Social enterprises have carved out a unique space in the world—combining business with a desire to tackle important social and environmental issues. They’ve heralded a wave of innovation and impact. But for all the good they aim to do, it’s worth asking some tough questions. One of the most important ones being, are they truly inclusive? Or are social enterprises dominated by those with privilege, leaving the very communities they serve sidelined in leadership and decision-making?
This is not about pointing fingers or discrediting the incredible work many social enterprises do—it’s simply about examining the realities of privilege and ensuring we continue striving for fairer, more inclusive systems.
A Personal Reflection on Privilege
Before we dig deeper, I want to acknowledge that I write this from a place of privilege myself. My ability to do work that has meaning has, in part, been made possible by a backdrop of resources—education, professional networks, financial stability, and more. My gender and ethnicity have also likely opened doors that others may have to fight much harder to access. For all of this, I feel immensely grateful.
At the same time, I would be lying if I said there wasn’t a sense of guilt that comes with it. I know my privilege has given me opportunities that many others, equally or more passionate and talented, might not have had. It’s something I reflect on constantly, and it drives me to ask, “How can we make this space more accessible and equitable for everyone, regardless of their starting point?”
Acknowledging this isn’t about diminishing the work I or others in similar positions have put in—it’s about recognising the unearned advantages that have helped along the way and how those advantages can shape not just personal outcomes but entire systems of leadership and representation.
The Advantage of Privilege
Most social enterprises are born from a desire to solve a problem, improve lives, or address inequity. Not always, but often, the founders are individuals with a significant head start. They may have access to higher education, professional networks, financial stability, and even time—the sort of resources that make launching and sustaining a venture just a little more manageable. It’s not their fault, of course. Privilege is an unearned advantage, and many founders are deeply committed to using theirs to make a difference.
However, this backdrop of privilege inevitably shapes who gets to step into the space of social entrepreneurship and even how problems are tackled. Does the founder have a deep understanding of the lived experience of those impacted by the issue? Are their solutions informed by the real needs of communities rather than assumptions? It’s one thing to want to help; it’s another to lead in a way that empowers others to shape their futures.
Representation Is Key
Anyone working in social impact will tell you—representation matters. Leadership shapes priorities, decision-making, and strategy. If those leading social enterprises aren’t from the communities they aim to serve, there’s a risk of designs and solutions missing the mark.
Take, for example, social enterprises that focus on helping Indigenous Australian communities. Leadership in these organisations, if not reflective of Indigenous voices, can inadvertently develop solutions that don’t fully respect cultural sensitivities or address the deeper, systemic challenges within these communities. Without genuine representation, good intentions can, at times, create more harm than good.
Similarly, people with lived experiences of poverty, housing insecurity, or systemic inequality often have insights that privilege simply cannot replicate. Yet, they frequently encounter barriers to leading these conversations. Whether it’s a lack of financial resources, opportunities, or confidence to compete for funding, these systemic obstacles preserve the dominance of privileged voices.
The Narrative Privilege Creates
One of the subtler effects of privilege is how it influences the way stories are told. We tend to celebrate the passionate founder who “gave up a corporate job” to pursue a social enterprise—a narrative that feels accessible to a middle-class audience. But at the same time, grassroots-led initiatives founded by those directly impacted by an issue often struggle to receive the same recognition, funding, or publicity.
Privileged voices are not just louder—they’re more easily trusted by funders, investors, and policymakers because their language, appearance, and background align with those in positions of power. That doesn’t mean they don’t deserve a seat at the table, but it can mean other voices are left unheard.
Pathways to Change
If social enterprises are to fulfil their promise of tackling inequalities, they first need to confront and address the inequalities within their own systems. This isn’t about blame or guilt—it’s about making the collective effort to do better. Here are a few ways we can close this privilege gap:
-
Include Communities in Leadership
Representation must go beyond token involvement. Communities directly impacted by the issues social enterprises seek to address should not only be heard but also empowered to lead. Setting up advisory boards, including marginalised groups in leadership roles, or even stepping aside when appropriate are meaningful ways to shift power dynamics. -
Open Access to Resources
From funding and training to mentorship, social enterprises can take deliberate steps to break down the barriers that keep marginalised voices from succeeding in the space. Foundations and investors have a significant opportunity here—to prioritise funding for grassroots initiatives and entrepreneurs from diverse backgrounds. -
Foster Diverse Leadership Development
Creating future leaders starts with investment. Training and mentorship programs targeted towards underrepresented communities can help pave the way for more inclusive environments. By focusing on skills development and confidence-building, we create opportunities for those who might not otherwise step up. -
Challenge the Status Quo
People with privilege in leadership roles need to interrogate their own biases consistently. This might mean taking a step back from being the sole problem-solvers, leaning into collaboration, and ensuring solutions are co-created with—and driven by—the communities they serve. -
Rebuild What Success Means
For some social enterprises, success is pegged to growth, revenue, or big numbers. But perhaps it’s time to rethink what a successful social enterprise looks like. Is it about how much is ‘given back,’ or is it about dismantling systems of inequality and empowering communities to take the reins? These are the deeper metrics we should aspire towards.
A Shared Responsibility
Unpacking privilege in social enterprises isn’t about dividing people into “us versus them.” It’s a shared responsibility to recognise structural inequalities, challenge them, and build equitable systems from within.
The goal of social entrepreneurship is not just to fix social problems, but to do so in a way that creates lasting systemic change. That means lifting as we climb—creating pathways and opportunities for marginalised voices to be at the helm, not just in the background.
And for me, this means personally reflecting on how my privilege plays a role in the work I do. It means staying mindful of who is being included—and excluded—from these conversations, and doing everything possible to open more doors and create more seats at the table.
By focusing less on the who and more on the how, social enterprises can become not only forces for good but true champions of equity and inclusion.
