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GovernmentExecutive
Judiciary
Legislature
Public service
BusinessSmall, medium, and large
enterprises
Trade Associations
Chambers of commerce
Civil SocietyNGOs
Academic
Media
Religious Groups
Civic Organizations
Tri-Sectoral Partnership
GovernmentLeadershipAuthority
LegislationFunding schemes
BusinessFinancial resources
TechnologyBusiness Skills
CustomersTrainingProcess
Civil SocietyTrust
NetworkGoodwill
CommunitySocial Issues
The Disadvantaged
Leverage
– Social Entrepreneurship
Nearly every problem has been solved by someone, somewhere…… [but] we can’t seem to replicate [those solutions] anywhere else.
Bill Clinton
Change the world
Definition of Social Enterprise
serving the disabled
triple bottom lines
creating employment opportunities
community interests
Profit with purposes
http://www.project10tothe100.com/index.html
Social Innovation – Where does the innovation come from?
DIDhttp://www.dialogue-in-the-dark.com/
Social Innovation – Where does the innovation come from?
MYhttp://hk.youtube.com/watch?v=YxpTFwQx-A8
http://www.youtube.com/watch?v=TPk2gRuIdj0
Statistics between MyC4 & KivaMyC4Launched October 2007
KivaLaunched October 2005
End Dec 2007 End Oct 2008 End Dec 2007 End Oct 2008Value of amount loaned since beginning in EUROS
300,000 5,190,195 12,250,512 37,747,507
Number of lenders 2,500 6,885 250,000* 353,543Average amount loaned per Lender in EUROS(includes re-loaned funds):
120 562 49* 107
Number of loans funded 500 3,079 19,250* 67,543Number of microfinance institution partners
2 providers 1 lender
20 (7 lenders, 13 providers)
48* 88
Average interest rate for lenders
10.9% 12.7% p.a 0% 0%
Average Interest Rate for borrows (APR after fees and costs of intermediaries)
n.a. 50% 20% 20%
Number of employees 9 22 in Denmark, 10 in Uganda
Not available 24 full time, 9 part time
Default rate 2% 2-3% Under 2% 1.25%
* As of October 2007 no other data available
Source: annual report MyC4, press releases and www.kiva.org
Sustainability = Innovation?FedEx – 700 aircraft, 44,000 motors, 4 million gallons of fuel every day, FUEL SENSE Program (1. replacing old aircrafts, reducing fuel consumption by 36%, capacity increase by 20%, 2. 30 software programs to optimize aircraft schedules, flight routes, and extra fuel on board, 3. 1.5 mega-watt solar energy system, 4. hybrid vans, 42% more fuel-efficient)
Cisco – used equipment (costing 8 million USD to handle) to Recycling Team (reuse rate jumps from 5% in 2004 to 45% in 2008, recycling cost fell by 40% and the team becomes a profit centre of 100 million USD)
Clorox – Green Works 40% share of 200 Million USD Market( 15-25% premium over conventional cleaners)
P&G – Tide Coldwater – 2%, 5% in 2002 to 21%, 52% in 2008 (British, Holland Households), impact 80 billion fewer kilowatt-hours = 34 million fewer tons of CO2)
CO2 + sea water = cement (coral)
Workforce entrants regard social responsibility and environmental commitment as important criteria in selecting employers
17
Final Check
Business Model•Value Proposition – any problem?
•Profit Formula – how to make the business sustainable?
•Key Resources – at what cost? any strategic partner?
•Key Process – by what means? any room for improvement?
•“CASH” Check: Cash, Access, Skill, Hour
•ask what your solution can do for the public?
•Cash (saving people’s money?)
•Access (provide access to / for?)
•Skill (skill enhancement?)
•Hours (saving people’s time?)
Social Enterprise is a BUSINESS
Social Entrepreneurship
http://video.google.com/videoplay?docid=-7538155516829693692#
http://www.youtube.com/watch?v=Tq0tan49rmc&feature=fvw
Hong Kong Cases
School of Hip Hop, Arts Alive and City ChallengeYouth Outreach
Healthy Mothers-to-be Kwun Tong Methodist Social Service
School of Hip Hop, Arts Alive and City ChallengeYouth Outreach
Interests or Strengths: Music, Dance, and risk-taking
Entrepreneurial spirit: Love what kids love, and empower them
Creative blend: Street dance, local and foreign cultures, synergy among 3 SEs, from drop-outs to teaching classes in school
Scale-up: Corporate partnership and Regional competitionNews: http://www.youthoutreach.org.hk/hiphop/index2.htm
Healthy Mothers-to-be Kwun Tong Methodist Social Service
Interests or Strengths: Post-natal mentorship, baby-sitting, and domestic service
Entrepreneurial spirit: One client (family) at a time, strong sense of ownership
Creative blend: Traditional wisdoms, modern healthcare knowledge, and inter-generational socialization
Scale-up: Extend the service from post-natal to nursery (children, age 1-6)
News: http://www.labouraid.org/maternity/http://hk.news.yahoo.com/article/091011/3/emxr.html
Social Innovation
Key Learning points:
•Bottom-up•Turn interests or strengths into business ideas•Put ideas into actions by those interested parties•Leverage resources (tangible and intangible)from Government, NGOs, and Corporations•End-users and customers focused•Not just one or two entrepreneurs, mobilize the whole team!
Funding Sources
Section 88 – charitable organizationhttp://www.ird.gov.hk/chi/tax/ach_tgc.htm申請者必須是《稅務條例》(第 112章)第 88條所界定具有慈善團體身分的非牟利機構。
Funding one: 民 政 事 務 總 署 推 行 " 伙 伴 倡 自 強 " 社 區 協 作 計 劃http://www.had.gov.hk/tc/public_services/en_self_reli/index.htm每 項 核 准 計 劃 最 多 可 獲 得 300 萬 元 的 資 助 。 有 關 的 計 劃 須 在 申 請 獲 批 後 六 個 月 內 開 始 實 際 運 作 ; 資 助 期 不 多 於 兩 年 。
Funding two: 「 創 業 展 才 能 」 計 劃 http://www.swd.gov.hk/tc/index/site_pubsvc/page_rehab/sub_listofserv/id_enhancinge/ 殘 疾 僱 員 在 每 項 業 務 中 所 佔 比 例 由 不 少 於 受 薪 僱 員 總 數 60% 改 為 不 少 於 受 薪 僱 員 總 數 50%用 以 支 持 業 務 最 初 營 運 的 資 助,一 般 從 業 務 開 展 起 計,由 最 多 為 期一年 改 為 最 多 為 期 兩 年,而 每 項 業務 最 高 200萬 元 款 額 的 規 定 則 維 持 不變。
Funding SourcesFunding Three: 社區投資共享基金http://www.ciif.gov.hk/tc/whatsnew/index_c.html截至第十五期基金共批出計劃: 約 200個 , 基金共批出金額: 約 2 億元受資助計劃的成效:- 20 000名人士由受助到助人- 超過 5 000名人士因提升自信和能力而可以重投勞動市場- 支援 14 000多個家庭 , 成立 20個合作社- 動員超過 4 700個合作夥伴,其中約三分之一為商界夥伴
Funding Four:環境及自然保育基金http://www.ecf.gov.hk/tc/home/index.html基金自 1994年成立以來,合共資助超過 1,000個項目,批出撥款約 2 億元。
Funding Five:活化歷史建築伙伴計劃http://www.heritage.gov.hk/tc/rhbtp/application_arrangements.htm
Funding Six: 工業貿易署 - 中小企業發展支援基金」http://www.tid.gov.hk中小企業發展支援基金 ( 基金 ) 旨在資助非分配利潤的支援組織、工商組織、專業團體及研究機關,推行有助提升香港整體或其個別行業的中小企業的競爭能力的項目。
SEBCSocial
Enterprises
Funding Support
•Government•Corporations
Increased social impact
• Resources- Social Angels- Commercial & Social Networks
- Strategic Partners
• Advice & Engagement- Strategy- Marketing- Training- Funding- Trading- Policy
• Capital
Leverage the Goodwill and Social Capital of
NGOs