Obama promises Social Entrepreneurship Agency

"The second thing I’ll do is invest in ideas that can help us meet our common challenges, because more often than not the next great social innovation won’t be generated by the government.”

With these words, candidate Obama promised to create a Social Entrepreneurship Agency within the Corporation for National and Community Service. He proposed $3.5 billion a year for social investment, paid for by ending the war in Iraq and eliminating corporate tax loopholes.

 The idea is still conceptual, but it was accompanied by words that indicate that President-elect Obama – a former community organizer - understands the importance of the NPO sector and the role of social entrepreneurs in the economy.

"The non-profit sector employs 1 in 12 Americans and 115 nonprofits are launched every day. Yet while the federal government invests $7 billion in research and development for the private sector, there is no similar effort to support non-profit innovation. Meanwhile, there are ideas across America – in our inner cities and small towns; from college graduates to folks making a career change – that could benefit millions of Americans if they’re given the chance to grow”.

 To my knowledge, it is the first time any American President as uttered the words “social entrepreneur” much less promised an agency to invest in SE. Obama said that the new agency would help small NPO startups get federal grants.     

Obama also wants to create a Social Investment Fund Network, saying that, “ It’s time to get the grass roots, the foundations, the private sector and the government at the table.”  The objective of the network appears to be combining private and government money together to underwrite  innovative solutions to pressing social issues.  The Network would locate areas of high need and high innovation and help steer investments to them.

What does this mean for social investors and fund raising?  Several things, especially if you are an American social entrepreneur.

* Get engaged in the Obama agenda setting process.  Social entrepreneurship is on the cusp of national recognition.  By working within the Obama community (six million-strong) you can help insure that social entrepreneurs have a seat at the policy table.  Even if you are not a US citizen, you can join the community and post your opinion.

* Join organizations like the Independent Sector  and Echoing Green, and of course SocialEdge.org that advocate policy changes for NPO’s. Make your voice heard asking for recognition of social investing as a routine part of the US government’s grants programs.  Make sure your Congressional representative is familiar with social investment.

* If you are a social investor, join with progressive advocacy organizations like Netroots Nation  or Commonweal Institute to help create a virtual Progressive K Street – an advocacy powerhouse that links the resources of social business with the grass roots power of progressive advocates, much like the actual K street now links the resources of corporations with the political organization of conservative advocates.
* If you are an American, be ready to apply when the Social Entrepreneurship Agency is ready to accept applications.  This means staying abreast of the progress of the new Administration. If you are part of progressive advocacy networks, it is likely they will keep track and let you know.  

Special note.
Be sure to stop by Kjerstin Erickson’s blog here on socialege.org.  She is conducting an experiment – letting us all see how her organization, Forge, either succeeds or fails, in real time, on her blog.  Even the Meyer Memorial Trust has noticed this innovative use of blogging, and her courage.  And help make sure Forge succeeds.