Sarah Croft

Bernadette Coady has worked with Metro Business Management (MBO) for over 20 years as a Development Officer and in 2017, she transitioned into the role of Social Enterprise Coordinator. In this position, Bernadette builds valuable connections with non-profit organizations in the province, as she steers MBO’s new social enterprise development program. This program provides opportunities for individuals interested in social entrepreneurship to start or grow their business. They provide financial support, start-up loans, business plan guidance and counselling for those who are a part of the program.

“I love what social enterprise is doing for our community, whether hiring their clientele or helping those less fortunate. It is amazing what they are accomplishing for not only their target group, but for the community and the province as a whole.” – Bernadette Coady

MBO

MBO is a non-profit business development corporation that is dedicated to developing businesses and social enterprise initiatives in St. John’s and Mount Pearl.

For over 27 years they have been helping entrepreneurs by providing advisory help, training services and more to help develop idea generations, start-ups and successful business growth.

Click here for more information about MBO.

Interview

Q1: How did you discover social enterprise? What are your thoughts on social enterprise activity and potential in the province?

A: I knew very little about social enterprise until the past couple of years when I took on my current role at MBO. While I knew that Hungry Heart was a restaurant, I did not know that they were part of Stella’s Circle. I love what social enterprise is doing for our community, whether hiring their clientele or helping those less fortunate. It is amazing what they are accomplishing for not only their target group, but for the community and the province as a whole. I was quite surprised to see the number of social enterprises. I have learned so much over the past 2 years and it is amazing what they have accomplished and what they do every day. There is a lot of potential for this in our province. I truly believe that you will see this grow even more as the social enterprises continue to grow and we will see more startups.

Q2: Can you briefly discuss the role that MBO plays in this province, in particular for social enterprise?

A: MBO has been playing a role for economic development in St. John’s and Mount Pearl for over 27 years. We help people start and grow a business, we provide counselling and support as they go through this, and we also provide training. While an entrepreneur may know how to make or sell their product, often times they do not know how to do their books. We help them with this – taxation, promotion, etc., while at the same time, we provide networking opportunities with other business owners. We also provide loans and wage subsidies while they start their business.

For social enterprise we provide low interest loans up to $50,000 with flexible repayment, training that is free of charge for our clients, and we also provide counselling.

Q3: What does the Social Enterprise Development Program offer to social enterprises?

A: Our Support program offers social enterprises an opportunity to start or grow their business. Traditionally, banks do not provide loans for social enterprises. This program not only offers loans up to $50,000, low interest loans (prime plus 1%) and flexible repayment payments. The training opportunities for social enterprises through MBO are free. We offered 26 training sessions last year from Bookkeeping, How to price your Product, How to Advertise your Business, Get to know your market, etc.

We also offer counselling to social enterprises. Sometimes when you operate a business, you cannot see outside the bubble you are in; whereas we come from a different perspective and can offer advice or for things to consider or try for the business. Our Support loan does not require personal guarantees from board members.

Q4: Can you describe some of the obstacles that people/organizations may face when starting social enterprise activity?

A: While operating a non-profit organization, managers are time crunched and not operating with enough staff. It is hard for them to get the time to complete a business plan to determine if the business would succeed or what it takes to expand.

Managers recognize that in order to grow their social enterprise, they need money. There are very little grants available and they are reluctant to take on financing due to the risks. Operating a business, for-profit or non-profit, is a lot of work and is risky. It takes time to decide if this is what you do.

Regardless of your product, it has to be good or people will not keep buying. While you may start the social enterprise for a social purpose, it still has to be a great product or a great service or people will not continue to buy.

Some organizations are afraid that if they take on a social enterprise and it does not succeed, how this will impact their organization and their reputation.

Q5: How about some of the opportunities that are available through SE?

A: It is a great opportunity for social enterprise to hire their clientele, employing people they are targeting with their social mission for training and work experience.

Social enterprise employ a lot of people in this province. But they are helping various causes such as homelessness, people with various disabilities, and offering opportunities that would not be there otherwise. I do not think that the community is aware of the great work that they are doing.

While social enterprises are reluctant to take on financing it offers them an opportunity to grow their social enterprise at flexible repayment. This is a great opportunity for them to purchase equipment, additional inventory, and working capital that they would not have otherwise. From speaking with other non-profits, their social enterprise allowed them to offer other programs and services from monies generated from it that they could not offer otherwise.

This fall, MBO in partnership with the College of the North Atlantic started a program called “Business Students for Social Goals” where students worked with 8 social enterprises to create awareness of them in the community. The students did promotional and strategy plans for the organizations. This was great exposure for the students and the opportunity for the social enterprise to learn from them as well.

Q6: How have you been involved through your role at MBO with the CSE?

A: MBO has built a great partnership with the CSE. Nicole (CSE Manager) has been wonderful from the time that I started this position offering her expertise and support as we developed our new financing program. She has always made me feel a part of this sector and has invited me to all events that they have held. We have attended several conferences together and Nicole has made introductions to other organizations. The CSE have been great for offering MBO opportunities to take part in the Social Innovation Challenge and to participate in all their social enterprise activities. Nicole and myself met quarterly and talk about what is happening with social enterprise and ways for us to play more of a role in this sector. Hannah (CSE Social Enterprise Partner Relations) is also great and MBO has shared with their social enterprises information on the wage subsidies that CSE offers for students in the Work Experience in Social Enterprise program. We are in the process of working together on a project for Innovation week. CSE are doing great work in their sector and we look forward to continuing with our partnership.