Social Enterprise and Trading

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Social Enterprise and Trading

• Social Enterprise Works, 19th November 08

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• Social Enterprise Quiz
• A magazine sold by homeless people..
• A tourist attraction
• A restaurant..
• Internet and phone service provider.
• Health Foods Supplier
• A bottled Water supplier..
• A football Club....

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• Social Enterprise Quiz- Answers
• A magazine .The Big Issue
• A tourist attraction.The Eden Project
  restaurant.Jamie Olivers 15/ The whole Baked
  Cafe
• Internet and phone The
  Phone Co-op
• Health Foods Supplier..Essential Trading
• A bottled Water supplierFrank Water
• A football Club.....Chesterfield Supporters
  Club

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What is social enterprise?

• Nothing new about Social Enterprise co-op
  movement started in 1846
• A worldwide phenomenon
• They blend together elements of private sector,
  public sector and voluntary sector

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PUBLIC SECTOR Service Provision Rights and
responsibilities Democracy Equality Accountability
PRIVATE SECTOR Market competition Enterprise
orientation Customer focus Efficiency
maximising Risk taking Profit driven
VOLUNTARY SECTOR Social values Independence Innova
tion and creativity Community based Empowerment
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What is social enterprise?

• Social enterprises have 2 primary aims
• They trade
• They apply profits to social purpose

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The structure of social enterprise

• There is no specific legal structure for Social
  Enterprise
• It is a concept, not an entity in itself

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Where do they come from? The driving force
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Lifecycle UK

• Life Cycle UK is a unique charity that helps
  people take up cycling.
• Started in 1990s, inspiration of one individual
• Activities include bike training, bike
  maintenance, awareness raising conferences, maps
  and cycling accessories.

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Lifecycle UK

• This year it has increased trading income from
  82,000 to 140,000. This represents an increase of
  58. Trading income now accounts for 76,
  compared to 46 last year.
• Much of this increase is due to efficiency gains
  and better marketing or existing products.
• It still refers to itself as a charity but
  recognises that it is using a social enterprise
  approach.

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Starting to trade issues

• Balancing social purpose and business purpose
  (mission versus money)
• Planning business viability, (market research and
  marketing)
• Assessing capacity to trade
• Reviewing systems and organisational culture

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existing market
Market penetration
Product/service development
existing product
new product
Diversification
Market development
new market
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Next steps - marketing

• Develop the product, understanding its unique
  selling point,
• Understand the market, including customers, other
  players (competitors and partners) and
  local/national trends
• Plan your approach to promotion, based on your
  understanding of the market
• Work out the full costs and identify a pricing
  strategy
• Identify whether you have the capacity and
  resources to develop and deliver the product and
  service.
• Consider the systems and processes and cultural
  changes that you may need to put in place.

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• Discuss in your groups
• What is special about your product/service?
• From what you know, is there a market for your
  product/service?
• Do you have capacity to develop, and market your
  product/service think of skills, finance, time?

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Further support

• Business Link Social Enterprise Service If you
  meet eligibility criteria possible to benefit
  from 1-1 support and a range of training
  opportunities
• Train to Gain leadership and management
  programme can be used for coaching and strategic
  development.
• NCVO sustainable funding programme administered
  by VOSCUR
• See the 10-steps-to-earning resource at
  www.socialenterpriseworks.org/resources

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• Social Enterprise Works
• Stuart_at_socialenterpriseworks.org
• www.socialenterpriseworks.org
• 0117 9070080