Saving Gaia
Saving Gaia - Join The World, Do Your Part Today

What is a Social Business?

A social business as defined by Muhammad Yunus is a no-profit, no-loss self-sustaining business that exists to solve a social problem. In that sense, it is different from a charity which is not self-sustaining. It is not a normal business entity because it create no profit for its shareholders. It does not maximise profit. To serve its social problem-solving purpose, profit is necessarily sacrificed to maximise benefits to its target social group. It is not a loss-making venture either. It pays market rate for talents to join its workforce. It generates economic growth while producing goods and services for the needy.
 
To find out more about setting up a social business, you can read Muhammad Yunus's book on Building Social Business. The New Kind of Capitalism That Serves Humanity's Most Pressing Needs.
 
 
 

Muhammad Yunus is the winner of the 2006 Nobel Peace for his innovative Grameen Bank and his pioneering work on micro-credit. In his book, Yunus show how social business can be used to solve many pressing social problem. His business model has been adopted by many social activists, entrepreneurs and big corporations around the world. .