Chain Reaction

A crowdfunding platform where ventures are rewarded for using local suppliers

Noel_hatch Submitted by Noel Hatch
Public Service Launchpad
How would you change local public services?

Councils find it difficult to support the local economy, because they can't easily prioritise local suppliers or can only invest in individual social ventures. What about if they were able to invest in local supply chains & incentivise local groups to invest in each other as well? For more, see http://bit.ly/197E2Mr. Chain Reaction would be a crowdfunding platform where ventures are rewarded for using local suppliers. Like with crowdfunding platforms, people could put forward early stage ventures & get people to crowdfund them. The difference would be that, where the ventures identify what they need the money for, they get extra points for specifying local suppliers. Crowdfunding platforms focus on enabling ventures to connect with people to donate to their cause. This platform does that but also connects ventures with local suppliers for the resources they need to make their project happen. It incentivises early stage ventures to use local suppliers to help them sustain their service.

  • Nicola Wilson
    06 Oct at 14:17

    This sounds a great idea. Would it be possible to do this by local councils curating an area of an existing platform rather than developing and hosting their own? Perhaps the Council could then use the local services aspect as part of the selection criteria for which projects to feature. Identified suppliers could then promote the project through their own networks as well.

    My one concern (as with other crowdfunding ventures) is the follow up and accountability - how would councils ensure that projects were not only paying lip service to the local supplier criteria and then selecting their own once they had the money?

  • Nicola Wilson
    06 Oct at 14:38

    I could see a good link up between this idea and the Monthly Mini Challenge that I just submitted.

  • Noel Hatch
    07 Oct at 10:42

    Absolutely, I wasn't expecting local councils to develop the platform itself. Think the idea of curating an existing platform is a very good one. I think it would be a good way of suppliers being able to reference what projects they had worked on (act like a portfolio too). Agree about how you measure accountability. By listing specific local suppliers that were registered on the platform in their crowdfunding bid (Brown's Bakers for bread for a restaurant), there would be transparency in who they were planning to use (and it would alert Brown Bakers). So if they didn't use them, the suppliers could hold them to account. But I think it would be even better if there was a mechanism for them to act as a consortium where monies were split up accordingly, wonder if there is a way to do this in procurement?

  • Noel Hatch
    07 Oct at 10:44

    Just seen your mini challenge, yes I think the two can work together! Always important to bring people together to create a community...which then can be the basis for suppliers to meet each other and form collectives for projects.