In France, turning impoverished banlieues into incubators for entrepreneurs

In Paris’s Banlieues, New Recipe for Success Is Local - NYTimes.com

Liz Alderman:

Despite pledges by Nicolas Sarkozy when he was president to address economic and social inequality after a series of violent riots in 2005 and 2007, though, critics say little has changed.

That is why a new generation of people like Mr. Benamer are trying to turn the suburbs into incubators for entrepreneurs, who see using their own initiative as the only way up and out of the banlieues, which are home to an estimated 10 percent of France’s 63.7 million people.

Through persistent lobbying, banlieue entrepreneurs have been founding “angel” investment funds, persuading big French companies like AXA Insurance and BNP Paribas to contribute seed money that fuel start-ups ranging from trash removal to taxi fleets. It was one such fund that recently helped finance the national expansion of Mr. Benamer’s Eat Sushi chain.

No one can yet quantify the new businesses emerging from this movement, or measure its success. But the activity is occurring largely outside the sphere of the French state.

“If we wait for the government to do something, people will just remain stuck,” Mr. Benamer said. “If we want things to improve, we have to do it ourselves.”

As part of the self-help effort, banlieue-based organizations that promote ethnic diversity have been aggressive about placing minorities into mentoring and jobs programs at French companies that as little as a decade ago routinely rejected applicants with non-French names.

“Things are changing,” said Majid El Jarroudi, a consultant of Moroccan origin, who grew up in the Paris banlieue of Montreuil.

Mr. Jarroudi, 36, started his career operating a small restaurant. He founded an organization, Adive, to assist banlieue entrepreneurs after visiting the United States and marveling at how much easier it seemed for minorities to move ahead.

Attitudes have shifted slowly in France, he said, but these days, “there is a growing recognition that the banlieues should not be seen as a place to fear, but as a source of dynamism, full of people who are eager to work and to succeed.”

via In Paris’s Banlieues, New Recipe for Success Is Local – NYTimes.com.

Evergreen: Here are 10 Nonprofit Funding Models

William Foster, Peter Kim, Barbara Christiansen:

What follows are descriptions of the 10 funding models, along with profiles of representative nonprofits for each model. The models are ordered by the dominant type of funder. The first three models (Heartfelt Connector, Beneficiary Builder, and Member Motivator) are funded largely by many individual donations. The next model (Big Bettor) is funded largely by a single person or by a few individuals or foundations. The next three models (Public Provider, Policy Innovator, and Beneficiary Broker) are funded largely by the government. The next model (Resource Recycler) is supported largely by corporate funding. And the last two models (Market Maker and Local Nationalizer) have a mix of funders.

via Ten Nonprofit Funding Models.

$3.99 is the best price for a self-published ebook

Laura Hazard Owen:

Self-publishing platform and digital bookstore Smashwords analyzed 11 months’ worth of sales — $12 million, 120,000 ebooks sold — to discern some best practices for self-published authors…. Among the findings:

Most authors price at $2.99…

Smashwords founder and CEO Mark Coker found that authors chose to price at $2.99 ”more frequently than any other price point. In last year’s survey, $.99 was a more common price point than $2.99. In this year’s survey, $2.99 was [chosen] about 60 percent more often.”

…but $3.99 sells the most copies.

Smashwords’ findings suggest that those $2.99 authors should price up by a dollar: “One surprising finding is that, on average, $3.99 books sold more units than $2.99 books, and more units than any other price except FREE. I didn’t expect this. Although the general pattern holds that lower priced books tend to sell more units than higher priced books, $3.99 was the rule-breaker. According to our Yield Graph, $3.99 earned authors total income that was 55% above the average compared to all price points.”

via What’s the best price for a self-published ebook? $3.99, Smashwords research suggests — paidContent.