The innovative initiative that seeks to solve economic, social and environmental challenges is taking on an increasingly significant role. In words of Javier Garilleti, general director of the PriceWaterHouseCoopers Foundation, "we need a new generation of social entrepreneurs with the capacity and willingness to use the ideas and tools of entrepreneurship, and in a way that goes beyond the traditional visions and raises frontiers between the business and the social ". Under this premise social entrepreneurship arises; it is a new way of generating value to society.
Although it is not a new movement -in fact, the maximum representative institution of the Social Economy in Spain, the Confederación Empresarial Española de Economía Social (CEPES), was established in 1992-, it is now when it is being obtained greater visibility. Why? As Garilleti indicates, because we are "in a moment in which the skills and typical energy of the entrepreneur can and should be applied to unsatisfied social problems and needs, transforming them into opportunities to create social value".
Aware of the importance of these projects to generate positive impact in communities around the world, both public and private organizations are generating new initiatives to support social entrepreneurship, national and international. Its mission is to promote sustainable projects and open innovation, to promote development and social welfare. Do you have a disruptive and sustainable idea and want to carry it out? Do you want to know what organizations can help you in your social enterprise? This article can help you.
What is social entrepreneurship?
According to the Instituto de la Juventud (INJUVE), "any initiative aimed at the social and economic development of a community" can be qualified as social entrepreneurship. It stresses that "social entrepreneurship has a very different meaning depending on the level of economic, social or cultural development of the community in which we find ourselves, because the priorities and needs of societies are not the same; depend on the stage of its development ".
The definition of the European Commission (Enciso, Marta, Gómez, Laura, Mugarra, Aitziber, 2012, 67-68) points out that a company with a social impact is one that operates in the market, providing society with goods and services, characterized by three essential elements:
1. The social objective of common interest is the raison of its commercial action. They tend to have a social impact by providing goods or services in a socially innovative manner.
2. The profits are reinvested mainly in the realization of this corporate purpose.
3. This social mission also has a reflection on the mode of organization and the ownership regime of these entities, which include principles such as responsibility, transparency, democracy, participation and orientation to social justice.
For Juan David Escobar, CEO of the social startup Q'Omer Bioactive Ingredients, social entrepreneurship "is born from the idea that companies should not only be economically viable, but also can generate a social impact in their communities". The main difference between these initiatives and economic entrepreneurship lies in "how do you get the money and what do you use it for". This means: "how do you get involved positively in the production communities, how do you share money equitably, how do you generate development and consolidation processes, taking into account economic, environmental and social sustainability?".
So who is an entrepreneur with a social impact? In this regard, the accelerator of social projects UnLtd Spain reflexiona que se trata de “aquella persona que ante un problema o necesidad social busca una solución reflects that it is "a person who, in the face of a social problem or need, seeks an innovative solution", through a sustainable business model "that allows it to maximize its impact". The organization emphasizes that it has very strong values, such as nonconformity, proactivity, resilience, passion, self-confidence and innovation.
Advantatges of social entrepreneurship
According to the digital media Agora, Entrepreneur magazine, BizFluent publication and the newspaper Entrepreneurship: Theory and Practice, the fact of being a social entrepreneur implies certain benefits:
- They get recognition from their sector and from society in general, considering themselves avant-garde for solving needs in a creative way and changing their environment.
- They solve inefficiencies of existing markets, helping many people to solve local needs and being able to give rise to new markets or niches.
- They are a factor of social transformation and progress.
- They dedicate themselves to what they are passionate about, help causes that matter to them, obtaining profitability.
For Escobar, in addition, it is essential to be able to follow their moral and values in their business activity, performing actions that "contribute to the community and the environment".
Related reading: The circular economy and why we should bet on it in the company
Resources for a social startup
For those entities or actors that wish to join to develop sustainable projects, there are a series of resources and practical information collected by INJUVE:
- ASHOKA: global organization that provides financial and professional support to those innovative social ideas that promote structural and lasting changes. It currently has a network of more than 2,000 companies in 60 countries.
- Fundación Domus Labora :non-profit organization whose objective is to promote improvements to problems such as social, residential and labor exclusion through business and social initiatives.
- Fundación Hazloposible: its mission is to facilitate the participation and interaction of the different social agents in social action projects, using ICT.
- Gestión Social: virtual space for the exchange of information about social organizations.
- Obra social La Caixa: offers microcredits for those who wish to create a self-employment project and have difficulties accessing the usual credits of the financial system.
- The Schwab Foundation: foundation supervised by the Swiss Federal Government whose purpose is to promote the entrepreneurial and social spirit as a catalyst for social innovation and progress.
- Skoll Foundation: its goal is to bring about a global change to achieve the benefit and development of communities around the world. For this, it invests in innovative social projects.
- Observatorio del Tercer Sector: specialized research center in the Third Sector, it is, the social economy. Its purpose is to deepen and increase knowledge about it and work in favor of non-profit organizations.
- Sustainability: consultancy specializing in risks and opportunities associated with CSR and sustainable development. Look for solutions to social and environmental problems.
Acceleration programs for sustainable projects
UnLtd Foundation Programs
UnLtd Spain is a pioneer organization in the support of social enterprises. It was born in 2003 as a subsidiary of UnLtd UK, and since then it has supported more than 13,000 social entrepreneurs through different initiatives:
- Programa Crece: with a duration of eight months, the participants in this program receive assistance and advice, as well as the possibility of financing, while they connect with other entrepreneurs in their sector.
- Emprende inHealth: its goal is to find the best projects in the field of health and sustain them in their growth phase. It happens in eight months.
Wayra UK Programs
British project of reference in impulse to initiatives of social entrepreneurship. Its mission is to "democratize entrepreneurship" in the United Kingdom, and for this it has several plans for internationalization and scalability:
- Wayra UK Call: inter-industrial call for emerging companies to develop innovative digital products, services and technologies beneficial to the community.
- GCHQ Cyber Accelerator: promotes cyber security projects to keep British businesses and consumers away from online threats.
- Velocity Health: seeks novel initiatives that focus on the prevention of diseases, especially those that use Artificial Intelligence and Machine Learning.
- Wayra Fair By Design: acceleration program focused on addressing the "premium" of poverty, that is: situations in which people in poverty pay more for everyday goods and services (energy, insurance, loans, transportation and food) than those that can pay them more easily.
Telefónica Open Future
The Telefónica Open Future Foundation opened several calls in 2017 for the registration of technological projects of a social nature:
- Emprendimientos Tecnológicos con Impacto Social para las regiones de Ica y Piura de Perú: open to Peruvian firms "that have an interest in improving the cities and regions of the country through the development of innovative ideas, with technological components, with high social impact and sustainability "
- Startups especializadas en Travel Tech: call to find innovative technological solutions in travel tech, smart tourism or ecotourism, focused on improving the customer experience and sustainability to attract quality tourism.
- Crowdworking de Tarragona, Green M1: aimed at startups linked to innovation and the strategic sectors of the city (cultural heritage and tourism, sports, health and wellbeing, environment, empowerment and attention to people and applied technological development).
Example of a social company: the case of Q’Omer Bioactive Ingredients
Q’Omer is a provider of natural ingredients to generate sustainable products. It plays an important role in the local communities of Peru with which it works, since it helps them distribute their ingredients in European markets. As commented by its CEO, Juan David Escobar, the entity collaborates with local producers, allowing them to adopt an inclusive approach.
Located in the Universitat of València Science Park, the objective of Q'Omer is not only to distribute these raw materials, but also to improve them thanks to biotechnology to give them new uses, under quality standards, generating socially charged products and expanding the niche markets of local producers.
In addition to being one of the selected entities of the Programa Crece 2017 of UnLtd Spain, it has also been in IMPACT+, initiative of the ICEX, and in other calls as Agroinncuba, thanks to whose international landing program the company is going to distribute its commercial offer also in Colombia.
If, like them, you also have a novel and social project that you want to start up, we invite you to consult our ebook Tools key for the consolidation and growth of innovative companies, with which you will learn to lay the strategic foundations of your project .
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