Blincventures.com in collaboration with Ke Chaa ta Podcast ended up its limited podcast series in conversation with Thryza Dow, CEO of Blincventures.com and Shambhavi Singh, Event and Media Associate of Blincventures.com where they talked about what people think social businesses are and they actually are.
Here are some common misconceptions surrounding Social Businesses.
Social Businesses is synonymous to altruism
A person who wears a long white Kurta with a bag and gives away all his income to the needy is thought of as someone working for the people and society. But a multi-million-dollar individual wearing a crisp business suit and riding an expensive car can also be a social entrepreneur and a company run by him a social business. Social Businesses can make money while creating an impact. Tesla is a perfect example of this.
Social Businesses is one specific type of business model
Social entrepreneurs are looked upon differently by different people. Businesses creating an impact is not limited to one specific model. Globally the leaders of Non-profit organizations are called social entrepreneurs; then there are businesses that have models, products, and services and make money while solving crucial problems of the society; and finally, there are For-profit businesses that make money while social impact being a side effect for them, like Anthropose, Danfe, and ICT for Agri, each working with a different model.
Social businesses have an instant impact
Everybody wants everything instant today, they want instant impact, instant food, instant clothing, and whatnot. There is this misconception that the impact needs to be seen immediately but that does not actually happen, especially in case of social business. You cannot educate hundreds of people in a week or a month, you have to wait a couple of years to see the impact. So, when it comes to social problems there is no instant solution.
Check out founder of Karkhana, Mr. Sakar Pudassaini’s, view on solving problems that lends themselves to sustainability here
Social entrepreneurship is too early for Nepal
70% of the total population of Nepal is less than 40 years of age and any kind of disruption happening around the world is because young people have taken situations in their own hands. They have come forward and tried to change the rules of the game. So, it is absolutely not true that it is early for people to start up a social business.
Investors invest in an idea
People who have money are not going to put their hands in their pockets and give out money. They will invest in people who are serious about their work. So, if you are not going to invest your own time and efforts in your idea then you cannot expect others to bet on your idea. Investors do not invest in businesses or ideas, they invest in other people, the founders.
Founder’s and employees’ vision and mission should align
Not really. Most of the founders and employers think that if they work 18 hours, the employees should do too. This is never going to happen. Your job is not to onboard employees that align to the mission but to create an environment for them, yourself and your company to grow. A lot of heartbreak and heartburn happens with the employees because they expect too much from the employees.
To wind down, the battle of whether corporate houses or social businesses will rule the future is yet to be decided. But one thing is sure that in long the corporate houses have to incorporate sustainability models into their business models and the social business has to incorporate For-profit models in their business model to survive.
Did we miss out on any of the misconceptions regarding social businesses? Write to us and let us know! Also, don’t forget to listen to our episode.
Article by Trishna Shakya