Business For Good

These days it is more common to find founders talking about social impact and social visions than purely commercial success and there is a growing realisation that being profitable and wanting to impact social change are not mutually exclusive. This is mainly because we as consumers want to feel good about our purchases, and that is difficult if it feels like all we are doing is lining the pockets of already rich corporations.

This path to moral and economic success has a number of pitfalls in its way - this weeks' newsletter highlights just a few.

Commercial Ideas, Social Effects

Can you do good, and make money? If you have a social purpose or vision, it can seem inappropriate to think of it as also able to be profitable as well, as if you are profiting from others’ discomfort.

But this is a misunderstanding of the impact that both profit making and nonprofit organisations can have on the social good.

While there is a more direct link between a social enterprise and the effect they want to have on the world, we must remember that any time we bring money into the economy, we have an opportunity to improve the lives of others. Sometimes that will be through some form of donations,  but a profitable business can also employ people, pay a living or better than living wage, which then gives someone else a chance to add to the economy as well.

So if you are feeling that you want your business to make a real difference to your local area, or you have more global aspirations, remember that you and others can benefit from your business potential.

• If your business relates to improving social conditions, are you set up legally as a social enterprise or a CIC (community interest company)? You are able to make a profit under this business, with a commitment to provide all profits to the cause of your choice.
• If your business is profit-making, you can also identity ways to contribute back, whether it is using charity donations, providing your team with days off work to volunteer, or to provide sponsorship to causes that need them.
• Talking about the causes that are important to you is a great way of helping establishing what your brand is about. The passion you feel towards the cause can help people connect emotionally with your business and they feel more compelled to support your work.

Socially Active or Lobbying?

For many startups, the idea of doing business the 'right' way is a big part of their branding. Initiatives such as BCorps shows that for many founders, the need to not fall into old ways of getting business done is a driver in the growth strategy.

However, as they grow, it is not unusual for these same companies to be in a position where government and authorities may want their advice or will at least listen to what they have to say - and that type of influence can be very attractive and highly addictive.

And like many addictions, it is easy to justify it if you can frame it as furthering a social good, or using the system against itself. Many startups therefore have degrees of activism that they encourage within their customer base, to persuade authorities to change behaviour.

But is this the lobbying that so many people now feel has become too much?

Not necessarily. If a brand decides to support for example, the ban on human trafficking, or supports environmental initiatives, this could be very useful marketing for their brand - as the cause does not further their commercial interests (other than great PR) we don't tend to be too concerned.

But if the cause they are fighting for would put them at a commercial advantage, or makes their growth easier to accomplish – then this is where it gets trickier.

And this can be where customer loyalty is taken into far more dangerous territory.

• If your brand has a social driver - whether through what you produce or through support of particular initiatives - have you considered whether it could be construed as you trying to further your own commercial interests?
• As you grow, you will almost certainly begin to be in similar social and business settings with influential public figures - this is a great opportunity to further the visibility of your company, but what are you hoping to get out of the interaction? It is possible to voice your concerns to them and for it to invoke change, but if you are creating a relationship with them of mutual benefit - it may be worth thinking it through.

Organising A Retreat or A Revolution? The Founders' Retreat

I want to take you away from your business and get you to think about your business in somewhere with only limited wifi.

I'll be taking a small (and I mean small) group of founders away from it all to go deep, deep, deep into their business design for the rest of the year and beyond.

We are talking:

• Mindset
• Business Models
• Operating Models
• Productivity Hacks
• Negotiation Hacks

And a 100 day plan that will have you slipping out at the end of the second day because you just can't wait another 24 hours to start it.

Except I would hang around, as the last day is when it all comes together and we strategise a group campaign that means that everyone who was there will be forever tied to one another's success.

I'm taking the first cohort in July to a beautiful country house in Hertfordshire, UK and I want founders who are truly ready to take this to the next level.

If you want more information, then join the waiting list.

But you'd better be ready.

Adviser In Your Pocket

Adviser In Your Pocket is my very new and shiny subscriber platform! It replaces the original subscription of a session plus access, and is now a host of online resources for you to learn how to think, feel and act like a business owner and includes being able to talk with me directly if you need more specific advice for your business! And instead of it costing as much, the monthly subscription starts at just £5 for content access only!

There is new content being added all of the time, and the plan is for it to transfer to a mobile platform sometime in 2024, so it is a great time to join and let me know your feedback - if you had an award-winning, international adviser and speaker with over 25 years of business experience in some of the biggest organisations in the UK and beyond - what would you want from them?)

Register here: Adviser In Your Pocket

Till Next Week!