Keys To Launching A Successful Social Enterprise
As a part of the Entrepreneur’s Caucus at last week’s WeMedia conference in Miami, I asked Krista Van Tassel to share some insights about how to launch and sustain a successful social enterprise. Her recommendations were solid gold — which wasn’t really a surprise, since Krista is surrounded by people who are pursuing social ventures in every conceivable category. The organization she represents, Net Impact, is a global community of more than 10,000 students and professionals actively using business skills to improve the world, including social entrepreneurs, CSR experts, nonprofit managers and more.
Krista agreed to share her Top Ten List — so here it is:
#10 – Diversify your funding models – seek out a diversified funding portfolio so that you can weather any economic hardship. Be sure to include a smart mix of foundations, corporate partnerships, and individual donors.
#9 – Consider all your legal and nonprofit legal models – Truly think about what type of corporation or nonprofit you wish to have. There are several options available including 501c(3), b-corporation, etc. to
consider and be sure you select the right legal framework to support your funding plans.
#8 – Find your niche – Social and environmental responsibility are the buzzwords of the moment and while they won’t go out of style, they also offer many niches to tackle. Don’t try to serve all of the various parts of sustainability at once – pick the one that fits your organization best and then serve it the best.
#7 – Define your target partners within this niche – Once you’ve found this niche, define your business priorities and (in particular) partnership models around it. It is easy to get distracted by new
possibilities and partnerships, but if you remain focused on your serving your niche well and the mission-critical partnerships that enable you to do so, you’ll be successful.
#6 – Serve those partners well – Once you find those few select partners, don’t let them down. Provide them the best service you can so that your partnership enables them to truly overcome their pain points or find a breakthrough. These partners will then become your biggest advocates
#5 – Don’t over-engineer – Don’t overthink your products or make them too complicated for a nonprofit organization with limited technical staff to implement. The social media environment is forgiving at the moment – take advantage of this good nature and release your products in a less than perfect state. In return, you’ll see early adoption and get valuable user feedback to help you refine your idea. (Although this was written with tech products in mind, the logic could be applied to any new product or service)
#4 – Seek mentors – Find mentors who can help you to refine ideas, develop your business plan, introduce you to funders, provide valuable advice, and help take your organization to the next level. Mentors are critically important and can help in any part of your business.
#3 – Boldly define your social or environmental mission – Although everyone in this competition had a social or environmental mission, too often the business plan reader had to connect the dots. Don’t make your customers work to find out your mission. Be bold in setting your goals and stating what you wish to accomplish. Make it an upfront part of your communications and try to quantify your results (sharing it with others) whenever and wherever possible.
#2 – Do not waiver from that mission – Once you’ve defined that mission, do not waiver from it. Similar to fining your niche, meeting your goals requires absolute focus on your mission. Evaluate all of your business
decisions against this mission and be sure that the work you do aligns with it well and you will be successful.
#1 – Continue to follow your passion – All of you got to the PitchIt finals because you believed strongly in your idea and you have tirelessly dedicated yourself to its execution. Continue to follow your passion and even if this contest does not work out, you will find success.
Good luck!
You can learn more at netimpact.org.
Brian is Managing Director of little m media which provides strategic guidance and support to organizations around the use of the internet and technology to facilitate communications, engagement, education, and mobilization.
