Charities would rather trade as a Social Enterprise

  • Social Enterprise UK have released a survey that shows 45% of registered charities identify themselves as social enterprises.

    However, they are hindered as they have poor access to business management and financial help.

    The results of the survey showed 92% said they would like to increase their income from trading and government contracts in the next three years.

    From asking 100 charities, the results shows that more than half of the sectors income is now earned through trading and government contracts, rather than charity donations or grants; 90% said they are concerned that traditional voluntary and grant funding will become more difficult to secure in the coming years.

    The majority of charities are extremely positive towards the idea of social enterprises, with only 19% having a more cautions response. However, most charities say their lack of business skills, poor access to finance which is highlighted in a recent study by CFG, lack of support for the transition from voluntary to trading organisation and scepticism from trustees.

    Social Enterprise UK's chief executive, Peter Holbrook, said:

    Charities are generally very positive about social enterprise and keen to trade to generate income. Social enterprise is gaining real traction and is better understood by the voluntary sector. It isn't at all unusual for charities to be very business-minded now.

    The changing landscape is forcing charities to adapt. As public sector markets are opened up to competition, charities have to be business-savvy to bid for and win contracts, and able to prove their social impact.

    This is a new way of operating for many. But the hard-won Public Services (Social Value) Act that came into force this year provides a critically important tool for charities when selling their services to commissioners.

     


Related articles

  • Read More

    Housing association helps the environment and homeless at the same time

    Northward Housing and The Mustard Tree homeless charity have teamed up to help get people back into work. The charity's Standfirm enterprise sees properties left by Northward's tenants, who have...

  • Read More

    Trash to treasure scheme

    Mr Pearce, from Broughton, Salford, is launching a new social enterprise ‘Old to New Furnishings', with the help of a grant from social housing provider Salix Homes. This new enterprise renovates...

  • Read More

    WakeOrDonate app helps charity's gain donations

    WakeOrDonate is a mobile phone app which will make a donation to a charity each time the snooze button is pressed on someone's phone alarm. The app has been developed by Ronan Finnegan, a nineteen...

  • Read More

    A new approach to help people find care

    A peer-support model is a way of working that allows the sector to save money whilst also giving reliable support and care to those needing it.  Peer brokers will help other care-users manage their...

  • Read More

    Pilot Project Shows Social Enterprises Can Tackle Local Problems

    The JRF pilot project in Bradford shows the untapped potential that locally based social enterprises have to solve local problems.The report also says that local authorities should place a higher...

  • Read More

    Charities and Businesses form New Social Enterprise

    New methods need to be found for funding new social enterprises to free them from traditional methods and generate new methods of spending as well as methods of funding.Foundations traditionally...

  • Read More

    Social Enterprise to help those with learning difficulties is expanding!

     Loddon Social Enterprise will from next month be able to provide facilities where cooking, artwork and computer skills can be learned to increase the work experience for adults who have learning...

  • Read More

    Social enterprise spending to reduce reoffending

     The process still seems to be a learning process at present, and the ministry have recently completed a consultation on the sector to gain helpful feedback.They will be giving out a second grant to...

  • Read More

    Remploy Workers want to buy Factory as Social Enterprise

    The factories that make components and assemble car parts in Birmingham, Coventry and Derby, will lose all funding from the government by September.They were left open when thirty four Remploy...

  • Read More

    New Law should make public bodies account for social value

    The Public Services (Social Value) Act 2012 was passed in February last year and came in to effect on 31/1/13.It requires commissioners of public services to take into account "economic, social and...

Briefing Signup