· A social enterprise is an organisation that applies commercial strategy to maximise improvements in social and environmental well-being. How they operate, who they employ, how they use their profits and where they work is incredibly beneficial to others. They combine commercial success with real social and environmental impact.
· Social enterprises must be independent of state or government control and earn half of their income through trade, transparent in the way they operate and their impact, reinvest or donate at least half of their profits or surpluses towards their mission, and they must have a clear social or environmental mission
Types of social enterprises-
· There are various types of social enterprises;
-Credit unions, which help people save and borrow money.
-Community-based organisations which have a strong geographical definition and focus on local markets and services, as well as creating jobs for local people.
-Non-governmental organisations with commercial arms, who not rely on grants and donations, and instead earn income through goods and services.
- Social firms which are set up to create employment for those most severely disadvantaged in the labour market
- Cooperatives, associations united to meet common economic and social need through joined enterprise.
-Fairtrade organisations, who help producers in developing countries achieve better trade conditions and promote sustainability
-Microfinances , who are a form of financial services for entrepreneurs and small businesses that lack access to banking and related services.
Examples of social enterprises -
· The UK social enterprise awards 2021 winner was locavore – Glasgow organisation delivering veg and running zero-waste supermarkets. It delivers ‘veg boxes’ to 1,800
customers and grows its own vegetables, employing 100 people.
· Change please is a social enterprise that supports the homeless through their barista training program, and supports them with many other things in order to help change their lives such as; a living wage job, housing support, therapy, a bank account and onward employment opportunity.
· NEMI teas sold over 8M tea bags in the past 5 years. They employ refugees and try to combat the environmental impact of the tea industry. They have helped over 20 refugees into work and its tea bags are fully biodegradable
The big issue as a social enterprise-
· The big issue supplies magazines that are bought by homeless and vulnerably housed people and s re-sold by them to the public, offering them the opportunity to gain a legitimate income. They have identified 5 pillars that are vital to dismantle poverty. These are; Learning and employment, Housing, Health and wellbeing, Environment and community and Financial and digital inclusion.
· The big issue states their group impact as of 2023 in this video:
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