Social entrepreneurship is the art of creating a socially responsible business that aims to generate profit, while solving social and environmental problems.
Social entrepreneurs start and run social enterprises – commercial businesses that often come with a “triple bottom line” (TBL) mandate. The triple bottom line refers to people, profits, and the planet. TBL implies that businesses can and ought to be run in a financially, socially, and environmentally responsible manner.
Social enterprises are often confused with non-profit organizations and non-governmental organizations (NGOs). The main difference between a non-profit and social enterprise is the revenue model. Non-profits rely primarily on charitable contributions, public funding and foundation grants to support their programs and cover their administrative overhead. If, due to a bad economy, donations, grants, and public sector subsidies dried up, the non profit would have to shut down. Very few non-profits have created robust earned income streams, though there is an increasing trend to do so.
A social enterprise is designed to operate like a for profit business. Social enterprises rely primarily on their earned income stream, and like any other company, if needed, it takes loans, invites capital investments, forms partnerships etc. in order to expand its business activities.
Video: “What is Social Enterprise”
Still wondering what Social Enterprise is?
Find out more about social enterprise in general in this section on the Enterprising Non-Profit's Website. Including tools and worksheets.
IN THE MEMBERS ONLY SECTION YOU WILL FIND:
Online Links to case studies, tools, best practices and impact studies.
Ideas and links to financing