The Participation of Non-profit Organisations in Social Entrepreneurship and the Influence of Accelerating Programmes: A Case Study of the TsPNO Accelerator Centre 2015–2017

Abstract

Many Russian Non-Profit Organisations (NPOs) conduct commercial activities as a new source of income to help them realize their social mission. Despite the fact that the Federal Law on Social Entrepreneurship excludes NPOs from the field, practice proves that many entrepreneurial projects of NPOs can become real social enterprises. Accelerators play an important role in the development of NPO entrepreneurial projects. The article examines the effectiveness of TsPNO, one of the first Social Accelerators in Russia, implemented by the NGO Resource Centre in Saint Petersburg, Russia in 2015–2017. The impact of the Accelerator on the social entrepreneurship activities of the participants is analysed for the first time in Russia. In terms of methodology, the research is based on an analysis of documents, survey results and semi-structured interviews with leaders of social entrepreneurship projects. The research revealed that participants of the Accelerator demonstrated the following results: development of the business-like thinking, rationalization of the NGO’s mission,
professionalization of activities in both personal and organizational levels; creation of communities of mutual support; diversification of income resources and improving financial models. The start of entrepreneurial activities is challenging for NPOs as it forces them to re-organise internal business processes, to search for a new balance between social mission and a more business-like approach. Regardless of whether entrepreneurship projects became profitable, NPOs enhance their entrepreneurial behaviour (readiness to take risks, innovate, and conduct proactive activities), which improves fundraising activities. The participants of the Accelerator demonstrate non-competitive behaviour, a desire to collaborate in order to complete joint projects, thus creating a supportive community. Even if participants decide to withdraw from entrepreneurial projects later, leaders and team-members continue to develop professionally.