Business Identities
Learn about the different ‘Business Identities’ featured on Think Enough.
Do your eyes start to glaze over when you hear terms like ‘social impact’ ‘social enterprise’ ‘profit-for-purpose’ ‘purpose-with-profit’ ‘mission-led business’?
Well, truth be told ours too. Particularly when it comes to defining business types.
Why? Well…
First of all, here in Australia, we don’t have many legal definitions for businesses that don’t fall into the structure of a ‘traditional business’.
This means it can sometimes be tricky for businesses to fit themselves into existing definitions if they have a different kind of business model and reason for existing (other than to make money).Within the ‘for purpose’ sector there are many different opinions and definitions. And we know it can be confusing to understand what to look for, and what businesses are ‘the good type of business’.
Our opinion? They’re all good. In fact, most of them are really really great. So as a rule we use the umbrella term ‘for-purpose’ to describe the businesses you’ll find on Think Enough.
But, we do know that sometimes definitions matter, and we very much believe in transparency. So we’ve included the option for businesses to select the types of business definition they identify most with. Then, it’s up to you to explore the businesses, read about their impact and find the ones you would love to support, according to your own values.
Before you ask about quality control (aka...Purpose Washing)…
* We don’t just list anyone with a ‘purpose’ on Think Enough (because technically, that would be every business). Read about our due diligence and framework of impact questions here.
Business Identity Definitions (A-Z)
We ask businesses featured on Think Enough which of these definitions they identify with.
Community Group / Initiative
These Think Enough listings are not businesses, rather they are groups, networks or initiatives that support the community. Many of these listings provide alternatives to purchasing new products to reduce overconsumption, while others are fantastic ideas that nourish community connection and mutual support.
Co-operative
Co-ops are businesses that exist to create value that is shared between their members. Members of a co-op can be people, businesses, employees and other stakeholders that all work together to achieve a common purpose. Co-operative is a legal structure, and co-ops are essentially ‘owned’ by their members. They exist to deliver mission-led value to their members, rather than profit to shareholders.
Around the world cooperatives are guided by the same seven principles:
Voluntary and open membership
Democratic member control
Member economic participation
Autonomy and independence
Education, training, and information
Cooperation among cooperatives
Concern for community
First Nations Owned
First Nations owned businesses are owned by Aboriginal and/or Torres Strait Islander people. The State and Federal governments, along with certifying body Supply Nation defines an Indigenous business as at least 50% owned by an Aboriginal or Torres Strait Islands person(s). Supply Nation further recognises two levels of ownership:
Registered: 50% or more Aboriginal and/or Torres Strait Islander ownership (caters for equal partnerships with non-Indigenous owners).
Certified: 51% or more Aboriginal and/or Torres Strait Islander owned, managed and controlled.
It’s important for us to note that Indigenous enterprises are historically social and sustainable, and have care for community and country embedded into their culture. We encourage you to always support cultural authority and explore some of the Indigenous resources we keenly follow including:
Not-for-Profit
A not-for-profit organisation does not operate for the purpose of creating profit or financial gain for any one individual or group of individuals (such as shareholders). Not-for-profits can trade to make profit, but all profits must be reinvested into their purpose.
Not-for-profits may or may not also be "Registered Charities.” Learn more about Registered Charities on our certification page.
Profit-with-Purpose
These businesses are for-profit, for-good. Creating profit is either their primary goal, or is of equal importance to achieving a social and/or environmental purpose.
Think Enough includes these businesses because they do great things for our people and our planet, and are an excellent example of how ‘traditional’ businesses can make a positive impact and profit.
*Note: We appreciate that profit-with-purpose can at times be a little more ambiguous when it comes to the legitimacy of their impact. Read up on our onboarding process here to find out how we are currently screening businesses.
Social Enterprise
Social enterprise is a descriptive term for businesses that pursue social and/or environmental goals through their business activities. Social enterprises can be for-profit, or not-for-profit, and can take a wide variety of forms. There is no legal definition of a social enterprise in Australia (yet), and definitions do vary within the sector.