Fergus Lyon Cumberland Lodge June2011
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Fergus Lyon Cumberland Lodge June2011
- 1. What is social enterprise? Can it transform the third sector? Plenary 9 16 March 2011 Cumberland Lodge Professor Fergus Lyon Middlesex University
- 6. National Survey of TSOs Annual Small Business Survey
- 7. ASBS wide NSTSO Narrow ASBS Narrow
- 8. NSTSO Wide ASBS wide NSTSO Narrow ASBS Narrow
- 9. ASBS wide Delta’s Hidden SE NCVO Civil Society Almanac NSTSO Wide NSTSO Narrow ASBS Narrow Private sector oriented SE Third sector oriented SE
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- Growing interest in social enterprise by policy makersInnovative modelsSocial enterprise offers an insight into alternative forms of organising markets and the stateInnovative servicesHow to scale up How to finance
- Social innovation as alternative spacesAlternative formsAlternative servicesABLE project From Cardboard to CaviarCardboard- horse manure, worms, sturgeon, hydroponics, vegetables, community cafe, BMX, reducing offendingCombining business with social and environment aimsDefinitions used in the UK “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 profits for shareholders” (DTI, 2002). Others define by using examples“Including development trusts, community enterprises, housing associations, football supporters’ trusts, social firms, leisure trusts and co-operatives” (SEC)
- Matlock community agricultureIps 40 members work with local farmers and co own the sheep that they consumeThe expansion of meaningDemocratic forms are an element of social enterprise but dropped from the definition in the early 2000. Move from coops to community enterprise to social businesses to earned income in the TS.
- A company limited by share – whish share holders being coops of Ghanaian farmersLoose definition allows those that define themselves as social enterprises to be includedYou know one when you see oneDefinition tests based on Ownership and use of profittradingsocial aimsBut defining ‘social’ is subjective and politicalIs defining important?So
- The Old Crown is in the picturesque Cumbrian village of Hesket Newmarket. The pub is owned by a co-operative of more than one hundred local people and other supporters. It is believed to Britain’s first co-operatively owned pubAfter a few drinks someone asks how many social enterprises are there.- usually a politician- social enterprises don’t give a ...
- Whose definition do you want?Those in the charity, voluntary and not for profit – 16,000 organisations and £8.5bnAbove plus small businesses with employees meeting social enterprise definitions - 78,000 and £20bnAbove plus organisations without employees – 240,000 and £28bnAbove plus all third sector organisations with some income from trading – 281,000 organisationsAll civil society social enterprise activity – £77bn
- Whose definition do you want?Those in the charity, voluntary and not for profit – 16,000 organisations and £8.5bnAbove plus small businesses with employees meeting social enterprise definitions - 78,000 and £20bnAbove plus organisations without employees – 240,000 and £28bnAbove plus all third sector organisations with some income from trading – 281,000 organisationsAll civil society social enterprise activity – £77bn
- Whose definition do you want?Those in the charity, voluntary and not for profit – 16,000 organisations and £8.5bnAbove plus small businesses with employees meeting social enterprise definitions - 78,000 and £20bnAbove plus organisations without employees – 240,000 and £28bnAbove plus all third sector organisations with some income from trading – 281,000 organisationsAll civil society social enterprise activity – £77bn
- Whose definition do you want?Those in the charity, voluntary and not for profit – 16,000 organisations and £8.5bnAbove plus small businesses with employees meeting social enterprise definitions - 78,000 and £20bnAbove plus organisations without employees – 240,000 and £28bnAbove plus all third sector organisations with some income from trading – 281,000 organisationsAll civil society social enterprise activity – £77bn
- Fresh air....Hill Holt WoodEducation for excluded from schools14 acres self sustaining woodland using traditional craftCouncil trained staff and helped set curriculumReduces antisocial behaviour and costs Diversifying into green constructionScaling up – selling their management structure not a social franchise
- Finance:Demand side issues- investment readiness confusion of loan finance and grant finance- we all want finance- D for 30 year capSupply side issues- willingness to invest- policies to crowd in- eg SEIF and BSBBSBbsb as a symbolic market makerInvestors unwilling to finance innovation, and risk- will BSB creep to safetyLittle evidence of equity investment- either demand or supply How can social investment use social impact metrics- can you compare how measure impact of funds and what is impact of BSBThe City of London Migraine Clinic which promotes research into the causes, treatment and management of migraine and headache and provides training for medical students of Barts and The London Queen Mary's School of Medicine and Dentistry has received £140,000. They are expanding their activities to offer specialist headache services to the NHS working with PCTs and PBC clusters. Successful partnership will increase choice for people with this condition and reduce pressure on NHS services. They can offer longer consultations at lower cost than competitors (NHS and private sector) and with short waiting times (average 6 weeks). They re-invest income and donations in services.Paul Jansen, Interim CEO, the City of London Migraine Clinic said:"The City of London Migraine Clinic aims to provide access to its unique treatment service to as many people with migraine and other primary headaches as possible. Migraine affects over 6 million people in the UK but it is still widely under-diagnosed and under-treated, in children and adults. Thanks to the Department of Health's Social Enterprise Investment Fund, the Clinic will be in a much better position to offer its services to NHS trusts, thereby shortening waiting times and improving choice for NHS patients and service users. This will help to improve the quality of life for many thousands of people with these conditions."CEO Heather Sim Tel. 020 7251 3322
- Local Care DirectPrimary care centres and out of hours care, Dental Practiceowned by staff and patientsOver £20m turnoverStrong relationship with PCTsSkilled at winning contracts using knowledge of area, users and policyAstuteLobbyingLinks to ministers eg photo shootsChallenges of the public sector: Willingness of commissioners to innovate and risk: cooptionSpin outs from the public sectorRight to Request and now Right to Provide policyWho are the social entrepreneurs in the public sectorCultural, technical and legal changesUncertainty under previous governmentCurrent shift from social enterprise to MutualAre they more innovative?A Trojan horse or a genie in a bottle?What type of future?Or an alternative to the conventional economy and social policyOr a way of coping with current crisisGrowth in political interest and public sector involvement Should it transform the third sector?