October 15, 2020
Facts about a Social Enterprise(s)
A Social Enterprise is different from a business, as both approaches fulfill a need in the market and aim to earn a sustainable profit. The main difference is that social entrepreneurship focuses beyond simply generating a profit, and measures its performance on the positive impact the business makes on society – whether social, cultural, or environmental
A Social Enterprise is a type of business where the bottom line and success metrics are measured in more than just profits. Profit: Like traditional businesses, they need to make money to sustain themselves, pay workers and grow as an enterprise.
The main objectives of a Social Enterprise is whether operated by a nonprofit organization or by a for-profit company, a Social Enterprise has two goals: to achieve social, cultural, community economic and/or environmental outcomes; and, to earn revenue. On the surface, many Social Enterprises look, feel, and even operate like traditional businesses.
Social Enterprises can be for-profit, not-for profit, or at least non-loss enterprises. Furthermore, a social enterprise should not only make a profit or generate income by doing good, but also should reinvest its profit and revenues to strengthen its social mission.
Types of social enterprises:
• Charity sales enterprises.
• The companies that help with employment of persons with disabilities, single mothers, people in difficulty.
• The enterprises which create the services which are not or poorly provided by the government.
• Social enterprises which provide exclusive services.
A social enterprise is an operator in the social economy whose main objective is to have a social impact rather than make a profit for their owners or shareholders.
Some of the disadvantages of a Social Enterprise are:
• Lack of support and funding.
• Need hard work to get success.
• Social factors will affect to achieve.
• Hard to get trust from others.
• Need to maintain accountability.
Social enterprises trade to tackle social problems, improve communities, people’s life chances, or the environment. They make their money from selling goods and services in the open market, but they reinvest their profits back into the business or the local community. And so, when they profit, society profits.
Social enterprises are businesses that trade to intentionally tackle social problems, improve communities, provide people access to employment and training, or help the environment.
If you would like to learn more about how my ability, experience, and skills may be able to help benefit your nonprofit or social enterprise organization, or a nonprofit or social enterprise organization you may be associated with, please don’t hesitate to get in touch with me. I would be pleased meet and discuss the opportunity of working together and provide you with any additional information you may require.
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Mitchell Ravvin, BComm, PFPC, CFRE
Rave Results Inc.
7436 21A Street SE
Calgary, AB T2C 0V9
Rave Results Inc. is a professional fundraising service specializing in assisting mid-size nonprofit organizations. Areas of expertise include: Donor Development, Major Gift Fundraising, Sponsorship, Planned Giving, and both Annual and Capital Campaigns.