Laern more about the Erasmus for Young Entrepreneurs
| | | |

Laern more about the Erasmus for Young Entrepreneurs

Erasmus for Young Entrepreneurs is a cross-border programme facilitating the exchange of entrepreneurial and management experience. The exchange is implemented by a stay of a newly established or potential entrepreneur with a well-experienced entrepreneur running a small or medium-sized enterprise (SME) in another country.

Since its launch in 2009, the scheme’s number of applications from new and host entrepreneurs willing to participate in the programme has constantly increased. Over 19,000 entrepreneurs (new and host) have taken part in more than 9,670 exchanges.

Main benefits of the programme

Erasmus for Young Entrepreneurs aims to boost Europe’s entrepreneurial culture. The programme

  • reinforces entrepreneurial attitudes by offering skills, knowledge and experience
  • increases the number of start-ups and boosts their resilience
  • fosters the cross-border transfer of ideas, knowledge and cooperation between small firms
  • helps small firms to network, innovate, and go international
  • helps to create jobs

Benefits for participating entrepreneurs

New entrepreneurs

  • build their capacity to manage a small company
  • gain relevant skills and knowledge
  • get practical experience
  • network

Hosting entrepreneurs

  • get new ideas and fresh perspectives
  • make use of fresh entrepreneurial attitude
  • obtain knowledge about another market and culture
  • gain international cooperation opportunities

Who is eligible for the programme

New and host entrepreneurs from EU countries and other participating countries.

New entrepreneurs
Would-be entrepreneurs planning to start their own business based on a substantiated business plan or newly established entrepreneurs with less than three years of experience running a business.

Host entrepreneurs
Successful and experienced entrepreneurs (owner-managers) with at least three years of experience running a micro, small or medium-sized enterprise.

How to take part

New and experienced entrepreneurs who want to take part in the entrepreneurs’ exchange programme may apply via the programme website and choose their preferred local contact point in their respective countries of residence. Your application should include a CV, motivation letter and, in if you’re a new entrepreneur, a business plan. Once accepted, you can search the programme database for an entrepreneur to be matched with. We recommended that you read the registration guide carefully to have all required information at hand before starting the registration process.

The role of the Commission

The European Union partially funds the stay of new entrepreneurs. The European Commission (Directorate-General for Internal Market, Industry, Entrepreneurship and SMEs for Enterprise and Industry) and the European Innovation Council and SME Executive Agency (EISMEA) are in charge of the implementation.

EYE Global project

Thanks to extra financial resources, we have temporarily extended the programme to countries beyond Europe through EYE Global. Via EYE Global, new entrepreneurs from EU countries and the UK can also go on exchange with host entrepreneurs from Canada (British Columbia, Ontario, Quebec), Israel, Singapore, South Korea, Taiwan and the USA (NY State and California).

Find out more

received_2563814793867341

erasmus_plus_logo-300x86

This publication has been prepared within INDIGISE project. The content of this publication is the sole responsibility of the project coordinator and may not always reflect the views of the European Commission or the National Agency.

Check the Social Economy Talks podcasts!
| | | | | |

Check the Social Economy Talks podcasts!

“Social Economy Talks” is a Podcast series from Social Economy Europe about the most relevant upcoming issues in the social economy sphere. It will follow a journey of discovery (narrated by team member Nicholas Clark) aimed at elucidating social economy success stories and roles regarding the green transition, diversity and migrant entrepreneurship, digitalisation, COVID recovery and promoting human capital, among many other things. Interviews with important organisations on the ground as well as relevant policy players will give a digestible introduction to the social economy in practice.

 

In this very first episode of 2022, Laura Almirante (Communications Coordinator at SEE) and Sara Bombardieri (Policy and Communications Assistant) talk about the implementation of the Social Economy Action Plan and the steps that have been taken in the first quarter of this new year.

The Social Economy Action Plan, one of a kind, was presented last December by the EU Commission. This meant a great celebration for the social economy community, who has worked hard and constantly for 14 years to achieve the publication of this Action Plan. Despite being a great milestone, this is only the beginning as the plan has now to be transformed into concrete actions.

Some of the main events taken place in the first quarter of 2022 were the GECES meeting concerning the implementation of the SEAP, the EU Industry Days 2022, the launching of the EU Commission Survey on transition pathways, the event on the social economy and the future of Europe celebrated in Paris, the Accessibilitech event, the Civil Society Days, the visit to Madrid of a 10 MEP’s delegation and the SEIG hearing towards a Council Recommendation on Social Economy.

As you can see (and hear) 2022 is the time to scale up for the European Social Economy Community and all the events and milestones this podcast is about, are just the beginning of an amazing year for the Social Economy and the future of Europe.

LISTEN HERE:

 

https://soundcloud.com/user-704418876/episode-16-see-activities-during-first-quarter-of-2022?utm_source=clipboard&utm_campaign=wtshare&utm_medium=widget&utm_content=https%253A%252F%252Fsoundcloud.com%252Fuser-704418876%252Fepisode-16-see-activities-during-first-quarter-of-2022

received_2563814793867341

erasmus_plus_logo-300x86

This publication has been prepared within INDIGISE project. The content of this publication is the sole responsibility of the project coordinator and may not always reflect the views of the European Commission or the National Agency.

 

Buying for social impact – Good practice from around the EU
| | | | | |

Buying for social impact – Good practice from around the EU

Buying for Social Impact (BSI) is a project commissioned by the Executive Agency for Small and Medium-sized Enterprises (EASME) and the European Commission Directorate-General for Internal Market, Industry, Entrepreneurship and SMEs (DG GROW) to promote the use of social considerations in public procurement procedures. The project was carried out by a consortium of European organisations active in the promotion of local development and social economy enterprises. This was led by the European Association for Information on Local Development (AEIDL), working in partnership with the European Network of Cities and Regions for the Social Economy (REVES), DIESIS COOP, Social Economy Europe (SEE), and the European Network of Social Integration Enterprises (ENSIE). The BSI project ran from July 2018 to January 2020.

It had 2 objectives: – to encourage contracting authorities to use public procurement to pursue social goals – to increase the capacity of social economy enterprises to take part in public procurement procedures and to access new markets. Actions were targeted at those 2 key audiences in the following 15 countries: Croatia, Czechia, Denmark, France, Germany, Greece, Hungary, Italy, Ireland, Latvia, The Netherlands, Poland, Romania, Slovakia and Sweden. The project team looked at how the social aspects of the new EU Public Procurement Directive (2014/24/EU) were transposed at national level, identified good practices on socially-responsible public procurement (SRPP), and mapped the capacity of social economy enterprises to access markets.

 

European Commission, Executive Agency for Small and Medium-sized Enterprises, Martignetti, L., Caimi, V., Daniele, D., Buying for social impact : good practice from around the EU, Publications Office, 2020, https://data.europa.eu/doi/10.2826/8319

Read the report with good practices here and get more inspiration:

https://op.europa.eu/en/publication-detail/-/publication/3498035f-5137-11ea-aece-01aa75ed71a1

 

received_2563814793867341

erasmus_plus_logo-300x86

This publication has been prepared within INDIGISE project. The content of this publication is the sole responsibility of the project coordinator and may not always reflect the views of the European Commission or the National Agency.

 

Skoll foundation announces winners of the 2022 Skoll Award for Social Innovation
|

Skoll foundation announces winners of the 2022 Skoll Award for Social Innovation

Skoll Foundation awards several organizations and individuals on their social impact ideas every year. The winners of 2022 have been announced, and in this article you will find out more about their innovative work and approach to tackling societal problems. These innovators drive stronger health systems, racial justice, climate action, civic engagement, and inclusive economic growth.

About the awards ceremony

The Skoll Foundation has announced the six winners of the 2022 Skoll Award for Social Innovation. The Awards highlight leaders and organizations that advance transformational social change around the world. Formerly known as the Skoll Award for Social Entrepreneurship, its recipients reflect the Foundation’s evolved strategy that extends beyond social entrepreneurs to also include movement builders, system orchestrators, and coalitions driving change in innovative ways.

Each of the 2022 Awardees leads an organization primed for even greater impact in their respective geographies across the United States, Brazil, India, Bangladesh, and countries throughout sub-Saharan Africa.

Common Future

[embedyt] https://www.youtube.com/watch?v=2fpIVH6kgvw[/embedyt]

Common Future connects a network of community wealth-building institutions in the U.S. with restorative and reparative capital to build an economy that includes everyone. It influences decision-makers across philanthropy, finance, and government to further support those solutions that build power in communities of color across the U.S. Common Future catalyzed a radical shift of $250 million in capital from traditional wealth-holders to communities of color.

Financing Alliance for Health

[embedyt] https://youtu.be/KYRSnSmnB1Y [/embedyt]

Financing Alliance for Health is a Kenya-based, African-led partnership and technical advisory fund that works with governments, donors, and the private sector to address systemic financing challenges to scaling community health programs across sub-Saharan Africa.​ Financing Alliance for Health has contributed to securing more than $200 million in financing for at-scale community health systems. It has engaged governments across 12 countries, and contributed to the official recognition of more than 415,000 Community Health Workers in policy and practice.

MapBiomas

[embedyt] https://youtu.be/KYRSnSmnB1Y [/embedyt]

MapBiomas is a network of NGOs, academic institutions, and tech startups, combining local knowledge with global technology to improve the quality, speed, and applicability of land-use mapping to fight deforestation and environmental degradation and protect biodiversity and water. MapBiomas has over 100,000 unique users annually, including government agencies and Brazil’s largest banks, meatpackers, and agricultural companies. The platform has prompted 8,100 actions against deforestation in Brazil.

NDN Collective

[embedyt] https://youtu.be/IuRxNVGfRvY [/embedyt]

NDN Collective builds indigenous power by moving capital investment to, increasing capacity of, and deepening political engagement within North American Native communities, accumulating the tools for achieving land sovereignty, and leveraging culturally grounded storytelling to create transformative narratives of Indigenous leadership and innovation. NDN Collective has granted over $28 million to nearly 600 Indigenous-led groups across the Indigenous world.

Noora Health

[embedyt] https://youtu.be/HGyJdYFrzJw [/embedyt]

Noora Health improves patient outcomes and strengthens health systems by equipping families and loved ones with life-saving caregiving skills. Noora Health has trained nearly two million caregivers and patients across more than 200 hospitals and nearly 100 clinics in India and Bangladesh. Their intervention reduces cardiac surgery complications by 71 percent and newborn readmissions by 56 percent.

NOSSAS

[embedyt] https://youtu.be/AVqFPF1SA-M [/embedyt]

NOSSAS builds digital mobilization tools for real-world action to amplify civic engagement and resource a network of activism in Brazil. NOSSAS engaged over 1.2 million Brazilians in 18 cities, and successfully advocated for 25 public policy changes in 2020, across more than 200 citizen-led campaigns.

For more information on the social innovators driving transformational social change globally, explore Skoll’s 2021-2022 highlights.

 

received_2563814793867341

erasmus_plus_logo-300x86

This publication has been prepared within INDIGISE project. The content of this publication is the sole responsibility of the project coordinator and may not always reflect the views of the European Commission or the National Agency.

DALBA – Beer that means more
| | |

DALBA – Beer that means more

Meet DALBA, social enterprise which is a part of NESs’t Fund network which is investing in entrepreneurial solutions that lift people out of poverty.

In spite of Poland’s strong economic growth, many find it difficult to secure stable employment and reliable wages. More than 18% of young people under the age of 30 are unemployed, with women, people living in rural areas, and people with disabilities especially affected. NESs’t investments in Poland focus on social enterprises that connect these potential workers with training and jobs in growth industries like technology, business process outsourcing and health care.

DALBA is an award-winning craft beer brewery in Puck, Poland that employs people with intellectual disabilities. It is the first in Poland and sixth in the world of its kind. The business addresses one of the most serious social problems in Poland: labour exclusion and social marginalization of people with intellectual disabilities. Today, only 10% of people with disabilities participate in the labor market.

The production process of DALBA’s craft beer counts on a group of 30 young men with disabilities who are also shareholders of the cooperative. Some prepare malts with a recipe and boil it, while others are involved in bottling or labeling. They do so without supervision, having received training from management to work with precision.

DALBA was co-founded by Agnieszka Dejna, a mother of children with disabilities, and Janusz Golisowicz, an occupational therapist of patients with disabilities. Agnieszka and Janusz often heard these young people seeking greater independence in their lives, but unable to achieve it as a result of their parents fear of discrimination and harassment in the workforce. Today, DALBA’s craft beers are rated Top 50 out of 270+ brands in Poland.

Browar Spółdzielczy (Cooperative Brewery) originated from the passion for beer, sea and the need for change. We brew our beer in a traditional manner, in small brewery in Puck, Poland. The brewery is owned by Spółdzielnia Socjalna DALBA (Social Cooperative DALBA).

This is not just an ordinary workplace, this is passion. Most employees of the cooperative are the people who have not had a chance on the open job market due to their disabilities. Their engagement and determination results in our beer being something exceptional, dreams coming true and a chance.

That’s why DALBA slogan reads “Piwo, które warzy więcej” – it’s a word play on the Polish words “warzyć” (to brew) and “ważyć” (here: to mean).

DALBA and NESsT partnered to increase the production capacity of the enterprise, positioning it to generate higher revenues and to increase its employment of people with disabilities. With a grant from NESsT, DALBA upgraded its equipment, generating a production growth of 15%. The next phase of investment is the expansion of its production hall.

DALBA’s tailored business mentoring focuses on consolidating its rapid growth, leveraging co-investments, and strengthening its impact measurement. As it prepares to launch five locations in the next two years, NESsT and DALBA have also been collaborating on managing the enterprise’s product portfolio, by identifying and developing products with higher margins, and on ramping up its sales efforts.

NESsT is excited to support DALBA as the enterprise has proven to be equally committed to empowering youth with disabilities and developing award-winning craft beer.

Answering the global Covid-19 crisis, NESsT has developed a special support plan for its portfolio. To support Dalba, we are working together to remodel communication and marketing strategy in order to generate additional revenues to sustain Dalba’s operational costs and revenues that decreased due to Covid crisis.

Source and more information: https://www.nesst.org/dalba; https://en.browarspoldzielczy.com/strona-glowna

received_2563814793867341

erasmus_plus_logo-300x86

 

This publication has been prepared within INDIGISE project. The content of this publication is the sole responsibility of the project coordinator and may not always reflect the views of the European Commission or the National Agency.

European social entrepreneur and ESE – Operational course for social innovation
| | | | | | |

European social entrepreneur and ESE – Operational course for social innovation

The European Social Entrepreneur -ESE project coordinated by CO-LABORY

During its implementation, project’s participants produced a high-quality materials and provided the best possible education for trainers, staff of participating organizations, and young people in disadvantaged situations.

ESE – Operational course for social innovation

As the project results an online platform  was developed containing training material on SE, the role of the social entrepreneur, how the funds are obtained, and which concrete tools can be used to launch a social enterprise.

“Operational course for Social Innovation” is a course aiming at the inclusion of diasadvantaged groups in society by acquiring skills and tools that wil assist them and make them valuable members, will gain more ingormation on social entrepreurship and will be able to create their own businesses. These results will be achieved through the developed materials of the course. Each module contains a theoretical and methodological part, to check and ensure the acquisition of knowledge on learners in a more practical way.

The project website also was developed with newsletters, videos, articles, information material, and the Manual on Social Entrepreneurship. Also projects results included the following:

  • The live Facebook “An opportunity towards (y) our future” to raise public awareness through the use of social media, on social entrepreneurship issues by answering questions and curiosities of the participants.
  • The virtual tour on social entrepreneurship that consists of video interviews with representatives of successful social enterprises in each partner country of the project.

Enrol now and start learning more on Social innovation: online platform

Below a brief summary of the e-course content:

Module 1 – “WHAT IS SOCIAL ENTERPRENEURSHIP” is an introduction on the basic concept of social entrepreneurship that will be followed by an interactive workshop for better understanding of the term.

Module 2 -“WHERE TO FIND FUNDINGS FOR A SOCIAL ENTERPRISE” focuses on the financial aspect of a social business, and provides information on all the funding opportunities assisting learners in their path of creating their own business.

Module 3 -“LAUNCH A SOCIAL ENTERPRISE PLAN” launches the idea of a business plan, points out the significance of a business plan and provides useful guidance on how to prepare one. This effort is strengthened with a practical workshoip for personal reflection.

Module 4 – “BUSINESS MODEL CANVAS”- In addition to the business plan in this section another useful tool is explained, business model canvas.

Module 5 – “WHO IS THE SOCIAL ENTREPRENEUR”. In this module more information ad tools are shared for better understanding of the term social entrepreneur.

Module 6 – “IMPACT OF SOCIAL ENTERPRISES”-In this module the impact of social entreprises is measured by studying succesful examples of sustainable social enterprises.

All the above modules are focusing on essential topics that will enhance learners’ skills and prepare them better for the business world achieving social inclusion and personal growth

 

Learn more on project development via the following link:https://socialentrepreneur.eu/

Get to know asperIT Foundation from Poland, who joined the NEEST portfolio in 2021!
| | | | |

Get to know asperIT Foundation from Poland, who joined the NEEST portfolio in 2021!

NEEST provides a portfolio with tailored financial support, business mentoring and strategic networking over a five-year period.

NESsT offers investment packages up to $150,000 in the form of grants, patient working capital loans and recoverable grants over a five-year period. We encourage co-investments and are proactive towards introducing you to our co-investment partners.

Our team also provides one-one-one business consulting and leverages our partner network for industry-specific expertise and engaged mentorship for you and your team. Over a five-year period, these services are valued at more than $100,000.

Social entrepreneurs with enterprises at the validate (i.e. sales exist but do not sustain the enterprise) and prepare-to-scale stages (i.e. sales sustain initial operations but not growth).

Social enterprises must also meet the following requirements:

  • Be based in Central and Eastern Europe or South America.

  • Use market‐based solutions to create dignified employment, placements or viable income generation opportunities for marginalized groups, while also addressing the many barriers that keep these communities from accessing the formal labor force.

  • Demonstrate a willingness to be active and engaged through the months of the selection process.

Get to know asperIT Foundation from Poland, who joined the NEEST portfolio in 2021!

Founded in 2015, asperIT Foundation empowers people with autism spectrum disorder (ASD) to access quality jobs in IT by providing them with technical education, psychological support, and soft-skills training. At the same time, the enterprise offers corporate training services to help companies hire and support employees with diverse neurocognitive functions.

In Poland, only 1% of people with ASD are employed. Autism is a developmental disorder that affects how people interact with others. Neurocognitive variations, just as variations in size and skin colour, are an essential part of humanity. These differences equip each person with a unique set of skills that have distinct professional applications. However, this diversity of mental functioning is not reflected in the labour force – people with varied neurocognitive abilities, including people who have dyslexia, ADHD, or ASD, face hiring discrimination and lack adequate support at work.

By providing tech and soft-skill training to aspiring professionals with ASD, the social enterprise is able to expand career paths for them while providing corporations with a neurodiverse talent pool. To date, asperIT has trained 80 people and has supported many of its students to find their first jobs in sustainable and high-growth industries such as tech. Most recently, the Foundation launched its own software testing company, asperIT.com and 10% of asperIT Foundation’s program graduates secured quality employment directly from the company.

received_2563814793867341

erasmus_plus_logo-300x86

 

This publication has been prepared within INDIGISE project. The content of this publication is the sole responsibility of the project coordinator and may not always reflect the views of the European Commission or the National Agency.

6 Lessons for a More Human-Centered Leadership Practice
| | | |

6 Lessons for a More Human-Centered Leadership Practice

It is no secret that human-centered design thinking is an approach  to problem-solving that is perfectly suited for social economy organizations, social innovators and changemakers tackling complex societal issues. What is more, while the importance of leadership is by now more and more recognized in different types organizations across all sectors, rarely is inspiring leadership as crucial as in social impact organizations and initiatives where rallying people around an idea and a cause is essential for success. Hence, the blog article by IDEO U, the leading digital learning platform for design thinking methods,  on human-centered leadership and how to lead by empowering others is a valuable must read for anyone working with teams in the social impact sphere.

Below are 6 lessons by IDEO’s Lauren Collins and Harvard Business School Professor Frances Frei on what inspiring leadership means today.

1. Leadership is about what happens when you’re not there.

“We are only leading when we are centered on making others better.” — Frances Frei

Shift your mindset from focusing on your personal performance to how your presence impacts others. Your goal is to equip and empower people so they can continue to be awesome in your absence.

2. The Golden Rule is flawed.

“Use your curiosity to figure out how others want to be treated, and then lean into that behavior.” — Frances Frei

We’ve all been told to treat others as we’d like to be treated, but that logic is flawed. It works well when we’re around people who are just like us. But the more diverse and varied the group, the less true it is. Don’t assume others share your desires and opinions. Ask them what they need from you to show up as their most authentic selves.

3. Be curious about who’s not in the room.

“If you’re in a moment where you’re making a decision or changing plans that might impact other people, look around the room and see who’s not represented.” — Lauren Collins

This is a great first step toward building a more inclusive work culture. Ask who might be impacted by the work you’re doing and if they’re represented in the room. If they are present but silent, Frances says that’s a sign they’re not feeling included. How might you help them feel safe to speak up?

4. Soft skills are your superpower.

“Soft skills are not recognized and rewarded as much as they could be in business.” — Lauren Collins

The difference between leaders who stand the test of time and those who don’t is a person’s ability to demonstrate resilience, listening, authenticity, logic, empathy, vulnerability, and humility, among other skills.

5. Distraction kills empathy.

“Offer your attention when you’re in the presence of others.” — Frances Frei

The more we can offer our attention, the more opportunity we have to build empathy, Frances says. One easy thing you can do is to turn phones and technology distractions off during meetings. While it’s tempting to multitask, if we offer someone our distraction, we reveal we’re not interested in their trust.

6. To actively listen, first make space for everyone to speak.

“Starting with listening and making space for others before you lean into the conversation is really important for leaders.” — Lauren Collins

Some people might not feel comfortable speaking in front of a group. As a leader, it’s your role to make space for everyone to participate and show up as their authentic selves.

Try asking “Can you articulate an alternate point of view?” to widen the space for people to bring up different perspectives. Count to 10 before moving on so that people who need more time to process information can respond. Gather answers anonymously, and start or pause your meeting with a moment of heads down time. And finally, take note of who isn’t speaking. In your next meeting, reference an idea or helpful insight that person shared with you to show you value their contributions.

The full article is available here.

received_2563814793867341

erasmus_plus_logo-300x86

This publication has been prepared within INDIGISE project. The content of this publication is the sole responsibility of the project coordinator and may not always reflect the views of the European Commission or the National Agency.

5 Tangible Tactics to Participate In Social Entrepreneurship
|

5 Tangible Tactics to Participate In Social Entrepreneurship

Unlike traditional businesses, social enterprises are dedicated to help specific groups of people that are socio-economically backward.  Since their goal to serve mankind sits above the financial gain, building a sustainable social enterprise is no walk in the park. If you are planning to build a career in social entrepreneurship or already pursuing one, then you should be prepared for the unique challenges and opportunities it brings to your table.

Social enterprise is a different ball game and does not follow a typical organizational structure. You have to be very strategic in executing your business process management plan and ensure that the operating costs do not hamper your profit margin. There are a few tactics that could help you to participate in social entrepreneurship more efficiently.

1)  Identify Your Entrepreneurial Elements

Business is about finding a solution for an existing problem; social entrepreneurship works on the same principle.  However, as a social entrepreneur, you would be addressing slightly different kinds of issues. It would be community-driven and focused on public welfare. The first step towards social entrepreneurship is to identify the community problems that evoke your interest. The next step is to work on your entrepreneurial elements vital for executing the mission, like goals,  core competencies, networking, funding, etc.

2)  Have a Firm Social Entrepreneurial Organizations (SEO) Strategy

A firm social entrepreneurial organization strategy is crucial because, unlike the traditional business model, the social enterprise has to tackle social issues in an economically sustainable and self-sufficient way. You need to build a network, make alliances, identify risks, find investors, track performance, develop an income-generating model, and create a value-adding social entrepreneurial organization.  The first step towards this is to build a robust social enterprise by conducting market and competitive analysis. You need to perform thorough research to find the criticality of the issue and how it impacts the people. You need to set your target customers and work on the approach towards them. Additionally, you have to perform a competitive analysis to find out if there is any relevant product in the market or market covered by competitors. You also have to document how to fund your social enterprise project and plan strategies to onboard investors. Your job does not end there; you can further find yourself engaged in public relations, marketing, and brand awareness. Social enterprise enthusiasts can also refer to a few knowledge resources that are available online to create a successful social enterprise.

3)  Get Your Customers Involved

Your customers can be your brand’s biggest advocate, and if you can involve your customer on a large scale, it can bring success to your social enterprise.  Initially, it would be difficult to attract a large cohort of customers, but you can target customers on a small scale and gradually increase the numbers. However, it is a must that your service or product resonates with the customers; only then can you engage your customers. You can use various technologies to address social issues and the company’s motto. For instance, you can use a mobile app to answer customers’ queries or use software to post updates about business events on social media accounts automatically. There are myriads of ways an individual can use technology to involve customers in your social enterprise endeavor.

4)  Adopt Innovative Funding Practices

Funding is the foremost thing that stays on the entrepreneur’s radar while designing the business plan.  In a typical business scenario, companies approach financial institutes for a loan, but social enterprises are not revenue-oriented, and therefore they don’t qualify for equity capital. Instead, they adopt innovative funding practices.

  • Quasi-equity debt: Social enterprises often observe financial crunch due to lack of funding, and in such circumstances, Quasi-equity debt is an ideal way of funding. This type of loan is given based on the future cash flow projection proposed by the social enterprise, and the payment terms are pretty flexible. Mezzanine debt and junior debt are examples of quasi-equity debt; such debts do not require any collateral.
  • Pooled funds: In pooled funds, money from several individual investors are accumulated into a single account, which is then allocated to the social enterprise by the head fund manager. It significantly reduces the costs of operation from individuals and shares higher returns.
  •  VPO (Variable Payment Obligation): In the VPO model, the investors offer funds to social enterprises based on future cash flow. The good thing about VPO is that entrepreneurs are liable to pay only 20 to 30 percent of the return. It enables entrepreneurs to keep most of the income and reinvest in their social enterprise.
  • Social impact bonds: In social impact bonds, the government acts as a middle-man and contracts with social enterprises and investors. The government evaluates the project of the social enterprise, and if it is successful, the government pays to the investors.

5)  Use the Right Technology

Technology can be quite supportive for social entrepreneurs to amplify their efforts and get in a position to accomplish their work quickly.  They can use a range of technologies such as data analytics, cloud computing, AI, automation to solve their core challenges, such as minimizing investment risks, identifying revenue opportunities, increasing productivity, reducing communication gaps, etc. They can even use advanced software solutions to organize their work structure and get a clear view of the entire process.  For instance, social entrepreneurs can use policy management software to create, modify and track various social enterprise policies. Mobile apps are further empowering social entrepreneurs to take their mission to a global audience and build a network with other social entrepreneurs.

Conclusion:

The global economy demands organizations to build enterprises that could bring positive change in society and overcome the challenges such as poverty, climate change, inequality, etc. Social enterprises have the ability to generate social impact and strengthen the economy. Since social enterprises are more focused on addressing social issues and less on revenue, you need to be tactical in your business approach. You should operate a social enterprise in a way that widens your scope for growth and sustainability. By following a few best management practices for social enterprises and adopting a few latest technologies, you can build a stable social enterprise.

Article written by associate contributor Paul Wheelson

The Four Types of Social Entrepreneurship. “What business entrepreneurs are to the economy, social entrepreneurs are to social change”
|

The Four Types of Social Entrepreneurship. “What business entrepreneurs are to the economy, social entrepreneurs are to social change”

In these times of pandemic individuals, businesses, and non-profits are stepping to the front and truly making a conscious effort to bring about positive change in the world, be it a direct result of the pandemic or other social causes. It is as if a critical mass has come together at a time when the world has an urgent need for social entrepreneurs.

The rise of social entrepreneurship
As the co-founder of The Center for the Advancement of Social Entrepreneurship at Duke University, Greg Dees points out that these individuals are a “special breed” of leaders. Author David Bornstein, who specializes in writing about social innovation, says, “What business entrepreneurs are to the economy, social entrepreneurs are to social change.”

We often think of entrepreneurs as those who start their own businesses with the sole purpose of making money. Currently, there are 582 million entrepreneurs around the world. Social entrepreneurs are cut from the same mold. However, these are individuals who seek to impact a particular social cause, which benefits society and hopefully brings about positive change.

Types of social entrepreneurs
When it comes to driving change through social entrepreneurship, there are many definitions. These individuals and companies represent a vast cross-section of what they are trying to accomplish with their businesses. They also differ in terms of their strategies and goals for bringing about social change.

Dr. Joe Johnson is an entrepreneur who has studied the field for over 25 years. He is the founder of Welfont, which has funded and launched over a dozen start-ups. Dr. Johnson has outlined what he considers to be the four most common types of social entrepreneurs.

 

1. The Community Social Entrepreneur
This entrepreneur seeks to serve the social needs of a community within a small geographical area. These entrepreneurial initiatives could be anything from creating job opportunities for marginalized members to building a community center. Social entrepreneurs on this scale are usually individuals or small organizations. Microfinance loans are one example – offering financial solutions to local people with no access to banking.

These entrepreneurs work directly with members of the community. This means more vested interests and a slower decision process, but it comes with the advantage of long-term solutions. Both community members and local organizations are likely to sustainably carry on with the project even without the entrepreneur’s direct involvement.

This is where most people start, as a change in your own community is instantly visible. You can see the results of such social entrepreneurship almost immediately and talk to people you are helping directly. All you need to do to start this type of endeavor is find a local isolated social problem and apply yourself to solving it.

 

2. The Non-Profit Social Entrepreneur
These entrepreneurs are focused on social, not material gain, meaning they prioritize social well-being over traditional business needs. They reinvest any profits into the business to facilitate the further expansion of services

Non-profit social entrepreneurs are usually companies and organizations that choose to use their power for social good. The story of Goodwill Industries serves as a great example: In 1902, the company started employing poor residents to work with donated goods, reinvesting all profits into job training programs.

These entrepreneurs are usually more likely to meet their stated goals due to readily available funding. However, they are also dependent on its successful generation for social good.

This path is usually taken by more business-savvy entrepreneurs who want to use their skills for creating change. While the results often take longer to manifest, they can take effect on a larger scale. Joining a local non-profit or training program is usually a reliable way to start.

 

3. The Transformational Social Entrepreneur

These people are focused on creating a business that can meet the social needs that governments and other businesses aren’t currently meeting. The transformational category is often what non-profits evolve to with sufficient time and growth. They become larger organizations with rules and regulations – sometimes growing to the point of working with or getting integrated into governmental bodies.

Accelerators like The Social Innovation Warehouse are great examples of this social entrepreneur type. They specifically empower other impact-driven entrepreneurs to create positive change. This then creates a system of interconnected businesses focused on social benefits.

Transformational entrepreneurs have an easier time getting top talent for these efforts. However, they are also bound by a web of rules and regulations that larger organizations have to create.

Such organizations usually recruit and foster talent in-house. If you apply for a job opportunity or volunteer position and show social entrepreneurship skills, they are likely to help you enroll in a mentorship program and facilitate your growth from there.

 

4. The Global Social Entrepreneur
These entrepreneurs seek to completely change social systems in order to meet major social needs globally. It’s often where big companies end up when they realize their social responsibility and begin concentrating on positive change as opposed to just profits. It’s also where the largest charity organizations, such as the Bill & Melinda Gates Foundation,stand.

The global need in question can be anything from free access to education to clean water. This is usually a lofty goal that spans continents and links many organizations and interests together. However, the trade-off is in scrutiny – if global social entrepreneurs fail to meet the needs and gather sufficient support, their failure has a bigger impact than those of smaller organizations.

These organizations are usually tied to a particular cause and work with other social entrepreneurs to make it happen. As such, you are more likely to achieve these heights if you connect with other social entrepreneurs and build a global community around solving social issues.

Additionally, there is a growing number of organizations that blend the best for-profit practices with non-profit missions. They fall under all types outlined above, being in different stages of growth and scalability. We suggest finding a cause that works best for you and charting a way forward from there.

 

Looking ahead
As awareness continues to grow about social entrepreneurship and its importance, so does the need for it. Certified B corporations are accelerating a global cultural shift and redefining what is considered a success by building a more inclusive and sustainable economy.

For those who are truly committed to a career in making a difference in the world, opportunities abound to join other established social enterprises and fellow peers who are looking for like-minded individuals to carry out their personal entrepreneurial spirits of making a true change for social good.

To learn and collaborate with other social entrepreneurs, join one of our global chapters today.

 

Source: netimpact.org