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Benefits you get when you support Impact Businesses

Have you ever thought about why you should support impact businesses or businesses who want to do good? In this article, we will tell you the benefits of supporting impact businesses.

Before we dive into reasons why you should support Impact Businesses, we will share with you the differences between an Enterprise, Social Enterprise and Charity and why impact businesses play a vital role in Singapore. 

We have all heard of enterprise very often, in fact enterprise is another name for a business that provides supply through their products and/or services to the demand of the general public in exchange for profit.

Triple 2 Studio is an example that offers contemporary serviced apartments within a heritage building located at the heart of Singapore. Whether it is for business purposes or couples waiting for their BTO, Triple 2 Studio provides fully furnished apartments available for short term and long term stays. They would make a profit from the reservation you make and the services and amenities that they provide to you. 

Charity, sometimes known as “Non-Profit Organisation” (NPO), are businesses that exist to serve the needs of the community as a whole and are not confined by sectional interests or groups based on race, belief or religion. They cannot generate much profits from selling products and services as compared to enterprises and mainly rely on donations and grants to sustain their operations. Generally, Charities are able to enjoy income tax and property tax exemption

Animals Asia Foundation is an example of a Hong Kong based registered charity with bear sanctuaries in China and Vietnam and offices in Australia, China, Germany, Italy, the UK, USA and Vietnam. They are devoted to put an end to bear bile farming and improving the welfare of animals across Asia. 

For Animals Asia to sustain their day-to-day operations and be able to carry out rescue missions, they require public donations and sales from their merchandise such as T-shirts, hoodies, etc. 

On the other hand, Social Enterprises or Impact Businesses are a mixture between an Enterprise and a Charity. Social Enterprises are businesses with social and/or environmental causes but unlike charities, they do not rely on donations and grants and make profit through providing products and services.

There are 4 common models of social enterprises

  • Plough Back – Using certain percentage of profits to give back to a certain cause of their choice 
  • Provide employment to the underserved – Providing jobs to People with Disability (PwD), Elderly.
  • Provide a service to the underserved.
  • Responsible Sourcing and Sustainable Sourcing of products and/or services

SimplyGood is an example of a social enterprise that focuses on reducing single-use plastic and carbon pollution starting from home. They create cleaning tablets that dissolve in water, allowing consumers to refill and reuse their plastic bottles rather than buying a new bottle every time it finishes. By doing so, it saves the environment and reduces carbon emission from shipments and logistics. 

Now, here’s the most important question, why should we support impact businesses? How do I benefit from it?

Whenever you support a social enterprise or an impact business, you are encouraging these businesses to not rely on donations and grants but rather to invest their time and resources to create a product or service that makes a difference. By doing so, it encourages social enterprises to be more creative and self-reliant. 

In the long run, social enterprises would encourage more enterprises to move towards sustainability and this creates a more sustainable economy and society for the community which affects you and me. 

We have seen or heard news revolving around environmental disasters like floods that happened in Malaysia this year. More help and support is needed for the needy and vulnerable due to the pandemic and growing societal and environmental issues happening all around the world. We need a change for the better through collective efforts of our communities.

Fundigo aims to eliminate borders and unify opportunities by bringing businesses together of any size. Only by working together, we can create opportunities for our communities, no matter how big or small they are. 

We too encourage individuals like you and me to come forth and show your support to make a difference. We always believe that support comes both ways, we want you to be able to get something back in return while making a difference. Imagine a world where every purchase you make contributes to a better tomorrow? That is the world we hope to live in. For that to come true, we have to unify our efforts and opportunities to connect the world and build a better tomorrow.

Image Credit: Community vector created by pch.vector – www.freepik.com

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