Photo Credit: Friendly Composting
Social entrepreneurs like Katie and Claire are part of a growing, global movement of people pairing purpose and profit.
When Katie Forsyth and Claire McLoughlin decided to go into business together they didn’t consider turning their idea into a non-profit, even though it was “doing good”. They both always felt entrepreneurial, wanted to work together as a team, and they wanted to be business leaders.
Friendly Composting was founded in March 2020 by best friends, Katie and Claire as an ambitious project to tackle food waste within the Kamloops community. Since then, they have diverted over 800,000 lbs of food waste from landfills, where it would otherwise release methane, a powerful greenhouse gas. Friendly Composting provides organic waste collection, local food delivery, compost soil distribution, education and more. Their intended impact is to tackle climate change through proper waste management, nutrient-rich soil creation, and strengthening sustainable local food systems.
So far, they are rocking it.
Friendly Composting’s customers include commercial operations like offices and restaurants as well as families and individuals who’ve embraced composting in their daily routines. They are changing their habits, composting more, and buying more local food products. Meanwhile, in the Kamloops region they call home, Friendly Composting is creating meaningful local employment and expanding their team. This kind of business is focused on impact first, not on “giving back”.
“Finding a balance between profit and purpose is something we work at daily. We want to make a positive social impact on environmental issues and there was a gap to fill for our community by providing accessible organic waste management. Our purpose will always be our guiding principle” says Claire.
“Finding a balance between profit and purpose is something we work at daily. We want to make a positive social impact on environmental issues and there was a gap to fill for our community by providing accessible organic waste management. Our purpose will always be our guiding principle” says Claire.
Purpose and Profit: A Tough Balance
The journey has not been easy. As with so many social entrepreneurs who are changing the way we buy goods and services, they’ve faced challenges along the way.
Startup capital is particularly tough to get for women-led organizations, and especially those with social impact at their core. “In the beginning, we self-financed with $500 each of our own money, and started buying composting buckets” says Claire. They also worked very hard to secure a small loan from Futurpreneur. While funders are used to funding social impact for nonprofits, there is limited dedicated impact capital available for for-profit businesses.
In the beginning, we self-financed with $500 each of our own money, and started buying composting buckets.
Balancing social impact and profit usually means taking a different view of growth, which includes deepening impact supported by sustainable revenue. Building a business like this can be scary and slow. Getting customers to say they’re interested in saving the planet is easy…but getting them to commit to buying regularly can take much longer, especially if they can’t see the immediate impact. Simple things like buying corporate T-shirts for a company like Friendly Composting, is not just a quick internet search and a few clicks. They need to be carefully sourced to align with their green values. Further, outside judgement can be harsh when an environmental entrepreneur is not able to make every single decision 100% based on the planet (IE Friendly still drives a gas powered vehicle for deliveries).
This effort can be draining when it’s continual. However, prioritizing people and planet while balancing profit is part of the hard work in movement building.
System Change is Best Done Together
A defining characteristic of social entrepreneurs and those working on changing systems is the need to work collaboratively. System change is best done together. Peers, partners, and collaborators are critical. For the team at Friendly Composting that includes their farmers market colleagues, organizations like the Chamber, and networks of other social entrepreneur peers. Space to give and receive suggestions without judgement, champion successes, and share visions, is important for social entrepreneurs who are often lonely in their journey.
“We are so grateful to be able to access business support, including Purppl’s coaching program, to help us focus on revenue sustainability and customer relations, as well as learn more about our own leadership styles and abilities. Learning how to keep our head aligned with our passions has presented important challenges and lessons along the way.”
The Growing Movement
This intricate balance of impact and profit has become an increasingly high-profile conversation in businesses, across all sizes and industries. With more than $3 trillion dollars invested in Canada with an environment, social, and governance (ESG) screen, it’s a movement that most Canadians are now invested in.
With one third of business start-ups now putting purpose at the centre of what they do, the movement is growing and behaviours are changing. Social enterprises in our main streets and online are successfully shifting our perspective of equity, sustainability, and wellbeing. Friendly Composting is even changing our behaviour as we instinctively scrape those veggie peelings into a new bin.
One third of business start-ups now put purpose at the centre of what they do.
Local Support
Social enterprises and social purpose organizations in the Kamloops region, whether for-profit, nonprofit, or cooperative, can apply for funding to support business coaching with Purppl through the Resilience and Recovery Grant. This multi-year collaboration is supported by Interior Savings and Valley First, a Division of First West Credit Union. Closing date for applications is September 9th.
To learn more, apply, or connect with Purppl please visit this blog or email domenica@purppl.com.
Written by Jude Brunt, Impact Manager, Purppl
