Hans Lovejoy
Plans to purchase Mullum’s IGA supermarket as a community-run business has failed to gain enough private equity. But it was close – short by about $250,000.
The proposal – headed by Mullum Community Gardens president Greg Dutton – had called on wealthy local investors to buy the supermarket as founding stakeholders, who would subsequently be bought out by the community in the form of shares.
‘In hindsight maybe I needed to test the investment proposition more thoroughly with our über wealthy,’ Mr Dutton said. ‘However, in reality I didn’t have the time for that – there were three other bidders and we needed to be the first with a signed contract.
‘Over the last eight weeks, I personally spoke to and met 37 of our region’s very wealthy individuals as potential founding stakeholders.
‘I was working on what seemed a reasonable assumption – that just four or five stakeholders could comfortably provide the two million we needed to complete the purchase, while our greater community [organises to] buy them out. Without exception they all sincerely applauded the initiative and gave it fair consideration.
‘It quickly became obvious that if a founding stakeholder invests half a million dollars they would also want to be involved – understandably.
‘Perhaps this was the stumbling block. It seems that nearly all of them are too busy with their current businesses and financial projects to take on what I thought was a relatively small investment in our community initiative.
‘Most of them are also very involved in all sorts of other community and humanitarian projects too. So not one of the 37 invested.
‘And there is a huge thank you due to the five grassroots community members who did commit the $1.8 million.
‘You are very rare and essential people in our community.
‘I’m still getting a flood of support from our community and a loud message not to stop – something could still come out of it! And it may well in the fullness of time.
‘It’s not over until it sells to someone else!’
Greg Duttonr, I honour your lider ship and your vision Thank you for all your community effect on this amazing project. I also would like to ask you a question. How, the community purchase od our local IGA would make our community more sustainable?