could ever become a lasting success. Church Street, Church Area, St. Leonards Court and The Paddocks

36 Very important but I know a site is difficult to find but I also like Middle Orchard as an open space.

38 Better to reinstate the original shop premises.

40 If at some time in the future, the shop fails financially, would the premises have an alternative use of benefit to the community?

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49 I would prefer not to build a purpose built place, but……….

50 Worried about traffic.

56 Our needs are small but many in the village can’t travel so easily and a local shop is crucial.

60 Good luck.

65 Talking to some other villagers, the preferred place would be closer to the new playground.

66 Dependent on whether it has new newspapers, milk or speciality, i.e. v. good vegetable, Foxbury pre- ordering meat etc. Chapel Lane

67 Can help when retired.

69 We probably wouldn’t buy large quantities of shopping but it would be useful to buy things we’d run out of e.g. milk fruit vegs.

75 The shop should be visible from, or clearly signed in an appropriate manner from the main road.

77 Would prefer to see frontage on Main Street to maximise passing trade. This could be done to bring building forward in line with existing hedge (most hedge would be retained). Parking could still be at the rear, but reducing footprint on the orchard. This could be a possibility to have a real ‘shop window’ to the main road, with a rear entrance for people in cars, similar to Longborough Farm Shop.

Is it also possible to include the following to make the site more attractive and ensure footfall for both local and passing (train run traffic): - Post Office (with post box) - Sunday papers - Coffee / benches inside/out - Small child play equipment to retain sense of destination, not just a convenience store - Could rest of orchard site be planted as a ‘community orchard’? Restful seating area Fruit sold in shop / chutney production etc?

If site development gives possibility for owner to build more houses, we should avoid partnership with him.

One other site could be on the site of the parking spaces at front of New Road. This seems to be very few parking spaces, lots of landscaping and with the loss of parking for 3 / 4 cars – would be a cheaper site, less impact on green space and easy access for utilities. Vehicle access is already established. Being so close to school would also provide a lot of ‘captive audience’ footfall twice a day.

Thank you Shop Group for keeping this project alive. Best regards Main Street

87 I think it is vital to bring the community together.

90 As Bledington is not my permanent home I would not be able to shop daily or help running the shop. However, I would give it my full support when in the village.

My house was previously owned by my late aunt who gave the old village shop her full support and was devastated when it closed. It was her lifeline to being able to remain in Bledington. My aunt was in her mid-eighties when she died, two years after the closure of the old shop. She had stopped driving and was unable to use public transport, so she had to rely on friends for odd things that she ran out of while I made a 130mile round trip every 2 to 3 weeks to stock her up. It was a constant worry for both of us. I am sure my aunt was not unique and there are many elderly and disabled

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people who would benefit greatly from being able to shop within walking distance.

91 We had a shop (in the village) which was handed over at a profit to the owners because they owned the freehold, rather than the business and flat at a lower commercial rate – the new shop should never be owned but managed perhaps with rental, preferably by a co-operative.

93 This is a great scheme, a Community Shop can only enhance village life. There would be less travelling to Stow, Chipping Norton etc. for top-up shopping which would be better for the environment.

94 I think Middle Orchard is an ideal place to put the shop. If the goods sold are not too expensive, it will do well. I have walked out of a shop because of overpricing.

97 If question 1} had been ‘How important to the village is it to have a shop etc.’ – my answer would have been ‘5’, not ‘4’.

99 Not here much – weekenders! But here throughout holidays and any free time. (Supportive)

Old Forge Close and Middle Orchard (Close to proposed site)

105 If the Shop Committee were unable to provide evidence against the current owner to prove the shop was financially viable to keep the existing building, how would you be able to prove such a case now, 4 years later to enable a new build in a green area within the centre of the village? As the members of the Committee mostly live on the edges or outside the village and/or have full-time (work) commitments, where will the volunteers come from? (Note from Committee member: most of us live in centre of village)

106 We would love to have a village shop again in Bledington but we do not want it on Middle Orchard. At the moment it is a green space in the middle of a lot of housing and we will wish to see it remain that way.

107 We will object in detail to Cotswold District Council against the planning application. The 106 agreement on the plot is there as a matter of trust, a small remnant of the huge green area, once pleasantly in the Old Forge Close area of the Village. If this scheme overturns the 106 agreement this opens the way for the current owner to persist in creating the next reduction of this green area ‘in the village interests’.

Contd…/

There are two better locations for a shop. Firstly: next to the new play area, already owned by the Parish Council. This area will become a centre of attraction in the village, ideal for a shop and perhaps a café. Secondly: the green area in Jackson Road.

Additional car parking and manoeuvring at the Middle Orchard shop site (deliveries, shoppers, shop workers) close to the shop will create a significant added danger close to the many adjacent road junctions and house entries. Apart from the main road through Bledington, Old Forge Close is the busiest and most densely constructed road in Bledington with 21 dwellings and over 30 household owner’s vehicles using or parking in the small cul-de-sac. Middle Orchard flats have care nurses, food deliveries, laundry vans etc. regularly arriving. Children regularly use Old Forge Close as a meeting and cycling area. All this activity will now have to negotiate the additional shop traffic and parking which will inevitably spill into Old Forge Close.

We are also of the opinion that a Bledington village shop, when the blinkers come off the unrealistic optimism, will not be viable; nobody in the last 30 years has made anything but very marginal profits .

110 No problem with location, but the shop must be financially viable. Like idea of coffee shop / takeaway.

112 If the Middle Orchard site is pursued, vehicular access must not be from Old Forge Close. The width of OFC is far narrower than Church Lane and cars and vans are always parked down one side, making it

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impossible to turn into for vehicular access if it were to be here. The risk of a road traffic accident on narrower OFC would be increased to unacceptable levels if cars and delivery vehicles were to use OFC for access. As it is, even with access from Church Lane, traffic will increase significantly as the shop will shift some of the ‘school run’ traffic to park along Church Lane. (Anyone who has driven past the school at 3 to 3.30pm will know just how busy this stretch of road becomes.)

121 Sorry I don’t feel able to help in the shop. (Older Resident ofMiddle Orchard Flats)

123 It would have to be like a supermarket, selling everything (resident aged 91 – in MO flats) Hazel Grove (next to proposed site) and Firs Close

130 We very much appreciate everyone’s efforts in driving this forward. A village shop would be an invaluable asset to the village. Jackson Road

135 We did try to buy the old shop/post office from the Bells but felt they weren’t interested in a sale.

136 The gravel pit field would be a better site next to the new playing field, as there would be off road space for parking.

139 It is not just for us now but for others moving in (in the future). Walking to the shop would be an incentive to walk and get out, particularly for some with petrol prices. I would not have moved here, if there had been no shop. The Ascott-under-Wychwood shop is super and welcoming.

142 Great idea – hoping to volunteer teenagers to help out!!

143 I feel time has gone on now so that people have made alternative arrangements. So my views have shifted somewhat since the last questionnaire.

147 I do question how often it would be used and wonder whether an alternative might be to run a shop and deliver service instead or start on a smaller scale than opening a full-on shop. Also, it would be worth asking people what items they would be likely to purchase on a regular basis. Best of luck.

148 I would probably only use the shop for minor items but still go to Tesco for a complete shop-up.

150 It would be better built near the play area.

156 Do agree, providing this is possible and everything goes well. Since the old shop has been closed, it seems like something is missing.

159 We so desperately need a village shop, not only for the elderly. Fuel is so high and after taking a walk to Kingham in the snow and lugging the shopping home, made it quite clear to me that we need a shop!

161 Would not mind an initial donation to set it up but would not be for a huge amount of money.

New Road

164 I would love to see a shop in village but my two main concerns are – will it open the flood gates for more building on Middle Orchard, as it is lovely as field – to see ponies grazing there. Also parking around this part. The family have to park on side of road (entrance to Church Lane), nowhere else to park, no driveway. Don’t like to leave the car parked too far away. I’ve had 2 counts of vandalism on my car in past.

176 Wish you all well but a lot of people have tried and all right for a month or two after that goes

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downhill.

181 I would want daily needs (bread, milk etc) more than upmarket produce.

184 Evening opening essential for viability.

189 I think it would be lovely to have a shop again in the village and very much hope planning is agreed/granted.

194 Would shop daily if papers, seldom if not. Ref point 6 – depend on parking and road crossings. Old Burford Road

202 After several years without a shop we regret that the project is now no longer viable.

209 Have real doubts that it can ever be economically viable. There is a challenge in finding a balance between everyday items and something that will attract visitors.

210 Agree with the idea but would only buy milk, bread and Sunday paper. You should look at Café de la Poste in Chadlington who have done very well since Post Office closed.

213 I have mixed feelings after treatment of the last shop. There should be a shop but not sure if we would use it.

214 I would definitely agree to having a shop in the village.

221 Under Point 6) Agree in principle with limited knowledge.

Station Road

224 Under Point 6) We ticked ‘firmly disagree’ because Bledington used to be known for its orchards at one time and the two remaining are sadly neglected but if restored could be turned into community orchards if circumstances permit. So we would like that land to be saved and reconstituted as an orchard, though maybe a remote possibility. Under Point 1) The community shop is a good idea which we support. It would also be nice if it stocked organic foods too.

227 Whilst it would be nice to have a shop in Bledington, realistically the shop in Kingham, given its comprehensive scope, suggests the idea is unlikely to succeed.

231 We like the field in the middle of the village but accept there are no other sites.

232 Use of the village shop depends on what it stocks. I would be more likely to use it if it were to stock a wide range of good quality fruit and vegetables.

233 We would be interested in good quality farm produce and fruit and vegetables. We hope that the business plan will be more informative about the product range. Foscot and Foxholes

246 Hope the shop will stock newspapers. (smiley face)

254 A village shop is most important to this area.

258 The shop has to have products, i.e.DVD’s to hire, wood, coal, papers, Lotto, Post Office, wine, beer, really good selection of food, cheese, cold meat, hot food, pies, bread, home-made cakes, jams, preserves etc. Good luck!

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260 It’s a shame we lost that shop as it was very useful. It will be used by young and old. Great plan.

262 Although I wish the project well, living at Foxholes any shopping involves a car trip. In the absence of the Bledington shop I have transferred my allegiances to Kingham stores and see no reason to swap back to Bledington.

264 Happy to write letter of support to the District Council. OTHER

1 Concerning question 4,. Our Nanny, would like to do a day in the shop each week.

3 A shop in Bledington would be very useful for workers on their farm.

4 Would like a shop in Bledington – useful for everyday household items.

5 Newspapers and sandwiches would be useful.

7 Depends on what it sells, would want local produce, no point replicating Tesco.

9 Used to work in a shop and although busy, would be happy to give advice.

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APPENDIX F: BCSL’s OFFICERS

Immediately after the closure of the former shop in 2006, the Bledington Shop Group Committee (now the officers of BCSL) was formed to explore ways to reopen a new shop. Membership is open to anyone in the area who is interested in joining. With a diverse range of relevant skills between them, the current officers of BCSL are: • Michael Lear (chairman) – a Bledington resident for 17 years. A Chartered Surveyor and a Fellow of the RICS, with 40+ years extensive experience of property matters in Oxford and the Cotswolds. A Trustee of several local charities, involving the deprived and underprivileged. Actively involved in village matters. • Sigi Lang (group secretary) – a Bledington resident for 15 years. Actively involved in a number of village activities, including the Bledington Women’s Institute. A former Clerk to the Governors of Bledington School. Before retirement, worked as a PA to the CEO of a German white goods company for 17 years. • Ben Woodward (treasurer) – a Bledington resident for 12 years. A chartered accountant, who runs his own business locally, selling branded health and beauty products to large multiple retailers and managing an industrial estate. Treasurer of Bledington Playground Committee, which successfully secured a site and raised all the funding for a new £100,000 playground in the village in 2001. • Rebecca Allen – moved to Bledington at the age of 7 and attended Bledington Primary School. Returning to live in the village in 19 years ago, has been actively involved in local fund raising activities. Works from home as a self employed Costume Designer in the television and film industry. She brings her extensive creative, communiciation and organisational skills to BCSL. • Benjamin Ball – a Bledington resident since 2009 and the area since 2001. Has a daughter at a local school. A Bledington Parish Councillor and an active local volunteer. Runs a Bledington-based financial communications business, advising companies throughout Europe. 25 years experience in publishing, telecommunications, corporate finance and business planning. • Peter Davis – a local resident keen to be involved because of his 18 years’ experience in the British retail industry. Formerly CEO of Sainsburys, a Fellow of the Institute of Grocery Distribution, and a former non executive director of Boots. Was Chairman of Business in the Community, responsible for establishing their Rural Action Team, and was appointed by the last government to the Curry Commission on the future of farming and food. Now retired, an investor in smaller businesses, providing them with strategic help, and actively involved in the charitable sector. • Penelope Leather – a Bledington resident for 31 years. Solicitor in Gloucester, specialising in Family Law. Actively involved in the village (has been a Governor of Bledington School (which both daughters attended), a Parish Councillor, and member of the Social Events Committee and the School Parents Association). Currently Trustee for Bledington Housing Association and Chairman of Bledington’s Poors Plot Charity. • Alexandra Mackesy – a local resident for 12 years. Bledington Primary School parent (and volunteer Latin teacher). Works from home as a non executive director of 3 UK PLCs, a business consultant and as a co-founder of a rapidly growing website operated from Bledington. 25 years experience as an investment analyst, with a particular expertise in the global consumer sector. 11 years experience with the Princes Trust, as a business mentor specialising in consumer-related companies in the Cotswolds.

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• Andrew Packe – a Bledington resident for 30 years. A member of the Parish Council for some 25 years (chairman for 10 years) before standing down in 2011. Works in Oxford as a land agent, primarily managing the large property portfolios of two Oxford colleges. • Heather Pearson – a Bledington resident for 22 years. A Chartered Town Planner, with over 20 years experience, a MRTPI, and currently Assistant Development Manager for Wychavon District Council. Actively involved in several village/community societies and events. • Jessica White – a local resident since 2008, and grew up locally. Graphic designer. Founding director of a web agency, currently employing 20+ people. Founder of an online interiors shop, and social media and design consultant to an award winning artisan bakery. Currently a full time mother. • Leo White – local resident since 2008, but grew up in the village and attended Bledington Primary School. 12 years experience in the IT sector. Founding director of 2 web agency/software startups, currently employing 20+ people. Wide range of commercial startup and small business skills developed whilst providing digital + IT consultancy services for 300+ SME clients.

For official communications, please contact:

Michael Lear, Chairman Bledington Community Shop Ltd Trinders Main Street Bledington OX7 6UG

Tel: 01608 659371 Email: [email protected]

Company registered as an Industrial and Provident Society with the FSA. No. IP031287

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APPENDIX G: HISTORY OF BCSL (formerly the Bledington Shop Group (BSG))

Feb 2006 Existing Shop and Post Office closes, and put up for sale (offers over £450,000) . A group of concerned villagers formed the Bledington Shop Group (BSG) to explore ways of reopening the shop.

July 2006 Owners of the previous shop premises applies for change of use from commercial to residential. The BSG leads an opposition campaign, and 145 letters were sent to the Cotswold District Council opposing the application. The CDC rejected the application.

Oct 2006 BSG conducted a detailed survey of the village, designed to monitor demand for a new shop. 138 households responded (51% of households in the parish). 103 households (38% of parish households) thought a shop in the village was very important or important. 5 households (2% of parish households) thought a shop was ‘not important at all’.

Nov 2006 The BSG surveyed the previous shop’s premises , and explored the possibility of purchasing the property, selling off or renting the residential space and opening a new shop in the existing retail area. Asking price still too high to make economic sense.

Other local people reportedly considered acquiring the premises over this period but were unable to match the asking price. One couple expressed interest in acquiring the property for use as a shop, to run in conjunction with their pub in an adjacent village.

Jan 2007 Previous shop premises remained on the market. The BSG continued its research , visiting 14 community-run shops in the Cotswolds and exploring alternative sites within Bledington.

Mar 2007 Shop price reduced marginally from ‘over £450,000’ to £445,000

Apr 2007 The BSG continued research , meeting VIRSA, Glos Rural Community Council etc to explore possible structures of community enterprises, grant funding etc.

Aug 2007 Interest from other parties in previous shop premises waned . The BSG produced a business plan, based on using the previous shop premises , funded by splitting the property’s retail and residential elements.

A new idea emerged : the acquisition of part of the old shop’s garden (‘the Garden site’), in order to build c.500sqft (minimum size viable) stand alone shop.

Oct 2007 The BSG had a positive meeting with the CDC’s Planning Officer at the Garden site, and detailed ideas discussed. An architect was appointed, who joined the BSG.

Nov 2007 The previous shop premises were withdrawn from the market. , The BSG conducted a survey of The Garden site, and considered other sites (including the Gravel Pit site, adjacent to the new playground, and the Middle Orchard site ). After considerable research, the Middle Orchard site appeared to be the only other viable location for a shop. The BSG approached the property’s owner.

Jan 2008 Three members of the BSG make an offer for the Garden site to the owners of the old shop. The BSG continued to investigate financing and ownership options , and has detailed discussions with the successful community run shop at Ascott under Wychwood. The BSG also liaised further with the CDC’s Planning Officer. 34 BCSL: Detailed Business Plan

Feb 2008 The BSG continued discussions with the owner of the Middle Orchard site.

Mar 2008 Negotiations continued relating to the purchase of the Garden site . A local couple made a second attempt to purchase the old shop.

June 2008 Garden site purchase completed. Planning application had to be in within 10 weeks – condition of vendors. Correspondence and meeting with adjoining owner. Architect liaised with planners, and preliminary sketches were produced. Concerns raised about flood levels. The BSG drafted a new business plan for the Garden site Potential buyers of the old shop withdrew because of the flood risk. Discussions with the owner of the Orchard site continued.

The BSG designed a second village survey.

July 2008 Garden site is confirmed to be in Flood Zone 2-3; potential problem for Environment Agency.

Results collated from the second village survey: 152 (56% of households in the parish) responded, 10% more than responded in 2006. 114 (42% of households in the parish) thought it ‘important to very important ‘ to have a village shop; 120 (44% of parish households) expected to use a shop ‘daily to weekly’; 62 (23%) supported the Garden site, 27 (10%) disagreed with it, 63 (23%) wanted to know more; 53 (20%) would volunteer to help run a shop; 28 (10%) were prepared to invest £500 -£10,000 in the project and another 34 (13%) would consider an investment when more details were known.

Aug 2008 The BSG agreed the final details for the Garden site’s planning application and submitted the application to the CDC.

Sept 2008 The CDC’s planning department return the Garden site application, and insist on a Flood Risk Assessment (FRA). Best quote obtained for this = £7,000. Meeting with local Councillors and discussion with senior Planner. Architects stage 1 & 2 fees paid. BSG decided to pursue Middle Orchard site as well as Garden site.

Nov 2008 Other options investigated regarding FRA, but none seemed practical. Continuing investigations/liaison into Orchard site.

Feb 2009 BSG agreed to abandon the Garden site and concentrate on Middle Orchard site , best by far for many reasons. Further attempts to liaise with CDC Planning officer, discussions with Councillors and owner of Orchard site.

May 2009 BSG reached tentative agreement with owner of Garden Site over way forward . Research and planning on all aspects of scheme.

Aug 2009 BSG met Martin Overbury, Planning Consultant . Orchard site surveyed. Owners of old shop apply for change of use again . Concerned villages again submit letters of objection . Despite this, the CDC grants change of use for the old shop from commercial to residential .

Nov 2009 Ongoing discussion/research : the building plans + perspective drawings drafted for the Orchard site, further communications held with CDC’s planning office and negotiations continued with owner of site.

Feb 2010 Consultations continue with The Plunkett Foundation, one of the BSG’s advisors . Another business plan drafted. Research into the finer details of setting up an IPS, the legalities and research into grant funding and raising of money continued. Negotiations continue.

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April 2010 A Community Shop Exhibition held during Bledington’s Spring Flower Show. 73 people attended the exhibition, 25 make written comments, of which 22 are positive. More planning application details ironed out. Building quotes asked for.

July 2010 3rd Village Survey planned and carried out , again with generally positive results. 216 households responded (representing 80% of households in the parish), a response rate 42% higher than the 2008 survey. 131 (49% of the households in the parish) thought it ‘important or very important’ to have a shop in the village – 16% more than in the 2008 survey. 23 (8% of households in the village) thought it was ‘not important at all, up from 8 in 2008. Based on the results of this survey, the BSG voted to continue with the project, working towards planning application.

Aug 2010 The BSG launched the Bledington Shop website

Sept 2010 An independent study of the survey results was commissioned from W Piotrowicz of Oxford University’s Said Business School + the results were published.

Sept 10 - May 11 Intensive research continued : other community shops revisited for comparison and detailed research + discussions held with advisors + industry experts

May 2011 Design access statement was completed. Research continued on business plan and financial model . Also, discussions with site owner continued.

Sept 2011 The BSG established BLEDINGTON COMMUNITY SHOP LIMITED as an Industrial & Provident Society. The BSG members became officers of BCSL. Also a more formal structure to the BSG was established.

Feb 2012 Open Village Meeting was held, attended by 110 people . BCSLofficers presented detailed plans for a Community Shop at Middle Orchard, and explained details of the I+PS. Lively Q+A session. I&PS membership forms distributed.

Feb – Jun 12 BCSL stepped up publicity by publishing regular updates on its website and in the monthly Bledington News magazine, and circulated updates I&PS members via email.

June 12 Cotswold Journal prints an article and photo about the shop

Source: BCSL Last updated: July 2012

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