Social Enterprise Explained
What is Social Enterprise?
Social Enterprises are businesses that trade in the market in order to fulfil social aims. They bring people and communities together for economic development and social gain. They come in a variety of forms including; employee owned businesses, credit unions, co-operatives, development trusts, social firms, community businesses and charities trading arms.
Social Enterprises have three common characteristics:
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Enterprise Oriented they are directly involved in the production of goods and/or provision of services to a market. They seek to be viable enterprises, making a surplus from trading.
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Social Aims they have explicit social aims such as job creation, training and provision of local services. They have ethical values including a commitment to local capacity building. They are accountable to their members and the wider community for their social, environmental and economic impact.
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Social Ownership they are autonomous organisations with a governance and ownership structure based on participation by stakeholder groups (users or clients, local community groups, etc.) or by trustees. Profits are distributed as profit sharing by stakeholders or used to improve the enterprise or for the benefit of the community.
There are a growing number of social enterprises operating within Eden District. These include local exchange and trading schemes, co-operatives, community businesses and others.
Sources of funding for social enterprise
Social enterprises with a business purpose and able to demonstrate appropriate outputs in terms of business and jobs created may be able to access sources of funding available to assist business start-up and development. Eden District Councils Business Start-Up, Business Expansion and Marketing Support grants are all available to social enterprises. Contact the Cumbria Rural Enterprise Agency on (01768 891555) for the grant details.
Developing Social Enterprise in Eden
What can Eden DC do to assist social enterprises?
Eden supports the development of social enterprises in the District. Such enterprises have the potential to contribute to new job creation, generate additional household incomes and address the challenge facing rural services for example, through the establishment of a community-owned village shop and post office.
The Council is currently investigating how it can best provide support to those considering the establishment of a social enterprise. This could be for example through:
- the provision of advice and guidance
- signposting to potential sources of expertise and funding
- possible provision of lease properties at low rentals to assist in business start-up
- offer advice on developing a business plan
- provide access to contacts and case-histories
- support a local network of social enterprises
Cumbria Social Enterprise Partnership
The Cumbria Social Enterprise Partnership is conducting a research survey to identify gaps and barriers in the provision of support to social enterprises. The findings from the survey will feed into the NWDAs work to inform a strategic response to rural social enterprises.
To find out more about this, visit their website at http://www.socialenterpriseincumbria.org/
For further information on Social Enterprise try these links:
