Practical solutions of cooperation between
Social Enterprises and municipalities; Tallinn city
example
“Social entrepreneurship – business
models and cooperation ” 18 May 2016, Riga
Raivo Allev
Deputy Head; Manager of Development and
Administrative Division
Tallinn City Government
Social Welfare and Health Care Department
‘Social enterprise’ – what does it
mean for Estonians?
•
Definition encompasses a wide circle of meanings and
is quite flexible
• Social purpose forms the heart of a definition of social
enterprise, other important aspects include having a
sustainable business model and the requirement to
reinvest surpluses
• Services provided by social entrepreneurs vary from
telemarketing to support services for people with
special needs and to activating local communities by
renovating and finding new use for old manor houses
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Social enterprices in Estonia
•
There is no special legal form for social
enterprises in Estonia.
• Most of social enterprises registered as
non-profit associations or foundations.
• There are also a few limited liability
companies identifying themselves as social
enterprises
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Local government’s interest for cooperation
with social enterprises
Are SEV for governmental organizations more „sexy“ than
NGO-s?
In Estonian context „Sexy things“:
• Business success – not only apply for public money but
sustainable business model is profitable
• Clear declaration of reinvestment of surpluses
• Oriented to solve social issues in society/community
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Local government’s interest for cooperation with social
enterprises from the aspect of social welfare and health
care
Municipality is interested in cooperation with social enterprises, in order
to maintain a normal human management, a way of life that does not
increase the marginalization, to prevent people staying home and
becoming isolated, Inclusiveness, Reducing loneliness
Social interaction - the stronger ones help the weaker ones, increasing
social cohesion
we like the idea of Causing the experience of success, - I participate in
the work, earning money is not the first and primary goal
Keeping up self-esteem, sense of necessity - in order to prevent
institutionalisation, an important aspect of mental health
Preventing depression, helping to keep positive attitude to life,
participation in society - reducing spending on health care, suicide
prevention,
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Cooperation between Tallinn City Enterprise Board and
Tallinn Support Centre “Juks” (city welfare agency)
•
Started in 2011
• Tallinn Tourist Information Centre sells the products
manufactured by the Disabled Youth.
• Potential sales articles - felted soaps, hand-painted
ceramic vases, trays, mugs, mug and dish sets,
hand-painted silk scarves
• Customers love the idea that by purchasing they
support young people with disabilities
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Estonian Social Enterprise Network (SEV)
•
Objective: to increase the number, capacity and impact
of social enterprises in Estonia
•
Membership-based public benefit association
• From 19 social enterprises on 2012 to 49 social
enterprises as members (as of April 2016)
•
National Development Plan for Civil Society 2015-2020
includes social entrepreneurship among its priorities
•
Its leader is a member of European Commission´s
Expert Group on Social Entrepreneurship (GECES)
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What the SEV network does to support social
enterprises in Estonia?
As a member organisation: informing and inspiring
members, creating and mediating cooperation,
training and consultation opportunities, advising on
the evaluation of social impact.
As an advocacy organisation: representing members`
common interests, collaborating in creation and
development of financial and nonfinancial support
arrangements.
As a developer and spokesperson of the field:
supporting educational activities and research,
participating in international cooperation, informing
general public about social enterpreneurship.
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Social Enterprise – legal form
SEV aim is to get social enterprise as separate
entity to be accepted at the Estonian Central
Commercial Register. Currently, social
enterprises (and their annual accounts)
cannot be distinguished from other forms of
organisations in the Register.
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Influencing social enterprice „ecosystem“
•
National Development Plan for Civil Society 2015-2020
(process in 2014-2015, social enterprise + social innovation +
public services included)
•
New Public Procurement Law (process in 2014-2016, current
draft very much social enterprise friendly)
•
Political platforms for parliamentary elections (2014) and
new government´s coalition agreement (2015), Social
Innovation Task Force at Government´s Office (2016+): social
enterprise development included
•
Income Tax Law 2014 (when implemented in 2015, social
enterprises remained in public benefit list)
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Estonian Social Enterprise Network (SEV)
Piloting development programs for the leaders and teams:
• Action learning groups for leadership development (2014+)
• Export-oriented product design for work-integration social
enterprises (2015)
• Volunteer recruitment for social service providers (2014-2015)
• Business model development for NGOs (2015)
• Public service design (co-creation approach) (2014+)
•
Mini-investment grant twice a year for the members
•
Standardised impact mapping: methodology, reports, portal
More detailed information: Jaan Aps leader of the Estonian Social
Enterprise Network [email protected]
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Merimetsa Support Centre
Objective: welfare and employment of people with severe
mental disabilities
•
145 people receiving services, incl 30 people in
supported work places (2015)
Income model is very diverse:
•
Contracted public services for the target group
•
Textile production (export 85%), packaging services,
handicraft, shop of own products
•
Support of City of Tallinn
More information: [email protected]
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Merimetsa Support Centre
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Estonian Blind Masseurs Association
Objective: to help visually impaired acquire a suitable
profession and start working on the open labour market
or in a massage centre supported by the Association
•
19 masseurs working at Association´s own centre
(2015)
•
63 masseurs trained in total
Main income sources:
•
Sales revenue (individual visits, organisational clients)
•
Contracted public services
More information: [email protected]
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Estonian Blind Masseurs Association
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NGO RuaCrew
• aim is to prevent social problems and delinquency among young
people and to contribute solving those problems
• services : support person service, group work to promote social
skills, workshops to prevent bullying and addictive substance
abuse, parenting support and education groups, expert training
and advice, social counseling, rehabilitation service for juvenile
offenders and children with disabilities, community events and
activities, summer school for young people
• RuaCrew operates on a voluntary basis, social entrepreneurship
is related to the supply of training, sales of service for the
municipalities and schools
More information: [email protected]
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Skill Mill
PROBLEM: In Estonia the state spends for dealing with under-age
juvenile delinquents alone more than 13.7 million euros per
year
SOLUTION: Environmental Based Social Enterprise;
• offering paid job opportunities in environmental maintenance
services to young ex-offenders aged 16-24
• Goal is to assist ex-offenders to the labour market by providing
mentoring and counselling during environmental management
work.
• The work will be provided through a social enterprise which will
serve as an innovative model for reducing the need for social
services
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Skill Mill`s social value
For the youth:
• provides paid jobs to exoffenders
• Gives them a chance to improve their lives
For society/Community:
• reduces crime
• maintains environment and public space
• social impact that can be measured
Contacts: Katri-Liis Reimann, [email protected]
www.theskillmill.org,
FB: theskillmillestonia
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Silver Linings cooperation project
•
project will integrate services for young ex-offenders
aged 16-24 in 2 cities (Newcastle, UK and Tallinn,
Estonia) with a Social Enterprise (The Skill Mill)
providing Intermediate Labour Market jobs.
• approach has been developed in Newcastle over the
past 4 years, is an example of the quadruple helix
model; bringing government, academia, business and
citizens together in partnership.
• model will be extended to bring specific support
directly from within the social enterprise in a one-stop
shop approach
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Paldies! Panākumi nākotnē
Thank You !
Good luck!
Raivo Allev
[email protected]
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