Generally, social entrepreneurship is not a common concept that is used among the business mainstream. But many people do not understand about this social entrepreneurship whereas in fact many successful and reputable as well as notable social entrepreneurs have been focused in this social-based business and have become the world changers through entrepreneurship and also social changers.
The history describes that the term of social entrepreneur firstly emerged in the mid of 1900s. This term is directed to those who use business value to achieve certain social purposes. It also imposes some social changes both domestic and abroad. Many social entrepreneurs then developed the social entrepreneurship that have significant concept about how the social business should run.
Social-based business is a kind of nonprofit business that selects the traditional profit-less charity approach. For this reason, this social entrepreneurship will only start business in the form of charity and nonprofit one. Unfortunately, many new entrepreneurs disregard about the importance of understanding thus traditional charity approach.
Furthermore, without the possible emergence of unemployment and worker dissatisfaction, the social entrepreneurship is a home based business that will help to solve some biggest social problems. Moreover, social entrepreneurs don’t need to busy themselves with corporate legal structure, reporting, and documentation now or in the future.
To be more specific, newly formed charities is given an alternative to use the social entrepreneurship to survive the business. Also, concept is another important matter if someone wants to be a successful social entrepreneur. Thus, the special concept they needed should be different in terms of product and service delivery. Compared to charity work that is lack of profit, social entrepreneurship is collaborating the science of business entrepreneurship with the science of social change.
Therefore, there are several important points from a number of best-practices suggested by successful entrepreneurs to build successful social entrepreneurship. First of all, since it is nonprofit business, you should put the project revenues and expenses first above everything. Secondly, if a profit is likely, you can improve and develop a full business plan with market research, marketing plan, and SWOT analysis. The last one, if it is a 502 c 3 nonprofit you up to, you shouldn’t include the grant revenues into the projection before you have at least two years of experience. These suggestions are only few examples of best-practices available but these can be effective advices to help you decide the first step to be taken in starting the social business.