An Indigenous company, Iman Operations, has secured a $800,000 impact investment funding package from Social Ventures Australia (SVA) to enable the company to deliver on a large commercial cleaning contract valued at approximately $5 million over 12 months, with mining services company Thiess. Thiess are the principal contractor to QGC on its gas project site in QLD’s Surat Basin.
The contract is expected to create 80 permanent jobs for Indigenous Australians and the loan, which comes from SVA’s Social Impact Fund, will provide working capital for the company to quickly and effectively scale their operations to meet the increased demand.
Ian Learmonth, Executive Director, Impact Investing at SVA commented ‘The Thiess contract is an exciting opportunity for Iman Operations and highlights the power of partnership to create positive social change within Indigenous communities. SVA partnering with an organisation like Iman Operations was a natural fit given Iman’s financial needs with the successful tender as well as its commitment to providing training and generating employment opportunities for Indigenous Australians.’
‘As well as the funding package, which would not otherwise be available from mainstream lenders, SVA has provided Iman Operations with financial advisory support and mentoring to assist them in fulfilling this contract and continuing to grow as a sustainable Indigenous organisation. SVA is uniquely placed to provide both finance and ongoing advisory support to its investments that is not commonly available amongst more mainstream financiers such as banks or credit unions.’
Thiess and QGC are also key stakeholders through their commitment to increasing the volume of local content within their supply chains. They are working actively with Iman Operations to ensure that the organisation is able to build on this contract to grow into the future and continue to create employment outcomes for Indigenous Australians.
Learmonth continues, ‘This deal highlights the importance of social financing initiatives in underpinning the social procurement activity of forward-thinking corporates, and creating lasting jobs in Indigenous communities.’
SVA’s Social Impact Fund was established with both Federal government and private funding to invest in businesses that also have a social outcome.
Media coverage of this story
Indigenous firm cleans up for the future, The Australian, 19 April 2014
Indigenous Co Secures Social Investment Funding, Pro Bono News, 22 April 2014
SVA provides $800,000 financing to Indigenous company, The Sustainability Report, 23 April 2014
Social impact fund to assist indigenous company with Thiess/QGC contract, Gas Today, 1 May 2014
Social investors aim to tackle unemployment among indigenous Australians, The Guardian, 8 May 2013
A $5 million contract has helped Iman Operations, an indigenous-owned company, to create jobs, Courier Mail, 19 May 2014