Challenges in supporting social entrepreneurs in Hungary

1. Challenges in supporting social entrepreneurs in
Hungary
Beatrix Bedo, Director of Foundation for Sustainable Enterprises (FVA), Co-Founder of Impact
Hub Budapest
DELFIN-CE RESPONSIBLE – DISSEMINATION CONFERENCE
23.3.2022

2. TAKING COOPERATION FORWARD 2
CHALLENGES IN SUPPORTING SOCIAL
ENTREPRENEURS IN HUNGARY
Impact Hub Budapest provides a
home for a diverse community and
supports positive social change.

3. TAKING COOPERATION FORWARD 3
WHO DO WE WORK WITH
Foudation for Sustainable Enterprises & Impact Hub
Budapest have been working together with the
following stakeholders:
- Global network of Impact Hubs
- NGOs, SMEs, Startups, Social Enterprises (SE)
- Government agencies
- Universities
- Business incubators
- Unemployed (business development knowledge)
- Minorities, vulnerable (Roma, TCN, expats)

4. TAKING COOPERATION FORWARD 4
STATING THE CHALLENGES OF SE SECTOR
- lack of public awareness and recognition
- no social enterprise legislation by law
- social enterprises fall between the cracks, they are not
part of civil society, but also not recognised as part of
the enterprise sector,
- often left out of policy measures, preferential
treatment and support programmes of any kind
- lack of access to public sector markets, missing
implementation of socially responsible public
procurement
- lack of access to capital

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STATING THE CHALLENGES OF SE SECTOR
IN RURAL AREAS
- lack of community space & infrastructure
- digital knowledge & online communication to be
improved
- limited collaboration with others and peer to peer
consultations
- fragmentation of resources

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STATING THE MAIN OPPORTUNITIES OF SE
SECTOR
● launching of the Hungarian Social Enterprise Coalition (2020),
the first umbrella organisation set up for and by social
entrepreneurs
● creation of a national social enterprise strategy
● public sector interest in social innovation, potential role for
social enterprises
● increasing availability of social investment
● growing segment of social enterprises in the mainstream
enterprise sector

7. TAKING COOPERATION FORWARD 7
CHALLENGES IN SUPPORTING SOCIAL
ENTERPRISES
CHANGE OF MINDSET
ADDING BUSINESS MINDSET TO NONPROFIT, SOCIAL
MINDSET
- To improve on profitability
- To pitch their mission
- To negotiate and improve in public speaking

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CHALLENGES IN SUPPORTING SE
– VARIOUS GEOGRAPHICAL PLACE
WELL-BEING / HAPPINESS STATE OF HUNGARY BY REGION

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CHALLENGES IN SUPPORTING SOCIAL
ENTERPRISES – NO DATABASE
NO USEFUL DATABASE AVAILABLE
- Statistical office have limited
database
- No legislation category
CONCLUSION
- Stakeholder maps to be prepared
- Regional public sector needs to develop
- Scouting takes a huge work

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CHALLENGES IN SUPPORTING SOCIAL
ENTERPRISES – VARIOUS STAGE
VARIOUS STAGE – VARIOUS NEEDS
- SEs in different stages of life cycle
- varies from a Foundation with 20 yrs past
TO concept, idea base early stage
CONCLUSION
- Different stage different support & programs needed
- Considering Individual NEEDS

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ONLINE & OFFLINE BATTLE

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MANPOWER CAPACITY PROBLEM

13. TAKING COOPERATION FORWARD 13
SHARING KNOWLEDGE & SKILLS ON IMPACT
MEASUREMENT
-

14. TAKING COOPERATION FORWARD 14
SHARING KNOWLEDGE & SKILLS ON IMPACT
MEASUREMENT
-

15. TAKING COOPERATION FORWARD 15
SHARING KNOWLEDGE & SKILLS ON
COMMUNICATION
-

16. TAKING COOPERATION FORWARD 16
SHARING KNOWLEDGE & SKILLS ON
COMMUNICATING IMPACT
TO EDUCATE SOCIAL ENTERPRISES TO BELIEVE
IMPACT MEASUREMENT
IS THE BEST TOOL FOR
COMMUNICATION

17. TAKING COOPERATION FORWARD 17
HOW TO SUPPORT SOCIAL INVESTMENT &
FINANCING
CHALLENGE ON ASSISTING SOCIAL ENTREPRENEURS
ON FINANCING
LIMITED RESOURCES OF SOCIAL INVESTMENTS AND
IMPACT FINANCING
- 3 BANKS FINANCING SOCIAL ENTREPRENEURS BY
LOANS
- IMPACT INVESTMENT IN EARLY STAGE – FEW
IMPACT INVESTMENT ANGELS IN HUNGARY
- CROWDFUNDING NEEDS TO BE TRAINED

18. TAKING COOPERATION FORWARD 18
LEARNINGS FROM DELFIN SUPPORT
GAINS OF BEING A SOCIAL ENTREPRENEUR
– knowledge and concept much more in practice
- support them in project and financial management
- emphasizing INDIVIDUAL NEEDS
- communicating impact and impact measurement
- new tools
PERSONAL MEETING VS ONLINE
- some of the mentorings in offline meetings
- online infrastructure made it difficult for some
attandees
Approx. 50 % of the participants are very much keen to
learn and develop, the rest needs huge motivation.

19. TAKING COOPERATION FORWARD 19
CONTACT US
FOUNDATION FOR SUSTAINABLE
ENTERPRISES
IMPACT HUB BUDAPEST
budapest.impacthub.net
Beatrix Bedo
Co-Founder, CEO
beatrix.bedo@impacthub.net
+36-30-242-6767