Investment Proposal - Westcoast Sports Associates

TO: Clark Hansen, CEO of Anima Mundi Development Partners (AMDP) 

FROM: Joe Skinner, AMDP Research and Development

DATE: June 30, 2021

SUBJECT: Charitable Investment Opportunity - Westcoast Sports Associates

Introduction: AMDP and the “Triple Bottom Line”

Every organization that receives AMDP investment operates in agreement with the values of the “Triple Bottom Line” (TBL). These values focus on "sustainability by measuring the impact of an organization's activities on the world” including “its profitability... and its social, human and environmental capital” (Linton). The “dimensions [of the TBL] are... commonly called the three Ps: people, planet and profits” (Slaper). Below are brief summaries of these values and the questions they beg:

        ●     People: A focus on the social implications of an enterprise's actions.
                ○ How do they benefit and/or harm individuals and their communities?

        ●     Planet: A commitment to minimizing environmental harm.
                ○ How can an enterprise limit pollution, habitat destruction, carbon footprint, etc.?

        ●     Profit: A signifier of an organization’s success and potential for longevity.
                ○ Which operations produce enough capital (financial, social, or otherwise) to justify their                              continuation?

Measurables

In order to judge whether an enterprise operates according to these values, AMDP should consider objectively measurable variables which reflect them. (Quotes from Slaper)

        ● Corporate Social Responsibility
            ○ “Social variables refer to... measurements of education, equity and access to social resources,                      health and well-being, quality of life, and social capital”.

        ● Carbon Footprint
            ○ “Environmental variables... incorporate air and water quality, energy consumption, natural                         resources, solid and toxic waste, and land use/land cover”.

        ● Social Enterprise
            ○ “Economic variables... look at income or expenditures, taxes, business climate factors,                                 employment, and business diversity factors.”

Standards

AMDP investments are reserved for organizations that consider each of these variables, in good conscience, before making any operational decision. With this in mind, I ask that you consider one such organization for investment: Westcoast Sports Associates.

Description

Background & Overview

Westcoast Sports Associates (WSA) was founded in 1994 as “a nonprofit 501 (c) 3 organization”, meaning it is a tax-exempt charitable enterprise (WSA: Home). Since its inception, it “has [provided] tens of thousands of economically disadvantaged kids the opportunity to participate in... youth sports programs” (WSA: Founders).

WSA contributors are “individuals who [seek to] perpetuate the life lessons they... learned by participating in team sports as children” for kids for whom it “would not be possible without [their] financial support” (WSA: Founders). In its nearly 30 years of existence, WSA has raised and distributed over $4 million dollars to youth sports programs throughout greater Los Angeles.

Operations

WSA has three primary functions: fundraising, providing grants, and organizing its own youth sports programs.

• Fundraising: accomplished via donation and corporate sponsorship.
• Grants: given to select youth sports facilities and leagues throughout greater Los Angeles
• Organizing: self-operated programs which function in the same way as the entities which receive grants.

Donation

All WSA donations are provided by its extensive membership base. There is a yearly membership fee of $500 which grants members access to quarterly social events that feature other fundraising activities such as tables at exclusive luncheons and dinners, high-value auction items and experiences, and celebrity photograph opportunities (WSA: Home).

Sponsorship

Apart from membership fees, fundraising events, and special donations, WSA generates revenue through corporate sponsorships. Its partnerships include the Los Angeles Lakers, Anaheim Angels, Wells Fargo, Banc of California, and dozens of other reputable enterprises (WSA: Home).

Grants

As a nonprofit, WSA distributes all of its revenue to numerous youth sports facilities and programs throughout the greater Los Angeles area. These include over two dozen recreation centers, Boys and Girls Clubs, USTA tennis academies, and WSA volunteer-run leagues. In their own words:

"Youth sports programs administered by WSA’s distinguished grant recipients provide safe facilities for young people to call their own, offer sports activities that influence healthy habits, and introduce participants to coaches and volunteers that become positive role models and life-long mentors." 

- (WSA: About)

Critical Appraisal

Consistent exercise is an important part of maintaining health. This is true for people of all ages, but especially true for children. Former First Lady Michelle Obama’s “Let’s Move!” initiative provides helpful information on this topic:

“Physical activity helps control weight, builds lean muscle, reduces fat, promotes strong bone, muscle and joint development, and decreases the risk of obesity. Children need 60 minutes of play with moderate to vigorous activity every day to grow up to a healthy weight.”

Youth sports programs are not only a fantastic way to encourage children to pursue a healthy lifestyle, but also provide them with unique opportunities for positive social development. As economically disadvantaged ethnic minorities, these opportunities are vital for the children whom WSA benefits. Such benefits include “social development; moral development, especially with regard to delinquency and aggressive behavior; and deterring negative behavior such as gang membership” (Seefeldt).

WSA and the Triple Bottom Line 

• People
• WSA is a textbook example of a people-first organization. Its entire purpose is to provide aid to those who need it the most with access to programs that can positively impact the rest of their lives.
• Planet
• WSA is virtually “carbon-neutral” in that its primary operations do not require extensive energy consumption. The only aspect of its functions that require the use of fossil fuels is transportation to and from their events: members to fundraisers and participants to their various athletic facilities, but this is relatively minimal.
• WSA does not engage in pollution or environmental destruction. 
• Profit
• As a nonprofit, WSA is concerned less with financial capital and more with social capital. Every dollar put towards their operations goes toward the betterment of the lives of thousands of children. This has the potential to benefit social outcomes for generations to come.

Recommendation

Due to WSA’s well-connected and highly affluent membership base, its impressive list of sponsors, and history of successfully executing its mission statement, I recommend that AMDP make a sponsorship-investment of whatever amount you deem appropriate.

Through a sponsorship-investment, AMDP would benefit by joining WSA’s impressive list of sponsors, gaining the prestige and name recognition that comes with their association. In this way, a sponsorship-investment could be considered a marketing opportunity. Most importantly, though, AMDP should invest to benefit the children for whom they provide the opportunity to learn and grow through participation in youth sports.

Works Cited

“Get Active.” Let's Move!, National Archives and Records Administration, letsmove.obamawhitehouse.archives.gov/get-active.

Linton, Jon. “THE TRIPLE BOTTOM LINE.” Municipal World, vol. 117, no. 11, Municipal World Inc, 2007, p. 69–.

Seefeldt, Vern D. “Youth Sports in America: An Overview.” President's Council on Physical Fitness and Sports Research Digest, ERIC, 31 Aug. 1997, eric.ed.gov/?id=ED413324.

Slaper, Timothy F., and Tanya J. Hall. “The Triple Bottom Line: What Is It and How Does It Work?” Indiana Business Review, vol. 86, no. 1, Indiana University, Indiana Business Research Center, 2011, p. 4–.

“WSA: About” Westcoastsports,https://www.westcoastsports.org/wsa-in-the-community-1 

“WSA: Home” Westcoastsports, www.westcoastsports.org/.

“WSA: Founders” Westcoastsports, https://www.westcoastsports.org/founders.