Znuggle is a social enterprise. What does it mean?
Though there are no universal definition of social enterprises, neither international labels to define them, there are several common denominators which following definition summarizes well:
“The EU Commission defines a social enterprise as one whose primary objective is to achieve social impact rather than generating profit for owners and shareholders, which uses surpluses mainly to achieve these social goals and which is managed by social entrepreneurs in an accountable and transparent way, in particular by involving workers, customers and stakeholders affected by its business activity.” Another study also made by the EU Commission notes growing convergence towards the definition of social enterprise as “an autonomous organization that combines a social purpose with entrepreneurial activity”.
While the BC Centre for social enterprise defines it as follow: “Social enterprises are revenue-generating businesses with a twist. Whether operated by a non-profit organization or by a for-profit company, a social enterprise has two goals: to achieve social, cultural, community economic and/or environmental outcomes; and, to earn revenue.”
The Impact Business Base defines social enterprises as enterprises that embeds 1 of those 4 principles in their core mission:
- An enterprise where donating a part of their profit to a community/cause they support is embedded in its business model
- An enterprise that sources its products/material from the communities they support
- An enterprise that employ people from the communities they support, giving them work
- An enterprise that sells their products and services to vulnerable communities for improving their lives
Znuggle actually embeds 3 of those 4 principles. Znuggle’s first ‘s mission is to create employment in a highly vulnerable area of Europe, by empowering rural women to support their families and communities. By doing so, Znuggle also wants to achieve another goal: educate kids and grown-ups on the importance of a circular economy in our society, with the protection of our environment and cultural traditions in mind. On top of that, 5% of our profits are donated to social and environmental programs in line with our philosophy, while another share is reinvested in expanding the rural women’s group involved Znuggle. Znuggle aims at involving its community of customers and stakeholders through social media engagement, and involves its workers in important decisions being made to run the enterprise.