CORE Foundation- Creating Opportunity In Innovation and Entrepreneurialism

1. CORE Foundation- Creating Opportunity In Innovation and Entrepreneurialism “To encourage entrepreneurship and innovation through support of educational, civic-minded, and social entrepreneurial programs.”

2. About the CORE Foundation Established in 2006, The CORE Foundation is a 501c(3) non-profit charitable organization. Our all-volunteer Board of Directors and committee membership allows us to dedicate resources to achieving resultsand creating opportunity for individuals in our community. Over time, based on our backgrounds in local business and industry, we evolved into an organization passionate about supporting innovative and entrepreneurial efforts. In 2010 we adopted a new vision, and in this year, it became our mission to become the preeminent foundation in Eastern Washington for supporting innovation and entrepreneurialism. 2011 Board of Directors Paul Ash, Treasurer and Board Member, (Denhode Farms) Jarrod Franson, Vice President and Board Member (Sun Pacific Energy) Scott Ridgeway, Secretary and Board Member (Cobalt Mortgage) Steve Schwan, President and Board Member (The Schneider Morehouse Co.) Ryan Sullivan, BPC Chair and Board Member (Pacific Crest Planning)

3. A Glance At Charitable Giving By every standard, Americans are the most charitable group of people on the planet. • In 2008, Americans gave $315 billion to over 1.28 million non-profit charitable organizations • In 2009, during the height of the recession, Americans gave $303 billion (or about 2% of GDP) • 75% of this came from individual donors • 819,000 registered 501c(3) organizations in 2000- 1.28 million in 2009 • Baby Boomers will give away an estimated $25 trillion in the next 25 years Traditional non-profits have focused on specific gaps in the community- specifically social needs such as hunger, poverty, juvenile delinquency, and education , etc. • $100.9 billion to religious • $40.0 billion to education • $27.9 billion to human service • $22.8 billion to public benefit • $22.5 billion to health • $12.3 billion to arts and humanities • $6.5 billion to environmental Entrepreneurial and Innovation Foundations? Kauffman $2 billion vs. Gates $38 billion

4. The Questions That Need Asking… While traditional charities are important to our community the questions that need to be asked are…. • Are they results-based? • Do they address the underlying cause of problems in our community? • Do they create sustainability in our community? • Do they create opportunity in our community? • Do they create prosperity in our community? If there was an organization that answered “yes” to the questions above while retaining the basic values of charitable giving would your hard-earned individual or corporate dollars be better used there?

5. Consider The CORE Foundation “Give a man a fish and you feed him for a day. Teach a man to fish and you feed him for a lifetime” Our organization is unique in that we focus on charitable contributions that create opportunities in the areas of innovation and entrepreneurialism. We believe charitable ends should be results-based, create real opportunity, and foster long-term prosperity for our community. Why? • We believe the best possible way to improve quality of life and well being is to support and or develop opportunities in the areas of innovation and entrepreneurialism. We focus on supporting and running programs that will achieve the goals of our mission. • The value of donating to us directly is that we carefully vet other programs in line with our mission. • The greatest improvements in the human condition and quality of life have always been preceded by innovation and entrepreneurialism. Communities that foster and innovation will experience a general increase in the standard of living and PROSPERITY for a vast majority of it’s population. Why prosperity? Isn’t that why we give to charitable organizations…

6. Why Prosperity? Pros * per * i * ty Defined as: the condition of being successful or thriving; especially : economic well-being…but also includes overall happiness, health, and social well-being. • The top 20 “prosperous” countries are advanced modern economies with high rates of innovation and entrepreneurialism. Conversely, the bottom 20 countries are authoritarian regimes in the Middle East and Africa. This is true on a micro-economic level as well (Charlestown, WV vs. Charlotte, NC). • Studies also show that the poorest 10% of the population living in countries with the greatest economic freedom have 10 times the per capita income of the poorest citizens in countries with the least economic freedom. In other words, society as a whole benefits from greater economic freedom and prosperity.

7. What Does Prosperity Look Like? Not only will prosperity increase income, but also the standard of living. Communities that prosper can expect… • Better access to quality health • Longer life expectancy • Better mental health • Lower unemployment and poverty levels • Better Education • Lower divorce rates • Lower crime rates • Higher income areas have better retention of youth because of the opportunity for employment

8. What Creates Prosperity? "Capital isn't so important in business. Experience isn't so important. You can get both these things. What is important is ideas. If you have ideas, you have the main asset you need, and there isn't any limit to what you can do with your business and your life.“ – Harvey Firestone INNOVATION- Creation of opportunity for individuals to capitalize. Ideas generate opportunity • Penicillin, the wheel, duct tape, the spreadsheet, salt, ice, artificial heart ENTREPRENEURIALISM- The process of individuals organizing, managing, and assuming the risks of a business or enterprise • Bill Gates, Walt Disney, Henry Ford, Henry Luce, Willis Carrier, Ray Kroc These two independent concepts must be brought together, especially in terms of educating our youth and providing them with real opportunity to be successful. Local innovation will create opportunity for individuals to be entrepreneurial. In turn, creating prosperity and so on. Innovation and entrepreneurialism are the drivers behind wealth creation, opportunity, and prosperity.

9. What Creates Prosperity? Creates LOCAL opportunities for entrepreneurialism LOCAL Innovation Creates LOCAL wealth and value Opportunity Creation Innovation and entrepreneurialism have an exponential effect Creates LOCAL increase in the standard of living and less reliance on social services More LOCAL resources to support economic growth

10. Who Creates Prosperity? • In 2010, 0.34%, or 340 out of 100,000 adults started a new business each month, representing 565,000 new businesses each month. • Immigrants twice as likely to start a new business in 2010. • Of the fastest growing 500 private companies, they created 35k jobs in 2010. • Ages 20-34 are the less likely to start a new business. • In terms of education, those without a high school degree are increasingly starting their own business (out of necessity). • Washington is 39th out of 50 in entrepreneurial activity by state. • Seattle was 14th out of 15 major metro areas in entrepreneurial activity(220 entrepreneurs per/100,000). • On average, one-year-old businesses create nearly one million new jobs a year, while ten-year-old firms generate just 300,000. • Between 1980 and 2005 nearly all net job creation in the United States took place in firms less than five years old. • On a macro-level, areas with economic activity that encourage innovation and entrepreneurialism have increased per capita wages.

11. The Ask First- We ask you to re-think your definition of charitable giving and consider charity as creating opportunity and empowering individuals to prosper through innovation and entrepreneurialism. We believe this does not change the “essence” of charity and why you choose to give. Second- We ask you to re-consider where you spend your charitable contributions and consider the possibility that part of your money is better invested into programs that foster innovative and entrepreneurial activity. There is a real, identifiable local charitable “gap” in this type of giving which is often overlooked. The value of donating to us directly is that we carefully vet other programs in line with our mission. Third and Most Important- You and your company or organization’s “buy-in” is critical to CORE. Beyond your financial contribution, your participation and credibility is critical to our success. If you believe in what we do, it will help us grow financially and in membership. The best donation you can give us is to be an active advocate of and participant in the CORE Foundation and its programs.

12. Facilitating Opportunity We are a completely all volunteer staff. 100% of your contribution goes directly to the endowment. A very small portion goes to operational expenses. CORE Education • Tri-Cities Young Entrepreneur Scholarship • DECA • CORE Internship Program CORE Grants • SIFE • CORE Young Entrepreneur Grant (eligible 18-25) • RFP’s for local innovative and entrepreneurial programs (act as a passthrough) CORE Programs • 2012-13 Business Plan Competition w/WSU Tri-Cities • 2013-14 Three Rivers Ideas Conference • 2014-15 Ideas48 (weekend entrepreneurial boot camp) CORE Legacy Project • 2020 Local Charter School (focusing on innovation and entrepreneurialism)

13. The Return On Investment Charitable giving should be looked at as an investment in the future of our community. The ROI for investors goes beyond funding our programs. We believe in programs and other organizations that are results-based for posterity. If we can foster and or encourage just one individual to create the next Microsoft, or an advance in food processing, or a breakthrough in nuclear energy in our community, and he or she creates prosperity for hundreds, possibly thousands of individuals, we will have improved the quality of life above and beyond the traditional scope of charitable giving. We believe our organization will create prosperity for our community while satisfying the basic tenets of charitable giving. Creating economic opportunity is the best charity we can give individuals. The timing is relevant- our area is blessed with several natural resources, agriculture, and science and tech-related businesses-but with the Hanford drawdown it will be important to focus on the future of economic prosperity in our community. We have a well-educated ,wealthy, and active community- this is recipe for long-term prosperity. Creating opportunity locally will bear fruit in the long run. Young professionals need opportunity to stay and invest locally. The best way to retain local talent is to expose them to real opportunity in this area. Most important to innovation and entrepreneurialism is OPPORTUNITY. We sponsor programs that create opportunity by harnessing our community’s innovative and entrepreneurial efforts. The Tri-Cities is blessed with a diverse background- from science and technology, to wine, to agriculture. Putting the pieces together will create prosperity.

14. Thank You The Core Foundation would like to thank you for your valuable time. Remember, the long-term prosperity of our community is linked to the individual citizens who are willing to give back to causes that promote and create opportunity in the areas of innovation and entrepreneurialism . We should not expect or rely on help from outside sources. Join us to build a results-based foundation that will pay dividends in our community beyond tomorrow. Many thanks, CORE

15. Sponsorships Individual Sponsors • Gold Members (individuals who donated $5,000 or more) • Silver Members (individuals who donated $2,500 or more ) • Bronze Members (individuals who donated $1,000 or more) • Friends of CORE (individuals who donated $100 or more or their time) Corporate Sponsors • Sun Pacific • Cobalt Mortgage

16. Partnerships Corporate Sun Pacific Cobalt Bechtol Flour MSA Lampson Apollo McCurley Windemere Hapo GESA Government/Non-Profit TRIDEC Kauffman Herbert P. Jones SIFE DECA Junior Achievement WSU Tri-Cities CBC CBC Foundation PNNL Area Chambers of Commerce Smart Expo IT Day 3 Rivers Entrepreneurial Network Global Entrepreneur Network NFIB Young Entrepreneur Foundation Individuals