Homelessness is a growing social issue in the UK, with 96,600 households in temporary accommodation in March 2021 according to a government report. And far from being truly temporary, evidence suggests that many people can spend three years or more in living arrangements such as hostels, B&Bs and caravans while they wait for more long-term housing.

This was a problem that Meg Doherty became keenly aware of when she took a placement at a YMCA hostel as part of a higher education course in social innovation. 

She realised that despite working, for those in temporary accommodation, the high cost of hostels meant that many people were unable to save a deposit to rent their own home in the future, and started to consider how she could support the homeless community in a truly sustainable way.

Here, Meg talks about building a mission-led business model that takes into account the “messy humanness” of homelessness…

“Fat Macy’s all started when I was doing a course and was placed at a hostel for five months to gain work experience. 

“I knew nothing about the experience of homelessness before working there and was shocked to find how hard it was for people to move out of hostels - they very much aren’t temporary for many people. 

“Hostels often cost over £1000 per month, which is covered by housing benefits, but as soon as you start working more your benefits are cut, and these rental rates are too high for most people. 

“In order to stay in the hostel, it’s often easier to stay on benefits, and there is very little incentive to work as a result (you’re often worse off if you work). 

“This dilemma was the centre of how Fat Macy’s came about, as we were trying to find a way around the benefits trap for the people living there.

“While working at the hostel I noticed how much people loved cooking. There was a guy who came in to run Caribbean cooking classes.

“Hostels aren’t always great places to be, but whenever the class was on there was so much life and fun in the room. People were cooking together and there was music on – it almost felt like a feel-good moment from a film. And the food was very good.

“There were lots of fancy restaurants nearby. I would see Londoners go out and spend a lot of money on food, when the food being cooked in the hostel was just as good.

“That was when I started to think that there had to be a way to take these people who were interested and skilled in cooking and combine it with the London food scene.

“I started to think about how we could create a model that would help people. There are a lot of employment programmes out there that don’t look at the bigger picture. 

“I wanted to think about what was really important to people beyond work – about where they’re living, if they have access to travel and if someone is supporting their wellbeing.

“For me, it was about taking a human approach. 

“It meant that they could gain experience while also getting tangible things that they really needed.

“Before opening a restaurant, we started out with supper clubs. Our first one, where we sold tickets for people to come and have a three-course meal laid on by us and our trainees, was a big milestone. It was very rough and ready, but seeing our vision work was great.

“Our supper clubs were held at cafes or spaces across London. We’d host a site and run events for a few nights, or over a month.

“People booked tickets, and trainees ran the whole event - both the food prep, cooking, and front of house.

“When Nathalie came on board everything changed for the better.

“Before then, Fat Macy’s had felt like a hobby, but having her culinary expertise meant that it started to feel like a business.

“We find trainees by working in partnership with a range of hostels who refer people to us, or people can self refer.

“We train them over 200 hours of work experience in our business, alongside which they get tailored 1-1 support from our Progression and Engagement team. This covers three main areas: employment, tenancy and wellbeing.

“Throughout the programme trainees can access small grants to cover essential items (things like ID, clothes and shoes) and when they’ve finished training, they’re invited to apply for a grant to cover a housing deposit.

“Once accepted they can look for accommodation with our support team and then we pay the deposit directly to a landlord so they are able to move in.

“There is no typical trainee. We work with people of all ages and backgrounds, from 18-50+. People come from many different walks of life, and have varied experiences. All that ties them together is having the right attitude for the programme.

“The pandemic was a massive challenge. In the space of two days, we saw all of our events cancelled and our entire income disappear. 

“We had to shift towards making hampers and gift boxes, and also delivered meals to NHS doctors and nurses. 

“We pivoted to a deli space and as we reflected on lockdown we realised how valuable having a physical space was – that’s why we opened our restaurant Ebury in January. The way our customers rallied round to support us was so encouraging.

“Our Google Business Profile has been really helpful throughout. 

“It’s been so lovely seeing all the reviews, being able to communicate with people, get bookings in, and spread the word about our business in the local area.

“We’ve just opened our second restaurant in Shoreditch.

“It was so special to open our first restaurant after spending so long using other people’s kitchens and rented spaces, so we’re excited to have another more permanent space.

“We’re increasingly using Google Ads to boost the catering side of our business, including upping footfall to the two restaurants, because the way it’s wired is to help small businesses.

“We can make sure we’re reaching people looking for catering services like ours without the trial and error required in a lot of traditional marketing, which can be quite inefficient.

“We advertise everything from the two restaurants to the catering business, and all that lies in between.

“Looking to the future, it’s all about using the momentum we’ve built to get more trainees through the door and into permanent housing.

“Probably my proudest moment was visiting our first trainee who had saved a housing deposit during the scheme in his new flat.

“Seeing everything come together and realising that we’ve managed to get someone into a home – those moments are great.”

In the past 18 months, an average of 5,000 British businesses a week sold online for the first time. Google provides companies like Fat Macy’s with tools to support growth. Whatever your mission, Google can help you make it a reality with free tools and training. Check out Fat Macy’s favourite tools below…