Social Enterprise Organizing Meeting

January 4, 2017

1

UVEF, Environic Logo

Meeting

Attendees

2

1

Malcolm

Andress

Soul Ice

Richmond

2

Oliver

Aurand

Revlidy

Richmond

3

Gunnar

Bartels

Gunnar R. Bartels

Richmond

4

Jonathan

Bean

Sustainy

Richmond

5

Kim

Bobo

Virginia Interfaith Center

Richmond

6

Rebecca

Bradbury

Public Citizen

Richmond

7

Nathan

Buschman

RVA Social Entrepreneurs

Richmond

8

Dave

Dobersztyn

OurPrayerCenter.com

Richmond

9

Lisa

Fuller

Public Citizen

Richmond

10

Elsie

Harper-Anderson

VCU Wilder School

Richmond

11

Grady

Hart

Virginia Impact Investing Forum

Richmond

12

Conaway

Haskins

Va. Cooperative Extension

Richmond

13

David

Hoover

Veterans Initiative Association

Richmond

14

Marty

Jewell

Community Wealth Builder

Richmond

15

Chris

Jewell

Know Love No Hate

Richmond

16

KyungSun

Lee

Genetic Alliance

DC

17

Bart

Levy

Fast Forward Marketing Co.

Richmond

18

Drew

Little

SeedPress

Richmond

19

Rob

Martin

United Virginia Education Fund

Richmond

20

Ayanna

McMullen

Harmony Organizing

Richmond

21

Sandra

Quigg

Friendship Industries

Harrisonburg

22

Kent

Ruffin

What Works RVA

Richmond

23

David

Williamson

Westwood Innovations

Richmond

24

Ian

Young

RVA Social Entrepreneurs

Richmond

RSVPs - Not Available/Declined

3

#

First Name

Last Name

Organization

Locality

1

Charles

Ajemian

Creative Technologist

Richmond

2

Duron

Chavis

Lewis Ginter Botanical Garden

Richmond

3

Dale

Fickett

RVA Works

Richmond

4

Jonathan

Fraser

Dreaming Creek

Powhatan

5

Bill

Godfrey

Sustainable RVA

Richmond

6

Angela

Kellam

Samaritan House

Virginia Beach

7

Teri

Lovelace

Virginia Community Capital

Richmond

8

Kim

Mahan

MAXX Potential

Richmond

9

John

Moeser

University of Richmond

Richmond

10

Toan

Nguyen

C'ville Central

Charlottesville

11

Michael

Pirron

Impact Makers

Richmond

12

Julie

Rettinger

Rappahannock Goodwill Inc.

Fredericksburg

13

Carter

Scott

Durrette Crump PLC

Richmond

14

Alicia

Seay

Invincive Labs

Richmond

15

Jim

Ukrop

New Richmond Ventures

Richmond

Agenda

  • Introductions (6:00-6:15)
  • Overview of Social Enterprise & Urban Social Enterprise (6:15-6:35)
  • Findings of Sustainable Economy Planning Study (6:35-6:55)
  • Organizing the Social Enterprise Sector (6:55-7:20)
  • Conclusion/Next Steps (7:20-7:30)

4

Serving CRC/RPC regions from Hanover to Chesterfield

10 themes

  • Overview of Social Enterprise &

Urban Social Enterprise

5

Overview of Social Enterprise: Definition

A social enterprise is an organization that applies commercial strategies to maximize improvements in human and environmental well-being—this may include maximizing social impact alongside profits for external shareholders. Social enterprises can be structured as a for-profit or non-profit, and may take the form (depending in which country the entity exists and the legal forms available) of a co-operative, mutual organization, a disregarded entity,[1] a social business, a benefit corporation, a community interest company or a charity organization. They can also take more conventional structures. What differentiates social enterprises is that their social mission is as core to their success as any potential profit.

Many commercial enterprises would consider themselves to have social objectives, but commitment to these objectives is motivated by the perception that such commitment will ultimately make the enterprise more financially valuable. These are organisations that might be more properly said to be operating corporate responsibility programs. Social enterprises differ in that their commitment to impact is central to the mission of the business. Some may not aim to offer any benefit to their investors, except where they believe that doing so will ultimately further their capacity to realize their social and environmental goals, although there is a huge amount of variation in forms and activities.

The term has a mixed and contested heritage due to its philanthropic roots in the United States, and cooperative roots in the United Kingdom, European Union and Asia. In the US, the term is associated with 'doing charity by doing trade', rather than 'doing charity while doing trade'. In other countries, there is a much stronger emphasis on community organising and democratic control of capital and mutual principles, rather than philanthropy.[2] In recent years, there has been a rise in the concept of social purpose businesses which pursue social responsibility directly, or raise funds for charitable projects.

6

Overview of Social Enterprise in the U.S.

The Social Enterprise Alliance defines a "social enterprise" as "an organization or venture that advances its primary social or environmental mission using business methods." In the U.S, two distinct characteristics differentiate social enterprises from other types of businesses, nonprofits, and government agencies:

  • Social enterprises directly address social needs through their products and services or through the numbers of disadvantaged people they employ. This distinguishes them from "socially responsible businesses", which create positive social change indirectly through the practice of corporate social responsibility (e.g., creating and implementing a philanthropic foundation; paying equitable wages to their employees; using environmentally friendly raw materials; providing volunteers to help with community projects).
  • Social enterprises use earned revenue strategies to pursue a double or triple bottom line, either alone (as a social sector business, in either the private or the nonprofit sector) or as a significant part of a nonprofit's mixed revenue stream that also includes charitable contributions and public sector subsidies. This distinguishes them from traditional nonprofits, which rely primarily on philanthropic and government support.

In the United States, "social enterprise" is also distinct from "social entrepreneurship", which broadly encompasses such diverse players as B Corp companies, socially responsible investors, "for-benefit" ventures, Fourth Sector organizations, CSR efforts by major corporations, "social innovators" and others. All these types of entities grapple with social needs in a variety of ways, but unless they directly address social needs through their products or services or the numbers of disadvantaged people they employ, they do not qualify as social enterprises.

7

Urban Social Enterprise with Malcolm Andress, MDiv

  • Urban Social Enterprise
    • History
    • Case Example: Social Ice
  • Economic Theology
    • Case Example: RVA Street Foodies

8

2. Findings of Sustainable Economy Planning Study

9

2015 SRVA Sustainable Economy Planning Study

In addition to secondary research and literature reviews, In-Depth Interviews were conducted by the study’s author, KyungSun Lee, with the following economic and community development leaders in the Richmond Region.

  • John Moeser, Senior Fellow at Center for Civic Engagement, University of Richmond
  • Dale Fickett, Executive Director, RVA Works
  • Larry Wilder, Special Advisor to Secretary of Commerce and Trade
  • Toan Nguyen, Executive Director, C’ville Central
  • Jim Ukrop, Bob Mooney & Bill Weber, New Richmond Ventures
  • Ginny Hodges, Programs Manager, Virginia Community Capital
  • Stuart Grattan, VP of Production, Strickland Machine Company
  • Evette Roots, Social Enterprise Director, Office of Community Wealth Building
  • Conaway Haskins, Executive Director, Virginia Community Economic Network
  • Jennifer Erkulwater, Professor of Political Science, University of Richmond
  • Jennifer Boyle, VP of Operations, Junior Achievement of Central VA
  • Richard Luck, Partnership Director/Co-founder, UnBoundRVA
  • Carter Scott, Small Business, Nonprofit Lawyer, Durette Crump
  • Michael Pirron, Chief Executive Officer, Impact Makers
  • Remo Komminick, Co-founder, TechHatch
  • Jamison Manion, Program Administrator of Workforce Development, City of Richmond Dept. of Economic and Community Development
  • Cara Cardotti, Manager of the Thrive Collaborative, United Way of Greater Richmond & Petersburg
  • William Daughtrey, Former Entrepreneurship Executive in Residence, Dominion Resources Innovation Center
  • YoungMi Kim, Professor of Social Work, Virginia Commonwealth University
  • Marianne Vermeer, Principal, Vermeer Consulting Group
  • Greg Hofbauer, Small Business Mentor, Thrive, CEO of NimblePitch and GroundWorks Design

10

How does someone in poverty get to employment?

Why these focus areas (mentioned above)?

Tenants of Economic Sustainability in RVA

  • Social/Human
    • Increasing mobility
    • Increasing assets/wealth
    • Self-sufficiency
  • Economic
    • Cross-regional
    • Adaptability
    • Accountability/Measurability
  • Environmental

11

Source: 2015 SRVA Sustainable Economy Planning Study

Before growth, have to attract social-minded individuals

How do we create sustainable financing for this initiative?

Framework for Employment

Education &

Training for Employment

Social Enterprises

Entrepreneur

Companies

12

Source: 2015 SRVA Sustainable Economy Planning Study

Best Practice: Miller Center for Social Entrepreneurship

Impact (as of May 2015)

International Practice:

Recommendation #1:

Grow Social Enterprises in the Region

Problem: Lack of emphasis, growth opportunities or resources specifically geared toward social enterprises

13

Source: 2015 SRVA Sustainable Economy Planning Study

Recommendation #2:

Incentivize and cultivate social innovation among local universities and colleges

14

Source: 2015 SRVA Sustainable Economy Planning Study

Cite Conaway Haskins

Impact

Best Practice: EverGreen Cooperatives

Recommendation #3:

Promote Worker Owned Cooperatives

Problem: Lack of local ownership opportunities, need for under-resourced entrepreneurs to be integrated to entrepreneurship ecosystem

15

Source: 2015 SRVA Sustainable Economy Planning Study

Currently, focus is just on training for specific job.

Recommendation #4:

Embed Sustainability into Education & Training Programs

Problem: Lack of long-term tools for workers such as savings, technology training, and growth in personal networks

16

Source: 2015 SRVA Sustainable Economy Planning Study

Recommendation #5:

Create public-private partnerships around specific issues, namely in preparing the workforce for employment in a knowledge-based economy.

17

Source: 2015 SRVA Sustainable Economy Planning Study

Will send follow-up

Ways to stay connected

Summary of Recommendations

  • Grow Social Enterprises in the Region
  • Incentivize and Cultivate Social Innovation
  • Promote Worker Owned Cooperatives
  • Embed Sustainability into Education & Training Programs
  • Create Public-Private Partnerships around Specific Issues

18

Source: 2015 SRVA Sustainable Economy Planning Study

What is economy?

Economic Vitality → Pirron/Martin set social businesses on the agenda (discussed best practice models, VA B Corps community, growth of social enterprise)

My role

4. Organizing the Social Enterprise Sector

19

Goals of Organizing the Social Enterprise Sector

  • Drive resources to develop social enterprises to directly address social needs through their products and services or through the numbers of disadvantaged people they employ.
  • Distinguish social enterprises and the sector from "socially responsible businesses" so that the sector may properly thrive and address social needs.
  • Build the profile of the "social enterprise" sector and its practitioners in a manner that is distinct from "social entrepreneurship" (i.e., B Corp companies, socially responsible investors, "for-benefit" ventures, Fourth Sector organizations, customer service relationship efforts by major corporations, "social innovators" and others.)

20

Organizing a Social Enterprise Association

21

SEA Chapter Membership Guidelines

There must be 10 members to form a SEA chapter, five of which must be organizational level members and the rest can be individual members. Annual membership dues are $100 for individuals and $350 for organizations with 0-9 employees. Dues for organizations with 10-24 employees is $600 and 25+ employees is $1,000.

SEA national has set up a funding structure to encourage success and sustainability for its chapters. On a quarterly basis, each chapter receives 100% of its individual memberships ($0 - $100) and 50% of its organizational memberships ($350 - $1,000).

22

To assist under-resourced potential members who would be willing to volunteer for the organization's leadership team United Virginia Education Fund (a 501c3 non-profit organization) will undertake a fundraising campaign. The purpose will be to provide matching funding for those would would like to join and have their individual or organizational memberships partially sponsored. Some scholarships may also be provided.

SEA - Virginia Chapter Recognition Requirements

These are some immediate next steps if you are interested in joining the leadership team to assess establishing a Social Enterprise Alliance (SEA) chapter organization in Virginia:

  • Review SEA’s mission, vision and values and decide if you think it is a good idea to move forward
  • If so, become part of the leadership team of 6-10 people willing to meet regularly to plan and execute chapter programming and events
  • Proceed with joining the Chapter consisting of 10 SEA members (at least 5 organizational) and a leadership team so that we can receive recognition as an SEA Full Chapter.

23

5. Conclusion/Next Steps

24

SEA Organizational Meeting Outcomes

Assess the level of volunteer commitment for starting a chapter...

Proceed with joining the Chapter consisting of 10 SEA members (at least 5 organizational) and a leadership team so that we can receive recognition as an SEA Full Chapter.

25

Individual Membership is for social enterprise enthusiasts and supporters seeking to learn more about social enterprise, meet like-minded colleagues and gain exposure to the field. Individual members include social entrepreneurs, non-profit and business professionals, academics, donors, attorneys and more.

Organizational Membership is for social enterprises and sector champions seeking to engage with a national network of social enterprise leaders, promote their work and accelerate their impact. Organizational members include social enterprises, non-profits and for-profits considering social enterprise, as well as intermediary organizations such as philanthropic and academic institutions, along with consulting, legal, financial and marketing firms.

Potential Founding Members of SEA Virginia Chapter

26

First Name

Last Name

Organization

Geography

Type

Jonathan

Fraser

Dreaming Creek

Powhatan

Individual

Sandra

Quigg

Friendship Industries

Harrisonburg

Individual

Alicia

Seay

Invincive Labs

Richmond

Individual

Julie

Rettinger

Rappahannock Goodwill Inc.

Fredericksburg

Organization

Oliver

Aurand

Revlidy

Richmond

Individual

Ian

Young

RVA Social Entrepreneurs

Richmond

Organization

Dale

Fickett

RVA Works

Richmond

Organization

Angela

Kellam

Samaritan House

Virginia Beach

Individual

Malcolm

Andress

Soul Ice

Richmond

Organization

Bill

Godfrey

Sustainable RVA

Richmond

Individual

Rob

Martin

United Virginia Education Fund

Richmond

Organization

Kent

Ruffin

What Works RVA

Richmond

Organization

Thank You!

27

Social Enterprise Organizing Presentation (Jan. 4, 2017) - Google Slides