FAQ:
How and why we do it.
Why are you helping the disabled community? What’s your angle?
1 in 4 people in this country have a disability. That means, you or someone you know is faced with a visible or invisible challenge. And yet, this group of capable human beings are still kept in the shadows. There are current workforce practices, like the Fair Labor Standards Act of 1938 that allows businesses to pay disabled workers as little as 4 cents an hour. Some people are denied basic benefits if they are married or have possessions worth more than $2000. If they are fortunate to find employment, many struggle due to accessibility, compensation gaps and discrimination. This should not be happening.
So, if this impacts everyone in some way, WHY WOULD WE NOT do this? If the past few years have taught us anything, it’s that we must work together to make the world better. People make the difference. If not us, who? If not now, when? If not here, where?
Why food service? What makes food service a good fit for someone with challenges?
Many food service tasks in daily operation are routine: bussing tables, cleaning dishes, assembling meals, running food, etc. Some people might find these tasks mundane or unfulfilling. Studies have shown that people with developmental challenges can thrive in repetitive, structured tasks such as these. More and more companies are validating this discovery and adding great value to their establishments.
Food service also offers a wide variety of employment opportunity beyond routine tasks, including leadership roles. Abermor’s primary goal is to match a person’s strength to the appropriate task and supply them with the tools to thrive. As Abermor grows and diversifies, so will our workforce.
So, who qualifies as disabled? Who is getting these opportunities?
According to the Americans with Disabilities Act of 1990, “disability” is defined as a physical or mental impairment that substantially limits one or more major life activities...
Although there is not an exhaustive list of disabilities under the ADA, the regulations identify medical conditions that would easily be considered a disability within the meaning of the law. These medical conditions are:
Deafness
Blindness
Diabetes
Cancer
Epilepsy
Intellectual disabilities
Partial or completely missing limbs
Mobility impairments requiring the use of a wheel chair
Autism
Cerebral palsy
HIV infection
Multiple sclerosis
Muscular dystrophy
Major depressive disorder
Bipolar disorder
Post-traumatic stress disorder
Obsessive-compulsive disorder
Attention Deficit/Hyperactivity Disorder
Schizophrenia
But aren’t disabled people risky employees? Too many accommodations? Too much liability?
No.
Some companies have shown a minimum of an 80% job-retention rate among their employees with disabilities. Compare that to the average 33.7% job-retention rate in the food industry.
According to the US Department of labor, two out of three accommodations cost less than $500, and almost a quarter of them will cost nothing at all.
By ensuring our organization is accessible for our employees, we are also assessible to our guests. It is our view that this should be a model for every company. If not for moral reasons, than for financial reasons. People with disabilities globally control $8 trillion in disposable income. Together with their friends and family, they represent 53 percent of global consumers.
How much of your income will actually go to the cause?
100%.
Yes, we have bills to pay and supplies are not free. That’s the cost of doing business. But, there are no high-priced executives nor lavish expenditures. After our basic expenses are covered, ALL of the money goes to creating the next opportunity for the disabled community.
But restaurants have the worst success rate. What makes Abermor different?
Unfortunately, that is correct.
A study by Ohio State University on restaurant failure rates found that 60% of restaurants don’t make it past their first year and 80% close within five years of their grand opening.
Here are 5 top reasons why they fail and how Abermor is different:
No clear mission
Some people think running a restaurant is easy and it’s a quick way to become rich. They’re in it for the money. This can shutter a place within a week of opening. A restaurant has to have a clear “WHY am I doing this?” to be successful. There has to be a strong passion and drive to push through all of the inevitable obstacles.Abermor has a very clear why: provide the disabled community the opportunity to be independent through something that brings us all together - food. There are actually so many reasons why we are doing it, it’s harder to find reasons why we wouldn’t. (For our full mission and goals, see Who we are)
Spending too much too fast.
On average, the median restaurant start-up cost is $375,500. Too many new restaurant owners spend excessive amounts of money on unnecessary purchases. Flashy customer areas, top appliances, latest technology, etc., but no customers coming through the door providing steady income.Abermor’s organizational structure focuses on starting small. We are taking important steps to slowly build our client base and operate on a solid foundation. (See Organization Strategy)
Ineffective financial planning
After basic overhead expenses are paid, the average restaurant only nets between 2% and 6% profit. Supplies, labor and overhead expenses are astronomical. With a razor-thin profit margin, it’s difficult to navigate menu pricing vs. operating costs.As a nonprofit, we are able to benefit from donations, grants, discounts/credits and government subsidies. These additional funds help increase the profit margin and allow our restaurants to have the flexibility needed to be sustainable. As the organization grows, our restaurant group has the ability to select offerings that best suit the location, neighborhood and the current market. Furthermore, future plans include a farm-to-table/food production operation that would further lower the cost of food supplies.
High employee turnover rate averaging 70%
Training people is an expensive burden; especially if it is constant. Three in five restaurants cite hiring as one of the main struggles of running a restaurant.As mentioned above, companies have shown a minimum of an 80% job-retention rate among their employees with disabilities. Slashing the burden of employee turnover allows us the freedom to focus on our mission. Plus, government programs exist that lessen the costs associated with the hiring, training and placement of an employee with disabilities.
No strong customer base
A place can have the best food, but won’t survive without customers. Restaurants rely on repeat customers or a loyal fan base to sustain their business. According to global management consulting firm Bain & Company, growing your repeat business by as little as 5% can increase sales by up to 75%.Starting out small allows us to establish a customer base. As we grow, our fan base comes with us and becomes larger. Once we are ready to open our first location, our loyal group of fans will be built in and ready to propel us forward. Fortunately, the disabled community is already an established group that represents 53 percent of global consumers. We are lucky to start out this journey with over 61 million people on our side!