Muhammad Yunus described social business as “a non-dividend company that is created to address and solve a social problem.” Such models do represent business, but one built around the improvement of modern society’s social, economic and environmental well-being. Self-profit always comes second.
A social business is a company with a social mission at its core. Set up to solve a specific problem to the benefit of poor or disadvantaged members of society, social businesses operate exactly like normal companies except for a few small differences.
Unlike a charity, a social businesses generates profit and aims to be financially self sustaining. Removing the need for fundraising allows social businesses to re-invest profits back into generating sustainable social impact.
A social business is a company that either creates income for the poor or provides them with essential products and services like healthcare, clean water or clean energy.
100% of the company profits are reinvested in continuing the company’s social mission.
In 2017 Prof. Muhammad Yunus looked at the tremendous growth of YSB Centers at universities around the world and concluded that America had no central body which existed to encourage ‘social business’ hubs. His answer was to sanction the launch of the YSB Resource & Support Center (USA) as a means of stimulating ‘social business’ discussion among academics, students, business leaders, government officials, and philanthropists. We are a not for profit entity to serve future university members – and others – in their growth and development.
Our goals are simple:
Advance the concept of ‘social business,’ as articulated by Dr. Yunus, here in America as a means toward addressing humanity’s most pressing needs; including poverty, environmental degradation, and social inequities
Assist in establishing 20 new university guided YSBC’s by 2020
Serve in a national coordinating capacity all university partners toward advancing course curricula, student engagement, and academic scholarship on the phenomenon of social business
Engage with the US business sector, government sector, and citizen sector (including philanthropists) to advance zero poverty, zero unemployment, and zero net carbon emissions. (Yunus, 2017).