Social Entrepreneurship Monitor

In 2003 GEM UK launched the first attempt in the world to measure the scale and scope of socially oriented entrepreneurial activity and, hence, to understand both the contribution that social entrepreneurs make to the economy, to society and to the communities within which they work.  We use the GEM survey to ask questions about whether or not people are engaged in setting up a social activity, project or venture, and if they partially own or manage a social activity, project or venture with community or social goals. 

From this we calculate an index of Social Entrepreneurial Activity (SEA) very similar to that calculated for Total Entrepreneurial Activity. 

Some 6.6% of the UK population was engaged in Social Entrepreneurial Activity in 2003.  This figure is slightly higher than for mainstream entrepreneurial activity suggesting that social entrepreneurship is as important a phenomenon as mainstream entrepreneurship. 

Around 10% of these activities are social "enterprises".  In other words, they have a self-sustaining revenue stream.  Any profit is re-invested in the business activity or venture rather than returned in the form of dividends to shareholders.

To date there has been very little proof beyond anecdotal evidence that social enterprises are having an effect on their communities, on incomes and on job creation.  However, GEM UK's social entrepreneurship monitor shows that social enterprises have higher turnovers and create more jobs than mainstream enterprises.