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ā€œThe Big Idea: Scalingā€




3/15/12	
 Ā          UWB	
 Ā Social	
 Ā NTERPRISE	
 Ā CERTIFICATE	
 Ā 	
 Ā 
                      SOCIAL	
 Ā E Sector	
 Ā Cer4ļ¬cate	
 Ā Program	
 Ā 
3/15/12	
 Ā                                                              1	
 Ā 
                                        DRAFT	
 Ā 
About Me

ā€¢ā€Æ Co-Ā­ā€Founder	
 Ā and	
 Ā Execu4ve	
 Ā Director,	
 Ā Global	
 Ā Brigades	
 Ā 
   Associa4on	
 Ā and	
 Ā Empowered.org	
 Ā 
ā€¢ā€Æ Program	
 Ā Manager,	
 Ā Social	
 Ā Enterprise	
 Ā Leadership	
 Ā Cer4ļ¬cate	
 Ā at	
 Ā 
   University	
 Ā of	
 Ā Washington	
 Ā Bothell	
 Ā 




                                SOCIAL	
 Ā ENTERPRISE	
 Ā Cer4ļ¬cate	
 Ā 	
 Ā 
3/15/12	
 Ā                                                                            2	
 Ā 
                                             DRAFT	
 Ā 
What is a Social Enterprise?

    CSR ā‰  SOCIAL ENTERPRISE




               SOCIAL	
 Ā ENTERPRISE	
 Ā Cer4ļ¬cate	
 Ā 	
 Ā 
3/15/12	
 Ā                                                 3	
 Ā 
                            DRAFT	
 Ā 
What is a Social Enterprise?

An	
 Ā organiza4on	
 Ā that	
 Ā u4lizes	
 Ā market-Ā­ā€based	
 Ā 
business	
 Ā principles	
 Ā to	
 Ā achieve	
 Ā pro-Ā­ā€social	
 Ā goals.	
 Ā 

Examples:	
 Ā 	
 Ā 




3/15/12	
 Ā                SOCIAL	
 Ā ENTERPRISE	
 Ā CERTIFICATE	
 Ā 	
 Ā    4	
 Ā 
Todayā€™s Agenda
1.ā€Æ       Does	
 Ā nonproļ¬t	
 Ā mean	
 Ā you	
 Ā donā€™t	
 Ā get	
 Ā paid?	
 Ā 
2.ā€Æ       Dis4nguishing	
 Ā for-Ā­ā€proļ¬ts,	
 Ā social	
 Ā enterprises,	
 Ā and	
 Ā non-Ā­ā€proļ¬ts	
 Ā 
3.ā€Æ       The	
 Ā shareholder	
 Ā vs.	
 Ā stakeholder	
 Ā dilemma	
 Ā 
4.ā€Æ       What	
 Ā is	
 Ā the	
 Ā best	
 Ā en4ty	
 Ā structure	
 Ā for	
 Ā your	
 Ā organiza4on?	
 Ā 	
 Ā 	
 Ā 
5.ā€Æ       Decentralized	
 Ā vs.	
 Ā centralize	
 Ā d	
 Ā organiza4ons	
 Ā 
6.ā€Æ       Scaling	
 Ā for	
 Ā social	
 Ā impact	
 Ā 
7.ā€Æ       Q/A	
 Ā 




3/15/12	
 Ā                              SOCIAL	
 Ā ENTERPRISE	
 Ā CERTIFICATE	
 Ā 	
 Ā                 5	
 Ā 
Does Nonprofit Mean No Money?




3/15/12	
 Ā    SOCIAL	
 Ā ENTERPRISE	
 Ā CERTIFICATE	
 Ā 	
 Ā    6	
 Ā 
For-profit vs. Non-profit vs. SE

FOR-PROFIT ADVANTAGES
ā€¢ā€Æ Can sell equity to shareholders
        ā€“ā€Æ Can do an IPO
        ā€“ā€Æ Raise capital by conventional methods
ā€¢ā€Æ   Less government regulation / audits
ā€¢ā€Æ   More flexible business models (c-corp, LLCs, LLPs, etcā€¦)
ā€¢ā€Æ   Easier to get loans
ā€¢ā€Æ   Profit-based culture
ā€¢ā€Æ   Higher compensation structures



3/15/12	
 Ā                        SOCIAL	
 Ā ENTERPRISE	
 Ā CERTIFICATE	
 Ā 	
 Ā    7	
 Ā 
For-profit vs. Non-profit vs. SE

NON-PROFIT ADVANTAGES
ā€¢ā€Æ Tax deductable receipts
ā€¢ā€Æ Access to donors and grants
ā€¢ā€Æ Access to volunteers
ā€¢ā€Æ No taxes
ā€¢ā€Æ Mission-based culture
ā€¢ā€Æ No share-holders




3/15/12	
 Ā           SOCIAL	
 Ā ENTERPRISE	
 Ā CERTIFICATE	
 Ā 	
 Ā    8	
 Ā 
For-profit vs. Non-profit vs. SE

SOCIAL ENTERPRISES
ā€¢ā€Æ Can either be for-profit or non-profit
ā€¢ā€Æ Double or even triple bottom line
ā€¢ā€Æ Element of charitable programming/mission driven
ā€¢ā€Æ Can leverage mission-based culture to:
    oā€ÆMarket your company
    oā€ÆRetain and attract talent
ā€¢ā€Æ Have a market-based revenue model that is more
   sustainable than grants/donations alone
ā€¢ā€Æ Ideally all profits are circulated back into mission without
   shareholders.
3/15/12	
 Ā                 SOCIAL	
 Ā ENTERPRISE	
 Ā CERTIFICATE	
 Ā 	
 Ā    9	
 Ā 
The Stake-holder/Share-holder Dilemma

                 WHAT COMES FIRST:
                 MISSION OR PROFIT?

              If you have to appease shareholders, how do you
                prioritize your beneficiaries of your programs?




3/15/12	
 Ā                     SOCIAL	
 Ā ENTERPRISE	
 Ā CERTIFICATE	
 Ā 	
 Ā    10	
 Ā 
Whatā€™s Right for your Organization?

DO THE ANALYSIS
ā€¢ā€Æ Who are your stake-holders? Do they care about social
    responsibility?
ā€¢ā€Æ How compelling is your competitive advantage?
     ā€“ā€Æ Do you need grants or other donor based start-up capital?
     ā€“ā€Æ Do you need volunteers? Tax incentives?
ā€¢ā€Æ Is it worth it to give up equity?
ā€¢ā€Æ What is going to yield the MOST social impact?
ā€¢ā€Æ Do you have relationships with influencers that could be a
   impactful board of directors?


3/15/12	
 Ā               SOCIAL	
 Ā ENTERPRISE	
 Ā CERTIFICATE	
 Ā 	
 Ā    11	
 Ā 
Scale for Social Change
Global Brigadesā€™ Vision: To improve equality of life, by igniting the
largest student-led social responsibility movement on the planet.




 3/15/12	
 Ā                     SOCIAL	
 Ā ENTERPRISE	
 Ā CERTIFICATE	
 Ā 	
 Ā    12	
 Ā 
Centralized vs. Decentralized
Recommended	
 Ā readingā€¦	
 Ā 	
 Ā 
ā€œThe	
 Ā Starļ¬sh	
 Ā and	
 Ā the	
 Ā Spiderā€	
 Ā 	
 Ā 




  3/15/12	
 Ā                             SOCIAL	
 Ā ENTERPRISE	
 Ā CERTIFICATE	
 Ā 	
 Ā    13	
 Ā 
Global Brigades Org Chart 2012




               SOCIAL	
 Ā ENTERPRISE	
 Ā Cer4ļ¬cate	
 Ā 	
 Ā 
3/15/12	
 Ā                                                 14	
 Ā 
                            DRAFT	
 Ā 
Social Enterprise Certificate




                      Social Enterprise Leadership Certificate
                           June 17-September 11, 2012
                               Where: Bellevue, WA

              http://www.uwb.edu/business/nondegree/socialenterprise




3/15/12	
 Ā                     SOCIAL	
 Ā ENTERPRISE	
 Ā CERTIFICATE	
 Ā 	
 Ā    15	
 Ā 
Intā€™l Internship with Global Brigades




               Sustainable Development Internship
                         July1-31, 2012
              Where: Honduras, Panama and Ghana

                    www.globalbrigades.org




3/15/12	
 Ā            SOCIAL	
 Ā ENTERPRISE	
 Ā CERTIFICATE	
 Ā 	
 Ā    16	
 Ā 
Questions?

     Feel free to contact me at:
     Steve@globalbrigades.org




3/15/12	
 Ā               SOCIAL	
 Ā ENTERPRISE	
 Ā CERTIFICATE	
 Ā 	
 Ā    17	
 Ā 

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Scaling for social change

  • 1. ā€œThe Big Idea: Scalingā€ 3/15/12 Ā  UWB Ā Social Ā NTERPRISE Ā CERTIFICATE Ā  Ā  SOCIAL Ā E Sector Ā Cer4ļ¬cate Ā Program Ā  3/15/12 Ā  1 Ā  DRAFT Ā 
  • 2. About Me ā€¢ā€Æ Co-Ā­ā€Founder Ā and Ā Execu4ve Ā Director, Ā Global Ā Brigades Ā  Associa4on Ā and Ā Empowered.org Ā  ā€¢ā€Æ Program Ā Manager, Ā Social Ā Enterprise Ā Leadership Ā Cer4ļ¬cate Ā at Ā  University Ā of Ā Washington Ā Bothell Ā  SOCIAL Ā ENTERPRISE Ā Cer4ļ¬cate Ā  Ā  3/15/12 Ā  2 Ā  DRAFT Ā 
  • 3. What is a Social Enterprise? CSR ā‰  SOCIAL ENTERPRISE SOCIAL Ā ENTERPRISE Ā Cer4ļ¬cate Ā  Ā  3/15/12 Ā  3 Ā  DRAFT Ā 
  • 4. What is a Social Enterprise? An Ā organiza4on Ā that Ā u4lizes Ā market-Ā­ā€based Ā  business Ā principles Ā to Ā achieve Ā pro-Ā­ā€social Ā goals. Ā  Examples: Ā  Ā  3/15/12 Ā  SOCIAL Ā ENTERPRISE Ā CERTIFICATE Ā  Ā  4 Ā 
  • 5. Todayā€™s Agenda 1.ā€Æ Does Ā nonproļ¬t Ā mean Ā you Ā donā€™t Ā get Ā paid? Ā  2.ā€Æ Dis4nguishing Ā for-Ā­ā€proļ¬ts, Ā social Ā enterprises, Ā and Ā non-Ā­ā€proļ¬ts Ā  3.ā€Æ The Ā shareholder Ā vs. Ā stakeholder Ā dilemma Ā  4.ā€Æ What Ā is Ā the Ā best Ā en4ty Ā structure Ā for Ā your Ā organiza4on? Ā  Ā  Ā  5.ā€Æ Decentralized Ā vs. Ā centralize Ā d Ā organiza4ons Ā  6.ā€Æ Scaling Ā for Ā social Ā impact Ā  7.ā€Æ Q/A Ā  3/15/12 Ā  SOCIAL Ā ENTERPRISE Ā CERTIFICATE Ā  Ā  5 Ā 
  • 6. Does Nonprofit Mean No Money? 3/15/12 Ā  SOCIAL Ā ENTERPRISE Ā CERTIFICATE Ā  Ā  6 Ā 
  • 7. For-profit vs. Non-profit vs. SE FOR-PROFIT ADVANTAGES ā€¢ā€Æ Can sell equity to shareholders ā€“ā€Æ Can do an IPO ā€“ā€Æ Raise capital by conventional methods ā€¢ā€Æ Less government regulation / audits ā€¢ā€Æ More flexible business models (c-corp, LLCs, LLPs, etcā€¦) ā€¢ā€Æ Easier to get loans ā€¢ā€Æ Profit-based culture ā€¢ā€Æ Higher compensation structures 3/15/12 Ā  SOCIAL Ā ENTERPRISE Ā CERTIFICATE Ā  Ā  7 Ā 
  • 8. For-profit vs. Non-profit vs. SE NON-PROFIT ADVANTAGES ā€¢ā€Æ Tax deductable receipts ā€¢ā€Æ Access to donors and grants ā€¢ā€Æ Access to volunteers ā€¢ā€Æ No taxes ā€¢ā€Æ Mission-based culture ā€¢ā€Æ No share-holders 3/15/12 Ā  SOCIAL Ā ENTERPRISE Ā CERTIFICATE Ā  Ā  8 Ā 
  • 9. For-profit vs. Non-profit vs. SE SOCIAL ENTERPRISES ā€¢ā€Æ Can either be for-profit or non-profit ā€¢ā€Æ Double or even triple bottom line ā€¢ā€Æ Element of charitable programming/mission driven ā€¢ā€Æ Can leverage mission-based culture to: oā€ÆMarket your company oā€ÆRetain and attract talent ā€¢ā€Æ Have a market-based revenue model that is more sustainable than grants/donations alone ā€¢ā€Æ Ideally all profits are circulated back into mission without shareholders. 3/15/12 Ā  SOCIAL Ā ENTERPRISE Ā CERTIFICATE Ā  Ā  9 Ā 
  • 10. The Stake-holder/Share-holder Dilemma WHAT COMES FIRST: MISSION OR PROFIT? If you have to appease shareholders, how do you prioritize your beneficiaries of your programs? 3/15/12 Ā  SOCIAL Ā ENTERPRISE Ā CERTIFICATE Ā  Ā  10 Ā 
  • 11. Whatā€™s Right for your Organization? DO THE ANALYSIS ā€¢ā€Æ Who are your stake-holders? Do they care about social responsibility? ā€¢ā€Æ How compelling is your competitive advantage? ā€“ā€Æ Do you need grants or other donor based start-up capital? ā€“ā€Æ Do you need volunteers? Tax incentives? ā€¢ā€Æ Is it worth it to give up equity? ā€¢ā€Æ What is going to yield the MOST social impact? ā€¢ā€Æ Do you have relationships with influencers that could be a impactful board of directors? 3/15/12 Ā  SOCIAL Ā ENTERPRISE Ā CERTIFICATE Ā  Ā  11 Ā 
  • 12. Scale for Social Change Global Brigadesā€™ Vision: To improve equality of life, by igniting the largest student-led social responsibility movement on the planet. 3/15/12 Ā  SOCIAL Ā ENTERPRISE Ā CERTIFICATE Ā  Ā  12 Ā 
  • 13. Centralized vs. Decentralized Recommended Ā readingā€¦ Ā  Ā  ā€œThe Ā Starļ¬sh Ā and Ā the Ā Spiderā€ Ā  Ā  3/15/12 Ā  SOCIAL Ā ENTERPRISE Ā CERTIFICATE Ā  Ā  13 Ā 
  • 14. Global Brigades Org Chart 2012 SOCIAL Ā ENTERPRISE Ā Cer4ļ¬cate Ā  Ā  3/15/12 Ā  14 Ā  DRAFT Ā 
  • 15. Social Enterprise Certificate Social Enterprise Leadership Certificate June 17-September 11, 2012 Where: Bellevue, WA http://www.uwb.edu/business/nondegree/socialenterprise 3/15/12 Ā  SOCIAL Ā ENTERPRISE Ā CERTIFICATE Ā  Ā  15 Ā 
  • 16. Intā€™l Internship with Global Brigades Sustainable Development Internship July1-31, 2012 Where: Honduras, Panama and Ghana www.globalbrigades.org 3/15/12 Ā  SOCIAL Ā ENTERPRISE Ā CERTIFICATE Ā  Ā  16 Ā 
  • 17. Questions? Feel free to contact me at: Steve@globalbrigades.org 3/15/12 Ā  SOCIAL Ā ENTERPRISE Ā CERTIFICATE Ā  Ā  17 Ā