Start a social enterprise
What is a social enterprise, how is it different from a traditional business model, and how can you set one up?
If you are thinking about setting up a business but want to achieve more than just financial returns, then you should consider setting up a social enterprise.
Social enterprises are businesses that trade to address social problems, improve communities, people's quality of life, or the environment. Their social mission is at the heart of everything they do and all profits are reinvested towards achieving these goals.
One of the benefits of running a social enterprise can be providing employment for local people.
This guide will provide insight into the social economy in Northern Ireland. It also provides information on 91Ï㽶»ÆÉ«ÊÓƵ for social enterprises in Northern Ireland and a useful checklist on starting a social enterprise.
Free business start-up 91Ï㽶»ÆÉ«ÊÓƵ
Access free start-up business 91Ï㽶»ÆÉ«ÊÓƵ from your local council. If you have a great idea but you're not sure how to turn it into a business, or you have already started out in business and require mentorship on your next steps, Go Succeed Start experts will help you to create a business plan, seek funding and put all the foundations in place to get your business up and running.
or call 0800 027 0639 to register for this free advice and guidance.
The social economy in Northern Ireland
An overview of social enterprises who make up an increasingly diverse and crucial sector of business in Northern Ireland
The social enterprise economy in Northern Ireland is an increasingly well-established and diverse sector. It creates opportunities and training for people who are often marginalised in society, driving social impact in these communities.
Figures released by Social Enterprise NI in its 'Re-balancing the NI Economy Report 2019' indicate there are almost 843 social enterprises in Northern Ireland, generating an annual turnover of approximately £980 million. It highlights there are almost 25,000 people employed in Northern Ireland's social economy.
What is social impact?
Social impact is the change in individuals or communities from specific actions. It is essential for social enterprises to demonstrate the effects of their initiatives to justify their efforts and attract 91Ï㽶»ÆÉ«ÊÓƵ.
The top three goals of social enterprises in Northern Ireland are to:
- enhance the community
- assist people in gaining employment
- improve the environment
The top three social enterprise activities are:
- education
- employment and skills
- business 91Ï㽶»ÆÉ«ÊÓƵ
The Department for the Economy provides more information on the .
Social enterprises and the public sector
Ways for social enterprises to maximise their chances of winning public sector contracts through tender competitions
Winning contracts to deliver public services can provide a regular income stream for social enterprises. Although as with most businesses, it is important for social enterprises to diversify income sources so that they are less vulnerable to the risks of one income source drying up.
The ability to deliver innovative approaches and fresh thinking to services, such as catering and recycling, make social enterprises an attractive option for public services. However, they will be required to compete for tenders through the public sector procurement process - read about how to tender for contracts in the Northern Ireland public sector.
There are a wide variety of opportunities in the delivery of public services, where social enterprises work in partnership with government, including:
- the health and social care sector
- fostering and adoption
- transport services
- refuse collection/recycling
- sports and leisure services
eSourcing NI is an electronic tendering site which allows you to .
Social Enterprise NI (SENI) has an listing social enterprises in Northern Ireland where you can find out about the activities of individual businesses. To access the complete directory, you need SENI membership - .
Benefits of public sector contracts
Public sector organisations are stable customers who pay promptly and within agreed contract terms and due to the public procurement process you can be assured contacts are awarded in a fair and transparent way.
Barriers facing social enterprises competing for public service contracts
One of the main barriers facing social enterprises when competing for public service contracts is resource capability - will you be able to deliver on the requirements of the contract? Also will the contract allow you to meet your goals and social purpose?
Support for social enterprises in Northern Ireland
A range of 91Ï㽶»ÆÉ«ÊÓƵ to help social entrepreneurs realise their vision and run their social enterprise.
As well as the mainstream 91Ï㽶»ÆÉ«ÊÓƵ available to all business start-ups there are some initiatives designed for social entrepreneurs.
Social Enterprise NI is a . It provides a platform for collaboration and knowledge sharing. You can also keep track of the latest events and news relating to social enterprises.
If you are not a Social Enterprise NI member - you can apply for membership to access new business opportunities, network with social enterprise leaders, share best practice, collaborate with like-minded organisations, and receive advice and guidance. Read more on .
Financial 91Ï㽶»ÆÉ«ÊÓƵ for social enterprises in Northern Ireland
Financial schemes and 91Ï㽶»ÆÉ«ÊÓƵ available to start or grow your social enterprise.
Various financial schemes and programmes provide dedicated assistance specifically for social enterprises, to help them start or grow.
Support schemes for starting and expanding social enterprises
Social Enterprise Thematic Programme
Support is offered for social enterprises to elevate their skills through one-on-one mentoring and online workshops, focusing on fundraising, digital marketing, and social impact planning - find out more about the Social Enterprise Thematic Programme.
Social Enterprise Bootcamp
Bespoke mentoring and exclusive workshops is provided to help enhance the skills of social enterprises which are actively trading with ambitions to grow - find out more about the Social Enterprise Bootcamp.
Social Enterprise and Co-operative Support
Assistance is available for individuals or groups interested in starting a new social enterprise or co-operative, or for organisations currently relying on funding and wanting to explore moving to a social enterprise or co-operative model – find out more about the Social Enterprise and Co-operative Support.
Growth Impact Fund
The Growth Impact Fund is for all social purpose organisations operating in consumer business, education and learning, employment and training, and health and social care - find out more about the Growth Impact Fund.
Green Support Scheme
The Green Support Scheme 91Ï㽶»ÆÉ«ÊÓƵs local businesses and social enterprises to implement sustainable practices, reduce carbon emissions, and create a bespoke Carbon Reduction Action Plan - find out more about the Green Support Scheme.
Harnessing Heritage Programme
The Architectural Heritage Fund (AHF) helps communities across the UK find enterprising new ways to revitalise old buildings through advice, grants, and social investment loans - find out more about the Harnessing Heritage Programme.
Village Catalyst Programme
The Architectural Heritage (AHF) funds the Village Catalyst Programme, an innovative partnership scheme aiming to help target rural poverty and social isolation via the reuse of historic buildings - find out more about the Village Catalyst Programme.
Millenium Awards Trust
The Millennium Awards are open to any social entrepreneur aged 16 years and older tackling a range of social issues - find out more about the Millenium Awards Trust.
National Lottery Awards for All Northern Ireland
The National Lottery Awards for All Northern Ireland provides funding from £300 to £20,000 to 91Ï㽶»ÆÉ«ÊÓƵ community-led projects for up to two years - find out more about the National Lottery Awards for All Northern Ireland.
Community Finance Ireland Loan
The Community Finance Ireland Loan is available to social enterprises, community projects and sports clubs across all of Ireland - find out more about the Community Finance Ireland Loan.
PEACEPLUS Change Maker Funding Programme
Funding to 91Ï㽶»ÆÉ«ÊÓƵ the implementation of projects through a small grants programme.
Various organisations are eligible to apply, including voluntary sector organisations. Organisations that operate for private profit are not eligible to apply. Find out more about the PEACEPLUS Change Maker Funding Programme.
MSE Charity Grants
Social enterprises, community interest companies (CICs), credit unions, not-for-profit companies limited by guarantee, and UK registered charities can apply for grants of between £2,000 and £10,000 to 91Ï㽶»ÆÉ«ÊÓƵ activities that improve people’s ability to become more financially capable. Find out more about the MSE Charity Grants.
Open Grants Programme
The Clothworkers' Foundation now accept applications for the Open Grants Programme, open to UK registered charities, Community Interest Companies (CICs), social enterprises and other registered UK not-for-profit organisations. Find out more about the Open Grants Programme.
Business finance and 91Ï㽶»ÆÉ«ÊÓƵ finder
Our Business Support Finder helps you find publicly funded assistance specific to your business. It lists 91Ï㽶»ÆÉ«ÊÓƵ in various forms, including financial aid and free or subsidised advice services. Search the Northern Ireland business 91Ï㽶»ÆÉ«ÊÓƵ finder.
Checklist: starting a social enterprise
A checklist of key questions you should consider to help you succeed when setting up a social enterprise
Before setting up a social enterprise, you might want to ask yourself the following questions to see if you are ready and whether a social enterprise is right for you:
- Have you considered what legal form your social enterprise is going to take? Options include unincorporated associations, trusts, limited companies, industrial and provident societies, Community Interest Companies and charitable incorporated organisations. For more information about social enterprise legal structures see choose the right structure for your social enterprise.
- Have you explored all the start-up 91Ï㽶»ÆÉ«ÊÓƵ options available to you and your social enterprise? See 91Ï㽶»ÆÉ«ÊÓƵ for social enterprises in Northern Ireland.
- Are you completely committed to the social and/or environmental aims of the company?
- Have you thought about how you will finance the social enterprise, both at start-up and during periods of growth? If you are using your own money, will you be able to survive while the business finds its feet? See find and manage the money.
- Do you have a viable business idea - ie is there a market for your service or product? Read about how to research and develop your business ideas, new products and services.
- Have you considered how you will research your customers, or engage with your stakeholders? See develop a sales and marketing strategy.
- Will you require the services of professionals such as an accountant or solicitor? For further information about working with professionals see use professional services.
- Will you need to employ staff in your social enterprise and do you know the requirements of becoming an employer? Find out more about how to hire staff.
Starting a social enterprise - SlackPress (video)
How SlackPress developed into a self-sufficient social enterprise that engages with the local community
Simon Black, co-founder of SlackPress, discusses how the SlackPress team created a social enterprise.
SlackPress is a media production social enterprise specialising in creative design. SlackPress works with community groups, other social enterprises, charities and corporate businesses to help them develop media content for DVDs, websites and social networks.
Here, Simon explains how SlackPress developed into a self-sufficient social enterprise that successfully engages with the local community.
Here's how we run a social enterprise - Loaf Catering (video)
How Loaf Catering operates as a social enterprise, generates income and engages with the local community
Loaf Catering is a social enterprise that was developed in 2007 to provide jobs and training opportunities for people with learning disabilities and autism. The company focuses on delivering under its strapline 'food with purpose'.
With the 91Ï㽶»ÆÉ«ÊÓƵ of its parent organisation the NOW Group, Loaf Catering has grown to an enterprise that includes four cafés, a catering academy and an online shop.
Maeve Monaghan, Chief Executive of the NOW Group, explains how Loaf Catering operates as a business, generates income and engages with the local community.
Here’s how we run a successful social enterprise business
Rachel McIlgorm highlights the benefits of being a social enterprise and how it plays a crucial role in the business's success.
Storybox, a Belfast-based social enterprise, sources and sells ethical gifts from local makers, social enterprises, and sustainable brands.
In addition to its online and physical shop, Storybox hosts workshops, classes, and events in its space, creating a hub for purpose-driven businesses to connect, collaborate, and thrive.
Storybox founder, Rachel McIlgorm, explains how being a social enterprise benefits and drives the business's success.
Why I chose to be a social enterprise
"I created Storybox to combine my passion for 91Ï㽶»ÆÉ«ÊÓƵing local businesses with giving back to the community. I wanted to create gifts that felt meaningful and carried a positive impact."
"The social enterprise model felt like the right fit from the start. It aligns with my values of making conscious business choices and encouraging others to do the same. We set up Storybox legally as a social enterprise to hold the business and our future team accountable as we grow. "
"After researching different options, I decided to set up Storybox as a Community Interest Company (CIC). This structure made the most sense, allowing us to reinvest profits into our social mission while still operating as a business."
"As a social enterprise, Storybox focuses on more than selling products. We encourage thoughtful gifting and bring people together to share stories. Whether browsing online, visiting the shop, or joining a community event or workshop, we aim to create connections and make a positive impact."
Advantages and challenges of running a social enterprise
"Running Storybox as a social enterprise delivers a powerful ripple effect with every order - we 91Ï㽶»ÆÉ«ÊÓƵ local businesses, boost social awareness, and contribute to charities. The knowledge that we've built our business on something greater than simply selling products makes all the difference."
"With the growing demand for ethical and sustainable options, our social enterprise status helps us draw customers who want their purchases to reflect their core values."
"We prioritise balancing profit and purpose in every aspect of our business. From selecting suppliers to setting fair prices, each decision must align with our social mission. We also actively cultivate relationships with like-minded partners and ensure transparency regarding our charitable contributions."
"Partnering with charities allows us to give back to causes that mean a lot to us. It’s not just about donating proceeds – it’s about raising awareness and using our platform to highlight the incredible work these organisations do. We've donated to Friends of the Earth NI and PIPS Suicide Prevention Ireland. We're proud of what we've achieved and hope to continue growing our contributions."
"The main things we look for in the products we sell are quality, sustainability, ethical production, and whether the brand shares our commitment to social impact. Customers can choose from our pre-made gift boxes or customise their own through our ‘Build a Box’ feature. It's important to us to include a variety of businesses – from those with diverse backgrounds to those 91Ï㽶»ÆÉ«ÊÓƵing different causes – so every box tells a bigger story about the brilliant makers and local businesses doing good work."
"Social enterprises often face additional challenges when accessing finance because there isn't always the same level of understanding or tailored 91Ï㽶»ÆÉ«ÊÓƵ available. Securing funding can be harder while staying true to both commercial and social impact goals."
Support and funding
"My journey benefited from invaluable 91Ï㽶»ÆÉ«ÊÓƵ provided by Work West and Social Enterprise NI, including mentoring and publicity. The council and the Housing Executive gave us small but important grants, which allowed us to move forward. Every bit of funding helped us grow steadily. I focus on slow and sustainable growth and am happy to maintain this pace."
"Other small business owners offered significant 91Ï㽶»ÆÉ«ÊÓƵ. Those casual meet-ups, chats, and coffees have been crucial; I honestly don't think the business would be where it is now without them."
Success and growth
"Support networks and funding opportunities greatly contributed to the growth and success of Storybox."
"Initially, I only dreamed of Storybox's potential, never imagining a physical shop."
"Expanding from an online business to moving to Portview Trade Centre has opened up brilliant opportunities to collaborate with other local businesses on site. We now host at least five monthly workshops and pop-up events, from painting and cake decorating to cross-community crafts and book launches, to bring people together, while also showcasing products from Portview-based makers in our gift boxes."
"Having a physical shop has given customers the chance to see the products and meet the people behind the brand, which brings the Storybox story to life in a much more profound way. It’s also allowed us to offer a more personal experience and build stronger relationships with the local community. I’ve developed a close relationship with my suppliers, and I genuinely love sharing their stories with customers. The impact becomes real when you witness customers’ reactions."
"Our shop offers a welcoming, inclusive space. Local residents appreciate having a community hub on Newtownards Road. Supporting charities like PIPS Suicide Prevention Ireland encourages customers to share their personal experiences and how these charities have helped them."