Understanding Social Entrepreneurship: The Relentless Pursuit of Mission in an Ever Changing World

Front Cover......Page 1
Understanding Social Entrepreneurship......Page 3
Copyright Page......Page 4
Brief Table of Contents......Page 5
Detailed Table of Contents......Page 6
List of Illustrations......Page 11
Preface......Page 13
Acknowledgments......Page 19
About the Authors......Page 21
Foreword......Page 24
1. Introduction......Page 26
The Public and Private Sectors and Our Vexing Social Problems......Page 27
Social Entrepreneurship’s Unique Qualifications......Page 29
Resources and Tools to Begin the Social Entrepreneurship Journey......Page 34
2. Defining and Distinguishing Social Entrepreneurship......Page 37
Defining “Social”......Page 38
Defining “Entrepreneurship”......Page 39
Defining “Social Entrepreneurship”......Page 41
How Are Social Entrepreneurship and Business Entrepreneurship the\nSame and Different?......Page 45
What Motivates Social Entrepreneurs?......Page 47
Case Study 2.1: Profile of a Social Entrepreneur: Peter Frampton,\nManager, the Learning Enrichment Foundation......Page 49
The Timmons Model of the Entrepreneurship Process......Page 52
The PCDO (People, Context, Deal, and Opportunity) Framework......Page 53
The CASE Model......Page 56
The Social Entrepreneurship Framework......Page 57
The Social Entrepreneurship Process Model......Page 59
Voices from the Field......Page 60
3. Recognizing Social Opportunities......Page 66
Social Ideas......Page 67
The Role of Innovation......Page 70
Opportunity Recognition......Page 72
Opportunity Recognition Tools......Page 74
Using the Social Opportunity Assessment Tool......Page 76
Social Value Potential......Page 80
Market Potential......Page 82
Competitive Advantage Potential......Page 84
Sustainability Potential......Page 87
Overall Potential......Page 88
From Opportunity to Mission......Page 89
Case Study 3.1: The Case of the Intel Computer Clubhouse Network......Page 90
Allison Lynch, Founder, New York Women’s Social Entrepreneurship (NYWSE) Incubator......Page 93
The Importance of Social Venture Planning......Page 97
1. What Is the Social Problem Your Social Venture Would Like to Solve?......Page 100
From Prevalence to Accessibility: A Social Venture Opportunity: Greening the Desert......Page 101
3. What Is the Theory of Change—the Social Impact Theory?......Page 103
4. What Is the Social Venture’s Business Model?......Page 106
5. Who Is the Social Venture’s Competition?......Page 108
7. What Is the Social Venture’s Growth Strategy? How Will the Venture Scale?......Page 109
9. What Is the Social Venture’s Financial Plan?......Page 111
Case Study 4.1: Loyal Label Business Plan......Page 114
5. Organizational Structure......Page 145
General Organizational Design Options......Page 146
Pure Nonprofits......Page 147
Pure For-Profits......Page 152
For-Profits With Nonprofit Subsidiaries......Page 154
Nonprofits With For-Profit Subsidiaries......Page 156
Nonprofits With Nonprofit Subsidiaries......Page 157
Nonprofit–Nonprofit Partnerships......Page 158
Nonprofit–For-Profit Partnerships......Page 160
Conclusion......Page 162
Case Study 5.1: Jumpstart......Page 163
6. Funding Social Ventures......Page 167
Navigating the Challenges of Capital Raising......Page 168
Establishing the Capital Needs of the Social Enterprise......Page 170
Risk, Return, and Impact......Page 171
Values and Mission Alignment with Investors’ Intentions......Page 172
Mission-Related Investment Continuum......Page 173
Grant Funding......Page 174
Impact Investor Categories: Commercial and Philanthropic......Page 175
Hybrid Transactions, Public–Private Partnerships......Page 176
Finding the Right Form of Investment......Page 177
Active Ownership Strategies......Page 178
Guarantees......Page 179
Corporate Social Responsibility and Corporate Citizenship......Page 181
Structural Challenges for Impact Investing......Page 182
Patient and Growth Capital......Page 183
The Due Diligence Process......Page 184
Building Partnerships to Create Impact......Page 186
A New Approach to Microfinance......Page 187
Funding Social Ventures: Approaches, Sources, and Latest Perspectives......Page 189
Case Study 6.1: PODER (Project on Organizing, Development, Education, and Research)......Page 193
7. Measuring Social Impact......Page 201
1. Define Your Social Value Proposition (SVP)......Page 203
2. Quantify Your Social Value......Page 204
Measure and Move Along......Page 205
KickStart’s Total Impact to Date......Page 206
Approaches to Estimating Social Impact......Page 207
Case Study 7.1: Cost–Benefit Analysis Example......Page 208
3. REDF’s Social Return on Investment (SROI)......Page 210
6. The William and Flora Hewlett Foundation’s Expected Return (ER)......Page 212
Concluding Thoughts on the Above Methods......Page 213
Tools and Resources for Assessing Social Impact (TRASI)......Page 214
D.Light......Page 215
Case Study 7.2: Indego Africa......Page 217
8. Scaling the Social Venture......Page 226
Challenges to Growth......Page 227
Capacity Building......Page 230
Dissemination......Page 233
Affiliation......Page 235
Social Franchising......Page 236
Marketing......Page 239
Networking......Page 242
Conclusion......Page 247
Case Study 8.1: FareStart® and Catalyst Kitchens®......Page 248
Stephen Rynn, Director, Mission of the Immaculate Virgin......Page 252
9. The Future of Social Entrepreneurship......Page 256
Key Challenges Going Forward in Social Entrepreneurship......Page 258
The Future Need for Catalytic Innovations for Social Impact......Page 260
A Quadruple Bottom Line for Social Ventures?......Page 263
Internet Action beyond Donations......Page 264
A Facebook Founder Begins a Social Network Focused on Charities......Page 265
One-to-One Business Models: TOMS Shoes but Also Eyeglasses......Page 267
Public–Private Partnerships......Page 269
Furthering Entrepreneurship Education in the Area......Page 270
Redefining the Meaning of an Exit Strategy for Social Ventures......Page 272
Case Study 9.1: The World Resources Institute’s New Ventures......Page 275
Index......Page 281