What is a social business? What does it mean? Is it possible to pursue profits and at the same time have a social impact? The following 10 principles of a social business answer these questions you may have.
What is a Social Business
It is designed to address a social problem, yet is self-sustainable. Oftentimes the profits are reinvested into the company itself to further its reach. Make better products or offering better services is still part of a social business work.
The social mission is still the utmost priority and not maximizing profits. However profits are still necessary to keep the business running. And business owners do not receive any dividend.
Making Panaprium a Social Business
Panaprium aim to be one of the many social businesses that already exist. We plan to participate in the following social organizations:
Social Entrepreneurship Network Germany.
We think the products we buy do have to come at the expense of workers' rights. All goods should be made fairly and ethically. We want to successfully establish ourselves on the market as a socially responsible company.
We will work with universities, civil society organizations and other companies to find sustainable solutions to the negative impact of the fashion industry on the environment. We are committed to making changes. We drive the social and ecological improvements that the industry needs to become sustainable.
Panaprium aims to put in place business solutions and systems to make a positive impact on the world. We are still a for-profit company, but we make money to solve social problems.
The 10 Principles of a Social Business
Here are the 10 principles of a social business:A social business work is beneficial to the community and is guided by for example sustainable development goals.
The profits of a social business are mainly used to amplify its influence and the reach of its social mission.
It is indeed a real business, generating at least half of its income from its own activities and not through state or government subsidies.
A social business does not have any limitation in the selection of its form or structure.
It work toward make itself unnecessary.
Employees in a social business influence and participate openly to the decision making process.
It operates its activities in a fair and cooperative way for its employees, partners, competition and customers.
A social business works toward making its effect far-reaching and known as much as possible.
It is in constant pursuit of its goals in an innovative and sustainable way.
It offers products or services in a free market.
About the Author: Alex Assoune
Alex is passionate about conscious living, ethical, and sustainable fashion. He writes to raise awareness around the environmental and social impact of fashion.