Citizens with vision:
The Impact of Social
Entrepreneurship
Roger Allen
Chairman
Allen & Buckeridge
World Forum on Measuring and Fostering the
Progress of Societies
Istanbul 27-30 June 2007
An Early Stage
Venture Capital Company
1. What do we mean by Social Entrepreneurship and
Social Venture Capital?
 Supporting the building of typically not-for-profit enterprises and
following them through all stages of growth. Every enterprise we
back has the full weight of our intellectual capital behind it, adding
value and offering guidance through good times and bad.
 Combining the experience of building early-stage companies and
investing in enterprises where the return on capital is a social
dividend outcome, focusing on delivering performance at every
stage.
The Impact of Social Entrepreneurship
2. Differences between traditional philanthropy and
Social Venture Capital
Traditional
vs
Social Venture Capital
 Low level of involvement

 High level of engagement
 Passive

 Hyper active
 No board seat

 Several board seats
 Executive Director
 More like charity type of board


 CEO
 More like corporate type of
board
 Program funding

 Whole of enterprise funding
 Short term funding
 Average < 1yr


 Long term – milestone (5yrs +)
 Multiple rounds of funding
against performance milestone
 Little or no funding for building
management or enterprise infrastructure

 Focus on building management
team and organisation capacity:
- Governance
- Skills base
- Systems
The Impact of Social Entrepreneurship
2. Differences between traditional philanthropy and
Social Venture Capital continued
Traditional
vs
Social Venture Capital
 Assumes tax deductibility

 Not necessarily tax deductible
 “Commercial” business model
leading to sustainability
 More focus on inputs and
throughputs

 More focus on the measurement of
outcomes
 Partake in innovative and lateral
thinking
 Charity

 Investment
 Grant Making

 Possible capital return
 Social dividend
 Leverage other contributions,
partnerships
The Impact of Social Entrepreneurship
3. Case Studies
1. Abbotsford Convent
2. Murdoch Children’s Research Institute Possum
3. Televentures
4. GetUp!
5. Inspire inspiring young people
The Impact of Social Entrepreneurship
Case Study: Abbotsford Convent (Melbourne, Australia)
 An ex-Convent site was rescued from major property development
 Creation of a vibrant Arts, Hospitality and Education precinct with
heavy community involvement
 Creating a sustainable and accountable business model
Public
Research
The Impact of Social Entrepreneurship
Expansion
Development
Public
Markets
 continued
The Impact of Social Entrepreneurship
 continued
The Impact of Social Entrepreneurship
 continued
The Impact of Social Entrepreneurship
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The Impact of Social Entrepreneurship
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The Impact of Social Entrepreneurship
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The Impact of Social Entrepreneurship
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Operating Income
$
1,400,000
1,200,000
1,000,000
800,000
600,000
400,000
200,000
0
Operating Income
2003
2004
2005
2006
2007
2008
643
19,850
160,425
448,530
1,089,453
1,224,000
Financial Year
The Impact of Social Entrepreneurship
Case Study: Murdoch Children’s Research Institute
(Melbourne, Australia) Possum
POSSUM is a computer-based system that helps clinicians to diagnose syndromes in their
patients.
The POSSUM team is lead by Professor Agnes Bankier at The Murdoch Children’s Research
Institute, Melbourne. It contains information on more than 3000 syndromes, including
multiple malformation chromosomal and metabolic conditions and skeletal dysplasias. The
comprehensive media base includes x-rays, diagrams and histopathology slides.
 Launched in 1987. Web version launched in 2006
 Turning pro-bono consulting into a world leading medical product
 Dissemination of critical medical knowledge worldwide
 Creation of a sustainable business model

Public
500 Research
centres in
50
Early
Expansion Development Public
Stage
Markets
countries
/ 3000 syndromes and 50,000 images
The Impact of Social Entrepreneurship
Case Study: Televentures (Sydney, Australia)
 Creating employment for unemployed people with disabilities
 Overcoming prejudices in the workplace
 Real business versus noblesse oblige mindset
Public
Research
Early
Stage
The Impact of Social Entrepreneurship
Expansion
Development
Public
Markets
Case Study: GetUp! (Sydney, Australia)
The Early Stage Funding Gap
 Using the latest online tools to empower grassroots participation in the
democratic process
 Creating new independent political movement to help build a
progressive Australia
 Seed capital and a sustainable business model
Public
Research
Early
Stage
The Impact of Social Entrepreneurship
Expansion
Development
Public
Markets
 David Hicks Campaign
The Impact of Social Entrepreneurship
 RU-486 Campaign
The Impact of Social Entrepreneurship
Case Study: Inspire
inspiring young people
(Sydney, Australia)
Vision
To improve mental health and well-being of young
people globally
Mission
By combining the power of technology with the direct
involvement of young people, we create opportunities
for young people to change their world!
Objective 1
Objective 2
Objective 3
Help young people get
through tough times
Help young people take
action on important
community issues
Improve mental health
for under-served youth
Reach Out
Act Now
Bean Bag
The Impact of Social Entrepreneurship
 continue

Why do we need Reach Out ?
-

In the average Year 12 classroom, 7 young people have mental health
difficulties
Only 2 seek professional help – 5 don’t
At least 1 young person attempts suicide (Sawyer et al, 2000)
Reach Out can get to young people that traditional services could
never access before
-
Since Reach Out’s launch in 1998 youth suicide rates have dropped 46%
(ABS 2005)  don’t know how much the program actually contributed to the
decline but believe it is significant
The Impact of Social Entrepreneurship
 continue
How do we know it’s effective?
Access to Reach Out! 1998-2007
2,500,000
Total visitors to end May
2007
2,000,000
No. of user sessions
5.7 Million
1,500,000
May 2007
1,000,000
273,500 users
500,000
0
1998-1999
1999-2000
2000-2001
2001-2002
2002-2003
The Impact of Social Entrepreneurship
2003-2004
2004-2005
2005-2006
2006-2007