The research context

The research context for this study is the author’s long-term engagement with the founders of 3rd Way Coop and Lancashire Ethical Trading Asso- ciation (ESTA), both micro-businesses based in the North West of England. There was also a shorter engagement with Shared Future, a micro-business with a network of associates based in the North West of England. The au- thor’s background in non-profit management and recent research on the problems with social enterprise governance (Larner and Mason, 2014) con- nected with the experience of these entrepreneurs, an example of theoretical sensitivity (Gray, 2009).

These case study organisations were found by the author offering to meet with entrepreneurs and business founders to discuss the open source guild model (Larner, 2013) during 2013 and 2014. The criteria for case study selection were that the founders or directors were actively interested in the open source guild model to the extent of wishing to incorporate it into their business model. Case study selection was thus purposive, of entrepreneurs who were interested in the research topic. The unit of analysis was the founding entrepreneur and their network, where in both cases they were an entity that had ‘the characteristics of a bounded system and have boundary- maintaining processes organized around the persistence of the unit and the perpetuation of its activities’ (Aldrich and Ruef, 2006, p. 30). Each case study organisation is introduced briefly below.

3rd Way Coop

The author was introduced to Mike Knowles, the founder of 3rd Way Coop, by a consultant specialising in helping non-profit organisations choose the most appropriate legal structures and governance arrangements. Mike had developed Super Insulation, a product that could revolutionise how build- ings are insulated and help deal with energy poverty worldwide. At the time of the first meeting with the author in November 2013, Mike was developing a multilevel organisational structure, including recruiting apprentices who would be trained to install their Super Insulation product. Mike was seeking investment to produce Super Insulation, but potential investors were only interested in making maximum profit, they didn’t share his values. Mike was very interested in the open source guild model, as it had the potential to solve his dilemma concerning patents, investors and values. Guild-like

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models could enable vocational education and peer mentoring, which con- nected with his desire to overcome energy poverty world-wide. The open source aspects of the model could enable some of the intellectual property to be made available to people working their way out of poverty, but those of a high commercial value could be held in trust for social benefit. Discussions with Mike Knowles continued until October 2016, as 3rd Way’s business model evolved.

Lancashire Ethical Trading Association (ESTA)

The author met Michael Hallam, the founder of Lancaster Ethical Trading Association (ESTA) at a Global Futures event organised by Lancaster Uni- versity Environment Centre in May 2014. In the first discussions in June 2014, the author and Michael explored the connection between the open source guild model and ESTA as a values-based business network that pro- moted economic success through personal development. ESTA developed from Michael’s experience in the UK voluntary sector, particularly Transi- tion Towns in Totnes, where he experienced problems with decision-making. With ESTA, Michael aimed to move away from the voluntary sector by creat- ing a business association that promoted economic success through personal development. These initial discussions with Michael confirmed the corre- spondence between how ESTA operated and the open source guild model, in particular that the founding micro-business (in this case ESTA Community Interest Company) admits members to the association at its discretion based on shared values (in this case of personal development). Discussions with Michael Hallam continued until October 2016, as ESTA’s business model has evolved.

Shared Future CIC

The author met with a director of Shared Future in March 2016, who con- nected the open source guild model with their business model and were in- terested in exploring this form of business model further. Shared Future was established in 2009, constituted as a Community Interest Company based in the North West of England. Shared Future is developing as a mechanism for associates to get and deliver work that they couldn’t do by themselves. Shared Future has a board of five directors and a network of associates as internal stakeholders, together with external stakeholders including com- missioners, partner organisations and the general public. However, some associates had expressed confusion about what Shared Future is and what

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it can offer both to them and to potential funders. At the time of the au- thor’s engagement, Shared Future was experiencing rapid growth but was experiencing confusion about its identity, prompting a review of the organ- isation. Following further correspondence, the author agreed to facilitate one of their Give it Away Day workshops in June 2016, focusing on their values and relationship with stakeholders in a guild-like collaborative net- work. Preparation for the workshop in May 2016 involved reviewing organ- isational documents and Shared Future’s online presence, while follow-up interviews with three of their directors in July 2016 yielded additional re- flections.