Member Article

Social enterprise booms in Yorkshire

Social Enterprise is thriving in Yorkshire according to figures released by the biggest investor in the region.

Key Fund – itself a Social Enterprise – provides tailored loan investments to businesses with a social or environmental mission throughout the North of England. Over £3m was invested in the last year, of which £2,116,221 in Yorkshire and Humber.

The figures were released to celebrate Social Enterprise Day (20 Nov), part of Global Enterprise Week. Social enterprises have a higher start-up rate than traditional SMEs and 1 in 5 of start-ups is now socially-driven. There are 180,000 in the UK alone, contributing £24 billion to the economy.

Key Fund’s mission is to ‘break down the barriers to accessing finance’; all its investments are to entrepreneurs turned down by traditional lenders because they have no assets or are considered high risk. 78% of investments are in the top 25% of the most deprived areas in the UK.

Key Fund began life in 1999 providing small grants in South Yorkshire helping communities decimated by the collapse of coal and steel. Today, it delivers a range of social investment products across the North.

Sam Tarff, CEO of Key Fund, said: “I think the message on Social Enterprise Day is to really raise awareness that it isn’t a niche sector, it’s simply ethical but successful and profitable business that entrepreneurs of all shapes and sizes and from all industries are embracing. Social Enterprises empowers local communities to take control of their economic destiny, or simply puts people and the planet before profit.”

The biggest sector invested in last year was the Arts, Creative and Digital sector with 29 investments across the North, followed by Environment and Recycling industries, with 22 investments. Training and Education and the Health sector were also thriving.

Key Fund success stories in Yorkshire include the recently opened Unity Hall, a derelict building saved by a community benefit co-operative and turned into a 700-seater arts venue. It’s expected to have a £6m economic impact, creating 100 jobs.

Also, the environmental enterprise Settle Hydro - a community-owned hydro-electric scheme - has bolstered the rural economy in the north Yorkshire village. Settle Hydro has advised over 400 communities around the world on how to take responsibility for their future.

“Social enterprises are not just bolstering local economies and communities; they can provide solutions to some of the world’s greatest challenges. It’s an incredibly exciting time for the sector, and there’s really never been a better time for the sector.”

http://thekeyfund.co.uk/

This was posted in Bdaily's Members' News section by Cause UK .