Social enterprises are usually defined as businesses that re-invest their profits or surpluses to achieve social goals.
A new study of 2,121 companies by economics consultancy Delta Economics and market researchers IFF Research reveals that one fifth or 21 per cent of Britain’s entrepreneurs are running “hidden social enterprises.
These businesses, for-profit companies with a social or environmental consideration, are usually smaller businesses, the research found, with nearly all of them having a sub- £200,000 annual turnover.
?Hidden social enterprises have wealth and value creation potential that is similar to mainstream businesses there is no need to compromise growth or profitability for the sake of doing something to make a difference,” says Dr Rebecca Harding, MD of Delta Economics. Entrepreneurs really are the world’s changing agents.
We’re big fans of social entrepreneurs. There is no reason why a business can be both profitable and good for society. Delta’s research supports this, showing that “making society a better place” is a goal that many entrepreneurs strive for. Surely that can’t be a bad thing?