Social Business

Every year around this time I begin to post less and less. Right on schedule, Recycled & New Bicycles has become one busy busy place. Fifteen new bicycles, four reconditioned bikes, and countless repairs have gone out the door in the last ten days. I've put in over 120 hours in the last two weeks. I'm tired. I can not remember the last time I went for a real ride. But, there are a lot of smiley people out there on their bikes. Thank you customers. Thank you Fuji and Redline.

There was a fantastic program on To The Best Of Our Knowledge this morning on NPR. The guest was Muhammad Yunus, a Nobel Peace Prize winner, famous for making "micro-loans" to poor women around the world. He described the difference between "Profit Maximizing Business" and "Social Business" and the inherent desire of humans to make the world a better place. Social businesses do not send profits back to stockholders or investors. Profits are made, but the investment is made in the local community.

Now, there are some people here in Logan that are "shocked" and think I commit highway robbery for buying a kid's bike for $102 plus $20 shipping, professionally building and fitting it, then selling it for $179. "Jesus Christ man, you made $57." Right. I have no rent, utilities, insurance, taxes, or licenses to pay for. My time has no value.

Again, Social Businesses do make a profit. But, there are no investors or profit takers, and these businesses give back to their community. Recycled & New Bicycles gave away 3 bicycles last week, and also did more than a few free repairs. I loaned my Burley trailer to a 21 year-old young man who has full custudy of his two children. I also loaned Lupine's little green Redline to another single parent. These freebies went to people who truly needed them.

Recycled & New Bicycles made no-interest micro-loans to over 30 people last year who did not have enough money to pay for a bicycle up front. They all had to pass my credit check. I looked them in the eye and asked, "will you pay me?" Most did. Some did not. I lost about $3,000 in 2008 and nearly $1,000 in 2007. Do you think I have learned my lesson? No. I have made 4 micro-loans already in 2009. I think I've helped a little to make Logan, Utah a better place. I'm a Social Business. Recycled & New Bicycles is different.