If people are happy to share, could they share what business models they are thinking of using? How are you thinking of raising income?
Hi Dave. I’m new to running a business myself and I’m not sure what you mean by your question. I always thought businesses made products and sold them to people. Am I missing something? I never got much into this kind of stuff at my old job.
I am not sure what a business model is either. I never did business studies at school and am now wondering if that was a mistake
I may be overcomplicating things a bit - sorry!
A business model is simply - how are you going to make money. Here are a few examples that might help inspire people:
Oxfam’s business model is by raising income from personal grants and donations to fund their work on poverty and hunger. They income comes from grants and donations and they achieve this by showing the impact of what they do and so they show how giving them money supports their work. Most charities use this model - e.g. The Samaritans, Save the Children, Comic Relief, Children in Need, Red Cross, Barnados, etc).
The Big Issue’s business model is that they make magazines that are sold by homeless people. Their income comes from the sales of the magazine and the homeless people keep a share of this income so the impact on them is it helps alleviate poverty and helps homes.
Cafe Direct’s business model is that they grow and sell coffee. Their income comes from coffee sales and they use this money to help coffee farmers and their families earn more from their labour and create sustainable thriving communities in some of the poorest parts of the world.
Newman’s Own business model (my personal inspiration for my journey into social enterprise) is that they make salad dressings and sell it. They use all the profit from this and give it to a range of charities (see here).
Who Gives a Crap toilet rolls’ business is that they make toilet rolls and sell them. They donate 50% of their profits to help build toilets in countries where sanitation is a problem and they have helped provide sanitation for over 2 billion people.
So it’s like
“What we (do/will do) and how we (fund/will fund) that”?
Exactly! You summed that up much better than me Sandy
maybe another way to think about this question is by ‘borrowing’ one of the prompts from the Young Foundation’s Social Business Model Canvas =
- who benefits from what you do?
- who pays you for what you do?