Canadian Social Enterprises: Who Gets the Non-Earned Income?

Canadian Social Enterprises: Who Gets the Non-Earned Income? For social enterprises (SEs), non-earned income remains an attractive and important form of financing. Yet, many of these funds are donated without serious and collective deliberation about the overall impact of these transfers on the composition of the sector. Various authors suggest that the recent professionalization of the broader third sector and the use of accounting frameworks that favour short-term measurable results—a trend which SEs exemplify—are having an impact on who and what gets funded. We test this hypothesis by investigating whether the distribution of non-earned income to SEs located in three different Canadian provinces can be explained by donor preferences for the following: (i) culture and arts-related social goods; (ii) SEs that are located in wealthier neighbourhoods; and (iii) SEs that are ‘visible’ beyond their locality. The paper briefly discusses the generalizability of the results and concludes with policy recommendations that emphasize the limits of SEs in achieving a core goal of welfare provision. http://www.deepdyve.com/assets/images/DeepDyve-Logo-lg.png VOLUNTAS: International Journal of Voluntary and Nonprofit Organizations Springer Journals
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Publisher
Springer US
Copyright
Copyright © 2016 by International Society for Third-Sector Research and The Johns Hopkins University
Subject
Social Sciences; Social Sciences, general; Political Science; Social Policy
ISSN
0957-8765
eISSN
1573-7888
D.O.I.
10.1007/s11266-016-9787-z
Publisher site
See Article on Publisher Site

Abstract

For social enterprises (SEs), non-earned income remains an attractive and important form of financing. Yet, many of these funds are donated without serious and collective deliberation about the overall impact of these transfers on the composition of the sector. Various authors suggest that the recent professionalization of the broader third sector and the use of accounting frameworks that favour short-term measurable results—a trend which SEs exemplify—are having an impact on who and what gets funded. We test this hypothesis by investigating whether the distribution of non-earned income to SEs located in three different Canadian provinces can be explained by donor preferences for the following: (i) culture and arts-related social goods; (ii) SEs that are located in wealthier neighbourhoods; and (iii) SEs that are ‘visible’ beyond their locality. The paper briefly discusses the generalizability of the results and concludes with policy recommendations that emphasize the limits of SEs in achieving a core goal of welfare provision.

Journal

VOLUNTAS: International Journal of Voluntary and Nonprofit OrganizationsSpringer Journals

Published: Nov 10, 2016

References

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