I think yes, it matters what words we use. Social Enterprise was a common theme of interest for me while I worked to secure my degree from Hamline. I felt I spent far too much time and effort ensuring my audience understood terminology. Consistent language that is commonly understood would help us advance our efforts.

I’m fine with the definitions, although “social enterprise” is just new terminology for “earned income.”

Of course, earned income for nonprofits is nothing new. Organizations like the Red Cross (first-aid, CPR training), Goodwill(thrift stores), and YWCA (health clubs) have been selling their products and services for years. Some, like Goodwill and the YWCA even generate the majority of their income from selling products/services, greatly reducing their need for fund-raising — and thus increasing their financial stability.

The bottom line, I’d argue, is that ALL non-profits should seek ways to generate earned income. The key is to align the product or service with the organization’s mission, and to ask whether there’s a substantial market and enough organizational capacity (talent, skill) to compete in that market.

- Soren