Social Enterprise

Social enterprises are dynamic businesses with a social purpose working across the UK and internationally to deliver lasting social and environmental benefit. Social enterprises operate in a wide range of industries from farmers markets and recycling to transport and childcare.

The social enterprise sector is incredibly diverse, encompassing co-operatives, development trusts, community enterprises, housing associations, football supporter's trusts, Social Firms and leisure trusts, among others.

As a result social enterprises use a wide variety of legal forms; some incorporate as companies while others take the form of industrial and provident societies.

The accepted definition of social enterprise is the DTI’s:

“A social enterprise is a business with primarily social objectives whose surpluses are principally reinvested for that purpose in the business or in the community, rather than being driven by the need to maximise profit for shareholders and owners.”

Social Enterprise, A strategy for success, DTI 2001

Many community and voluntary sector organisations are moving towards social enterprise by increasing their traded income, often through contracts. For the purposes of SEYH, VCS organisations that are developing trading activity would be regarded as part of the social enterprise sector.