P.A.L. youth are engaged in small business
SAN JOSE, CA (August 19, 2013) -- Biz Kids move out. The Fun Time Cookie Company is taking over! Dan Goldin, of Meriwest Credit Union’s Business Banking Team, helped kids belonging to Richmond, California’s Police Activities League start their own business and learn how to manage it. Kids learned how to manage the business process. They had to buy materials, plan their marketing, put labor into mixing and baking, and finally sell the cookies to their classmates. In the end, the business returned a net profit margin of 53%.
There were approximately 15 kids between the ages of 7-16. They were divided into two groups, Bankers and Business Owners. The bank accepted $50 in deposits from parents and counselors. Then the cookie company applied for a $50 loan to purchase the materials to bake cookies. The loan funded on July 10th.
The kids kept records of all sales and expenses. They returned $159.74 net profit on a gross of $301.37. The Fun Time Cookie Co. repaid their loan with interest and the bank settled with their accountholders. “The kids of Richmond’s Police Activities League were real capitalists!” said Dan Goldin, Business Banking Officer at Meriwest Credit Union. “It didn’t take them long to learn how profit margins worked and they were soon talking about the ‘bottom-line.’ This program can be easily replicated at other children’s programs.”
“As a result of the Fun Time Cookie Company, participation in the program by PAL children expanded. Participants consistently showed up to contribute to the success of the business.” said Brenda McCuistion, Mentoring Program Coordinator with the Police Activities League in Richmond CA. “I watched relationships build and team work develop. Leadership emerged from the kids and I saw future entrepreneurs in action. Dan and I witnessed a lot of creativity both in sales and in the creation of a tasty cookie.”
About Meriwest Credit Union
Meriwest Credit Union, one of Silicon Valley’s largest and established financial institutions, has been providing proactive, personal, convenient and innovative financial services to over 72,000 businesses and families throughout the San Francisco Bay Area and Tucson, Arizona, since 1961. More information can be found at www.meriwest.com.