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What is a Social Enterprise?A social enterprise is an organization that applies commercial strategies to maximize improvements in human well-being, rather, than maximizing profits for external shareholders. Social enterprises do not aim to offer any benefit to their investors, except where they believe that doing so will ultimately further their capacity to realize their social and environmental goals.
Social enterprises are businesses designed to tackle social problems, improve communities, people’s life chances, or the environment. They earn money and make profits like any business, but work to make a bigger difference, reinvesting the profits to do even more good.
A social enterprise betters the world by:
- Creating jobs for people who would otherwise not have one
- Reinvesting profits into communities
- Protecting the environment
- Providing vital services to those who would otherwise not receive them.
Social enterprise is growing rapidly around the world and thriving during the recession due to a number of reasons:
- People are looking for a more rewarding way to do business- make businesses work for people and the planet
- Growing desire among charities to trade more and gain more sustainability
- Growing customer awareness and interest in impact spending
- Businesses want to know how they can use their power to better the world
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