Risks and challenges

No one wants to see a good idea executed poorly, especially one that has a purpose as strong as ours. This idea has been incubated for four years. Nine months ago Jeremy began giving it legs, meeting with advisors and consultants and assembling teams to research and prepare the idea as a product for Kickstarter. Much diligence and many resources have been invested to get it to this point. However, we know a concept like this will have numerous challenges to bring it to full reality.

But here’s what keeps us moving forward (and the reason we chose Kickstarter to fund the initial phase of this project): you have shown us overwhelming support. You, the community, along with industry outsiders and insiders, nonprofit partners, and leading voices from a variety of sectors continue to champion this idea and speak into it. We continually hear of ways to expand our vision beyond our first location. We have yet to hear from anyone who has a reason for us to believe this can’t become reality. But we temper our optimism with caution. We know the next 2-3 years (what we’re calling our studio phase) will be extremely difficult, but we are excited about assembling our “dream team” and taking the next necessary steps.

DREAM TEAM: The aim of this Kickstarter is to fund the first year of our studio phase, when we will attempt to raise the capital funding needed to bring this project to completion. This team will bring together the best design artists, international supply and finance, and hotel operators in the industry. Our finance team members have assured us that if we secure funding for our studio phase, we can put together a finance package that can build this hotel. We have a great pool of experts surrounding us from inside and outside the industry. There’s a quote attributed to Picasso that says, “Learn the rules like a pro, so you can break them like an artist.” That’s the approach we’re taking.

HOW LONG WILL THIS TAKE: This is going to be a 2-3 year process to build the first hotel. We will have a lot of fun along the way and involve our co-founders in every step of the process. We’re already planning an awareness tour for The Purpose Hotel, and we’re hopeful to launch our Purpose Store online almost immediately, so you can see the great products we are working into the hotel and have the opportunity to help these organizations and support us along the way.

SOURCING / PARTNERS: We know one of our biggest challenges will be in procuring enough goods that meet our stringent requirements to supply our ongoing operations. But we’ve been encouraged in our meetings with dozens of social good and not-for-profit entities on how we may source materials and continuously ensure quality-control. We already have a first-rate Furniture, Fixtures and Equipment (FF&E) team and award-winning design team to help build the building in place.

CONSTRUCTION: We are less concerned with the construction to operations phase because we have plenty of top partners who are eager to work with our project. We do have challenges finding the right property. Having funds in hand to pay cash (or mostly cash) for property will give us great leverage with owners and city planning managers.

GIVING BACK: Once our project is out of the ground, and we are operating as the first Purpose Hotel, we will have more ability to generate profit and give back in a direct way (but from day one we’ll source from and partner with organizations who are helping those in need). There is quite a bit of risk of getting us there. However, we believe the large support network of organizations we’re partnering with will drive our operation toward reality. They’ve done so much of the leg work over the years and are helping us find vendors who will supply materials in a sustainable, non-traditional and social conscious way. Together, we’re working to ensure every link in the supply chain can support and grow with us.

PRODUCT ADJUSTMENTS: We will continue to refine our process during our studio phase, and strengthen our hotel operations plan. This may bring adjustments to our model, the products we offer, and even the cities we will launch hotels in, but every decision will carefully weigh how it affects others. People are the purpose. We’ll never make a change for the sole purpose of boosting profits or making a name for ourselves. We’ll do everything in our power to keep our partners, the people we’re helping, our staff, our guests and our co-founders’ best interests at the forefront. And we’ll keep you, the founding members, up-to-date on exactly what and why changes were made. We believe accountability is key.

FULFILLMENT: Sometimes things go awry that can’t be planned for, such as a supplier missing a deadline, a machine breaking down, a shipment getting lost or even a natural disaster. Anything can cause a delay. To minimize the possibility of delivery setbacks, we have already vetted the supply chain and ensured the delivery of products for our Kickstarter backers. We aim to begin delivering these November 2016.

We are working with experienced manufacturers who have a passion and track record for delivering excellent products. Because the products being curated for The Purpose Hotel are in limited quantities and custom batches, there will no doubt be some surprises along the way. But we’re confident we can address any obstacle by combining our internal knowledge with external expertise. We’re not going to sweat it. Plus, there’s always the option of stress eating. Chips and guac, anyone?

Any pledge amount adds critical momentum and brings us one step closer to our goal. Help us make The Purpose Hotel a reality by clicking the “Back This Project” button at the top of the page. Help us spread the word by sharing our page and telling your friends!

THANK YOU for believing in The Purpose Hotel. We can’t wait to see you there!