New Guide Explains How To Establish A Social Enterprise

In its first week of existence, a social enterprise guide produced by Social Enterprise London for the local authority umbrella body London Councils, was downloaded 4,000 times, the online publication Third Sector reports. The guide, called Transitions, is an introduction to public sector workers who are thinking of creating a social enterprise to deliver services traditionally reserved for the public sector. The guide explains the concept of social enterprise and details information on the types of areas to which it can be applied.

Transitions also addresses some of the barriers and challenges one faces when creating a social enterprise, explains the process of establishing a business and outlines ways to receive support from employers. Social Enterprise London points out that social enterprise is not appropriate for everyone. It does assert, however, that social enterprise has shown a great deal of success in the UK, with over 62,000 social enterprises in existence which demonstrate "that the values of fairness, community investment, local control and a social or environmental mission can make for more efficient services, better user experiences and happier staff."

Matt Jarratt, communications director at Social Enterprise London, said he was "pleased but not surprised" by the high volume of downloads of Transitions. "The interest is both from chief executives looking to create top-down change," said Jarratt, "and from ordinary workers interested in doing it from the bottom up. The guide is just the first step in a program of work to help local authority workers understand social enterprise, and it points the way to more detailed information we've made available."

The guide stems from a change in policy taking place in the UK which emphasizes private sector solutions to social problems. Social Enterprise London identifies the Department of Health's establishment of the "right to request" in 2008 as the watershed moment for the shift to social enterprise. The right to request enables NHS staff to establish social enterprises that can deliver services previously handled exclusively by the state.

The coalition government, which was elected in May 2010, has also helped catalyze the social enterprise movement by promoting its Big Society, a commitment to involve community groups in the design and delivery of services and to encourage private firms to take on social and environmental problems.

While Transitions is priced at £10.00, Social Enterprise London has made payment voluntary because it "recognize[s] that payment can be difficult for people at the early stage of business development." The organization encourages people to pay what they can afford.

To download a copy of Transitions, click here.