www.socialfirmsuk.co.uk introducing social firms

www.socialfirmsuk.co.uk

Introducing Social Firms

The Wider Context

Social Firms are one type of Social Enterprise.

All social enterprises are trading organisations with social and economic goals.

Social enterprises are ‘more-than-profit’ organisations.

Social Firms - History

Origins -1960’s in Italy and Germany.

European networking growing since 1980’s and CEFEC (Confederation of European Social Firms Employment Initiatives and Social Co-operatives) formed in 1994.

Social Firms UK founded in 1999.

Social Firms

Social Firms have 3 core values:

Enterprise ~ Employment~ Empowerment

Enterprise in Social Firms

Businesses that trade

Earn >50% of income through sales

Must have an appropriate legal form

Profits are (principally) re-invested to grow the enterprise

Employment in Social Firms

At least 25% of employees have a severe disadvantage

All staff have employment contracts

Market wages are paid

Volunteer agreements in place

Empowerment in Social Firms (1)

Maximising ability and potential

Assisted to manage stress

Staff confidentiality

Social and economic integration

Empowerment in Social Firms (2)

Emphasis on training and employee development

Acknowledged as a good employer

Organisational structure is enabling

Social Firms UK

A charity promoting the development of Social Firms.

Is a member organisation: Social Firms and Emerging Social

Firms are Full members. Others have Associate, Group,

Corporate, Network or Individual membership.

Social Firms Growth - businesses

  When Social Firms UK was founded In 1999 there were 6 Social Firms.

We know of:

Over 180 businesses in the Social Firm sector -

99 Social Firms and 82 emerging Social Firms

The estimated number of FTE jobs created is 1,900. Around 1000 of these are held by severely disadvantaged employees

Social Firms Growth - businesses

Catering, Recycling, Training (as a market product) and Horticulture are the most popular sectors.

Catering and Horticulture are easy to start

but competition is high and seasonality in horticulture has implications for job stability.

Some Social Firm Examples

Travel agency: Travel Matters Enterprises www.travelmattersuk.com Health food retail outlet – Daily Bread (Cambridge)

www.dailybread.co.uk Contract gardening and nursery - Solstice Nurseries

www.solsticenurseries.co.uk Caterers Catering2Order –www.catering2order.com

To see more Social Firms and trade with them go to:

www.justbuy.org.uk

Social Firm Features

Tend to be small organisations

Niche markets - product or contract

Need ongoing support in early years

Make use of external expertise (business and product)

Initially led by an entrepreneurial spirit (Social Entrepreneur)

Ideally external and independent of parent organisation

A Social Firm Is: A sustainable business supplying a quality

service/product

A supportive environment (not a care delivery service)

Risky/Challenging

A long term commitment (3-5 years start-up typically)

Costly (in time, energy and money)

A Social Firm should be:

A quality working environment

An opportunity to maximise potential

A model of best employment practice

Part of a spectrum of other training & employment related services

A Social Firm Is NOT:

A quick fix answer to all problems

Easy

Going to create lots of jobs in a short time

A training project or sheltered workshop

Day care on the cheap

Finally:

With: the right business idea the right people sound financial support hard work the possibilities for success are good.

Business failure rate is 10 times lower among Social Firms in UK and Europe than the small business sector as a whole.

For More Information

Contact

Info@socialfirmsuk.co.uk

www.socialfirmsuk.co.uk