SMALL CHANGES THAT MATTER
5 Steps For Keeping Your Purpose at a Social Impact Startup
“A business that makes nothing but money is a poor business” -Henry Ford
What sets social enterprise startups apart is their clear intention to not only be profitable but also to have a positive social impact. They are not only making decisions for their own personal gain, but also for their employees, their shareholders, their customers, as well as their larger communities and the environment. This multifaceted impact focus is core to these startups’ mission, vision and objectives.
But let’s be clear — being an entrepreneur is no simple job, and even less so when your aim is to provide social good while also trying to increase your startup’s value. The good news, though-while it might seem like hard work at the beginning, having a social purpose can ultimately help to strengthen your brand, solidify loyalty and increase the profitability of the company.
In order to really make your social enterprise work, it is imperative that the social or environmental impact goal is infused throughout your business strategy. The purpose needs to be clear, authentic and it must be integrated completely into your startup’s culture.
If you are interested in creating a social impact business but are not confident about where to begin, here is a quick 5-step checklist for helping you keep your purpose central as you build your startup:
1. Let your social purpose shape your startup
During the early stages of your startup, you need to clearly articulate your purpose and the change you want your business to lead in society. Communicate this idea to employees and stakeholders so that the business is shaped following those ideals. Your social plan must be the link between the startup’s mission and vision, and be supported by everyone involved in the startup.
2. Give your social impact the importance it deserves
View it as the success factor driving your business. Make a win-win relationship between social impact and corporate success: if your revenues increase, so should your impact.
3. Build a strong corporate culture
Your startup’s values will be the core of your culture. These set the guidelines of how everyone from employees to customers will interact with your purpose, and can have a significant impact on motivation and engagement levels. Having a strong culture built upon your social purpose is critical for success.
4. Recognise Individual’s’ Effort
Sometimes, you might not pay enough attention to the progress that your startup is making and the people who helped you get there. Make time to recognise people’s progress and praise their work. Reward customers and employees for working towards the cause, because you are all working towards the same desired impact. Empower people to make them feel happy with what they do and motivate them to continue along the same path!
5. Measure Your Impact
Has your startup reached its planned goals? Did your operations truly have an impact on the environment or the people that you targeted? Is this impact measurable and how? Answering these questions will help you see the real results of your startup and will allow you to focus on future progress. Try to measure the evolution every month so that if anything needs to be changed it can be done so on time.
Keeping these 5 concepts in mind as you develop your startup will help ensure that your social purpose stays central to your business. So now,
are you ready to make a difference? If you have a social enterprise and would like a free analysis of your startup’s investment readiness, submit your deck here!
