Development Ratings

CEO Andrea Coleman is an ex-motorcycle racer. She has both operations management experience and fundraising contacts in the motorcycle world. She has made impressive connections with the charitable foundations of several major celebrities, business leaders and politicians. Her husband and Executive Director, Barry Coleman, has law and journalism experience. A personal interest in motorcycle racing led to his now having over 15 years experience in developing sustainable TRM systems for difficult conditions. The COO was formally an auditor with KPMG, and has taken on the daily operational and financial activities. This frees Andrea and Barry to pursue advocacy and social entrepreneur networking. The Operations Director formerly worked for the South African Ministry of Health, was the fleet manager in Lesotho for the pilot programme, and now directs the TRM operations out of the UK. The field directors are all African nationals with experience either with their own health ministries or with charitable organisations. Trustees include business and motorcycle professionals and motorcycle enthusiasts. The charity’s Patron is HRH The Princess Royal.

2007 income was substantially lower than expected. The Zimbabwe country accounts, produced in Zimbabwe dollars, have income and costs largely matched in-country. But any surplus at year end is worth very little because of the impact of hyperinflation on the Zimbabwe dollar. A significant exchange rate loss is unavoidable, is entirely a paper loss and is not a result of physically exchanging funds. In 2007, extraordinary hyperinflation was by far the main reason for the 96% reduction in income from the Zimbabwe Ministry of Health. However, the authorities also sharply scaled back operations with Riders, to keep their own costs down. In addition, the Nigerian income has suffered from the reorganisation of operations from Abuja to Enugu.

Despite this, operating ratios were maintained at reasonably healthy levels. Adjusting for an assumed exchange rate loss would have resulted in a programme ratio of about 77%, administration ratio of 13% and fundraising efficiency of 10p. Riders’ model has a degree of sustainability, due to services income from ministerial and INGO contracts. However, in 2007, only 2% of income came from the Zimbabwe Ministry of Health compared to 35% in 2006. The Gambian operations are still progressing well, with a 30% increase in income. The new Lesotho operations are now active and progress is being made in phasing in the coverage of running costs by the health ministry there. Until the Zimbabwe economic situation improves, Riders’ current and future country programmes that will partially compensate for weak operations in Zimbabwe.

In 2007, income was from: Gambia Department of State for Health and Social Welfare 20%, Nigeria (WHO and others) 8%, Elton John Foundation (starting up Lesotho operations) 7%, Zimbabwe Ministry of Health 2%, events 18%, individuals 14%, corporations 9%, trusts and foundation awards 10%, partnerships 3%, other sources including training and servicing 9%.

The motorcycle community closely identifies with Riders’ motorcycle-related vision and will remain a key focus. Individual donations and events are a high cost source of funds, raising Riders’ fundraising efficiency. The 2007 figure looks worse due to lower income than expected during the year.

Costs per employee are low (£3,092 in 2007) reflecting the lower wages in Africa. African wages may need to be supplemented to compensate for hyperinflation but are paid in local currency.