A social business is a non-loss, non-dividend company designed to address a social objective within the highly regulated marketplace of today. It is distinct from a non-profit because the business should seek to generate a modest profit but this will be used to expand the company’s reach, improve the product or service or in other ways to subsidise the social mission.

The 7 principles of social business:

• Business objective will be to overcome poverty, or one or more problems (such as education, health, technology access, and environment) which threaten people and society; not profit maximization
• Financial and economic sustainability
• Investors get back their investment amount only; no dividend is given beyond investment money
• When investment amount is paid back, company profit stays with the company for expansion and improvement
• Environmentally conscious
• Workforce gets market wage with better working conditions
• Do it with joy