Start a social enterprise
What is a social enterprise, how is it different from a traditional business model, and how can you set one up?
If you are thinking about setting up a business but want to achieve more than just financial returns, then you should consider setting up a social enterprise.
Social enterprises are businesses that trade to address social problems, improve communities, people's quality of life, or the environment. Their social mission is at the heart of everything they do and all profits are reinvested towards achieving these goals.
One of the benefits of running a social enterprise can be providing employment for local people.
This guide will provide insight into the social economy in Northern Ireland. It also provides information on support for social enterprises in Northern Ireland and a useful checklist on starting a social enterprise.
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The social economy in Northern Ireland
An overview of social enterprises who make up an increasingly diverse and crucial sector of business in Northern Ireland
The social enterprise economy in Northern Ireland is an increasingly well-established and diverse sector. It creates opportunities and training for people who are often marginalised in society, driving social impact in these communities.
Figures released by 2025 Northern Ireland Social Enterprise Sector Report indicate there are almost 1,225 social enterprises in Northern Ireland, generating an annual turnover of approximately £323 million. It highlights there are almost 17,300 people employed in Northern Ireland's social economy.
What is social impact?
Social impact is the change in individuals or communities from specific actions. It is essential for social enterprises to demonstrate the effects of their initiatives to justify their efforts and attract support.
The top three goals of social enterprises in Northern Ireland are to:
- enhance the community
- assist people in gaining employment
- improve the environment
The top three social enterprise activities are:
- education
- employment and skills
- business support
The Department for the Economy provides more information on the social economy in Northern Ireland.
Social enterprises and the public sector
Ways for social enterprises to maximise their chances of winning public sector contracts through tender competitions
Winning contracts to deliver public services can provide a regular income stream for social enterprises. Although as with most businesses, it is important for social enterprises to diversify income sources so that they are less vulnerable to the risks of one income source drying up.
The ability to deliver innovative approaches and fresh thinking to services, such as catering and recycling, make social enterprises an attractive option for public services. However, they will be required to compete for tenders through the public sector procurement process - read about how to tender for contracts in the Northern Ireland public sector.
There are a wide variety of opportunities in the delivery of public services, where social enterprises work in partnership with government, including:
- the health and social care sector
- fostering and adoption
- transport services
- refuse collection/recycling
- sports and leisure services
eSourcing NI is an electronic tendering site which allows you to access the latest public procurement opportunities in Northern Ireland.
Social Enterprise NI (SE NI) has an online directory listing social enterprises in Northern Ireland where you can find out about the activities of individual businesses. To access the complete directory, you need SENI membership - find out how to become a member.
Benefits of public sector contracts
Public sector organisations are stable customers who pay promptly and within agreed contract terms and due to the public procurement process you can be assured contacts are awarded in a fair and transparent way.
Barriers facing social enterprises competing for public service contracts
One of the main barriers facing social enterprises when competing for public service contracts is resource capability - will you be able to deliver on the requirements of the contract? Also will the contract allow you to meet your goals and social purpose?
Support for social enterprises in Northern Ireland
A range of support to help social entrepreneurs realise their vision and run their social enterprise.
As well as the mainstream support available to all business start-ups there are some initiatives designed for social entrepreneurs.
Social Enterprise NI is a central meeting point for social enterprises in Northern Ireland. It provides a platform for collaboration and knowledge sharing. You can also keep track of the latest events and news relating to social enterprises.
If you are not a Social Enterprise NI member - you can apply for membership to access new business opportunities, network with social enterprise leaders, share best practice, collaborate with like-minded organisations, and receive advice and guidance. Read more on how to become a SENI member.
Checklist: starting a social enterprise
A checklist of key questions you should consider to help you succeed when setting up a social enterprise
Before setting up a social enterprise, you might want to ask yourself the following questions to see if you are ready and whether a social enterprise is right for you:
- Have you considered what legal form your social enterprise is going to take? Options include unincorporated associations, trusts, limited companies, industrial and provident societies, Community Interest Companies and charitable incorporated organisations. For more information about social enterprise legal structures see choose the right structure for your social enterprise.
- Have you explored all the start-up support options available to you and your social enterprise? See support for social enterprises in Northern Ireland.
- Are you completely committed to the social and/or environmental aims of the company?
- Have you thought about how you will finance the social enterprise, both at start-up and during periods of growth? If you are using your own money, will you be able to survive while the business finds its feet? See find and manage the money.
- Do you have a viable business idea - ie is there a market for your service or product? Read about how to research and develop your business ideas, new products and services.
- Have you considered how you will research your customers, or engage with your stakeholders? See develop a sales and marketing strategy.
- Will you require the services of professionals such as an accountant or solicitor? For further information about working with professionals see use professional services.
- Will you need to employ staff in your social enterprise and do you know the requirements of becoming an employer? Find out more about how to hire staff.
Starting a social enterprise - SlackPress (video)
How SlackPress developed into a self-sufficient social enterprise that engages with the local community
Simon Black, co-founder of SlackPress, discusses how the SlackPress team created a social enterprise.
SlackPress is a media production social enterprise specialising in creative design. SlackPress works with community groups, other social enterprises, charities and corporate businesses to help them develop media content for DVDs, websites and social networks.
Here, Simon explains how SlackPress developed into a self-sufficient social enterprise that successfully engages with the local community.
Here's how we run a social enterprise - Loaf Catering (video)
How Loaf Catering operates as a social enterprise, generates income and engages with the local community
Loaf Catering is a social enterprise that was developed in 2007 to provide jobs and training opportunities for people with learning disabilities and autism. The company focuses on delivering under its strapline 'food with purpose'.
With the support of its parent organisation the NOW Group, Loaf Catering has grown to an enterprise that includes four cafés, a catering academy and an online shop.
Maeve Monaghan, Chief Executive of the NOW Group, explains how Loaf Catering operates as a business, generates income and engages with the local community.
Here’s how we run a successful social enterprise business - Storybox
Rachel McIlgorm highlights the benefits of being a social enterprise and how it plays a crucial role in the business's success.
Storybox, a Belfast-based social enterprise, sources and sells ethical gifts from local makers, social enterprises, and sustainable brands.
In addition to its online and physical shop, Storybox hosts workshops, classes, and events in its space, creating a hub for purpose-driven businesses to connect, collaborate, and thrive.
Storybox founder, Rachel McIlgorm, explains how being a social enterprise benefits and drives the business's success.
Why I chose to be a social enterprise
"I created Storybox to combine my passion for supporting local businesses with giving back to the community. I wanted to create gifts that felt meaningful and carried a positive impact."
"The social enterprise model felt like the right fit from the start. It aligns with my values of making conscious business choices and encouraging others to do the same. We set up Storybox legally as a social enterprise to hold the business and our future team accountable as we grow. "
"After researching different options, I decided to set up Storybox as a Community Interest Company (CIC). This structure made the most sense, allowing us to reinvest profits into our social mission while still operating as a business."
"As a social enterprise, Storybox focuses on more than selling products. We encourage thoughtful gifting and bring people together to share stories. Whether browsing online, visiting the shop, or joining a community event or workshop, we aim to create connections and make a positive impact."
Advantages and challenges of running a social enterprise
"Running Storybox as a social enterprise delivers a powerful ripple effect with every order - we support local businesses, boost social awareness, and contribute to charities. The knowledge that we've built our business on something greater than simply selling products makes all the difference."
"With the growing demand for ethical and sustainable options, our social enterprise status helps us draw customers who want their purchases to reflect their core values."
"We prioritise balancing profit and purpose in every aspect of our business. From selecting suppliers to setting fair prices, each decision must align with our social mission. We also actively cultivate relationships with like-minded partners and ensure transparency regarding our charitable contributions."
"Partnering with charities allows us to give back to causes that mean a lot to us. It’s not just about donating proceeds – it’s about raising awareness and using our platform to highlight the incredible work these organisations do. We've donated to Friends of the Earth NI and PIPS Suicide Prevention Ireland. We're proud of what we've achieved and hope to continue growing our contributions."
"The main things we look for in the products we sell are quality, sustainability, ethical production, and whether the brand shares our commitment to social impact. Customers can choose from our pre-made gift boxes or customise their own through our ‘Build a Box’ feature. It's important to us to include a variety of businesses – from those with diverse backgrounds to those supporting different causes – so every box tells a bigger story about the brilliant makers and local businesses doing good work."
"Social enterprises often face additional challenges when accessing finance because there isn't always the same level of understanding or tailored support available. Securing funding can be harder while staying true to both commercial and social impact goals."
Support and funding
"My journey benefited from invaluable support provided by Work West and Social Enterprise NI, including mentoring and publicity. The council and the Housing Executive gave us small but important grants, which allowed us to move forward. Every bit of funding helped us grow steadily. I focus on slow and sustainable growth and am happy to maintain this pace."
"Other small business owners offered significant support. Those casual meet-ups, chats, and coffees have been crucial; I honestly don't think the business would be where it is now without them."
Success and growth
"Support networks and funding opportunities greatly contributed to the growth and success of Storybox."
"Initially, I only dreamed of Storybox's potential, never imagining a physical shop."
"Expanding from an online business to moving to Portview Trade Centre has opened up brilliant opportunities to collaborate with other local businesses on site. We now host at least five monthly workshops and pop-up events, from painting and cake decorating to cross-community crafts and book launches, to bring people together, while also showcasing products from Portview-based makers in our gift boxes."
"Having a physical shop has given customers the chance to see the products and meet the people behind the brand, which brings the Storybox story to life in a much more profound way. It’s also allowed us to offer a more personal experience and build stronger relationships with the local community. I’ve developed a close relationship with my suppliers, and I genuinely love sharing their stories with customers. The impact becomes real when you witness customers’ reactions."
"Our shop offers a welcoming, inclusive space. Local residents appreciate having a community hub on Newtownards Road. Supporting charities like PIPS Suicide Prevention Ireland encourages customers to share their personal experiences and how these charities have helped them."