Perspective 1: Why run a social enterprise as a business?

Perspective 1 of 3

As a non-profit social enterprise, we:

  • Do not have to pay taxes (VAT, profit, social insurance, retirement, withholding on employees)
  • Do not have to abide by prevailing industry/regulatory standards (i.e. costly independent product label registration and nutrition testing)
  • Can operate under the radar and evade the worst of corruption (i.e. market controller)
  • Can depend on donations to supplement poor performance or shortfalls (e.g. more understanding “investors”)
  • Obtain visas and other employment paperwork (or neglect it completely) more easily than other businesses
  • Our status as a non-profit can better assure stakeholders (donors) that our social mission is a crucial component of our business

All in all, that gives a non-profit social enterprise a healthy competitive edge in the marketplace.  Why wouldn’t we choose to register as a non-profit?


~ by responsiblenomad on March 19, 2011.

One Response to “Perspective 1: Why run a social enterprise as a business?”

  1. […] – well – it’s just the moral thing to do.  All the pros listed in Perspective 1 give non-profit social enterprises an unfair advantage.  We compete on the same field as any other […]

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