Getting in Front of
Social Enterprise
6 ON THE TABLE
A straightforward definition of social enterprise (SE) is a business run by or through a nonprofit that generates revenue to help support that nonprofit's work. SEs are businesses whose primary purpose is the common good. They use methods of business and the power of the marketplace to advance the organization’s social and human justice agenda.
An excellent information resource on the social alliance movement, including examples of SE businesses, best practices and industry trends can be found at Social Enterprise Alliance website .
The most common social enterprise business type within the food bank world and our NTFB partner agency network is the thrift store.
It’s estimated that more than 25% of NTFB agency pantries have viable social enterprises, usually in the form of a Thrift Store.
For the agency with a SE the benefits are huge; the organization receives a consistent flow of earned income which diversifies its revenue base. Ultimately, the revenue generated by a SE business allows the agency to lessen their dependency on the fickle world of charity, contributions and grants, thus increasing the agencies' financial stability.
NTFB agencies with SEs tell us that profits generated by their thrift stores can cover between 10-50% of their operating cost.
“Unique treasures arrive daily, revenue generated by Christian Community Action resale stores help to fund all of CCA’s services and programs.” *Photo courtesy of CCAhelps.org