South Africa’s creative economy makes an important contribution to society and the country’s broader economy. A 2020 study titled Creative and Social Enterprise in South Africa, published by the British Council and its research partners, Simanye and Social Enterprise UK, considers the purpose, inclusive business practices and operating context for creative enterprises, social enterprises, and hybrid creative social enterprises.
This study is noteworthy in its contribution to the limited research available on social enterprises in South Africa. It also notably gives consideration to creative enterprises, or enterprises within the cultural or creative arts sectors. The study’s findings demonstrate the value of creative social enterprises in their ability to stimulate collaboration and human connection. It shows how creative social enterprises draw together multiple knowledge systems in ways that challenge societal structure and work towards greater inclusivity.
The report is a valuable starting point for potential supporters of creative social enterprises. Its findings provide the foundations of a corporate social investment (CSI) theory of change that could inform future CSI programmes in the creative social enterprise space. The report offers insight into:
The nature of South African creative, social and creative social enterprises
Most are less than five years old, urban (primarily located in Johannesburg) and are small businesses with a turnover of less than R500 000. The enterprises are led by young, diverse and educated entrepreneurs who operate them as private companies, non-profits or sole proprietors.
These creative social enterprises are relatively sustainable, demonstrating the ability to break even or make a profit. However, creative social enterprises are largely unsupported by grant funding, which remains a key barrier to growth.
The ability of social enterprises to create jobs
Characterised by inclusivity and positive job creation, these enterprises are, in particular, employers of women and youth. Social enterprises are more reliable and stable job creators than creative enterprises, however. While leadership is inclusive, both creative and social enterprises rely on strong leadership skills to succeed.
Social enterprise capacity for creativity and innovation
Social enterprises demand creativity and innovation. The extent of this may determine the success of such enterprises, but their intellectual property (IP) protection tends to be low.
Social enterprise commitment to impact
These enterprises are committed to making a difference in their communities. Social enterprises are more deliberate in their social and/or environmental missions, but both creative and social enterprises demonstrate similar responsible business practices. Many of them actively measure their social impact.
The study details the needs of such enterprises, which include: data and research, leadership training, innovation, IP formalisation, networking and market access, early-stage risk capital and technical assistance.
Companies considering investing in creative, social and creative social enterprises are encouraged to read the British Council report for insight into how best to support these initiatives and create long-term social impact.
Access the report: Creative and Social Enterprise in South Africa
