Growing the social enterprise – issues and challenges

Abstract

Purpose

The purpose of this paper is to explore the concept of business growth as it applies to the social enterprise. It examines if social entrepreneurs have a growth agenda, how this is achieved and the challenges encountered in achieving firm growth.

Design/methodology/approach

This exploratory study involves the completion of a series of four case studies of established social enterprises.

Findings

Social entrepreneurs do have aspirations to grow their enterprise, where growth is perceived from multiple perspectives, primarily underpinned by the provision of a perceived social value. Firm growth is predominately measured from the external beneficiary perspective rather than internal financial metrics. Sourcing financing, staff retention adjusting to different roles in managing the enterprise and measuring the scale and impact of their business are the primary challenges encountered. The creation of social value and profit generation are not mutually exclusive in the social enterprise when social entrepreneurs confront the challenges of growth within a business context.

Originality/value

The findings from the research provide a more holistic understanding of growth in the social enterprise. This detail adds to an under researched topic in the Irish context, puts forward recommendations on what is required by policy to assist the social entrepreneur take their business to the next level and presents areas for further research to advance a topic that is still in its infancy.

Citation

Hynes, B. (2009), "Growing the social enterprise – issues and challenges", Social Enterprise Journal, Vol. 5 No. 2, pp. 114-125. https://doi.org/10.1108/17508610910981707