jump to navigation

Mission-led business – building another half-way house 13 June 2016

Posted by cooperatoby in Social enterprise.
Tags: ,
trackback

The British government is trying to consolidate a newly-defined sector of what it defines rather broadly as the ‘social economy’.

It has coined the term ‘mission-led business’ (MLBs) to fit between social enterprise and corporate social responsibility. The definition is stronger than the latter in that it ‘identifies an intention to have a positive social impact as a central purpose of its business; makes a long-term or binding commitment to deliver on that intention through its business and operations; and reports on its social impact to its stakeholders’ – but weaker than the former because it ‘can fully distribute its profits’.

Rob Wilson, the UK’s Minister for Civil Society, has published a call for evidence on MLBs, saying: “I want every UK entrepreneur to be able to easily establish a business that makes a good profit while at the same time making a commitment to social impact. And I want everyone – consumers, governments and companies – to integrate mission-led businesses into their buying and investing habits.”

This initiative thus seeks to give an identity to businesses which want to a have a positive social impact – and who doesn’t? – but whose investors are unwilling to share any profit or power with other stakeholders. The definition is silent not only about ownership and participation, but also about the distribution of profits or assets. It relies solely on good intentions and social reporting.

The evidence will be considered by an advisory panel led by Nigel Wilson, CEO of Legal & General, but which has no representation from co-operatives, social enterprises or charities.

To comment, before 8 July 2016, go to: https://www.gov.uk/government/consultations/mission-led-business-review-call-for-evidence See the Pioneer Post report at: https://www.pioneerspost.com/news-views/20160512/global-social-innovation-round-34

See Senscot post – thanks Alison Lamond in Facebook Worker co-operatives group.

Advertisements

Comments»

No comments yet — be the first.

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out / Change )

Twitter picture

You are commenting using your Twitter account. Log Out / Change )

Facebook photo

You are commenting using your Facebook account. Log Out / Change )

Google+ photo

You are commenting using your Google+ account. Log Out / Change )

Connecting to %s

%d bloggers like this: